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Cal/OSHA Cites Contractor $157.5K for Open Trench Death

W.A. Rasic Construction is a general contractor specializing in infrastructure projects across the Western United States. Their headquarters is located at 4150 Long Beach Boulevard, Long Beach, CA 90807. The company has been in operation since 1978 and is known for its diverse expertise in utility construction.

The California Division of Occupational Safety and Health (Cal/OSHA) has issued $157,500 in citations to W. A. Rasic Construction for multiple violations of workplace safety regulations following a fatal trench collapse. The incident resulted in the tragic death of an employee working in an unprotected excavation.

On August 28, 2024 Joel Olea Gomez and another worker were in the trench in the Scripps Ranch community in San Diego when a cave-in occurred at about 4 a.m. The men were working on a city water project.The collapse caused a concrete pipe to be displaced.

One of the workers escaped the trench, but 27-year-old Joel Olea Gomez became trapped at the bottom under dirt and a 4-foot-diameter reinforced concrete pipe. He was pronounced dead on the scene by San Diego Fire-Rescue personnel. His body was recovered at about 9 a.m. after an extensive operation. This is the third trench death in California since 2023.

Cal/OSHA’s investigation identified serious violations of workplace safety regulations related to excavation and trench safety.

Violations Identified by Cal/OSHA:

– – Failure to implement an effective injury and illness prevention program: W. A. Rasic Construction did not implement an effective injury and illness prevention program to identify, evaluate, and correct workplace hazards, and provide training, a requirement that has been in place for more than 30 years. This failure exposed employees to the hazards associated with working in an unshored trench.
– – Failure to conduct a proper inspection of the excavation site: The employer’s inspection failed to identify conditions that could lead to dangerous cave-in hazards or the lack of necessary protective systems, such as trench boxes or shoring, which could have prevented the collapse.
– – Failure to Provide Adequate Cave-In Protection: The employer did not provide the necessary cave-in protection for employees working in an excavation approximately 17 feet deep. This critical safety failure exposed workers to the risk of fatal injury, as evidenced by the incident. Employers have the right to appeal any Cal/OSHA citation and notification of penalty by filing an appeal with the Occupational Safety and Health Appeals Board within 15 working days from the receipt of notification.

Cal/OSHA Chief Debra Lee said: “No worker should lose their life due to preventable safety failures. We will continue to enforce trench safety regulations, hold employers accountable and work to ensure that safety standards are upheld to protect workers.”

Cal/OSHA helps protect workers from health and safety hazards on the job in almost every workplace in California. Employers and workers who have questions or need assistance with workplace health and safety programs can call Cal/OSHA’s Consultation Services Branch at 800-963-9424.

March 17, 2025 – News Podcast


Rene Thomas Folse, JD, Ph.D. is the host for this edition which reports on the following news stories: LC 3365.4 Barred Fatally Injured School Volunteer Survivors’ Lawsuit. Cooperation & Assistance of Insured Clause Defends $9M Verdict. Failure to Oppose Summary Judgment is Good Cause to Grant it. Three Face Charges for Fraudulent LA Wildfire Benefit Claims. SafeLite Resolves IFPA Auto Insurance Fraud Case for $31M. Physician & SoCal Pharmaceutical Company VP Pleads Guilty. Court of Appeal Allows Case Against DHS for Underground Regs. ER Physician Staffing Firms Face Financial Difficulty & Bankruptcy.

WCAB Outlines Ground Rules for WCJ Disqualification

A Petition for Disqualification of a Workers Compensation Judge was filed with the WCAB by an applicant attorney in a pending case. The basis of the Petition was that the WCJ expressed “an opinion regarding a legal or factual issue” during the course of the proceedings and before the case was litigated and resolved.

However the petitioner failed to “show that this opinion is a fixed one that could not be changed upon the production of evidence and the presentation of arguments at or after further hearing.”

After filing the Petition for Disqualification, but prior to any decision by the WCAB, a different WCJ approved a Compromise and Release between the parties. Once the issue in a petition is moot, or if the case is resolved in its entirety, the petition is subject to dismissal. Nonetheless, the WCAB went on to discuss the merits and then denied the Petition in the case of John Guy v AV Decking – ADJ9709184 (May 2025).

