In Re Petition Of: Peachtree Settlement Funding, LLC

interest, until the judgment is satisfied; Upon the showing herein that distributions under the charging order will not satisfy the judgment within a reasonable time, foreclosing the lien created by the charging order and ordering the sale, under the Court's direction, of Tani's charged transferable interest in each limited liability company, with the net proceeds applied to the judgment; Appointing Stephen J. Donell, the receiver already appointed in this matter, as receiver of the charged distributions, and making all further orders necessary to give effect to the charging order, including an accounting of distributions and a restraint on any payment or transfer to TANI on account of the charged interests.

California Corporations Code section 708.310 states that "If a money judgment is rendered against a partner or member but not against the partnership or limited liability company, the judgment debtor's interest in the partnership or limited liability company may be applied toward the satisfaction of the judgment by an order charging the judgment debtor's interest pursuant to Section 15673, 16504, or 17302 of the Corporations Code." (See Corp.Code, Sec. 16504, subd. (b) [charging order is "a lien on the judgment debtor's transferable interest in the partnership"]; Taylor v.

S & M Lamp Co. (1961) 190 Cal.App.2d 700, 711 (Taylor) ["the purpose of the lien of a charging order is to permit the judgment creditor to realize on his judgment ... by appropriate supplementary proceedings or orders against [the debtor] partner's interest in the partnership"].) However, the money judgment here was not only rendered against Tani, but also against the at-issue entity defendants including JT & KT Development, LLC and Maie JT & KT Development LLC. Given that the money judgment was rendered against both Tani and JT & KT Development, LLC and Maie JT & KT Development LLC, relief pursuant to section 708.310 is thus unavailable and a charging order cannot be implemented.

IV. CONCLUSION Based on the foregoing, Plaintiff's motion for removal and expulsion is DENIED. Plaintiff's motion for a charging order is DENIED. Dated this 3rd day of September 2026 | | | Hon. Gary D. Roberts Judge of the Superior Court |

STATE OF CALIFORNIA

FOR THE COUNTY OF LOS ANGELES In Re Petition Of: PEACHTREE SETTLEMENT FUNDING, LLC, Petitioner. (Real Party in Interest: Joel Magallon) |))))))))))) | CASE NO.: 26STCP02800 [TENTATIVE] ORDER RE: PETITIONER'S MOTION FOR AN ORDER APPROVING TRANSFER OF STRUCTURED SETTLEMENT PAYMENT RIGHTS Dept. 733 8:30 a.m. September 3, 2026 | I. INTRODUCTION On July 24, 2026, Petitioner Peachtree Settlement Funding, LLC ("Petitioner") filed the instant Petition for Approval of Transfer of Structured Settlement Payment Rights.

The Petition requests that Payee, Joel Magallon, receive $ 12,100.00 in exchange for the selling of the rights to and interest in the following payments: 80 monthly payments of $400.00 each, beginning on January 15, 2028 and ending on August 15, 2034. (See Petition, Ex. A [structured settlement payments purchase agreement].) No opposition has been filed. II. LEGAL STANDARD California Insurance Code section 10139.5 provides that a transfer of structured

settlement payment rights is not effective unless the transfer has been approved in advance in a final court order based on the following express findings by the court that:¿¿ 1. The transfer is in the best interest of the payee,¿taking into account¿the welfare and support of the payee's dependents.¿¿ 2. The payee has been advised in writing by the transferee to seek independent professional advice regarding the transfer and has either received that advice or knowingly waived that advice in writing.¿¿ 3.

The transferee has provided the payee with a disclosure form that complies with Section 10136 and the transfer agreement complies with Sections 10136 and 10138.¿¿ 4. The transfer does not contravene any applicable statute or the order of any court or other government authority.¿¿ 5. The payee reasonably understands the terms of the transfer agreement, including the terms set forth in the disclosure statement required by Section 10136.¿¿ 6. The payee understands and does not wish to exercise the payee's right to cancel the transfer agreement.¿¿ (Ins.

Code Sec. 10139.5(a).)¿¿ ¿¿ When determining whether the proposed transfer should be approved, including whether the transfer is fair, reasonable, and in the payee's best interest, the court shall consider the totality of the circumstances, including, but not limited to: (1) the reasonable preference and desire of the payee to complete the proposed transaction, taking into account the payee's age, mental capacity, legal knowledge, and apparent maturity level; (2) the stated purpose of the transfer; (3) the payee's financial and economic situation; (4) the terms of the transaction, including whether the payee is transferring monthly or lump sum payments or all or a portion of his or her future payments; (5) whether the future periodic payments were intended to pay for future medical care of the payee related to the incident that was the subject of the settlement; (6) whether the payee has other means of income or support sufficient to meet the payee's future financial obligations for support of payee's dependents, such as child support; (7) whether there were previous transactions involving payee's structured settlement payments; and (8) whether the payee and his or her dependents are facing a hardship situation. (Ins.

