CALSPro - California Association of Legal Support Professionals

NEW CALIFORNIA STATEWIDE CIVIL FEE SCHEDULE

Posted June 29, 2012 in Membership

Dear CALSPro Member,

Over the past two days Governor Brown signed the fiscal year 2012-2013 state budget and related “trailer bills.”  One of the trailer bills contained various increases in civil filing fees, and in the case of jury deposits, a change in the deadline for making deposits.  The following link provides a complete listing of filing fees; those which are highlighted in yellow denote changes and increases – http://courts.ca.gov/documents/fee-schedule-062712.pdf

As in the past, the changes take effect immediately, although courts will vary in how quickly they implement the new amounts.

All together, these fees are expected to raise approximately $50 million annually to support the court system.

As new information becomes available, CALSPro members will be notified.

Thank you for your support of the association.

Chad Barger
California Association of Legal Support Professionals
2520 Venture Oaks Way, Suite 150
Sacramento, CA 95833
916.239.4065 – phone
916.924.7323 – fax

Court of Appeals e-filing

Posted June 29, 2012 in Membership, Technology

The State of California, Court of Appeals, Fourth Appellate District has just begun electronic filing. On May 1, 2012 Divisions 1 (San Diego) and 2 (Riverside) began to accept electronically filed documents and Division 3 (Santa Ana) is not far behind. More details can be found at http://www.courts.ca.gov/17948.htm.

This represents a drastic change from the previous policy at the Court of Appeals where they would only accept documents with original signatures (in most cases), wanting multiple copies of documents and requiring that documents be specially bound. Although this may not be a major portion of most attorney services business, it will become a loss of some work for many attorney services. More importantly, it is a sign of things to come.

E-filing may have suffered a setback with the Judicial Council halting the statewide deployment of version 4 of CCMS which would have allowed for e-filing in all Superior Courts in California, but eventually it will be here. Court filings are a large portion of many of our members business. For anyone that is involved in the legal support industry, you need to start preparing (if you haven’t already) for how you are going to adjust your business model to compensate for e-filing. Robert J. Ringer once said “If you are prepared, then you are able to feel confident.” As members of CALSPro, we need to take the necessary steps so that we are prepared for any obstacles or changes that may come our way. We need to be flexible, adaptive and always looking towards the future so that we can have the confidence that our industry and our individual businesses will remain relevant for years to come.

Jeremiah Jones

Technology Chairman

Process Server Risk Management: Bonding vs. Insurance “PART 2”

Posted June 22, 2012 in Insurance, Membership

The following answers to frequently asked questions illuminate exactly how General Liability and E&O Insurance work to protect the personal assets of Process Servers and Process Service Agencies alike.

Do I need insurance if I have a bond?

Yes, you need insurance precisely because you do have a bond. A bond is a form of consumer protection; it protects those harmed by your actions, but it does not protect you. If a claim is paid out of your bond, your surety company will come after you for reimbursement.

However, if you have E&O Insurance, your insurance will reimburse the surety company for any claims paid on the bond resulting from the unintentional error or omission. E&O Insurance is true protection for the Process Server.

How much E&O Insurance do I need?

The answer to this question is based on each individual Server’s personal situation and assessment of personal risk. Other factors to be considered when determining how much insurance you need are how often and what types of documents you serve.

Generally speaking, E&O policy limits that provide increased protection are available at very affordable rates.

When do I pay the premium for E&O Insurance?

Yes. Most Carriers will require 25% of the pure premium, along with all tax and fee as a down payment; which is typically non-refundable. The balance can be financed over a period of up to 10 months at reasonable interest rates.

Will E&O Insurance cover me when I’m no longer a Process Server?

Yes, if you had an OCCURRENCE form policy in force at the time you committed the error or omission, then your policy will cover you even if you are no longer a Server or have terminated your insurance policy, provided the action against your policy is commenced within the applicable statute of limitations period.

Some E&O policies offered are on a “claims-made” form. This means that in order to remain covered, you must continue to purchase and hold insurance, paying for a “tail” policy well after the time you are no longer serving civil process. The minute you terminate your policy, you are no longer covered even if you had a policy at the time the act or omission was committed. The Author does NOT typically recommend Claims-Made insurance policies for Process Servers.

Are defense costs covered inside or outside of the policy limit?

With most E&O Insurance policies, defense costs are covered inside of the policy limit. This means that the total sum the insurer will cover is the stated policy limit. So, if you have a $25,000 policy, $25,000 is the most the insurer will pay for all losses related to the claim or all claims.

Is there a deductible to pay before my E&O policy kicks in?

Possibly, dependent upon the policy purchased. I write a policy that does not have any deductible requirement; meaning unlike car insurance, there is no deductible that must be satisfied before insurance pays on a claim. Unlike medical insurance, there are no co-pays to cover. The only payment you make is the policy premium to activate the policy at the beginning of the policy term.