Labor Code section 5311 provides that a party may seek to disqualify a WCJ upon any one or more of the grounds specified in Code of Civil Procedure section 641. (Lab. Code, § 5311; see also Code Civ. Proc., § 641.) Among the grounds for disqualification under section 641 are that the WCJ has “formed or expressed an unqualified opinion or belief as to the merits of the action” (Code Civ. Proc., § 641(f)) or that the WCJ has demonstrated “[t]he existence of a state of mind … evincing enmity against or bias toward either party” (Code Civ. Proc., § 641(g)).

Under WCAB Rule 10960, proceedings to disqualify a WCJ “shall be initiated by the filing of a petition for disqualification supported by an affidavit or declaration under penalty of perjury stating in detail facts establishing one or more of the grounds for disqualification … .”

It has long been recognized that “[t]he allegations in a statement charging bias and prejudice of a judge must set forth specifically the facts on which the charge is predicated,” that “[a] statement containing nothing but conclusions and setting forth no facts constituting a ground for disqualification may be ignored,” and that “[w]here no facts are set forth in the statement there is no issue of fact to be determined.” (Mackie v. Dyer (1957) 154 Cal.App.2d 395, 399.

Furthermore, even if detailed and verified allegations of fact have been made, it is settled law that a WCJ is not subject to disqualification under section 641(f) if, prior to rendering a decision, the WCJ expresses an opinion regarding a legal or factual issue but the petitioner fails to show that this opinion is a fixed one that could not be changed upon the production of evidence and the presentation of arguments at or after further hearing. (Taylor v. Industrial Acc. Com. (Thomas) (1940) 38 Cal.App.2d 75, 79-80 [5 Cal.Comp.Cases 61].) – [Overruled on other grounds in Lumbermen’s Mut. Cas. Co. v. Industrial Acc. Com. (Cacozza) (1946) 29 Cal.2d 492, 499 [11 Cal.Comp.Cases 289] ].-

Additionally, even if the WCJ expresses an unqualified opinion on the merits, the WCJ is not subject to disqualification under section 641(f) if that opinion is “based upon the evidence then before [the WCJ] and upon the [WCJ’s] conception of the law as applied to such evidence.” (Id.; cf. Kreling v. Superior Court (1944) 25 Cal.2d 305, 312 [“It is [a judge’s] duty to consider and pass upon the evidence produced before him, and when the evidence is in conflict, to resolve that conflict in favor of the party whose evidence outweighs that of the opposing party.”].)

Also, it is “well settled … that the expressions of opinion uttered by a judge, in what he conceives to be a discharge of his official duties, are not evidence of bias or prejudice” under section 641(g) (Kreling, supra, 25 Cal.2d at pp. 310-311; accord: Mackie, supra, 154 Cal.App.2d at p. 400) and that “[e]rroneous rulings against a litigant, even when numerous and continuous, form no ground for a charge of bias or prejudice, especially when they are subject to review” (McEwen v. Occidental Life Ins. Co. (1916) 172 Cal. 6, 11; accord: Mackie, supra, 154 Cal.App.2d at p. 400.)

Similarly, “when the state of mind of the trial judge appears to be adverse to one of the parties but is based upon actual observance of the witnesses and the evidence given during the trial of an action, it does not amount to that prejudice against a litigant which disqualifies” the judge under section 641(g). (Kreling, supra, 25 Cal.2d at p. 312; see also Moulton Niguel Water Dist. v. Colombo (2003) 111 Cal.App.4th 1210, 1219 [“When making a ruling, a judge interprets the evidence, weighs credibility, and makes findings. In doing so, the judge necessarily makes and expresses determinations in favor of and against parties. How could it be otherwise? We will not hold that every statement a judge makes to explain his or her reasons for ruling against a party constitutes evidence of judicial bias.”].)

Under no circumstances may a party’s unilateral and subjective perception of bias afford a basis for disqualification. (Haas v. County of San Bernardino (2002) 27 Cal.4th 1017, 1034; Robbins v. Sharp Healthcare (2006) 71 Cal.Comp.Cases 1291, 1310-1311 (Significant Panel Decision).)

