ABIRA MEDICAL LABORATORIES, LLC v. ABSOLUTE TOTAL CARE, LLC

CourtDistrict Court, D. New Jersey
DecidedMay 28, 2024
Docket3:23-cv-03560
StatusUnknown

This text of ABIRA MEDICAL LABORATORIES, LLC v. ABSOLUTE TOTAL CARE, LLC (ABIRA MEDICAL LABORATORIES, LLC v. ABSOLUTE TOTAL CARE, LLC) is published on Counsel Stack Legal Research, covering District Court, D. New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
ABIRA MEDICAL LABORATORIES, LLC v. ABSOLUTE TOTAL CARE, LLC, (D.N.J. 2024).

Opinion

NOT FOR PUBLICATION UNITED STATES DISTRICT COURT DISTRICT OF NEW JERSEY

ABIRA MEDICAL LABORATORIES, LLC d/b/a GENESIS DIAGNOSTICS, Plaintiff, Civil Action No. 23-03560 (GC) (TJB) Vv. OPINION ABSOLUTE TOTAL CARE, LLC d/b/a ABSOLUTE TOTAL CARE, et al., Defendants.

CASTNER, U.S.D.J. THIS MATTER comes before the Court upon Defendant Absolute Total Care’s! Motion to Dismiss for lack of personal jurisdiction pursuant to Federal Rule of Civil Procedure (“Rule’’) 12(b)(2) or for failure to state a claim pursuant to Rule 12(b)(6) as well as for an award of attorney’s fees pursuant to 28 U.S.C. § 1927. (ECF No. 25.) Plaintiff opposed, and Defendant replied. (ECF Nos. 33 & 34.) The Court has carefully considered the submissions and decides the matter without oral argument pursuant to Rule 78(b) and Local Civil Rule 78.1(b). For the reasons set forth below, and other good cause shown, Defendant’s motion is GRANTED in part and DENIED in part. The case is DISMISSED due to lack of personal jurisdiction.

! Defendant writes that “Absolute Total Care, Inc.” was served and is the “proper legal entity,” not “Absolute Total Care, LLC.” (ECF No. 26 at 8.) Plaintiff does not dispute this. The Court refers to Defendant as “Absolute Total Care.”

I. BACKGROUND This is one of more than forty cases that Plaintiff Abira Medical Laboratories, LLC, has filed in the United States District Court for the District of New Jersey or had removed here from the Superior Court of New Jersey since June 2023. In each of these cases, Plaintiff sues “health insurance companies, third-party administrators, health and welfare funds, or . . . self-insured employers” based on their alleged failure to pay Plaintiff “for laboratory testing of specimen, including but not limited to COVID-19 tests, which [Plaintiff] performed for the insureds/claimants.” (ECF No. 20 § 1.) Plaintiff “is a domestic limited liability company organized under the laws of the State of New Jersey.” Ud. J 11.) Several of Plaintiffs “administrators and decision-makers live in New Jersey, work in New Jersey, and run [Plaintiff's] affairs from New Jersey.” (Ud. □ 12.) Plaintiff “operated a licensed medical testing laboratory business, which provided services nationwide,” and Plaintiff “performed clinical laboratory, toxicology, pharmacy, genetics, and addiction rehabilitation testing services on specimen,” including “COVID-19 testing.” (Ud. Jf 29-31.) Defendant Absolute Total Care has its principal place of business in Columbia, South Carolina. (Ud. § 13.) Plaintiff alleges that Defendant “provides health insurance services throughout New Jersey.” (Id.) Plaintiff alleges that it submitted “claims” for laboratory testing to Defendant that “were supposed to” be paid “pursuant to Abira’s fee schedule or the insurer’s fee schedule.” (Id. JJ 40- 43.) The amount due for these “services rendered by [Plaintiff] to . . . insureds/claimants”’ is alleged to total $153,909. (Ud. J] 9, 67-68.) Plaintiff alleges that the “dates of service for the claims underlying this action are from 2017 through 2020,” with “the vast majority of unpaid claims from 2018 and 2020.” (Ud. ¥ 44.) Plaintiff does not identify the individual insureds/claimants or how many insureds/claimants are involved in this case, the type of health

