Receivers_motion_for_ratification_of_fees_and_costs

Motion

Cal. Super. - 4th Dist.October 3, 2018

© 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo Richardson C. Griswold, Esq. (CA Bar No. 246837) Neil R. Sheaffer, Esq. (CA Bar No. 297522) GRISWOLD LAW, APC 444 S. Cedros Avenue, Suite 250 Solana Beach, California 92075 Phone: (858) 481-1300 Fax: (888) 624-9177 Court-Appointed Receiver SUPERIOR COURT OF CALIFORNIA FOR THE COUNTY OF ORANGE, CENTRAL JUSTICE CENTER CITY OF GARDEN GROVE, CASE NO.: 30-2018-01022938-CU-MC-CJC Plaintiff, RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS JORGE ELIAS RODRIGUEZ, and DOES 1 to 50, inclusive, Filed Concurrently Herewith: Declaration of Receiver Richardson Griswold; Declaration of Defendants. Jamie Eberhardt; [Proposed] Order Date: February 7, 2020 Time: 9:00 a.m. Judge: Hon. James J. Di Cesare Dept: C-16 Exempt from Filing Fees [Gov. Code § 6103] RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS L BACKGROUND AND SUMMARY OF RECEIVERSHIP Richardson Griswold was appointed as health and safety Receiver for the property located at 11081 Sherman Avenue, Garden Grove, California (APN 100-022-01) (“Property”), pursuant to California Health & Safety Code section 17980.7(c). Per this Court’s Order signed March 15, 2019, the Receiver was instructed to supervise and coordinate the inspection and clean-out of the Property to assess necessary work, to prohibit entry to Property by unauthorized parties and to correct all health and safety violations at the Property. -1- RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo As background, this Property is a 1,235 square foot residence built in 1950 and has three bedrooms and two bathrooms. There is also a permitted separate unit with an entrance at the back of the Property and a garage at the side of the Property. The Property is owned by Defendant Jorge Rodriquez with no current mortgage obligations. Mr. Rodriquez does not currently live at the Property. The front three-bedroom house is currently rented by a family and the separate unit in the back is currently being used for storage. The Receiver and his office have been in consistent contact with counsel for the City of Garden Grove and Defendant Jorge Rodriquez since the appointment hearing on March 15, 2019. See Declaration of Receiver Richardson Griswold (“Griswold Declaration”), q 5, and Declaration of Jamie Eberhardt (“Eberhardt Declaration”), 4] 3, filed concurrently herewith. Shortly after the Receiver’s appointment, he coordinated and conducted an inspection of the Property on March 22, 2019. The Receiver brought a licensed contractor from Property Builders Inc. with him who he has used on other similar receivership projects. Counsel for City of Garden Grove was also present. Mr. Rodriquez did not attend the inspection. Additionally, there were representatives from the City of Garden Grove Code Enforcement Division and Building Department present to determine and verify if the conditions remained the same as of the last City inspections. Both the exterior and interior of the Property was inspected. The City of Garden Grove confirmed that the conditions generally had not changed or improved in any substantial way since the initial City violation list dated June 25, 2019. See Griswold Declaration § 6. Following the initial inspection in March 2019, the Receiver requested Property Builders Inc. compile a rehabilitation bid to address the exterior clean-up of the Property. The initial exterior clean- out phase totaled $20,360.00. See Receiver’s First Receiver’s Report, attached as Exhibit 1 to Griswold Declaration. The bid attempted to encompass all potential costs and approaches to this exterior clean-out. Since Mr. Rodriquez was not present at the initial inspection, based on his representation at the appointment hearing that everything around the exterior was trash, the Receiver sent a confirming letter to Mr. Rodriguez of the plan and provided notice of when the work would start. See Griswold Declaration 9 7. 2- RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo The exterior clean-out of the Property began on April 15, 2019 and was completed within a few days. On April 19, 2019, a representative from the Receiver’s office performed a follow-up inspection with the City of Garden Grove to determine if any further violations were present. Counsel for City of Garden Grove was present at this inspection, as well as representatives from the City of Garden Grove Code Enforcement Division and Building Department to determine and verify whether or not there were remaining violations beyond the exterior clean-out. Mr. Rodriquez was present at the Property, but he did not participate in the inspection. Following the inspection, the City of Garden Grove complied an updated violation list. See Griswold Declaration 4 8 and Eberhardt Declaration 4. The Receiver requested Property Builders Inc. compile an additional bid to address the remaining violations at the Property. The cost to address the remaining violations totaled $9,470.00. See Receiver’s First Receiver’s Report, attached as Exhibit 1 to Griswold Declaration. The bid attempted to encompass all potential costs and approaches to correcting the remaining