Appeal Reverses 33 out of 37 Counts Against Attorney Jon Woods

Jon Woods is an attorney who specialized in workers’ compensation law and formed a law firm exclusively dedicated to representing employees. Woods began his firm in 2001. By 2011 he had hired between 15 and 25 employees to work at his law firm. Up to that point, Woods marketed his services using print, radio, and television advertisements.

Edgar Gonzales owned a copy services business called USA Photocopy in the City of Santa Ana. Woods began working with USA Photocopy in approximately 2007. USA Photocopy, among other things, provided subpoena services for workers’ compensation attorneys.USA Photocopy typically billed the insurance company for the services.

In 2011, Woods met Carlos Arguello. Arguello ran several companies, the primary business being a marketing company called, at one point, Centro Legal Internacional (his companies went by several different names). Ostensibly, Arguello’s company offered advertising services to obtain workers’ compensation clients. Arguello’s company advertised in print, radio, television, and online. At one point, Arguello’s company was distributing 4,000,000 fliers per month. Arguello would promise attorneys a certain number of clients per month, depending on how much the attorney was willing to pay per month.

In many instances Arguello’s company would send a non-lawyer representative to the caller’s house to sign a legal services agreement, and afterward the case would be assigned to one of the lawyers who had retained Arguello’s services. Woods received clients this way.

Arguello had agreements with certain doctors. When Arguello would sign up a client for legal services, he would immediately schedule an appointment for the client with a doctor in his network. Woods allowed Arguello to employ his network of doctors for the cases sent to Woods. This was central to Arguello making a profit from his enterprise.

Arguello also owned and operated copy services businesses. Those included C&E Technology and Professional Documents Management. Using Arguello’s copy service for subpoenas was a condition of engaging his advertising service.

Woods worked with Arguello through 2017. Over the course of their relationship, Woods paid Arguello’s businesses $1,425,000 in fees for advertising services.

Arguello pleaded guilty to federal criminal charges related to worker’s compensation fraud and was sentenced to four years in federal prison, which he began serving in July 2019. Arguello also pleaded guilty to charges brought by the Orange County District Attorney. Part of the factual basis for his plea involved a conspiracy with Woods. Arguello signed a cooperation agreement in which he agreed to testify truthfully.

In 2019, the Orange County District Attorney filed an amended information alleging 37 felony counts against Woods. In April 2019, the jury was unable to reach a unanimous decision, and Woods’s first trial ended in a mistrial. The jury was split 8–4 in favor of guilt. In Woods’s second trial in August 2022, the jury found Woods guilty on all counts and found the white collar enhancement allegation to be true. Woods’s total prison sentence was four years. Woods was ordered to pay restitution in the amount of $701,452. Woods appealed.

The Court of Appeal reversed his conviction on counts 5-37, the restitution order in favor of insurance companies and the white collar enhancement in the published case of People v Woods – G061948 (March 2025).

On appeal Woods contends that the Williamson rule (In re Williamson (1954) 43 Cal.2d 651) precluded convictions on counts 5 through 37. Broadly speaking, the Williamson rule states that where the Legislature has defined a specific crime with a lesser punishment, the conduct described by that crime may not be charged as a more general crime with a harsher punishment.

The idea is that by identifying specific conduct, the Legislature has expressed an intent that the conduct by punished at the lower level. Here, counts 5 through 37 were charged under Penal Code section 550, subdivision (b)(3), a felony, which criminalizes concealing or withholding information from an insurance company that would affect an entitlement to an insurance benefit.

Woods contends that his conduct is covered by a more specific statute, Labor Code section 139.32. That section makes it a misdemeanor to refer work to third-party servicers in exchange for compensation of any sort.

The Court of Appeal agreed with Woods that the Williamson rule applies under these circumstances.

Plaintiff’s Attorney Disqualified for Violation of State Bar Rule 4.4

Christian L. Johnson sued his employer, California Department of Transportation based on claims arising out of his employment. He alleged fifteen claims against Caltrans, including for discrimination, harassment, and retaliation.

While the suit was pending, Paul Brown, an attorney for Caltrans, sent an email about the litigation to Nicolas Duncan, Johnson’s supervisor who was not named in the litigation.

