DEMURRER to Amended COMPLAINT
SF Superior Court - Law & Motion / Discovery Dept 301 - CGC24614771 - July 30, 2025 Hearing date: July 30, 2025 Case number: CGC24614771 Case title: RICHARD K. EINSELEN VS. ARENA NIGHTLIFE GROUP, LLC, A CALIFORNIA LIMITED ET AL Case Number: | | CGC24614771 | Case Title: | | RICHARD K. EINSELEN VS. ARENA NIGHTLIFE GROUP, LLC, A CALIFORNIA LIMITED ET AL | Court Date: | | 2025-07-30 09:00 AM | Calendar Matter: | | DEMURRER to Amended COMPLAINT | Rulings: | | Matter on the Law & Motion/Discovery Calendar for Wednesday, July 30, 2025, line 5, DEFENDANT ARENA NIGHTLIFE GROUP, LLC'S DEMURRER to 1ST Amended COMPLAINT
Defendants Arena Nightlife Group LLC and Jackson Chang's demurrer to the First Amended Complaint (FAC) is sustained with leave to amend. The FAC alleges that defendants breached the Stock Purchase Agreement (Agreement) attached as Exhibit 1 to the FAC by failing to make payments on a loan that was assumed by Arena Nightlife in the Agreement. Under the Agreement, Arena Nightlife bought all shares of Qualia, Inc., plaintiff Richard Einselen's former company. It is not clear from the FAC whether Qualia alone was the borrower of the loan or whether Einselen was obliged under the loan agreement as a co-borrower or guarantor. If he personally had no obligations under the loan agreement, it is not clear why he made a payment on the loan after Arena Nightlife defaulted and how he was harmed by the default. Einselen has leave to amend to clarify his relationship to the loan.
Defendants also demur to the second and third causes of action, for violations of the Unfair Competition Law and elder abuse statutes. The court sustains the demurrer with leave to amend. A breach of contract alone does not satisfy either of these statutes. In addition, Einselen does not plead his age as of the time of the conduct he complains of.
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