Atabek & Co. (“A&Co.”) recently secured an important win in Desano Pizza Bakery, LLC v. Casillas, pending in Los Angeles County Superior Court. The court overruled a demurrer (a type of motion to dismiss) filed by a group of defendants, allowing A&Co.’s case—brought on behalf of the State of California—to move forward.
The lawsuit alleges that a disability rights law firm and its attorneys knowingly and repeatedly failed to pay mandatory filing fees owed to the State of California. Under state law, plaintiffs or attorneys who file more than 10 construction-related accessibility lawsuits in a year must pay an extra $1,000 fee for each additional case. A&Co.’s investigation uncovered over 1,200 lawsuits filed without payment of these required fees—representing more than $1.1 million in unpaid obligations to the State.
In their motion to dismiss, the defendants argued that the “high-frequency litigant” fee did not apply to their website-based accessibility lawsuits. The court rejected that argument, holding that California law—when read alongside the Americans with Disabilities Act (ADA)—does apply to websites connected to physical public accommodations, like restaurants or stores. The judge found the complaint detailed and well-supported, ruling that it adequately alleged knowing and repeated violations of the California False Claims Act.
With the demurrer defeated, A&Co.’s case will now proceed to discovery and trial preparation. The firm continues to represent the State of California in seeking to recover treble damages, civil penalties, and attorneys’ fees for the alleged fraudulent nonpayment.
Like all of A&Co.’s work, this was a team effort. Nyja Prior, Shirin Ehyaei, and Evan Powers were instrumental in the development of the legal theories and arguments and executing thereon. The work product and result are representative of the standard A&Co. sets for litigation.