On May 15, 2019 the Ninth Circuit Court of Appeals affirmed a Bankruptcy Appellate Panel decision affirming a Judgment obtained by Spillane Law Group for California Farms Investors, LLC for securities fraud.

Jay Spillane tried the underlying action, California Farms Investors, LLC v. James Roberts, in the United States Bankruptcy Court for the Central District of California.  The defendant promoted an organic lettuce venture through false and misleading statements and without disclosing that the venture was not growing its own lettuce.  California Farms Investors invested $825,000 in the form of secured notes.  The venture purchased lettuce from vendors with rights under the Perishable Agricultural Commodities Act (“PACA”), including the right to hold insiders of entities purchasing agricultural product personally liable for the purchases.  read more

Trying cases is a lost art in the business world.  Supposedly 95% of business cases settle prior to trial.  That may be so, because I consider 95% of my business law colleagues to be litigators, not trial lawyers: those who exclusively use pleadings, discovery and motions to posture a case for settlement and who have little to no trial experience. 

If a reasonable settlement can be achieved, I advise my clients to take it.  Trying cases is expensive and uncertain.  But if you’re not eager and able to try the case if necessary, how are you going to get the best settlements?  read more

“Mini-opening statements,” or short opening statements to potential jurors before jury selection (“voir dire”), are a little understood but critical aspect of trial practice.

Parties are often required to submit joint materials before the pretrial conference including a short statement of the case.  See LASC LR 3.25(f)(1).  As a stipulated document, though, it will be sanitized to the point of revealing little about the case other than identification of the parties and claims.  On the day of jury selection, a “panel” or “venire” (“to come,” from the jury summons) of thirty to forty potential jurors will enter the courtroom and sit in the gallery.  read more

Trial attorneys have at most four opportunities to speak to a jury: 1) a brief opening statement prior to jury selection (state only and on request); 2) jury selection, or “voir dire” (“to see one say”); 3) opening statement; and 4) closing argument.  The first two are before the jury is selected, and only in the second, jury selection, is one permitted to ask potential jurors questions and hear their answers.  This golden opportunity should not be squandered through ill preparation.

In federal civil practice the judge retains tight control over voir dire and need not allow attorneys to ask questions.  read more