Costs: Dismissal Based On Judicial Abstention Gave Rise To Cost Recovery By Prevailing Defendants

 

“Merits” Dismissals Are Not Only Dismissals Giving Rise To Costs.

     In Hambrick v. Healthcare Partner Medical Group, Inc., Case No. B251643 (2d Dist., Div. 7 June 1, 2015) (unpublished), defendants prevailed based on a judicial abstention argument on a gnarly risk level regulatory issue for health providers in a class action case, obtaining a dismissal on technical judicial abstention grounds. Although only routine costs were involved, plaintiff appealed that and other issues.

     All issues were affirmed on appeal. Plaintiff challenged that a technical dismissal based on abstention did not give rise to routine costs exposure, but the 2/7 DCA panel found that this restriction was not contained in Code of Civil Procedure section 1032. (Cf. Brown v. Desert Christian Center, 193 Cal.App.4th 733, 738, 741 (2011) [dismissal on basis of subject matter jurisdiction gave rise to routine costs].) The panel followed Brown and did not adhere to contrary Ninth Circuit authority (Elwood v. Drescher, 456 F.3d 943, 948 (9th Cir. 2006) [Younger abstention dismissal did not allow prevailing parties fees under 42 U.S.C. § 1988]) because Elwood involved a different federal statute and was a federal case not binding on the state court.

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