Glorietta Foods, Inc. v. City of San Jose

Opinion

KING, J.

In this case we hold that the time within which a claimant against a public entity must file suit to avoid the bar of the statute of limitations depends upon whether the public entity gives notice of rejection of the claim. If such notice is given, the statute of limitations is six months; if not, the statute of limitations is two years from the accrual of the cause of action.

Glorietta Foods, Inc., alleged it suffered damages as a result of action by the San Jose Fire Department and it properly filed a claim for damages against the City of San Jose in compliance with Government Code sections 910 and 911.2.

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Fifty days after the claim was filed, San Jose mailed a notice of rejection of the claim to Glorietta. Thirteen months after the mailing of the notice of

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rejection Glorietta filed a complaint for damages against San Jose. San Jose thereafter filed a motion for summary judgment which was granted, the trial court holding that Glorietta’s action was barred by a six-month statute of limitations because San Jose had given a notice of rejection of the claim pursuant to the terms of 945.6, subdivision (a)(1).

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Glorietta appealed. We affirm the judgment.

This case presents no factual disputes, only a matter of statutory construction. Glorietta contends that it had two years within which it could file the action pursuant to 945.6, subdivision (a)(2),

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because San Jose failed to accept or reject Glorietta’s claim within the 45 days prescribed by 911.6, subdivision (a), and 912.4, subdivision (a).

Historically, the issue of the appropriate statute of limitations for filing an action after a public entity rejected a claim (or it was deemed rejected) has been troublesome and confusing to litigants and the bar. Before 1969, 945.6 provided a very short limitation: six months after board action or deemed rejection. In 1968 the Legislature expanded this time frame by providing the action could be filed within the previous limitation period or one year from accrual of the cause of action, whichever period expired later. In 1970 the Legislature again amended 945.6 to provide that if notice of a rejection of a claim was given in the manner prescribed by 913 the action had to be commenced within six months after such notice was personally delivered or deposited in the mail. If such notice was not given, the action had to be commenced within two years from the accrual of the cause of action. (See 2 Witkin, Cal. Procedure (2d ed. 1970) Actions, § 362, p. 1201.)