violations. On April 23, 2019, the Receiver filed his First Receiver’s Report detailing the initial tasks and budget required in order to bring the Property back into compliance with the City of Garden Grove. Attached to the Declaration of Receiver Richardson Griswold as Exhibit 1 is a true and correct copy of the filed First Receiver’s Report. Following the hearing on May 3, 2019, this Court approved the Receiver’s First Report and the requested funding increase of $26,000.00 for a total permitted amount not to exceed $51,000.00 to cover the costs to correct the additional violations found at the Property following the April 19, 2019 inspection. Attached to the Declaration of Receiver Richardson Griswold as Exhibit 2 is a true and correct copy of the signed Order approving the First Receiver’s Report and funding increase. Property Builders Concepts & Maintenance Inc. began the additional work at the Property in late May 2019. The lead paint testing was done and the eaves around the roof of the Property tested positive for lead based paint. The lead paint was properly abated by the Receiver’s contractor. Mr. Rodriquez requested to complete the remaining paint work required, as well as the other remaining violations pursuant to the April 19, 2019 violation list. In the interest of keeping the costs down, the 3 RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo Receiver agreed to allow Mr. Rodriquez to complete the work as long as it was done correctly with the proper permits and completed within a few weeks. See Griswold Declaration q 12. During this time, Mr. Rodriquez began to again accumulate new inoperable/unregistered vehicles, junk and debris throughout the exterior of the Property. The Receiver provided notice to Mr. Rodriquez requesting that the accumulation of items throughout the Property be either disposed of and/or removed from the Property. See Receiver’s Second Receiver’s Report, attached as Exhibit 3 to Griswold Declaration. The Receiver’s office spoke with Mr. Rodriquez and agreed to provide him until June 3, 2019 to clean up the Property. See Eberhardt Declaration § 5. On June 3, 2019, a representative from the Receiver’s office and the licensed contractor inspected the Property and it was confirmed that the clean-up had not been completed by Mr. Rodriquez as requested. The Receiver’s contractor therefore proceeded with the clean-up of the exterior of the Property. Mr. Rodriquez was present and did not allow the Receiver’s contractor to dispose of the majority of the items and requested that they move the debris into the additional unit currently being used for storage. The representative from the Receiver’s office onsite permitted items that were not trash to be moved into this unit, and confirmed with Mr. Rodriquez that he understood those items could not be brought back outside to be stored. See Eberhardt Declaration 9 6. During the next month the Receiver continued to receive complaints from the neighbors that Mr. Rodriquez had again started accumulating inoperable/unregistered vehicles, junk and debris throughout the exterior of the Property. The Property tenant in the front house also informed the Receiver that Mr. Rodriquez had not completed the repairs to the unpermitted water, gas, and disposal lines installed on the exterior of the structure relating to the washer and dryer inside the rental unit. The Receiver’s office spoke with Mr. Rodriquez and he confirmed that he had pulled the required permits and would have the work done within one week. See Eberhardt Declaration 9 7. A letter dated June 26, 2019 was sent to Mr. Rodriquez advising him of the deadline to complete the remaining work and when the follow-up inspection would take place to confirm. See Receiver’s Second Receiver’s Report, attached as Exhibit 3 to Griswold Declaration. On July 3,2019, a representative from the Receiver’s office performed a follow-up inspection 4- RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo with the City of Garden Grove to determine if all the violations had been corrected. Counsel for City of Garden Grove was present at this inspection, as well as representatives from the City of Garden Grove Code Enforcement Division and Building Department, to determine and verify whether or not there were remaining violations. Mr. Rodriquez was present as well. The City Building Inspector confirmed that the unpermitted water, gas, and disposal lines had a few minor corrections needed before he could issue sign-off on the permit. Mr. Rodriquez stated that he would have the corrections completed by July 9, 2019 and the Building Inspector confirmed a follow-up inspection at that time. See Eberhardt Declaration 8. It was also confirmed that the exterior clean-up had not been completed as requested in the June 26, 2019 letter. The representative from the Receiver’s office agreed to provide Mr. Rodriquez until July 9, 2019 to have the exterior cleaned up. If it was not completed by that date, then the contractor would be performing an additional exterior clean-out. See Eberhardt Declaration 9 9. On July 9, 2019 a representative from the Receiver’s office performed a follow-up inspection with the City of Garden Grove to determine that the remaining corrections