Insurer Can Appeal No-Show Loss in Small Claims Case

Pac. Pioneer Ins. Co. v. Superior Court, No. S241057 (Jan. 30, 2020)

In a small claims case, Code of Civil Procedure § 116.710(c) permits both a defendant and his or her insurer to appeal a money judgment. But § 116.710(d) says a that defendant who failed to appear can’t appeal. Which begs the question: Can the insurer appeal if the defendant doesn’t show?

The answer is yes. The bar on appealing by defaulting defendants does not apply to their insurers. The statutory structure makes that reasonably clear. And in the event of any doubt, the legislative history explains that the point of giving insurers standing is that sometimes an insured defendant might take the moral hazard and not bother to defendant a small claims case.

Reversed.