The email contained a “CONFIDENTIALITY NOTICE” that stated: “This is a privileged attorney-client communication and/or is covered by the attorney work-product doctrine. It is for the sole use of the intended recipient(s). Any unauthorized review, use, disclosure, or distribution is prohibited. If you are not the intended recipient, please contact the sender by reply e-mail and destroy all copies of the original message. Do not print, copy or forward.”

Unbeknownst to Caltrans, Duncan took a photograph of the email and sent it to Johnson, who gave it to his attorney, John Shepardson. It is unclear why Duncan did this.

The next day, Shepardson emailed Caltrans’s counsel, Christopher Sims, attaching the image and saying it “was sent to my client.” Shepardson asserted that the email was intentionally disclosed and so “appears to be a waiver of attorney-client privilege, if any privilege attaches to communications with Mr. Duncan.” Shepardson also stated that the email was “distressing” to Johnson and asked Caltrans to “cease and desist any and all communications with employees that are misleading about the merits of [Johnson’s] claims.”

After extensive meet-and-confer communications, Caltrans sought a protective order on the ground that the email was covered by the attorney-client privilege. The trial court entered the order. In the months that followed, the parties engaged in a protracted dispute concerning Johnson’s and Shepardson’s compliance with the protective order’s terms.

Eventually, Caltrans filed a motion to enforce the order and later a motion to disqualify plaintiffs attorney John Shepardson and three retained experts. The trial court disqualified Shepardson and the experts. In The trial court cited State Comp. Ins. Fund v. WPS, Inc. (1999) 70 Cal.App.4th 644, 656-657 (State Fund) and McDermott Will & Emery LLP v. Superior Court (2017) 10 Cal.App.5th 1083, 1108-1109 (McDermott), two cases involving a lawyer’s ethical duties upon receiving documents that are or may be privileged. The court said that Caltrans could have reasonably expected Shepardson to comply with his duties under State Fund. The trial court additionally determined that Shepardson’s conduct would prejudice the ongoing proceedings.

On appeal, Johnson challenged the trial court’s disqualification order. Among other arguments, he claims that the Brown email was not protected by the attorney-client privilege, Caltrans waived any privilege through undue delay, and the court abused its discretion in ordering the drastic remedy of disqualification.

The Court of Appeal found no merit in his arguments and affirmed the disqualification order in the published case of Johnson v. Dept. of Transportation – C099319 (March 2025).

A trial court’s authority to disqualify an attorney derives from the power inherent in every court ‘[t]o control in furtherance of justice, the conduct of its ministerial officers, and of all other persons in any manner connected with a judicial proceeding before it, in every matter pertaining thereto.’ ” (People ex rel. Dept. of Corporations v. SpeeDee Oil Change Systems, Inc. (1999) 20 Cal.4th 1135, 1145.) “[U]ltimately the issue involves a conflict between a client’s right to counsel of his choice and the need to maintain ethical standards of professional responsibility.”

“Protecting the confidentiality of communications between attorney and client is fundamental to our legal system. The attorney-client privilege is a hallmark of our jurisprudence that furthers the public policy of ensuring ‘ “the right of every person to freely and fully confer and confide in one having knowledge of the law, and skilled in its practice, in order that the former may have adequate advice and a proper defense.” ’ ” (People ex rel. Dept. of Corporations v. SpeeDee Oil Change Systems, Inc., supra, 20 Cal.4th at p. 1146.)

We conclude the trial court properly disqualified Shepardson and the three experts after finding that State Fund’s obligations were not satisfied. First, the trial court correctly determined that Shepardson breached his State Fund obligations after he received the Brown email. When he received the email, Shepardson properly notified Caltrans. (State Fund, supra, 70 Cal.App.4th at p. 657.) But the record supports the trial court’s conclusion that his actions thereafter fell short of what State Fund requires. After receiving the email, and especially after Caltrans unequivocally asserted the privilege hours after learning of the disclosure, Shepardson was not permitted to examine the email any further, much less distribute the email to other witnesses or use it to formulate case strategy, pending an agreement between the parties or judicial intervention.”

Footnote 2 on page 25 notes that the State Fund requirements were codified in rule 4.4 of the California State Bar Rules of Professional Conduct.

