T hi s di s pos i t i on i s notappr opr i a t e f orpubl i c a t i on and i s notpr e c e de nt * e xc e pta s pr ovi de d by N i nth C i r c ui tR ul e 36- 3.

T he pa ne l una ni m ous l yc onc l ude s thi s c a s e i s s ui t abl e f orde c i s i on ** w i tho utoral ar gu m ent . F ed. R . A pp . P . 34 (a )( 2). NOT F OR P UB L I CAT I ON UN I TE D STATE S C OU RT OF APPE ALS FOR T HE NI NTH CI RC UI T S UN S T ON E B E HA VI OR AL HE AL T H, I N C ., P l ai nt i ff

- A pp el l ee , v. AL AME DA C OU NT Y ME DI C AL CEN TER, D e f

e n d a n t - A p p e lla n t. N o. 09- 16560 D. C . No . 2 : 0 6 - c v - 0 2 6 6 4 - F C DDA D ME MOR AN DU M *

A pp ea l fr om the U ni t ed S t at es D i stri ctC ou rt f o rth e E a s te rn D is tr ic t o f C a lif o rn ia W i l l i a m B . S hubb, D i s tr i c tJ udge , P r e s i di ng S ubm i tt e d O c t obe r6, 2010 ** S a n F r a n c is c o , C a lif

o rn ia B efo re: B E E Z E R , K L E IN F E L D , an d G R A B E R , C i rcu i tJu d g es. D e f e nda ntA l a m e daC ountyM e di c a l C e nt e r( " A l a m e da " ) appe a l s f r om the e n try o f ju d g m e n t in f

av o ro f P la in tif f S u n s to n e B e h a v io r a l H e a lth , I n c ., ( " Su n s t o n e " ) f

o l l o w i n g ab e n c h tr i a l . W e a f f i rm. 

# FI LED OC T 08 2010 M OLLY C. DW Y ER, CLERK U . S. C O U R T OF APPE ALS2

R e vi e w i ng the c ontr a c tque s t i on a nd the que s t i on of l a w de novo, A P L C o. v. U K A er osol s L t d. , 58 2 F . 3d 94 7, 95 1 (9th C i r. 20 09 ), w e hol d thatthe di stri ct c o u rt c o rr e c tlyh e ld th a t n e ith e rth e c o n tr a c t n o rC a lif o rn iala w r e q u ir e d th a t a P r ogr a m M a na ge r( a l s o c a l l e d aP r ogr a m D i r e c t or ) hol d aC a l i f orni al i c e ns e . T he c ontr a c tpr ovi de d ade t a i l e d l i s tof qua l i f i c a t i ons f orP r ogr a m M a na ge r s a nd, unl i ke fo r o th er p o si t i o n s, su ch as M ed i cal D i rect o r o f O u tp at i en tP sych i atri c S erv i ces, di d n oti ncl ud e are qu i re m entthatthey hol d a C al i forni a l i ce nse. T he di s tr i c tc ourt ’ s c onc l us i on tha tS uns t one ’ s br e a c h w a s notm a t e r i a l , a nd i t s c a r e f ul a nd thor ough a na l y s i s of tha ti s s ue , c ont a i n no c l e a re rr or . S e e J us t M e d, In c. v . B yc e, 6 0 0 F .3 d 1 1 1 8 , 1 1 2 5 (9 th C ir. 2 0 1 0 ) ( "W e r ev iew th e d istrict co u rt’s f a c tu a l f in d in g s f o rc le a re rr o r ." ) ; W h itn e yI n v . C o . v . W e s tv ie w D e v . C o . 7 8 C a l. R p tr . 3 0 2 , 3 0 7 ( C t. A p p . 1 9 6 9 ) ( " W h e th e rab r e a c h is s o m a te r ia l a s to c o n s titu te c aus e f orthe i nj ur e d pa rty t o t e rm i na t e ac ontr a c ti s or di na r i l yaque s t i on f orthe tri erof fa ct . ") . A cc ordi ng l y, A l am eda’ s c ance l l at i on of the contra ctw as a m at er i al b re ac h , as th e d istrict co u rt co rr ec tl y f o u n d . W e a lso af

firm o n th e d istrict co u rt’s altern ativ e g ro u n d

— u n ch allen g ed o n ap p ea l— th at, ev en as su m in g S u n sto n e’s b r e a c h w a s m a te r ia l, A la m e d ab r e a c h e d th e im p lie d c o v e n a n t o f g o o d f a ith a n d f

a ir de a l i ng.3

E ve n a s s um i ng tha tA l a m e dapr e s e rve d i t s obj e c t i on t o the t e s t i m ony of B ig g e r s ta f

f , th e d is tr ic t c o u rt d id n o t ab u s e its d is c r e tio n in a d m ittin g h is t es t i m on y. S ee G ener al E l ec . C o. v. Joi ner, 52 2 U . S . 13 6, 14 1 (19 97 ) ( ho l di ng that "ab u se o f d iscr etio n is th e p ro p erstan d ar d o f r ev iew fo r a d istrict co u rt’s evi dent i ary rul i ng s" ). T he di stri ctcourt ’ s c al cul at i on of dam ages cont ai ned n o cl ear e rr or. S ee S tep h en s v . C ity o f V ista, 9 9 4 F .2 d 6 5 0 , 6 5 5 (9 th C ir. 1 9 9 3 ) ( "T h e d istrict co u rt’s c om put a t i on of

da m a ge s i s af

i ndi ng of f a c tr e vi e w e d unde rthe c l e a r l ye rr one ous s t a nda r d. " ) . T he di s tr i c tc ourtpr ope r l yr e j e c t e d A l a m e da ’ s s pe c ul a t i on tha tthe sa l ary of are pl ac em entP rogram M anager w ou l d h ave been great erthan the sa l ary of i t s pre vi ou s P rogram M anager. T he di stri ctcourt ’ s e xcl usi on of som e overhead c os t s i n i t s c a l c ul a t i on doe s notr i s e t o the l e ve l of c l e a re rr or , pa rt i c ul a r l yi n l i ght of the court ’ s use of a val ue kn ow n t o b e hi gh for other c ost s. F i nal l y, the di stri ct court ’ s use of the ac tual i nv oi ce s i s notcl ear e rr or because of i t s c orre ct de t e rm i na t i on tha tS uns t one ’ s c onduc tdi d notc ons t i tut e am a t e r i a l br e a c h. AF F I RME D.