and exterior clean-out were completed. Counsel for City of Garden Grove was present at this inspection, as well as representatives from the City of Garden Grove Code Enforcement Division and Building Department. Mr. Rodriquez was present as well. The City Building Inspector confirmed that the corrections to the water, gas, and disposal lines were completed and issued sign off on the permit. However, the exterior clean-out was not completed and so the contractor completed the additional clean-out that day. See Eberhardt Declaration 9 10. The final inspection of the Property took place on July 15, 2019. A representative from the Receiver’s office was present, along with Counsel for City of Garden Grove and the City of Garden Grove Code Enforcement Division. Mr. Rodriquez was also present. Upon completion of the inspection, the City of Garden Grove Code Enforcement confirmed that the code enforcement violations have been sufficiently abated to achieve sign-off. Mr. Rodriquez was reminded that even though the existing violations had been signed-off, the Property would need to remain in compliance. See Eberhardt Declaration 9 11. 5 RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo Now that the work at the Property was complete and the City of Garden Grove had issued full sign-off, the Receiver’s focus for this receivership turned towards attempting to work with the Property Owner to create a plan for the pay-off of the receivership lien. Since the start of this receivership, the Receiver has communicated with Mr. Rodriguez and advised him that the receivership lien payoff would need to be addressed upon completion of the rehabilitation project. See Griswold Declaration 9 20. During this time, the City of Garden Grove continued to monitor the compliance at the Property. While the Property remained compliant for the most part, neighbors continue to complain about the growing accumulation of junk and debris at the Property. Further, Mr. Rodriguez did not respond to any of the Receiver’s requests for his plan to pay off the receivership lien. Letters were sent to Mr. Rodriguez dated July 17, 2019, July 24, 2019, August 12, 2019, and August 30, 2019 addressing the ongoing issues at the Property and requesting an update on his plan to address the receivership lien. See Receiver’s Second Receiver’s Report, attached as Exhibit 3 to Griswold Declaration. Further, in the August 30, 2019 letter, the Receiver provided a deadline of September 5, 2019 to have the exterior of the Property cleaned up. A follow-up inspection of the Property was performed on September 6, 2019 and it was confirmed that the exterior had not been cleaned up by Mr. Rodriguez. The City of Garden Grove stated the items out of public view in the enclosed rear patio area were acceptable, however the excessive storage of vehicles would need to be removed, visible debris would need to be removed and all overgrown vegetation cut back. See Eberhardt Declaration 913. On September 3, 2019, the Receiver filed his Second Receiver’s Report detailing the completion of the additional work and clean-up efforts. Attached to the Declaration of Receiver Richardson Griswold as Exhibit 3 is a true and correct copy of the filed Second Receiver’s Report. At the September 9, 2019 status hearing, Mr. Rodriguez did not attend so this Court continued the hearing until September 30, 2019 and requested Mr. Rodriguez be present in order to discuss his plan to address the receivership lien. -6- RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo At the continued Status Hearing on September 30, 2019 this Court granted Mr. Rodriguez additional time in order to determine his plan to address the receivership lien. The Receiver still did not have any contact from him in regard to his plan. Letters dated October 11, 2019 and October 28, 2019 were sent to Mr. Rodriguez requesting that he provide the Receiver with an update on his plan to address the lien. See Receiver’s Third Receiver’s Report, attached as Exhibit 4 to Griswold Declaration. The Receiver did not receive a response from Mr. Rodriguez to either of those letters. See Griswold Declaration 25. On November 4, 2019, the Receiver filed his Third Receiver’s Report detailing his efforts to communicate with Mr. Rodriguez regarding his plan to address the receivership lien. Attached to the Declaration of Receiver Richardson Griswold as Exhibit 4 is a true and correct copy of the filed Second Receiver’s Report. On November 6, 2019, the Receiver received an email from the City Attorney for Garden Grove, Nicholas Hutchins, that the Property was again out of compliance. Mr. Hutchins received multiple complaints from the surrounding neighbors. Mr. Hutchins inspected the Property from the public right of way and observed that there were still multiple issues with vehicles parked on the street and in the driveway, overgrown vegetation in the front parkway area as well in the southeastern portion of the Property which leads to the converted back room, and the return of accumulation of trash and debris in the same southeastern portion of the Property. See Griswold Declaration 9 27. On November 7, 2019, the Receiver filed his Supplemental Declaration to the Third Receiver’s Report detailing