Activision Blizzard CEO Lawsuit Claims Defamatory Media Collusion

Robert Kotick is a founder and former long serving Chief Executive Officer of Activision Blizzard, Inc. For over 30 years, Kotick led Activision from bankruptcy to become one of the most successful and well-respected entertainment companies in the world.

Kotick served as Activision’s CEO from February 1991 until December 2023, when Activision Blizzard was acquired by Microsoft for over $75 billion in one of the largest all-cash transactions in history. Activision has more than 15,000 employees worldwide. Its games have hundreds of millions of players around the world.

Kotick, along with former National Security Advisor and Marine Corps Commandant General James Jones, is the co-Founder and co-Chairman of the Call of Duty Endowment, a nonprofit organization that helps veterans find high-quality careers and raises awareness of the value veterans bring to the workplace. To date, the Endowment has helped secure employment for more than 140,000 veterans.

Kotick filed a lawsuit this March against G/O Media Inc.a New York City based media company that owns and operates a portfolio of digital media brands including Gizmodo, a tech and science-focused site and Kotaku a gaming news and culture platform among others.

Kotick’s lawsuit for defamation against G/O Media Inc. arises from what he claims was “the malicious publication of two articles on March 11, 2024 by two websites then owned and operated by G/O Media – Kotaku and Gizmodo – that contain knowingly false statements about non-existent widespread workplace misconduct at Activision Blizzard, Inc. These articles were part of a years’ long concerted effort by G/O Media – which on information and belief was working in concert with the California Civil Rights Department (“CRD”) – to defame and disparage Plaintiff Robert Kotick, who served as CEO of Activision Blizzard for more than 30 years.”

Kotick goes on to allege “On July 20, 2021, the CRD filed a knowingly inaccurate and inflammatory lawsuit against Activision that included fraudulent claims of systemic workplace harassment at the Company.”

“To maximize pressure and amplify the harm its false accusations caused, the CRD enlisted certain unscrupulous reporters at The Wall Street Journal and other media outlets, including on information and belief G/O Media to publish a series of hit pieces about Activision and Kotick. The Journal published an article on November 16, 2021, that repeated many of the false allegations in the CRD’s complaint and manufactured additional knowingly false, disproven allegations.”

“Between 2021 and 2024, Kotaku and Gizmodo published dozens of false and defamatory articles about Kotick that spread and perpetuated the false narratives fabricated by the CRD and the Journal, including the articles on March 11, 2024.”

In December 2023, the CRD formally withdrew its harassment claims and expressly acknowledged that, “no court or any independent investigation has substantiated any allegations that: there has been systemic or widespread sexual harassment at Activision Blizzard; [or] that Activision Blizzard senior executives ignored, condoned, or tolerated a culture of systemic, harassment, retaliation, or discrimination.” The CRD also specifically acknowledged that Activision’s Board, including Kotick, never acted “improperly with regard to the handling of any instances of workplace misconduct.” (Emphasis added.)”

“The false allegations in the CRD’s complaint and media reporting were disproven by numerous independent experts who confirmed that Activision has always been committed to workplace accountability and there has never been widespread or systemic harassment at the Company. Moreover, in addition to the CRD’s acknowledgment, various independent experts confirmed that Activision G/O Media was well aware of the CRD’s withdrawal of its claims.”

“Indeed, Kotaku published an article on December 18, 2023, acknowledging that the CRD was withdrawing its harassment claims after admitting they were unsubstantiated.”

“Ignoring these facts, less than three months later, G/O Media published the two libelous March 11 articles that repeated the CRD and Journal’s false allegations of widespread workplace misconduct at Activision while also intentionally omitting the exculpatory facts that those allegations were false and that the CRD and The Wall Street Journal’s own subsequent reporting acknowledged they were false.”

Kotaku sums up his allegations by claiming “Kotick’s representatives repeatedly urged G/O Media to correct the March 11 articles published by Kotaku and Gizmodo. His representatives sent numerous letters to G/O Media providing comprehensive evidence – including court orders, public statements, SEC filings, and findings from independent third-party investigations – showing that the allegations relating to workplace misconduct were false and withdrawn. Regardless of the facts, G/O Media steadfastly refused to adequately correct its articles.”

