Review of Acknowledgement & Receipt
Medical Records re: Recovery. Adequate documentation that the minor has fully recovered, or is expected to fully recover from the injuries. The attachments supporting the allegation at paragraph 9 of the petition do not support a finding that the minor will fully recover. Please note: It is insufficient to attach the initial medical records. The Court needs confirmation of a full recovery, thus current, recent records showing minor suffers no symptoms from the original injury are required
Proof of Insolvency. Adequate evidence of sufficient investigation into the solvency of the settling defendant above the policy limits of the settling insurance company must be submitted. There are no facts alleged that defendant cannot meet a judgment past the policy limits, and evidence on file shows the injury may be more severe than the amount of the settlement will compensate for.
Ahlborn Motion or Reduction in Medi-Cal lien. According to SCOTUS, DHCS violates federal law when it places a statutory lien on any amount of a settlement or judgment above an amount specifically designated as reimbursement for medical costs. (Arkansas Dept. of Health and Human Services v. Ahlborn (2006) 547 U.S. 268, 272.)
Thus, according to California cases decided after Ahlborn, DHCS cannot seek full reimbursement for Medi-Cal payments made for medical care required to treat injuries caused by a third-party tortfeasor, unless the recipient of the medical care recovers the full value of their tort claim. (See e.g. Lopez v. Daimler Chrysler Corp. (2009) 179 Cal.App.4th 1373, 1378; Lima v. Vouis (2009) 174 Cal.App.4th 242, 260; Bolanos v. Superior Court (2008) 169 Cal.App.4th 744, 748.)
Thus in a settlement, DHCS's recovery is limited to a percentage of the portion of the settlement apportioned for reimbursement of payments made for medical care, equivalent to the percent the settlement is to the value of the full claim amount: Expressed mathematically, the Ahlborn formula calculates the reimbursement due as the total settlement divided by the full value of the claim, which is then multiplied by the value of benefits provided. (Reimbursement Due = [Total Settlement ÷ Full Value of Claim] × Value of Benefits Provided.) (Aguilera v. Loma Linda University Medical Center (2015) 235 Cal.App.4th 821, 828.)
If such deficiencies are adequately addressed prior to the hearing, the court may sign the Order Approving Compromise and vacate the hearing date.
Tentative Ruling: Matter of Olivia Lopez Tentative Ruling: Matter of Olivia Lopez Case Number
Case Type Minor/Disabled Person's Compromise Hearing Date / Time Tue, 06/02/2026 - 09:00 Nature of Proceedings Review of Acknowledgement & Receipt Tentative Ruling Probate Notes: Appearances required, including the minor. (CRC 7.952.)
Judicial Council form MC-356 must be completed and signed by a representative of the financial institution, attesting to the fact that the full settlement amount listed in the Order for the Deposit of Money Into Blocked Account (MC-355) was deposited into a blocked account. The Court has not received your Acknowledgment of Receipt of Order and Funds For Deposit In Blocked Account (MC-356), which proves to this Court that the funds belonging to the minor are protected in account that is blocked from withdrawal. If the MC-356 is not on file before the hearing, the Court may issue an OSC re: Sanctions.
Tentative Ruling: Guardianship of Bassam R Rifai et al
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