the ongoing issue with compliance at the Property. Attached to the Declaration of Receiver Richardson Griswold as Exhibit 5 is a true and correct copy of the filed Supplemental Declaration. As described above, Mr. Rodriguez continues to allow the Property to fall out of compliance. The Receiver coordinated his contractor to return on multiple occasions to clean-out the accumulated trash and debris and eliminate the overgrown landscape. Mr. Hutchins has also had multiple conversations with Mr. Rodriquez regarding the multiple vehicles stored at and around the Property. Because of the ongoing issues with maintaining compliance, the receivership estate has depleted the Eo. RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo remaining funds available. Mr. Rodriguez has been advised that if he continued to accumulate trash and debris and not maintain the vegetation throughout the Property, the Receiver would have no choice but to return to this Court and request additional funding in order to address these ongoing issues. See Griswold Declaration § 29. At the hearing on November 12, 2019 this Court again granted Mr. Rodriguez additional time in order to determine his plan to address the receivership lien. Mr. Rodriguez also stated that he would have the additional debris and overgrown landscape cleaned up from the Property. On November 22, 2019, a representative from the Receiver’s office inspected the Property and confirmed that the overgrown landscape and debris had been cleaned up however there were still inoperable vehicles at the Property. Mr. Rodriguez was present during this inspection and confirmed that he would have the vehicles removed. He also discussed with the representative from the Receiver’s office that he intended to payoff the receivership lien at the December 17, 2019 status hearing and then planned to list the Property for sale. The representative from the Receiver’s office attempted to discuss the details of his plan and confirm whether he intended to sell the Property in order to pay off the receivership lien. Mr. Rodriguez was not able to provide any details but understood that the sale would have to be handled by the Receiver if that was the case. See Eberhardt Declaration 9 14. On November 22, 2019 a letter was sent to Mr. Rodriguez providing him with the payoff obligations in order to satisfy the receivership lien. See Receiver’s Fourth Receiver’s Report, attached as Exhibit 7 to Griswold Declaration. On December 2, 2019 the Receiver received another email from the City Attorney for Garden Grove, Nicholas Hutchins, regarding neighbor complaints that the Property was again out of compliance. Mr. Hutchins drove by the Property and confirmed that a large dumpster from a neighboring property was at the curb and Mr. Rodriguez was removing items from the dumpster onto his Property. There was a large amount of junk and debris again stored around the exterior and into the street. On December 3, 2019, the Receiver sent a letter was sent to Mr. Rodriguez requesting that he immediately clean-up and remove the accumulation of junk and debris and advised him of a follow-up compliance inspection. The Receiver also requested an update as to Mr. Rodriguez’s plan -8- RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo to address the receivership lien. Attached to the Declaration of Receiver Richardson Griswold as Exhibit 6 is a true and correct copy of the December 3, 2019 letter, see also Griswold Declaration 32. On December 5, 2019 Mr. Rodriguez called the Receiver’s office regarding the receivership lien and the payoff information. He spoke with a representative from the Receiver’s office who provided the details in order to payoff the lien. During this conversation, Mr. Rodriguez again expressed his intent to sell the Property, however he indicated that he would be selling the Property to pay-off the receivership lien. The Receiver’s representative reminded him that the sale of the Property would be handled by the Receiver if he was unable to pay-off the lien first. Mr. Rodriguez again stated the he understood. See Eberhardt Declaration 9 16. On December 6, 2019, a representative from the Receiver’s office inspected the Property and confirmed that Mr. Rodriguez had cleaned up the additional junk and debris. The overgrown landscape had also been completely removed from the Property. Mr. Rodriguez was present during this inspection. The representative provided Mr. Rodriguez with another copy of the November 22, 2019 letter providing the payoff obligations in order to address the receivership lien. Mr. Rodriguez informed the Receiver’s representative that he had decided to sell the Property and would be informing this Court of his decision at the December 17, 2019 status hearing. The Receiver’s representative confirmed Mr. Rodriguez’s intentions and advised him that he could discuss those details with the Receiver at the upcoming hearing. Mr. Rodriguez agreed. See Eberhardt Declaration 117. On December 9, 2019, the Receiver filed his Fourth Receiver’s Report regarding Mr. Rodriguez’s plan to sell the Property in order to pay-off the receivership lien. Attached to the Declaration of Receiver Richardson Griswold as Exhibit 7 is a true and correct