California Capitol Insurance Co. v. Hoehn

OneJustice is celebrating the California Supreme Court’s unanimous ruling in California Capitol Insurance Co. v. Hoehn, which makes it easier for consumers to challenge judgments entered without proper notice. The Court overruled the lower court, which had found an implied two-year limit for defendants seeking to set aside void judgments in debt collection cases, which had unfairly hindered consumers’ ability to contest unjust default judgments, often resulting from inadequate or fraudulent service. 

The decision, supported by an amicus brief filed by the Berkeley Center for Consumer Law and Economic Justice alongside OneJustice and Bay Area Legal Aid, is expected to have broad implications for debt collection cases, where a significant number of judgments are entered against consumers who were never properly served, often leading to wage garnishments or bank levies years later.