Mountain Vista Holdings, LLC and Murrieta Holdings 2012-12 LLC v. Galloway Financial, LLC and Erik Rist

reserved the issue of fees: " the Parties are in agreement the Court dismiss this case with prejudice and retain jurisdiction pursuant to California Civil Procedure 664.6 to enforce settlement including Plaintiffs' attorneys' fees, costs, and expenses and funding of such." (Joint Stipulation to Dismiss and Retain Jurisdiction at 2:7-9.)

However, the dismissal of the case was complete on July 3, 2026 when the Court accepted the stipulation and entered the order of dismissal. Section 664.6 does not allow resurrection of a dismissed case for all purposes; it simply provides the Court with a limited authority upon settlement: "the court may dismiss the case as to the settling parties without prejudice and retain jurisdiction over the parties to enforce the settlement until performance in full of the terms of the settlement." (Code Civ. Proc. Sec. 664.6(a).)

Plaintiff's argument would allow the parties to expand the limited parameters of Section 664.6 by stipulation, which would contravene the fundamental rule that parties cannot confer subject matter jurisdiction upon a court by consent, waiver or estoppel. (Housing Group v. United Nat. Ins. Co. (2001) 90 Cal.App.4th 1106, 1113.)

As such, the motion for attorney's fee is DENIED as untimely.

The following tentative ruling is issued pursuant to Rule of Court 3.1308 at DATE \@ "h:mm am/pm" 1:33 PM on DATE \@ "MMMM d, yyyy" September 2, 2026. Rule of Court 3.1308(a)(1) provides that a "tentative ruling will become the ruling of the court if the court has not directed oral argument by its tentative ruling and notice of intent to appear has not been given."

The Court does not desire oral argument on the motion addressed herein. Notice of intent to appear is REQUIRED pursuant to California Rule of Court 3.1308(a)(1). No later than 4:00 p.m. on DATE \@ "MMMM d, yyyy" September 2, 2026, the moving and opposing parties must provide notice to ALL OTHER PARTIES and the staff of Department 734 whether the party intends to (1) appear and argue the motion, or (2) submit to the tentative ruling. Notice to Department 734 should be sent by email to smcdept734@lacourt.org, with opposing parties copied on the email. The high volume of telephone calls to Department 734 may delay the Court's receipt of notice, so telephonic notice to 213-830-0776 should be reserved for situations where parties are unable to give notice by email.

Plaintiffs allege that Defendants made secured loans for Plaintiffs to purchase real property. However, the loans fell into default, which triggered a 27% interest rate, and Defendant foreclosed. Plaintiffs seek to cancel the loans because the true default interest rate was concealed. Defendants Erik Rist, individually and as Trustee of the Joshua Hawkesby move for leave to amend the answer to the First Amended Complaint.

TENTATIVE RULING

Defendants Erik Rist, individually and as Trustee of the Joshua Hawkesby's motion for leave to file a First Amended Answer is GRANTED. Defendant is to file a stand-alone copy of the First Amended Answer today, which is deemed served as of the date of this order.

ANALYSIS

Motion For Leave To Amend Answer

Request For Judicial Notice

Defendants request that the Court take judicial notice of the following:

1. The Complaint filed on October 1, 2021, by plaintiffs Mountain Vista Holdings, LLC and Murrieta Holdings 2012-12 LLC against Defendants Galloway Financial, LLC and Erik Rist, as Trustee, among others, San Diego County Superior Court Case No. 37-2021-00042025 (the "San Diego Action").

2. The Dismissal With Prejudice of the San Diego Action filed on November 7, 2022.

3. The Complaint filed in this action on July 25, 2025.

4. The Notice of Pending Action (CCP Sec.405.20) recorded on July 29, 2025, in the Official Records, Riverside County, as Instrument No. 2025-0230390.

5. The First Amended Complaint filed in this action on September 16, 2025.

6. The Verification of First Amended Complaint filed in this action on September 18, 2025.

7. Minute Order in this action dated September 29, 2025.

8. The Order Granting Motion to Expunge Lis Pendens And Request for Attorney's Fees filed in this action on September 29, 2025.

9. The Notice of Pending Action (Code Civ. Proc. Sec. 405.21) recorded on October 9, 2025, in the Official Records, Riverside County, as Instrument No. 2025-0310096.

10. The Minute Order in this action dated October 23, 2025.

11. The Answer of Galloway Financial, LLC filed in this Action on October 27, 2025.

12. The Declaration of Bonnie Brunet in Support of Defendant Galloway Financial, LLC's Motion for Sanctions and Dismissal Under C.C.P. Section 128.7 filed in this action on November 21, 2025.

