People v. Allied Fidelity Insurance

The issue presented by this appeal is whether the trial court properly denied the motion of Allied Fidelity Insurance Company (Allied) to vacate forfeiture of bail and exonerate the bond posted by it to secure the release from custody of Carlos Chacon (Chacon), in criminal proceedings then pending against him. For reasons to follow, we have concluded that the trial court’s decision denying Allied’s motion should be affirmed.

Facts

Allied posted a bail bond in the amount of $25,000 on November 19, 1981, for Chacon, who was charged with a violation of Penal Code section 487, subdivision 2, grand theft person. On December 7, 1981, Chacon failed to appear for trial in superior court and Allied’s bond was ordered forfeited. A notice of order forfeiting bail was mailed to Allied on December 14, 1981.

Thereafter, on May 25, 1982, Allied filed a motion to vacate forfeiture and exonerate bond, which was set for hearing on June 16, 1982. The motion was made on the ground that Allied was entitled to rescind its obligation under the posted bond on the basis of fraud and failure of consideration.

To support its motion, Allied alleged that on November 12, 1981, a man, who…