Wood

Defendant Frank D. Wood (Wood) appeals from a judgment purporting to enforce a written settlement agreement. At issue is whether a motion to enforce a settlement agreement under Code of Civil Procedure section 664.6 may be considered in an action other than the action in which the settlement was made. We hold it may not, and reverse the judgment.

Facts

Wood is a founder and former chief executive officer of Viejo Bancorp, Inc., and Mission Viejo National Bank (Bank). In 1984 Wood became embroiled in a bitter dispute with other Bank officers over management of Bank affairs. Unable to resolve the dispute internally, Wood, Bank and the directors sued each other for damages, indemnity and other relief in four separate actions (the old action).

In March 1985 the parties entered into a written settlement of the old action. The agreement provided the old action would be dismissed and for a period of 18 months Wood would, among other things, assist Bank in its dealings with federal and state regulators, vote his stock in favor of management and its slate of candidates, and refrain from filing lawsuits against Bank. It also provided that if Bank failed to raise $600,000 in…