copy of the filed Fourth Receiver’s Report. On December 13, 2019 the Receiver’s representative spoke with Mr. Rodriguez’s daughter, Brenda Ramirez. According to Ms. Ramirez, she has not had much contact with her father but recently became involved in an effort to assist him with the Property. Her mother also became involved in 9. RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo attempting to help Mr. Rodriguez clean out some of the accumulated junk and debris being stored at the Property. During the phone call, Ms. Ramirez expressed concerns about her father’s hoarding issues and was in the process of seeking treatment for him. She felt that the conditions of the additional unit were deplorable and not fit for habitation. She confirmed that she did not believe that her father has the funds (or the means) to obtain financing to address the receivership lien. She also expressed concerns about her father’s mental well-being and his ability to apply for funding and maintain the Property. The representative from my office spoke with Ms. Ramirez about the recent conversation with her father regarding his intent to sell the Property, and she agreed that it might be the best solution and would talk to her father in more detail. See Eberhardt Declaration q 18. Following the December 17, 2019 status hearing, at the request of this Court, the Receiver sent Mr. Rodriguez via overnight delivery a copy of each Monthly Accounting Report that has been filed and served since his appointment. Within each accounting report, is a copy of the Receiver’s invoice as well as a bank statement and all other invoices that have been paid to date. Also included in the December 17, 2019 letter was a copy of the contractor’s bids, which were approved by this Court on May 3, 2019. Attached to the Declaration of Receiver Richardson Griswold as Exhibit 8 is a true and correct copy of the December 17, 2019 letter to Mr. Rodriguez, see also Griswold Declaration 9 37. II. RECEIVERSHIP LIEN, RECEIVER FEES AND COSTS, AND BUDGET THROUGH DISCHARGE As stated above, on May 3, 2019, this Court approved a $26,000.00 increase in the existing receivership certificate authority for a total permitted amount of $51,000.00 to cover the required work to bring the Property into compliance, the Receiver’s fees and costs, and the continuing costs of the receivership. Those funds have now been exhausted as the receivership continues to pay property insurance premiums and other necessary costs of the receivership. As of the date of the filing of this motion, the current amount due to pay-off the receivership lien through January 3, 2020 is $54,974.47. Interest accrues daily at $15.37 per day. See Griswold Declaration 9 39. -10- RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo A. Receivership Fees and Costs The Receiver prepared, filed and served Monthly Accounting Reports for each month he has served as the receiver in this matter. Copies of each of the Monthly Accounting Reports are included in the December 17, 2019 letter, attached as Exhibit 8 to the Declaration of Receiver Richardson Griswold filed concurrently herewith. Both the Plaintiff and the Defendant were served with these accounting reports monthly throughout this matter. The Monthly Accounting Reports included all the Receiver’s monthly billing invoices. The Receiver did not receive any objections to the monthly accounting reports during the entire duration of this receivership matter. Per CA Rule of Court 3.1183(b), parties must state any objections to a monthly accounting report within 10 days of notice of a report. See Griswold Declaration 9 40. Attached to the Declaration of Receiver Richardson Griswold as Exhibit 9 are copies of the Receiver’s billing invoices spanning from the date of appointment through December 31, 2019. The total billing for all receiver fees and costs to date totals $28,632.82, with a current outstanding balance of $10,861.99. This billing total includes the Receiver’s time, as well as staff time, for property inspections/meetings, property assessments and analysis regarding the receivership plan, various communications with the Property Owner and the City of Garden Grove, drafting, filing and service of pleadings and receiver’s reports, and preparing monthly accountings to be served on all parties. This billing also included all hard costs advanced by the Receiver’s office. The Receiver has been appointed as a receiver or partition referee by County Superior Courts in California over 95 times and believes that his fees and costs in this matter are reasonable under the circumstances. See Griswold Declaration 9 42. B. Plaintiff City of Garden Grove’s Motion for Attorney’s Fees and Costs Plaintiff City of Garden Grove’s motion for attorney’s fees and costs is scheduled to be heard on February 7, 2019. The City is requesting fees and costs in the amount of $20,686.61. Should those fees and costs be awarded, the order states that said award be payable from any funds acquired by Mr. Rodriguez or from funds obtained/authorized by the Receiver and in the Receiver’s possession -11- RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo and control, and that if there are no funds in the Receiver’s possession and control, the