Code Sec. 10139.5(b).)¿¿¿ ¿¿ Procedurally, Insurance Code section 10136 provides that ten or more days before the payee executes a transfer agreement, the transferee shall provide the payee¿with a separate written disclosure statement, accurately completed with the information that applies to

the transfer agreement in at least 12-point type. (Ins. Code Sec. 10136(b).)¿¿¿ The court-approval process requires the transferee to file a petition in the county in which the transferor resides for approval of the transfer.¿ (Ins. Code Sec. 10139.5(f)(1).)¿ In addition, the following elements are required to be served and filed not less than 20 days prior to the scheduled hearing on any application for approval of a transfer of structured settlement payment rights:¿¿ A. A copy of the transferee's current and any prior petitions.¿¿ B.

A copy of the transfer agreement.¿¿ C. A listing of each of the payee's dependents, together with each dependent's age.¿¿ D. A copy of the disclosure required in subdivision (b) of Section 10136.¿¿ E. A copy of the annuity contract, if available.¿¿ F. A copy of any qualified assignment agreement, if available.¿¿ G. A copy of the underlying structured settlement agreement, if available.¿¿ H. If a copy of a document described in subparagraph (E), (F), or (G) is unavailable or cannot be located, then the transferee is not required to attach a copy of that document to the petition or notice of the proposed transfer if the transferee satisfies the court that reasonable efforts to locate and secure a copy of the document have been made, including making inquiry with the payee.

If the documents are available, but contain a confidentiality or nondisclosure provision, then the transferee shall summarize in the petition the payments due and owing to the payee, and, if requested by the court, shall provide copies of the documents to the court at a scheduled hearing.¿¿ I. Proof of service showing compliance with the notification requirements of this section.¿¿¿ J. Notification that any interested party is entitled to support, oppose, or otherwise respond to the transferee's application, either in person or by counsel, by submitting written comments to the court or by participating in the hearing.¿¿ K.

Notification of the time and place of

the hearing and notification of the¿manner in which¿and the time by which written responses to the application must be filed, which may not be less than 15 days after service of the transferee's notice, in order to be considered by the court.¿¿ L. If the payee entered into the structured settlement at issue within five years prior to the date of the transfer agreement, then the transferee shall provide notice to the payee's attorney of record at the time the structured settlement was created, if the attorney is licensed to practice in California, at the attorney's address on file with the State Bar of California.

The notice shall be delivered by regular mail.¿¿ ¿ (Ins. Code Sec. 10139.5(f)(2))¿¿ ¿¿ Lastly, the court¿shall retain continuing jurisdiction to interpret and monitor the implementation of the transfer agreement as justice requires.¿ (Ins. Code Sec. 10139.5(i).)¿¿ III. DISCUSSION Petitioner seeks approval of the transfer of structured settlement payment rights. Real Party in Interest Joel Magallon ("Magallon") agreed to sell to Petitioner future payments totaling thirty-two thousand dollars ($ 32,000.00), obtained from a settlement of a personal injury lawsuit, in exchange for a purchase price of twelve thousand and one hundred dollars ($12,100.00).

The original settlement from the personal injury action, entered in 2024, required one 80 monthly payments of $400.00, commencing on January 15, 2028 and ending on August 15, 2034. Based on the information provided, the Court finds that the transfer of the settlement payment is reasonable and in the best interest of the payee. Magallon is 40 years old, single, with one minor child, and is unemployed. (Magallon Decl., P. 8.) He also receives payments of $2,500.00 a month from his annuity and disability. (Ibid.)

He intends to use the funds for future rent payments and everyday living expenses. (Id. P. 11.) Magallon does not have child support obligations, and he has been advised by Petitioner of his right to seek independent counsel and financial advice in connection with the petition for court approval of the transfer agreement. (Id. P.P. 8, 12, Ex. E [waiver].) He understands the nature and terms of the transaction and entered into this agreement with Petitioner out of his own free will and volition. (Id.

P. 13.) When looking at the factors under California Insurance Code Sec. 10139.5 as well as the Declaration of Magallon, the transfer is appropriate.¿¿ Therefore,

the Petition for Approval for Transfer of Payment Rights is granted.¿¿ IV. CONCLUSION For the foregoing reasons, the Petition for Approval for Transfer of Payment Rights is GRANTED.¿¿ ¿ Moving Party to give notice. Dated this 3rd day of September 2026 | | | Hon. Gary D. Roberts Judge of the Superior Court | | Home -->)" -->