JPMorgan Chase Bank NA vs Benjamin S Bradley

Case Number

24CV04165

Case Type

Hearing Date / Time

Fri, 03/14/2025 - 10:00

Nature of Proceedings

Motion: Vacate

Tentative Ruling

The motion is granted. The dismissal of the action is vacated, and judgment shall be entered against defendant in the total amount of $11,886.67, pursuant to the terms of Code of Civil Procedure section 664.6.

Background: This is a collections action, arising from an unpaid credit card debt, in which the amount of $11,886.67 was sought in the complaint. The parties entered into a stipulation under which the parties agreed that plaintiff would not request that judgment be entered against defendant as long as defendant did not default on the payment plan they agreed to. The agreement was executed by defendant on September 23, 2024, and by a representative of plaintiff on September 27, 2024, after which it was filed with the court on October 23, 2024.

The payment plan to which the parties agreed in ¶ 4 of the stipulation, required that defendant make the following payments:

“i. 4 payment(s) of $100.00 on or before the 15th day of September beginning in September, 2024

 ii. 13 payment(s) of $610.00 on or before the 15th day of January beginning January, 2025

 iii. 6 payment(s) of $570.00 on or before the 15th day of February beginning February, 2026

 iv. 1 payment(s) of $136.67 on or before the 15th day of August beginning August, 2026”

It further provided that if defendant timely made 18 of the 24 installment payments when due, totaling $8,900.00, he may deduct the remaining payments, totaling $2,986.67 from the remaining balance then due. However, if he failed to make full and timely payment of any installment, or if any payment was reversed, he will not be entitled to any deduction, the full remaining balance will be due, and plaintiff would be entitled to enter judgment for the entire amount, less credit for payments received. Payments were to be made directly to the law firm currently representing plaintiff in this action. (¶ 6.)

The stipulation requested that the court retain jurisdiction under Code of Civil Procedure section 664.6, including if it dismissed the action without prejudice, and permitted the stipulation to be enforced by independent action at plaintiff’s option. Upon any default, it permitted plaintiff to seek to have any dismissal without prejudice vacated and to have judgment entered for the judgment amount less credit for payments received. If defendant satisfied his payment obligations, plaintiff would dismiss the action with prejudice.

Pursuant to the stipulation, the parties agreed to bear the expense of their own attorney’s fees and court costs in connection with the litigation, including those incurred to enforce the stipulation.

Following the filing of the stipulation on October 23, 2024, and the order entered thereon on October 24, 2024, the action was dismissed without prejudice on October 24, 2024.

According to the law firm’s business records, defendant never made any payments pursuant to the agreement. As a result, the outstanding balance due from defendant to plaintiff is the amount sought in the complaint, $11,886.67.

Plaintiff has moved for an order vacating the dismissal and to enter judgment in favor of plaintiff and against defendant in the principal sum of $11,886.67 plus court costs of $0.00 for a total judgment of $11,886.67.

ANALYSIS: The motion is granted. The dismissal of the action is vacated, and judgment shall be entered against defendant in the total amount of $11,886.67, with no costs to be awarded, pursuant to the terms of Code of Civil Procedure section 664.6 and the agreement of the parties.

Code of Civil Procedure section 664.6 provides:

“If parties to pending litigation stipulate, in a writing signed by the parties outside the presence of the court or orally before the court, for settlement of the case, or part thereof, the court, upon motion, may enter judgment pursuant to the terms of the settlement. If requested by the parties, the court may retain jurisdiction over the parties to enforce the settlement until performance in full of the terms of the settlement.”

The parties to this action all executed the Stipulation for Conditional Entry of Judgment, which retained the court’s jurisdiction to enforce the terms of the settlement until it was performed in full. The settlement provided for defendant to be able to pay the amount due in monthly payments, pursuant to a schedule set forth in the settlement agreement. If defendant defaulted on the payments which were made, plaintiff could set aside the dismissal of the action and have judgment entered against defendant pursuant to Code of Civil Procedure section 664.6 for the full amount of the debt, less any payments made, plus court costs.

The payment schedule set forth in the stipulation was quite confusingly drafted. The Court is uncertain what is meant by making payments “on or before the 15th day of September beginning in September, 2024.” [Emphasis added.] It appears that what was intended was that the 2024 payments be made on or before the 15th day of each month, beginning in September 2024. Regardless of the confusing manner in which the agreement is drafted, however, it does appear to clearly require that payments be made in 2024. Given that defendant has never made any payments under the agreement, it is therefore also clear that he is in default at this time, and that default has not been cured. Consequently, plaintiff is entitled to set aside and vacate the dismissal, and have judgment entered in its favor in the total amount of $11,886.67.