Kantor

When A sues B and C, and when B cross-complains against C for indemnity based upon a statute which calls for C to indemnify B if the allegations of B’s cross-complaint for statutory indemnity are true, may C properly obtain a dismissal of B’s cross-complaint for statutory indemnity by entering into a good faith settlement with A? We hold that C may not do so.

Facts

Evidence presented to the superior court revealed the following scenario.

Larry Machonga was a youth pastor of the Calvary Bible Church of Bakersfield (hereinafter CBC). The CBC operated a youth outreach program at the Grace Community Church in Firebaugh. The purpose of the youth outreach program, according to Machonga’s declaration, was “to conduct both religious and recreational activities and to generally help people in the community.” During a school vacation in March of 1989, Machonga and another pastor led a group of approximately 30 CBC teenagers on a 6-day “mission” at the Grace Community Church in Firebaugh. One of the group’s activities during the mission was to paint the Firebaugh Community Building. Members of the CBC group ate and slept in the Firebaugh Community Building during the mission.

On…