Spring 2014

News from Abdulaziz, Grossbart & Rudman

Abdulaziz, Grossbart & Rudman Newsletter
Spring 2014

We hope that you enjoy this edition of our Newsletter.
Remember, if there is anything that you would like to see in the future, please let us know.
The Staff At
Abdulaziz, Grossbart & Rudman

In the process of negotiations for settlement of a dispute, you may have to file a lawsuit. This may be because there is no meeting of the minds with respect to a settlement or the timing within which to file a lawsuit has come (so that you do not lose your rights). Once the lawsuit is filed with the court, the very first thing that must be done is the Summons and Complaint, along with other court forms, must be served on all of the defendants (the Summons notifies the party(ies) that they are being sued). For those in an office, this is a very mundane aspect of the lawsuit even though it is a very important aspect. As a contractor, subcontractor, or material supplier, you should be aware of this process in order to protect your own rights because if a party is not served properly then they are not a part of the legal action.


There are various ways for a Summons and Complaint to be served properly in a general lawsuit. The obvious is that the Summons and Complaint are served by personal delivery. Another effective way to serve a party is by substitution (meaning that the Summons and Complaint is left at the business with a person in charge or at home with someone 18 or older) and then a copy of the Summons and Complaint is then mailed to the same address. There is also the possibility that the Summons and Complaint can be served by mail alone utilizing a Notice and Acknowledgment of Receipt, which means that the recipient actually signs the Notice accepting service of the Summons and Complaint and returns it. If the party resides out-of-state, then it is also acceptable to serve them via first-class mail with a return receipt requested. Lastly, if the party cannot be served using the above means, it is possible to obtain permission from the court to serve by publication (published in a named newspaper that is most likely to give notice to the party). An unlawful detainer matter has additional rules regarding service that we will not get into here.


Keeping the above in mind, service also depends on the type of entity (an individual, a corporation, a public entity, etc.). Corporations can be served by serving the president, CEO, etc., or a person authorized by the corporation to accept service. They will also have a designated agent for service of process, often times an officer, their attorney or a company that is hired for just the purpose of receiving service, that service can be made to.


There is a recent case Ariel Ramos v. Homeward Residential wherein Ramos served the corporate defendant with the Summons and Complaint by delivering the paperwork to a manager at a branch office of the defendant. Even though the manager told Ramos that they were not authorized to accept service and the documents should be served on the agent for service of process, Ramos did not do so. When defendant did not appear in the case, Ramos obtained a default judgment in her favor for over $250,000. Once defendant was notified of the judgment, it moved to have the judgment set aside because they were not served properly. The court agreed and overturned the default judgment. In a nutshell, this means that Ramos thought she was victorious in her suit, but in reality, spent more time and money than necessary because the defendant was never served properly.


As you can see from the above scenario, it is important to make sure that you have an understanding as to what is going on in this beginning stage of your lawsuit in order to make sure that you are not surprised at a later date because the Summons and Complaint was not served properly.

I did a theatrical performance about puns. It was a play on words.

They told me I had type A blood, but it was a type-o.

I wondered why the baseball was getting bigger. Then it hit me!

A dyslexic man walks into a bra...

Reading a book on gravity. I can't put it down.



Many of us see advertisements, especially online, for contracting work which is to be performed by an unlicensed operator. These advertisements are fine as long as the unlicensed contractor advertises that they are unlicensed and only offer services that will not exceed $500. However, many of these advertisements do not meet those guidelines.


The CSLB is supporting a proposal that would amend Business and Professions Code section 7027.2. This would revise the requirements for advertisements posted by these unlicensed operators. If this proposal is sponsored by a legislator and then passed into law, the CSLB would then be able to pursue administrative sanctions against operators who advertise services in excess of the $500 legal limit and also target those individuals in undercover sting operations.


This is one way that the CSLB is fighting the underground economy in California.


A woman is sitting at the table with her gourmet coffee.
Her son is on the cover of the Wheaties box.
Her daughter is on the cover of Business Week.
Her boyfriend is on the cover of Playgirl.
And her husband is on the back of the milk carton!

By becoming a registered user of our website, you will have access to valuable information, now and in the future.

Currently, there are over 25 forms available as well as discounts on our Construction Law Book and our workbook. Check back often as future plans include more forms, seminar discounts and webinars.

To become a registered user visit our website.

Construction Project Payment Disputes

Presented by Kenneth S. Grossbart, Judge James Steel, Candace L. Matson, and Thomas M. Sherwood

Hosted by the Rutter Group


Monday, May 12, 2014

6:00 p.m.

At the Hotel Nikko, San Francisco


Tuesday, May 13, 2014

6:00 p.m.

At the Hyatt Regency Los Angeles Downtown


This intensive three-hour program is for general transactional and litigation real estate practitioners as well as accomplished construction lawyers experienced in private or public works. The program will ensure familiarity with this highly technical area, including recently enacted statutory changes that may continue to generate considerable confusion. The distinguished panel of legal experts will provide the perspectives of owners, contractors, subcontractors, design professionals and construction lenders. Led by a Los Angeles Superior Court Judge with extensive construction law experience, the panelists will take you from licensing due diligence to drafting key contractual provisions, to the enforcement and defense of mechanic's lien, stop payment notices and bond claims, and finally to dispute resolution (dispute review boards, mediation, arbitration and/or trial).

This is a "must attend" program for any attorney with clients involved in the development, construction or construction lending processes. Program materials will be extensive and will provide various statutory forms, including the new conditional and unconditional waiver and release forms.


For additional information, visit Rutter Group

Collecting Your Money By Using Mechanic's Liens, Stop Payment Notices and Bond Claims

Presented by Kenneth S. Grossbart

Hosted by the PHCC-West Annual Convention


Saturday, May 17, 2014

11:00 a.m. to 12:15 p.m.

At the Disneyland Grand California Hotels & Spa


This will cover the nuts and bolts of collection remedies in California, including the Mechanic's Lien process as well as Stop Payment Notices and Bond Claims. This is designed for the contractor or clerical/credit personnel involved in the collection process, no matter how large or small the company. Attendees will walk away with an understanding of what collection remedy is right for each job, how to use the Preliminary Notice, what the timelines involved for recording and filing lawsuits are, how to avoid technicalities that make liens unenforceable, and much more. Learn practical tools, tips and techniques to streamline your collection efforts.


For additional information, visit PHCC-West




Visit our website in the future for additional information or stay tuned for the next Newsletter!

California Mechanic's Lien Laws Simplified
- Webinar - Tuesday, May 20, 2014

Bond Claims & Prompt Payment Penalties: How to Use Them to Get Paid - Webinar - Tuesday, July 15, 2014

Collection Remedies for Design Professionals - Webinar - Tuesday, September 16, 2014

California Contractor License Law & Advertising Requirements - Webinar - Tuesday, November 18, 2014
Abdulaziz, Grossbart & Rudman
provides this information as a service to its friends and clients. This Newsletter is of a general nature and is not intended to be a substitute for legal advice. This Newsletter does not establish an attorney-client relationship with the reader. Since laws are ever changing, please contact an attorney before using any of the information contained within this Newsletter.
Abdulaziz, Grossbart & Rudman
P.O. Box 15458, North Hollywood, California 91606
(818) 760-2000; (818) 760-3908 (fax)
In This Issue
VERY PUNNY!?!?!...HaHa

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