Robert Kotick asks for actual, special, genera, punitive and exemplary damages against the defendants.

Sham Health Insurance Plan Resolves AG Claim for $1.3M

The California Attorney General announced a $1.3 million settlement with Sedera, Inc. (Sedera) and Sedera Medical Cost Sharing Community, LLC (SMC) to resolve allegations that they violated California law by advertising and selling sham health insurance plans to over two thousand Californians.

In addition, the settlement resolves allegations that Sedera and SMC falsely advertised their sham plans as both novel “non-insurance” medical cost sharing products and as health care sharing ministry (HCSM) plans.

Sedera, Inc. and Sedera Medical Cost Sharing Community, LLC are organizations that offer a medical cost-sharing model as an alternative to traditional health insurance. They operate by pooling contributions from members to share the costs of large and unexpected medical expenses. Members voluntarily contribute monthly amounts, and the community collectively helps cover eligible medical needs.

Sedera, Inc.is a fon-profit corporation incorporated in Delaware in July of 2014 and with its principle place of business in Texas. It conducted and/or contracted business through its agents, employees and representatives in counties throughout the State of California, including Los Angeles County.

Sedera Medical Cost Sharing Community is a corporation organized under the laws of Texas. It was incorporated in Texas in November of 2019. It purports to be a non-profit with IRS 501(c)(3) status. However according to the complaint filed by the Attorney General “there is no record of the IRS ever providing 501(c)(3) status to SMC”. It conducted and/or contracted business through its agents, employees and representatives in counties throughout the State of California,

An investigation by the California Department of Justice found that because, among other things, Sedera and SMC collected mandatory monthly payments in exchange for the payment of medical services, Sedera and SMC operated health plans. Health plans are required to comply with a myriad of important state consumer protection laws and regulations. Those laws and regulations require that, among other things, health plans provide coverage for all essential health benefits, including preventative care. The products offered by Sedera and SMC did not.

Sedera and SMC were able to sell their sham health insurance plans at lower costs precisely because those plans were a sham and failed to comply with state law. For example, they did not offer Californians the essential health benefits they were entitled to,” said the Attorney General. “Today’s settlement includes not only strong injunctive terms that prohibit Sedera and SMC from marketing, selling, or operating any plans in California, but also consumer restitution and payment for civil penalties. We welcome businesses in our state, but we will not allow them to prey on our people. Lastly, to my fellow Californians: please do your research and first consider applying for affordable, reliable coverage through Covered California.”

SMC, a corporation that falsely purported to be a non-profit, created, operated, and sold unauthorized health plans through its for-profit administrative vendor, Sedera. As part of the settlement, Sedera and SMC:

– – Will be prohibited from selling, marketing, and operating any health plans in California.
– – Will be prohibited from moving its California members to another plan or directing them to any other cost sharing entities.
– – Must delete their California customer lists and provide members with notice of their plan termination.
– – Must pay $1.3 million. Of that total, $800,000 will be for consumer restitution (two payments over six months) and $560,000 will be for civil penalties.

In April 2021, after receiving multiple complaints from consumers alleging that their HCSM plans refused to cover treatments and pay their medical bills, the California Attorney General issued a consumer alert, warning Californians about illegitimate HCSMs.

In January 2022, he filed a lawsuit against The Aliera Companies for purporting to be a HCSM. Further, in March 2023, the Attorney General announced a $2.1 million settlement against Alliance for Shared Health to resolve allegations that they offered and deceptively advertised sham health insurance.

Minor Dent Leads to $3000 Insurance Fraud Sting Operation Arrest

A San Jose body shop owner is facing an insurance fraud charge following an undercover sting led by investigators from the Santa Clara County District Attorney’s Office.

Jairon Escobar, 49, owner and operator of Radiator & Body Parts, was charged with jacking up an insurance damage estimate on a “newly purchased” bait car with a single dent to include thousands in damages that did not exist.

Escobar has a previous fraud conviction from 2017. He was arraigned Tuesday on charges of felony attempted insurance fraud. If convicted, he faces incarceration.