Purchasing E&O Insurance is an important safety measure that protects you from a mistake or an outright false claim; and choosing the right coverage is the most important step. If you have questions or want more options, please give us a call at 1-855-356-0875 x1008 – H. Eric Vennes

Process Server Risk Management: Bonding vs. Insurance “PART 1”

Posted June 18, 2012 in Insurance, Membership

The following answers to frequently asked questions illuminate exactly how General Liability and E&O Insurance work to protect the personal assets of Process Servers and Process Service Agencies alike.

What is E&O Insurance?

Errors and Omissions (E&O) is an insurance policy that protects your financial assets in the event of alleged financial harm to a third party, as a result of an error or omission by the process server. Most commonly, this would occur from alleged wrongful service, missed filing deadlines, blown statute of limitations, etc.

Process Servers, like other professionals such as lawyers, accountants, architects and doctors, have an exposure to liability for the services they perform. In the case of Process Servers, state statutes uniformly affirm that a Process Server has unlimited financial liability to the public harmed by an error or omission committed by him or her; OR in the case of the use of a subcontractor, the Agency from which the service order originated.

What does E&O Insurance cover?

E&O, as the name implies, covers both errors and omissions. Generally speaking, E&O Insurance covers a mistake made by a Process Server that causes financial harm to a Defendant, Deponent or Client of the Server. A mistake can be an “error” – an act the Process Server should not have done. A mistake can also be an “omission” – an act left undone that the Process Server should have performed. Both can cause financial harm and the Notary should be protected against both.

It is important to note that E&O Insurance covers only unintentional or negligent errors and omissions; E&O Insurance will not cover intentional errors or acts.

A correctly written E&O policy will cover losses that must be paid to a party injured by the Process Servers error or omission, as well as defense costs incurred in investigating, defending or settling liability up to the policy limit.

What is my exposure to risk if I always follow the rules and never do anything wrong?

As the famous saying goes, “To err is human.” No Process Server, however diligent and well-intended, is immune from making a mistake. And, the fact that you have not made an error or omission when serving until now doesn’t mean that in the future you might not make one.

Even if you never make a mistake, parties related to the service(s) you performed may allege that you made an error or mistake that harmed them. They could still file a claim with your insurance company or name you in a lawsuit. At the end of the claim process or lawsuit you may be found to have done nothing wrong, but you may be left with defense costs and legal expenses that you incurred in representing and defending yourself in the case. E&O Insurance will cover these legal expenses, even if a claim is denied or a jury acquits you of liability.

Purchasing E&O Insurance is an important safety measure that protects you from a mistake or an outright false claim; and choosing the right coverage is the most important step. If you have questions or want more options, please give us a call at 1-855-356-0875 x1008 – H. Eric Vennes

Legislative Committee Update

Posted June 8, 2012 in Legislation, Membership

The budget battles rage on in Sacramento. Legislators still found time to introduce legislation that will affect us. A brief outline is described below.

• AB1720 – This bill will allow private investigators to have access into a gated community for the sole purpose of service of process under §CCP 415.21. The CALSPro Board of Directors voted to remain neutral on this bill.
• AB2372 – CALSPro is opposed to this bill which would allow service of process upon an attorney by a client, former client, or officer of the court by simply mailing to the address which appears on the state bar website. We are opposed to this bill because due process and proper notice are at the core of our Best Practices and we would each expect the same rights as individual citizens.
• AB2044 – CALSPro is opposed to this bill which would allow anyone over the age of 18 years to serve a Prejudgment Claim of Right to Possession. Service of a PJ is restricted to Registered Process Servers and Sheriff’s because of the potential impact it has on unidentified occupants, the complexity of identifying unidentified occupants, and the posting and mailing requirements. We do not believe it to be in the public’s best interest to allow an inexperienced person to serve a document that has so much impact on the occupants during an eviction.
• AB2364 – the Legislative Committee is continuing to monitor and review this lengthy bill which would make changes to levies, attachments, and the service of related documents. This bill would require that any financial institution having 9 or more branches designate a centralized location for service of process.
• AB2073 – This bill would expand the ability of courts to electronically file and serve documents by order and at the discretion of the presiding judge. We continue to monitor this bill and have not taken an official position as of now.
• SB1543 – CALSPro is opposed to this bill which would make numerous changes to the fees being charges by medical facilities and records management companies for the production of copies. This bill would tie future increases or decreases in fees to the Consumer Price Index. Part of this bill would eliminate copy services from being able to copy records when being obtained under a patient authorization. The bill states that only a Medical Records Management Company (contracted, in-house) can make those copies (effectively creating a monopoly). Many photocopy companies have been contacted and all agree that this bill must be opposed.

Brett Peters
Legislative Committee Chair