At approximately 4 p.m. on Saturday, April 14, 2012, plaintiff Yu Ming Liu, 35, a software engineer, was in the process of teaching his son, Caltong Liu, 4, how to ride his bicycle on the sidewalk of Grape Avenue, near the intersection with El Camino Real and Grape Avenue, in Sunnyvale. At the same time, Nada Nrekic approached a red light at the intersection, slowed the 2012 Mustang she was operating, but did not come to stop. Instead, she accelerated into a right-hand turn, but in doing so, she lost control of the vehicle and drove across the right shoulder, onto the sidewalk, and struck both Mr. Liu and Caltong. The Mustang then continued forward and came to a stop after striking a tree, trapping both Mr. Liu and Caltong under the vehicle. Mr. Liu sustained to his left leg and Caltong sustained to his head and body. Mr. Liu and Caltong, through his guardian ad litem, sued Nrekic; the owner of the Mustang, Michael C. Walsh; and the person who gave Nrekic permission to operate the Mustang, Michael J. Walsh, the son of Michael C. Walsh. Mr. Liu and Caltong alleged that Nrekic was negligent in the operation of the Mustang. They also alleged that Michael C. Walsh negligently entrusted the vehicle to Michael J. Walsh, who, in turn, authorized Nrekic, who had a prior DUI conviction, to use the vehicle. Nrekic filed for bankruptcy during the pendency of the litigation to avoid any personal responsibility above the limits of her $25,000/$50,000 policy. The Walshes’ insurance carrier tended their $250,000/$500,000 policy limits, but initially denied the applicability of the $1 million umbrella policy, claiming that the terms of the policy limited coverage to named insureds or family members, and excluded any permissive user. Plaintiffs’ counsel contended that, during discovery, it was revealed that the reason Nrekic was driving the vehicle on the day of the accident was to run errands for Michael J. Walsh and to obtain supplies for Michael C. Walsh. In light of this discovery, plaintiffs amended their complaint to add Michael J. Walsh as a “Doe” defendant and to allege an agency relationship between Michael J. Walsh and Nrekic, thereby triggering coverage under the Walsh umbrella policy. Plaintiffs’ counsel then reset the depositions of both Nrekic and Michael J. Walsh, which confirmed the agency relationship and elaborated previous facts regarding the use of the vehicle by Nrekic on the date of the accident. Specifically, counsel contended that Nrekic rode with Michael J. Walsh to his place of employment, where Michael J. Walsh was to work for two hours, and that Nrekic’s original intention was to remain in the car until Michael J. Walsh’s work was complete. However, upon arrival at the work site, Michael J. Walsh instructed Nrekic to pick up and deliver food and beverages to Michael C. Walsh, who was hospitalized with a heart condition. Michael J. Walsh also requested that Nrekic take the vehicle to the car wash to get it washed. Plaintiffs’ counsel contended that it was just after Nrekic had the Mustang washed, and was on the way to pick up food and beverages for Michael C. Walsh, when the accident occurred. In addition, plaintiffs’ counsel obtained video footage of the incident, which was taken from a camera located at the car wash where Nrekic had the Mustang washed., Both Mr. Liu and Caltong remained pinned beneath the Mustang until paramedics and police officers arrived to extract them. Mr. Liu suffered a fracture of the left leg and multiple soft-tissue to his neck and back. He also claimed that he remained conscious while pinned under the vehicle, but that he was stuck in such a position that he could not free himself or reach his son. He claimed that as a result, he was unaware if his son had survived the collision until he arrived at the emergency room at Santa Clara Valley Medical Center, in San Jose. Thus, he claimed he suffered emotional distress as a result of the incident. Mr. Liu’s fracture did not require surgery and his soft-tissue ultimately resolved. Thus, he sought recovery of $23,000 in past medical costs (post-“Howell”) and asserted a cause of action for negligent infliction of emotional distress for having witnessed his son’s . After the accident, Caltong was remained unconscious while pinned beneath the vehicle. After being extracted, he was taken by ambulance to Santa Clara Valley Medical Center and then to Lucile Packard Children’s Hospital Stanford, in Palo Alto. Caltong suffered a traumatic brain injury precipitated by a loss of consciousness; a frontal epidural hematoma; a frontal bone fracture extending into both the ethmoid and sphenoid bones; an orbital floor fracture; a zygomatic arch fracture; mandibular fractures of the right symphysis and left ramus; a right clavicular fracture; a T1-2 spinal ligamental disruption, which attended an unusual T2 vertebral body fracture (also known as an extension or flexion teardrop fracture); a left iliac fracture; and bilateral fractures of ribs two through four on the right, and ribs three through 10 on the left. He also suffered bilateral pneumothoraces with pulmonary contusions and effusions; abrasions to the scalp, face, neck, chest, abdomen, and upper and lower extremities; hematomas of the right ear, orbit, face, and scalp; an intraoral laceration; and full thickness skin loss to his left leg, resulting in skin loss to 2 percent of his total body surface area. In addition, Caltong sustained an additional loss of 2 percent of his total body surface area based on the donor site where the skin graft had to be taken; he was found to have blood in his urine; and he went into respiratory arrest while in diagnostic imaging. Plaintiffs’ counsel contended that Caltong’s residuals included post-traumatic stress disorder, scarring, and a need for psychological/psychiatric counseling. Thus, counsel sought to have Caltong recover for his past medical costs, which exceeded $700,000 and was reduced to $420,000 for “Howell” purposes. Mr. Liu’s wife and Caltong’s mother, plaintiff Chun Hui Li, presented a derivative claim seeking recovery of damages for her loss of consortium.