“Auto insurance fraud drives up premiums and hits drivers in their wallets,” District Attorney Jeff Rosen said. “To body shop owners that choose illegal profits over honest work, know this: an undercover officer could be your next customer. Fraud isn’t worth your freedom.”

According to FBI statistics on non-health care insurance fraud, the average U.S. family pays between $400 and $700 per year in the form of increased premiums due to fraud.

The Organized Auto Insurance Fraud Task Force is composed of investigators from the Santa Clara County District Attorney’s Office, the California Highway Patrol, and the California Department of Insurance.

Last May, the task force set up an undercover operation to find body shops engaging in insurance fraud and encouraging customers who brought their damaged vehicles in for repair to also engage in insurance fraud. Among others, this operation targeted Escobar’s body shop, located on Barnard Avenue in San Jose.

The task force used a Toyota Camry in the operation supplied by the National Insurance Crime Bureau. Though the car only had a dent above the front wheel fender, Escobar encouraged the undercover officer to tell the insurance company that there was more than $3,000 in damages to the vehicle.

Escobar submitted the vehicle estimate of repairs to Mercury Insurance.

LC 3365.4 Barred Fatally Injured School Volunteer Survivors’ Lawsuit

Dublin Unified School District (DUSD) held a distribution event on March 24, 2021 at one of its middle schools for the “Farmers to Families Food Box Program,” which provided fresh food to families negatively affected by the COVID-19 pandemic. Catherine Kuo volunteered at this event.

While she was loading a food box into the rear of one vehicle, another vehicle entered the parking lot and pulled up behind. A DUSD employee approached the second car and instructed the driver to open the rear hatch of the vehicle so he could load a food box into the rear cargo area of that vehicle. The driver suddenly drove forward, crushing Kuo between the two vehicles. Kuo was transported to a medical center and died later that day.

Kuo’s family members and estate filed a complaint against DUSD asserting negligence and premises liability causes of action. The complaint alleged that DUSD was negligent by failing to implement basic safety protocols at the event, failing to communicate safety protocols to volunteers and others, and failing to train and/or supervise employees who were organizing and coordinating the event. It also alleged that DUSD had created a dangerous condition of public property by failing to implement such safety protocols.

DUSD moved for summary judgment, arguing that Labor Code section 3364.5 barred plaintiffs’ claims. Section 3364.5 is part of the Workers’ Compensation Act (§ 3201 et seq.). It provides that “a volunteer, unsalaried person authorized by the governing board of a school district or the county superintendent of schools to perform volunteer services for the school district or the county superintendent shall, upon the adoption of a resolution of the governing board of the school district or the county board of education so declaring, be deemed an employee of the district or the county superintendent for the purposes of this division and shall be entitled to the workmen’s compensation benefits provided by this division for any injury sustained by him while engaged in the performance of any service under the direction and control of the governing board of the school district or the county superintendent.” (§ 3364.5.)

In support of its motion, DUSD submitted Resolution 2011/12-30 (Resolution) passed and adopted by its board of trustees in 2012. DUSD also submitted the memorandum of coverage from the Protected Insurance Program for Schools applicable to the time period of the March 24, 2021 incident.

The trial court granted DUSD’s motion for summary judgment. It determined that death “falls into the category of an injury according to its plain meaning.” And while finding no ambiguity in the term, the court noted that the legislative history of the statute – evidencing an intent to provide school volunteers with the same protection as employees – supported this reading. The court concluded that section 3364.5 defeated its jurisdiction. Judgment was entered in favor of DUSD and against plaintiffs.

The Court of Appeal affirmed the summary judgment in the published case of Kuo v. Dublin Unified School Dist – A169912 (March 2025).

This appeal presented two questions of statutory interpretation: whether the term “any injury” covers fatal injuries like the one Kuo sustained here, and whether DUSD volunteers were “deemed” employees under section 3364.5.

The Court of Appeal wrote “Section 3364.5 provides entitlement to workers’ compensation for “any injury” sustained by a school volunteer while engaged in the performance of service. We conclude that fatal injuries unambiguously fall into the category of “any injury” according to its plain meaning.”

