PLAINTIFF DISCOVERY BANK’S MOTION TO (1) SET ASIDE NOTICE OF SETTLEMENT AND (2) ENTER JUDGMENT PURSUANT TO STIPULATION
6/11/26 - Law and Motion Calendar Judge Mark A. McCannon – Department 2 Page 4 of 17
2:00 PM LINE: 2 24-CLJ-01152 DISCOVER BANK VS. MARC ATENGCO
DISCOVER BANK ADAM BRUMAGE MARC ATENGCO
PLAINTIFF DISCOVERY BANK’S MOTION TO (1) SET ASIDE NOTICE OF SETTLEMENT AND (2) ENTER JUDGMENT PURSUANT TO STIPULATION
TENTATIVE RULING:
Plaintiff Discover Bank moves to set aside the settlement in this action and enter judgment against Defendant Marc Atengco pursuant to a Stipulated Settlement Agreement authorizing enforcement under Code of Civil Procedure section 664.6.
Plaintiff’s motion is DENIED for lack of clarity as to when Defendant ceased making payments, as explained below. Plaintiff’s counsel may appear at the hearing on this motion to resolve the ambiguity.
Code of Civil Procedure section 664.6 provides a summary procedure to enforce a settlement agreement by entering judgment pursuant to the terms of the settlement. Upon stipulation of the settling parties, “the court may dismiss the case as to the settling parties without prejudice and retain jurisdiction over the parties to enforce the settlement until performance [is complete].” (Code Civ. Proc., § 664.6.)
In ruling on a motion under section 664.6, the Court may receive oral testimony or determine the motion upon declarations alone. (Corkland v. Boscoe (1984) 156 Cal.App.3d 989, 994.) If the Court determines that the parties entered into an enforceable settlement, it should grant the motion and enter a formal judgment pursuant to the terms of the settlement. (Hines v. Lukes (2008) 167 Cal.App.4th 1174, 1182.)
The parties entered into a written Stipulation that provides for enforcement under Code of Civil Procedure section 664.6. The parties filed a notice of conditional settlement on August 8, 2024. Paragraph 15 of the Stipulation provides: “The Court shall retain jurisdiction over this action pending the completion of all payments due from the defendant pursuant to the terms of this stipulation and Code of Civil Procedure sec. 664.6.” (Dawson Decl., ¶ 2, Ex. 1, Stipulation, ¶ 15.)
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Under the Stipulation, Defendant agreed that he owed Plaintiff $6,945.85 in principal and $296.02 in court costs, for a total of $7,241.87. (Dawson Decl., Ex. 1, ¶ 1.) Defendant agreed to make payments of $116.00 each month, beginning on May 28, 2024, and continuing on or before the 24th day of each month thereafter through March 24, 2029, followed by a final payment of $101.85 due on or before April 24, 2029. (Id., ¶ 3.) The parties agreed that if the principal balance was paid under those terms, the Judgment Amount would be deemed satisfied. (Ibid.)
Paragraph 5 of the Stipulation provides that, if monthly payments are not made as required, Plaintiff is immediately entitled to entry of judgment for the Judgment Amount. (Id., ¶ 5.)
6/11/26 - Law and Motion Calendar Judge Mark A. McCannon – Department 2 Page 5 of 17
Plaintiff alleges that Defendant made payments totaling $928.00 and then stopped making payments as required under the Stipulation on May 28, 2024. (Dawson Decl., ¶ 7.) However, May 28, 2024, is the date the first payment of $116.00 was due. (Id., Ex. 1, ¶ 3.) Plaintiff provides no explanation for this irregularity. As a result, the Court cannot determine whether Plaintiff has provided accurate information as to when Defendant breached the Stipulation.
Plaintiff requests entry of judgment in the amount of $6,313.87, calculated as follows: $6,945.85 in principal, plus $296.02 in court costs, less $928.00 in credits. (Dawson Decl., ¶ 8.) The math is correct, but the paymenthistory ambiguity prevents the Court from granting the motion on the present record.
Plaintiff’s counsel may appear at the hearing to clarify when Defendant ceased making payments and to confirm, or correct, the balance owed by Defendant. If counsel does not appear or otherwise cannot resolve the irregularity, Plaintiff’s motion is DENIED.
If the tentative ruling is uncontested, it shall become the order of the Court. Thereafter, counsel for Plaintiff shall prepare a written order and judgment, in two separate documents, consistent with the Court’s ruling, pursuant to California Rules of Court, rule 3.1312, and shall provide written notice of the ruling to all parties who have appeared in the action, as required by law and the California Rules of Court.