Receiver is ordered to obtain additional funds for reimbursement of the attorney’s fees and enforcement costs as awarded. Again, the receivership has no remaining funds. See Griswold Declaration | 43. C. Receivership Budget through Discharge As stated above, there are currently outstanding receiver fees and costs in the amount of $10,861.99. Further, additional fees and costs will be incurred to prepare this motion and any potential reply to Opposition, attending the hearing, coordinating the pay-off of the receivership lien, and seeing this matter through final discharge of the Receiver. Below is a breakdown of the proposed receivership budget through discharge, which totals $39,048.60: a. $10,861.99 to cover outstanding Receiver fees and costs; b. $20,686.61 for City of Garden Grove attorney fees and costs should they be awarded on February 7, 2019; & $7,500.00 for ongoing receivership fees and costs, as well as accruing interest on the receiver’s certificate, to see this matter through discharge. Therefore, based on the above, to pay-off the financial obligations in order to satisfy this receivership, including the Court approved receivership lien of $51,000.00 (plus accrued interest), a total amount of $94,023.07 would be required. Should there be any remaining funds at the time of the Receiver’s discharge, those funds would be returned to Mr. Rodriguez. See Griswold Declaration 945. Since the beginning of this receivership, the Receiver and his office have attempted to communicate with Mr. Rodriguez to ensure that he is aware of the status of the receivership and to confirm his plan to address the receivership lien. The Receiver remains committed to working with Mr. Rodriguez should he still desire to keep the Property. However, until the receivership lien has been addressed, the Receiver cannot be discharged over this Property. See Griswold Declaration q 46 and Eberhardt Declaration 9 19. 11 11 -12- RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS © 0 NN O N Un Bx W N = N N ND N N ND N N ND = m m e m e m e m e m e m m e co J I N nm RA W N D = D O O N N N N W ND —~= Oo III. CONCLUSION Based on the foregoing, the Receiver requests that this Court ratify the receivership fees and costs to date. The Receiver also requests that the total pay-off amount of $94,023.07 be approved. This would account for payoff of the receiver’s certificate, outstanding and ongoing receivership fees and costs, as well as payment to the City of Garden Grove for pending attorney fees and costs. Again, should there be any remaining funds at the time of the Receiver’s discharge, those funds would be returned to Mr. Rodriguez Dated: January 3, 2020 Respectfully Submitted, Righardson C. Griswold Court-Appointed Receiver -13- RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS OO 0 JI Oo »v BA W N = N N O ND ND ND ND ND N D R , R H R HR 1 El m E e m co 9 a nn BAA L D R , O O N Y R W = O PROOF OF SERVICE City of Garden Grove v. Jorge Elias Rodriguez, et al. Orange County Superior Court Case No. 30-2018-01022938-CU-MC-CJC I am employed in the County of San Diego, State of California. I am over the age of 18 and am not a party to the within action. I am employed by Griswold Law, APC and my business address is 444 S. Cedros Avenue, Suite 250, Solana Beach, California 92075. On January 3, 2020, 1 served the document described as RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS; DECLARATION OF RECEIVER RICHARDSON GRISWOLD IN SUPPORT OF RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS; DECLARATION OF JAMIE EBERHARDT IN SUPPORT OF RECEIVER’S MOTION FOR RATIFICATION OF FEES AND COSTS; and [PROPOSED] ORDER on each interested party, as follows: Counsel for Plaintiff City of Garden Grove Defendant Jorge Elias Rodriguez Nicholas Hutchins, Esq. Jorge Elias Rodriguez Woodruff, Spradlin & Smart 11081 Sherman Avenue 555 Anton Blvd., Suite 1200 Garden Grove, CA 92843 Costa Mesa, CA 92626 Email: nhutchins@wss-law.com _ (BY MAIL) I placed a true and correct copy(ies) of the foregoing document in a sealed envelope(s) addressed to each interested party as set forth above. I caused each such envelope, with postage thereon fully prepaid, to be deposited with the United States Postal Service. I am readily familiar with the firm’s practice for collection and processing of correspondence for mailing with the United States Postal Service. Under that practice, the correspondence would be deposited with the United States Postal Service on that same day with postage thereon fully prepaid in the ordinary course of business. X (BY OVERNIGHT DELIVERY) I enclosed the documents in an envelope or package provided by an overnight delivery carrier and addressed to each interested party. I placed the envelope or package for collection and overnight delivery in the overnight delivery carrier depository at Solana Beach, California to ensure next day delivery. X (VIA EMAIL) Based on a court order or an agreement of the parties to accept electronic service, I caused the documents to be sent to each interested party at the electronic service addresses listed. I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Executed on January 3, 2020, in Solana Beach, California. Katie Westendorf -1- PROOF OF SERVICE