LBF Travel Management Corp. v. DeRosa

Opinion

1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 SOUTHERN DISTRICT OF CALIFORNIA 10 11 LBF TRAVEL MANAGEMENT CORP., Case No.: 20-cv-02404-MMA-JLB et al., 12 ORDER RESETTING MANDATORY Plaintiffs, 13 SETTLEMENT CONFERENCE AND v. ISSUING UPDATED PROCEDURES 14 THOMAS DEROSA, et al., 15 [ECF Nos. 32, 196] Defendants. 16 AND RELATED COUNTERCLAIMS. 17 18 19 The Mandatory Settlement Conference (“MSC”) in this matter is currently scheduled 20 for April 7, 2023, at 9:00 AM before Magistrate Judge Jill L. Burkhardt as a 21 videoconference. (ECF No. 196.) Due to a conflict in the Court’s calendar, the Court 22 hereby RESETS the MSC for April 5, 2023, at 9:00 AM before Judge Burkhardt.1 The 23 Court further issues the following updated procedures and deadlines related to the MSC: 24 25 26 1 If any party believes the MSC is more likely to be successful if conducted in-person, that party shall meet and confer on the issue with the other parties. After meeting and 27 conferring, and no later than 14 days before the MSC, the parties shall leave a joint 28 voicemail with chambers at (619) 557-6624 indicating which of the parties requests an in- 1 1. Pursuant to Civil Local Rule 16.3, all party representatives and claims 2 adjusters for insured defendants with full and unlimited authority2 to negotiate and enter 3 into a binding settlement, as well as the principal attorney(s) responsible for the litigation, 4 must be present and legally and factually prepared to discuss and resolve the case at the 5 MSC. In the case of an entity, an authorized representative of the entity who is not retained 6 outside counsel must be present and must have discretionary authority to commit the entity 7 to pay an amount up to the amount of the Plaintiff’s prayer (excluding punitive damages 8 prayers). The purpose of this requirement is to have representatives present who can settle 9 the case during the course of the conference without consulting a superior. 10 Counsel for a United States government entity may be excused from this 11 requirement so long as the government attorney who attends the MSC conference (1) has 12 primary responsibility for handling the case, and (2) may negotiate settlement offers which 13 the attorney is willing to recommend to the government official having ultimate settlement 14 authority. 15 Failure to attend the MSC or obtain proper excuse will be considered grounds 16 for sanctions. 17 /// 18 /// 19 20 person MSC. In the voicemail, the parties shall leave three mutually available dates for a 21 telephonic status conference to discuss whether the MSC should be held in-person. The 22 final decision will be made by the Court. 2 “Full authority to settle” means that the individuals at the settlement conference must 23 be authorized to fully explore settlement options and to agree at that time to any settlement 24 terms acceptable to the parties. Heileman Brewing Co., Inc. v. Joseph Oat Corp., 871 F.2d 648 (7th Cir. 1989). The person needs to have “unfettered discretion and authority” to 25 change the settlement position of a party. Pitman v. Brinker Int’l., Inc., 216 F.R.D. 481, 26 485–86 (D. Ariz. 2003). The purpose of requiring a person with unlimited settlement authority to attend the conference includes that the person’s view of the case may be altered 27 during the face to face conference. Id. at 486. A limited or a sum certain of authority is 28 not adequate. Nick v. Morgan’s Foods, Inc., 270 F.3d 590, 595–97 (8th Cir. 2001). 1 2. No later than 14 days before the MSC, the parties shall meet and confer in 2 person or telephonically, as required by § III.B. of Judge Burkhardt’s Civil Chambers 3 Rules. 4 3. No later than March 29, 2023, counsel (and any unrepresented parties) shall 5 lodge confidential MSC statements with Judge Burkhardt’s chambers via e-mail at 6 efile_Burkhardt@casd.uscourts.gov. The parties’ MSC statements shall comply with § 7 III.C. of Judge Burkhardt’s Civil Chambers Rules. 