Plaintiffs argue that DUSD volunteers were not “deemed” employees under section 3364.5 for two reasons: (1) DUSD’s Resolution did not use the term “deemed,” and (2) DUSD did not treat its volunteers as employees. The Court of Appeal wrote “Neither is persuasive.”

“Nothing in the statute supports plaintiffs’ position that a resolution must explicitly use the word “deemed” to trigger section 3364.5. Section 3364.5 requires only that the governing board adopt a resolution “so declaring.” DUSD did exactly that, adopting a resolution stating, “in accordance with Section 3364.5 of the Labor Code, volunteers shall be entitled to Workers’ Compensation benefits for any injury sustained by him/her while in the performance of any service under the direction and control of the District Superintendent.” We do not read into the statute any additional requirement to use magic words, as such an interpretation would defy section 3202’s command that the WCA be liberally construed.”

Three Face Charges for Fraudulent LA Wildfire Benefit Claims

Three defendants have been charged in recent days with fraudulently seeking federal disaster relief funds by falsely claiming their properties were damaged by the Eaton and Palisades wildfires when in fact they did not have an interest in the affected property or the property was not affected by either fire, the Justice Department announced today. The three defendants – two in Southern California and one in Texas – were arrested this week after being charged with defrauding the Federal Emergency Management Agency.

The allegedly false claims were made in the wake of the Eaton and Palisades fires that started on January 7. Together, the wildfires burned nearly 60,000 acres, destroyed more than 16,000 structures, and resulted in the deaths of 29 people. As a result, the President approved a Major Disaster Declaration, which prompted FEMA to develop a program to provide financial assistance to fire victims.

FEMA offered various forms of relief, a one-time payment of $750, up to $43,600 for “other needs” assistance, and housing assistance for up to 18 months. Homeowners are also potentially eligible for additional relief of up to $43,600 for home repair.

The fraud alleged in the three cases include payment of “other needs assistance” based on false claims of damage to personal property, lost vehicles, and medical and relocation expenses.

Joyce Turner, 55, of Rosharon, Texas, was arrested Tuesday after being charged Friday in a criminal complaint with fraud in connection with major disaster or emergency benefits.

Turner allegedly submitted an application claiming her home had been destroyed in the Eaton fire, but she appears never to have lived in California and in fact had no connection to the address she claimed was destroyed in the fire. Instead, she allegedly forged a lease making it look like she lived there, and she received more than $25,000 from FEMA because of the fraudulent submissions.

“Turner submitted at least ten other applications to FEMA for disaster relief (so eleven total) related to seven other federally declared disasters, e.g., Hurricane Katrina (2005), Hurricane Ike (2008), Hurricane Isaac (2012), Hurricane Harvey (2017), and Hurricane Beryl (2024), and otherwise has a criminal history showing previous arrests and convictions for fraud offenses,” the affidavit states.

Turner is scheduled to make her initial appearance today in United States District Court in the Southern District of Texas and is expected to appear in the Central District of California in the coming weeks.

Tyrone D. Barnes Jr., 38, of Paramount, was arrested Tuesday after being named in an indictment charging him with making false claims that was returned by a federal grand jury on February 21. The indictment alleges that Barnes submitted a disaster relief claim to FEMA for an Altadena property owned by other individuals who did not know Barnes. The true owners of the property contacted FEMA about potential assistance, which is when they learned another person had already submitted an application in relation to their property.

Barnes is expected to make his initial appearance this afternoon in United States District Court in downtown Los Angeles.

Hedeshia Robertson, 36, of Lakewood, was arrested on Tuesday after being charged in a criminal complaint filed Monday. Robertson allegedly filed a fraudulent application for FEMA benefits on January 28, seeking benefits related to a damaged residence in the Pacific Palisades that she did not own, did not rent, and in which she did not reside or work. As a result of her fraudulent application, Robertson obtained approximately $24,899 in FEMA benefits to which she was not entitled.  At the time of her arrest, Robertson also allegedly attempted to obtain additional FEMA benefits for a purported property lease in San Francisco. She is due to make an initial appearance in court this afternoon.

The charge of fraud in connection with major disaster or emergency benefits carries a statutory maximum sentence of 30 years in federal prison. The charge of false, fictitious, or fraudulent claim against the United States carries a statutory maximum sentence of five years in federal prison.