13. The Declaration of Martin Rist in Support of Defendant Galloway Financial, LLC's Motion for Sanctions and Dismissal Under C.C.P. Section 128.7 filed in this action on November 21, 2025.

14. The Minute Order in this action dated December 17, 2025.

15. The Minute Order in this action dated February 20, 2026.

16. The Substitution of Attorney as to Defendant Erik Rist, as Trustee, filed in this action on March 9, 2026.

17. The Substitution of Attorney as to Defendant Erick Rist, individually, filed in this action on March 9, 2026.

18. The Substitution of Attorney as to Galloway Financial, LLC, filed in this action on March 9, 2026.

19. The Answer of Defendants Erik Rist, Individually and as Truste of the Joshua Hawkesby Exempt Trust Created Under the Miller Intervivos Trust Dated 12/06/2006 filed in this action on March 18, 2026.

20. The Minute Order in this action dated March 20, 2026.

21. The Notice of Rulings and of Setting of Future Hearings, Including Trial filed in this action on April 21, 2026 (including April 20, 2026 Minute Order attached thereto).

22. The Minute Order in this action dated April 24, 2026 and Clerk's Certificate of Service by Electronic Service.

23. The Minute Order in this action dated May 1, 2026, and Clerk's Certificate of Service by Electronic Service.

Requests Nos. 1, 2, 3, 5, 6, 7, 8, 10 - 23 are GRANTED per Evid. Code Sec. 452(d)(court records). Requests Nos. 4, 9 are GRANTED. The Court may take judicial notice of recorded documents. (Evans v. California Trailer Court, Inc. (1994) 28 Cal.App.4th 540, 549, overruled on other grounds in Black Sky Capital, LLC v. Cobb (2019) 7 Cal.5th 156, 165; Alfaro v. Community Housing Improvement System & Planning Assn., Inc. (2009) 171 Cal.App.4th 263, 274).

Discussion

Defendants Erik Rist, individually and as Trustee of the Joshua Hawkesby move for leave to amend the answer to the First Amended Complaint. The Court has not received any opposition to this motion. The basis of this motion is that the original answer was not verified and the proposed amended answer contains additional affirmative defenses: lack of applicability of the CLRA and Elder Abuse Act and that the loans at issue do not have a usurious interest rate. This will enable Defendants to bring a motion for summary judgment.

The Declaration of Joel G. Weinberg, who recently substituted in as counsel, satisfies the requirements of California Rules of Court Rule 3.1324(b). A red-lined copy of the proposed Amended First Amended Answer reflecting the proposed changes is attached as Exhibit 1 to the Weinberg Declaration. The motion for leave to file a First Amended Answer is GRANTED. Defendant is to file a stand-alone copy of the First Amended Answer today, which is deemed served as of the date of this order.

Case Number: 25STCV34972 Hearing Date: September 3, 2026 Dept: 734

The following tentative ruling is issued pursuant to Rule of Court 3.1308 at DATE \@ "h:mm am/pm" 1:33 PM on DATE \@ "MMMM d, yyyy" September 2, 2026. Rule of Court 3.1308(a)(1) provides that a "tentative ruling will become the ruling of the court if the court has not directed oral argument by its tentative ruling and notice of intent to appear has not been given."

The Court does not desire oral argument on the motion addressed herein. Notice of intent to appear is REQUIRED pursuant to California Rule of Court 3.1308(a)(1). No later than 4:00 p.m. on DATE \@ "MMMM d, yyyy" September 2, 2026, the moving and opposing parties must provide notice to ALL OTHER PARTIES and the staff of Department 734 whether the party intends to (1) appear and argue the motion, or (2) submit to the tentative ruling. Notice to Department 734 should be sent by email to smcdept734@lacourt.org, with opposing parties copied on the email. The high volume of telephone calls to Department 734 may delay the Court's receipt of notice, so telephonic notice to 213-830-0776 should be reserved for situations where parties are unable to give notice by email.

This is a Lemon Law action based on an Engine Defect. Defendant American Honda Motor Co., Inc. moves for judgment on the pleadings as to the Complaint.

TENTATIVE RULING

Defendant American Honda Motor Co., Inc.'s motion for judgment on the pleadings as to the Complaint is GRANTED with leave to amend as to the first through fifth causes of action. Plaintiff is given 30 days' leave to amend.

ANALYSIS

Meet and Confer

The Declaration of Andrew S. Gahan reflects that Defendant's counsel sent a meet and confer letter but does not indicate whether any meet and confer occurred. The Court will deem the meet and confer letter as having satisfied the obligation set forth in Code Civ. Proc. Sec. 439.

Discussion

The Court has reviewed the moving, opposing and reply briefs filed by the parties, but only addresses the points which the Court deems to be material to the disposition of this motion. On a motion for judgment on the pleadings,