insurance plans under which the insureds/claimants were covered, or any specific provisions in any plan that entitles the insureds/claimants to benefits from Defendant. Plaintiff asserts eight causes of action against Defendant and unnamed entities/persons: Count One for breach of contract; Count Two for breach of implied covenant of good faith and fair dealing; Count Three for fraudulent misrepresentation; Count Four for negligent misrepresentation; Count Five for promissory estoppel; Count Six for equitable estoppel; Count Seven for quantum meruit/unjust enrichment; and Count Eight for violations of the Families First Coronavirus Response Act (“FFCRA”) and the Coronavirus Aid, Relief, Economic Security (“CARES”) Act. Ud. J§ 59-126.) This case was removed to this Court from the Superior Court of New Jersey, Mercer County, Law Division, based on federal question jurisdiction pursuant to 28 U.S.C. § 1331 as well as diversity jurisdiction pursuant to 28 U.S.C. § 1332. (See ECF No. 1.) On September 22, 2023, Defendant moved to dismiss the original Complaint. (ECF No. 18.) On September 29, Plaintiff the Amended Complaint, which is the operative pleading. (ECF No. 20.) The Court terminated the pending motion to dismiss and directed Defendant to respond to the Amended Complaint. (ECF No. 24.) On October 18, Defendant moved to dismiss the Amended Complaint pursuant to Rules 12(b)(2) and 12(b)(6). (ECF No. 25.) Plaintiff opposed on November 20, and Defendant replied on December 11. (ECF Nos. 33 & 34.) I. LEGAL STANDARD? Rule 12(b)(2) permits a defendant to move to dismiss a complaint for lack of personal jurisdiction. Fed. R. Civ. P. 12(b)(2). When a statute does not authorize nationwide service of

2 Because the Court determines that it lacks personal jurisdiction and does not reach the motion to dismiss for failure to state a claim, the Rule 12(b)(6) standard is not recited. See Lightfoot v. Cendant Mortg. Corp., 580 U.S. 82, 95 (2017) (“A court must have . . . power over the parties before it (personal jurisdiction) before it can resolve a case.”).

process, federal courts in New Jersey exercise personal jurisdiction to the extent permitted by New Jersey law. See Eurofins Pharma US Holdings v. BioAlliance Pharma SA, 623 F.3d 147, 155 (3d Cir. 2010) (“[A] federal district court may assert personal jurisdiction over a nonresident of the state in which the court sits to the extent authorized by the law of that state.’’). “New Jersey’s long-arm statute provides for jurisdiction coextensive with the due process requirements of the United States Constitution.” Miller Yacht Sales, Inc. v. Smith, 384 F.3d 93, 96 (3d Cir. 2004) (first citing N.J. Court Rule 4:4-4(c); and then citing Charles Gendler & Co. v. Telecom Equip. Corp., 508 A.2d 1127, 1131 (N.J. 1986)). Therefore, the key inquiry on a motion to dismiss for lack of personal jurisdiction is whether, under the Due Process Clause, “the defendant has certain minimum contacts with . .. [New Jersey] such that the maintenance of the suit does not offend traditional notions of fair play and substantial justice.” O’Connor v. Sandy Lane Hotel Co., 496 F.3d 312, 316 (3d Cir. 2007) (quoting Int’l Shoe Co. v. State of Wash., Off. of Unemployment Comp. & Placement, 326 U.S. 310, 316 (1945)). A district court can assert either general jurisdiction (.e., “all-purpose” jurisdiction) or specific jurisdiction (7.e., “case-linked” jurisdiction) over a defendant that has minimum contacts with the forum. See Bristol-Myers Squibb Co. v. Superior Ct. of California, San Francisco Cnty., 582 U.S. 255

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ABIRA MEDICAL LABORATORIES, LLC v. ABSOLUTE TOTAL CARE, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/abira-medical-laboratories-llc-v-absolute-total-care-llc-njd-2024.