8 4. The parties are directed to read and shall comply with § III.B–C of Judge 9 Burkhardt’s Civil Chambers Rules, which set forth the Court’s requirements for the MSC. 10 Failure to comply with the Court’s requirements will be grounds for sanctions.3 11 5. The Court will use its official ZoomGov video conferencing account to hold 12 the MSC. IF YOU ARE UNFAMILIAR WITH ZOOM: Zoom is available on 13 computers through a download on the Zoom website (https://zoom.us/meetings) or on 14 mobile devices through the installation of a free app.4 Joining a Zoom conference does not 15 require creating a Zoom account, but it does require downloading the .exe file (if using a 16 computer) or the app (if using a mobile device). Participants are encouraged to create an 17 account, install Zoom, and familiarize themselves with Zoom in advance of the MSC.5 18 There is a cost-free option for creating a Zoom account. 19 6. Prior to the start of the MSC, the Court will e-mail each MSC participant an 20 invitation to join a Zoom video conference. Again, if possible, participants are encouraged 21 to use laptops or desktop computers for the video conference, as mobile devices often offer 22 inferior performance. Because Zoom may quickly deplete the battery of a participant’s 23 24 3 In light of the timing of the transfer of this case to Judge Burkhardt, the parties are 25 exempted from complying with § III.A of Judge Burkhardt’s Civil Chambers Rules. 26 4 If possible, participants are encouraged to use laptops or desktop computers for the video conference, as mobile devices often offer inferior performance. 27 5 For help getting started with Zoom, visit: https://support.zoom.us/hc/en- 28 us/categories/200101697-Getting-Started 1 device, each participant should ensure that her or his device is plugged in or that a charging 2 cable is readily available during the video conference. Participants shall join the video 3 conference by following the ZoomGov Meeting hyperlink in the invitation. Participants 4 who do not have Zoom already installed on their device when they click on the 5 ZoomGov Meeting hyperlink will be prompted to download and install Zoom before 6 proceeding. Zoom may then prompt participants to enter the password included in the 7 invitation. All participants will be placed in a waiting room until the MSC begins. 8 7. Each participant should plan to join the Zoom video conference at least 5 9 minutes before the start of the MSC to ensure that the MSC begins on time. 10 8. Zoom’s functionalities will allow the Court to conduct the MSC as it 11 ordinarily would conduct an in-person MSC. That is, the Court will begin the MSC with 12 all participants joined together in a main session. After an initial discussion in the main 13 session, the Court will divide participants into separate, confidential sessions, which Zoom 14 calls Breakout Rooms.6 In a Breakout Room, the Court will be able to communicate with 15 participants from a single party in confidence. Breakout Rooms will also allow parties and 16 counsel to communicate confidentially without the Court. 17 9. The purpose of the MSC is to permit an informal, candid discussion between 18 the attorneys, parties, and the settlement judge of every aspect of the lawsuit in an effort to 19 achieve a mediated resolution of the case. All MSC discussions will be off the record, 20 privileged, and confidential. See CivLR 16.3(h). 21 10. As MSCs are confidential court proceedings, all attendees must participate 22 from a private and stable location where no individual who is not a party, a party 23 representative, or an attorney for a party can overhear the proceedings. All attendees must 24 be prepared to devote their full attention to the MSC as if they were attending in 25 26 27 6 For more information on what to expect when participating in a Zoom Breakout 28 Room, visit: https://support.zoom.us/hc/en-us/articles/115005769646 1 ||person. This means that attendees must clear their schedules of all conflicts for the entire 2 ||period of the MSC.’ Attendees may not participate from a moving car or a public 3 ||space. All participants are expected to display the same level of professionalism and 4 || civility as they would at an in-person court proceeding. See CivLR 2.1; J. Burkhardt’s Civ. 5 || Chambers R. § I. 6 11. All dates, deadlines, and requirements set forth in the Scheduling Order (ECF 7 || Nos. 32, 196) remain in place, except as modified by this Order. 8 IT IS SO ORDERED. 9 || Dated: March 20, 2023 - n. Jill L. Burkhardt ited States Magistrate Judge 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 28 MSCs are ordinarily scheduled for three hours but may last considerably longer.