Northern Cal. Collection Service v. Perez CA1/4

Filed 2/16/22 Northern Cal. Collection Service v. Perez CA1/4

NOT TO BE PUBLISHED IN OFFICIAL REPORTS California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for publication or ordered published, except as specified by rule 8.1115(b). This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

FIRST APPELLATE DISTRICT

DIVISION FOUR

NORTHERN CALIFORNIA COLLECTION SERVICE, INC., Plaintiff and Respondent, A157907

v. (Contra Costa County ADRIAN PEREZ, Super. Ct. No. MSC18-01980) Defendant and Appellant.

Defendant Adrian Perez, then doing business as a sole proprietorship under the name ALP Construction (ALP), underpaid the State Compensation Insurance Fund (State Fund) by almost $100,000 for workers’ compensation premiums for its 2014 policy. Sued on the debt by a collection agency, Perez argued in opposition to summary judgment that plaintiff Northern California Collection Service, Inc. (Northern) lacked standing to pursue the action because State Fund’s assignment of the claim to Northern named only ALP Construction & Painting, Inc. (ALP Inc.) as the debtor (a corporate entity Perez formed after entering into the 2014 policy, which was also named in final premium bill), rather than Perez in his individual capacity or any other

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Perez entity previously insured by State Fund. The trial court found no triable issues of material fact and granted summary adjudication on Northern’s cause of action for an open book account. We affirm. BACKGROUND I. The policies In February 2014 Perez, doing business as ALP Construction, purchased a workers’ compensation insurance policy from State Fund. The policy, number 9089033-14, was for the period from February 13, 2014 through February 13, 2015 (the 2014 policy). Perez paid State Fund $37,008.32 in premiums for the coverage period. The 2014 policy automatically renewed on February 13, 2015. On March 5, 2015, Perez informed State Fund that he had incorporated his business as ALP Inc. State Fund issued an endorsement changing the name of its insured from Perez as an individual to ALP Inc., effective the February 13, 2015 renewal date. The notice sent to ALP Inc. expressly stated that the endorsement did not otherwise “vary, alter, waive or extend” any policy terms, conditions, agreements or limitations. State Fund thereafter used the “ALP Inc.” corporate entity’s name on its correspondence and documents, even if they related to the prior coverage period for Perez’s sole proprietorship as ALP.1 In July 2015, as a result of a standard payroll audit, State Fund billed ALP Inc. $99,769.02 in additional premiums owed on