THOMAS PORTUGAL VS. HIGH 5 ENTERTAINMENT, LLC

Matter on the Law & Motion/Discovery Calendar for Thursday, August 14, 2025, line 12, 6 - DEFENDANT ACIES INVESTMENTS FUND I, L.P. DEMURRER to Amended COMPLAINT

Defendant Acies Investments Fund I, L.P.'s demurrer to the First Amended Complaint (FAC) is sustained with leave to amend. The FAC does not allege a basis for liability by Acies for the acts undertaken by codefendant High 5 Entertainment, LLC, other than as an investor. This alone is insufficient to create UCL or CLRA liability.

Plaintiff Thomas Portugal contends that Acies is liable under an aiding and abetting theory. "Liability may be imposed on one who aids and abets the commission of an intentional tort if the person knows the other's conduct constitutes a breach of duty and gives substantial assistance or encouragement to the other to so act." (Schulz v. Neovi Data Corp. (2007) 152 Cal.App.4th 86, 93 [citation simplified].)

Portugal alleges that Acies provides financial support to High 5 as an investor but does not allege facts supporting the knowledge element. Acies also challenges the substantial assistance element. For clarity to the parties, the court's view is that this element is adequately pled. Portugal states the amount of the investment and that it came at a time when High 5 was in dire need of investment.

Acies asks the court not to grant leave to amend. That course is available only where it appears that leave to amend would be futile. The court cannot say that it would be futile.

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