North County Contractor's Ass'n v. Touchstone Insurance Services

Good Law
1994 Cal. App. LEXIS 859·27 Cal. App. 4th 1085·33 Cal. Rptr. 2d 166·94 Daily Journal DAR 11837·94 Cal. Daily Op. Serv. 6469
Court of Appeal of CaliforniaAugust 23, 1994B073818California3,402 words

Opinion

Opinion

Gilbert, J.

The courts try to provide a semblance of certainty in an otherwise uncertain world. Perhaps that is why judges are reputed to feel uncomfortable about making educated guesses. Such discomfort is unwarranted when a judge must decide whether a settlement is made in good faith. In such cases judges are required to make educated guesses.

Here we hold that the trial Judge did not abuse his discretion when he granted a motion for good faith settlement. The settling defendants had limited assets, and it was questionable whether they had insurance coverage. The Judge therefore made an educated guess based on the factors set forth in Tech-Bilt, Inc. v. Woodward-Clyde & Associates (1985) 38 Cal.3d 488 [ 213 Cal.Rptr. 256 , 698 P.2d 159 ], that the settlement was in the “ballpark.”

North County Contractor’s Association, Inc. (NCCA) appeals from a judgment dismissing its cross-complaint for equitable indemnity against Elmer Belmont, individually and doing business as Touchstone Insurance Services, Craig Belmont, Cyndi Belmont, and David Belmont (Touchstone). The cross-complaint was dismissed after the trial court granted Touchstone’s motion to approve a $105,000 good faith…

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