Adaeze Nwanonyiri v. Sprouts Farmers Market, Inc., John Does 1-10

District Court, S.D. California·Decided January 7, 2026·No. 3:25-cv-01081·Unknown

Opinion

Case No.: 25cv1081 DMS (DDL) ADAEZE NWANONYIRI,

Plaintiff, ORDER GRANTING IN PART AND v. DENYING IN PART DEFENDANT’S MOTION TO DISMISS FIRST AMENDED COMPLAINT AND JOHN DOES 1-10, GRANTING MOTION TO STRIKE Defendants. PUNITIVE DAMAGES

This case comes before the Court on Defendant Henry’s Holdings, LLC, dba Sprouts Farmers Market’s (“Defendant” or “Henry’s”) motions to dismiss Plaintiff’s First Amended Complaint (“FAC”) and strike punitive damages. Plaintiff filed an omnibus opposition, and Defendant filed a reply. The matter is fully briefed and submitted. Plaintiff, an African-American woman, brings seven claims against Henry’s for discrimination based on race that occurred during four separate incidents from October 21 to December 4, 2024, while she shopped at a Sprouts Farmers Market in Carlsbad, San Diego County. Specifically, Plaintiff alleges claims for: (1) Violation of the Unruh Civil Rights Act (Cal. Civ. Code §§ 51, et seq.) (“Unruh Act”); (2) Violation of 42 U.S.C. § 1981 (Race Discrimination in Contracts): (3) Violation of California’s Bane Act (Cal. Civ. Code § 52.1); (4) Negligent Supervision and Retention; (5) Intentional Infliction of Emotional Distress (“IIED”); (6) Negligent Infliction of Emotional Distress (“NIED”); and (7) Declaratory and Injunctive Relief. For the reasons set forth below, the Court grants Defendant’s motion to dismiss as to all claims except the Unruh Act and NIED claims and strikes Plaintiff’s punitive damages allegations. I. Legal Standard.

In deciding a motion to dismiss under Federal Rule of Procedure 12(b)(6), the Court is mindful of Ashcroft v. Iqbal, 556 U.S. 662 (2009), and Bell Atlantic Corp. v. Twombly, 550 U.S. 544 (2007), where the Supreme Court established a more stringent standard of review for 12(b)(6) motions. To survive a motion to dismiss under this standard, “a complaint must contain sufficient factual matter, accepted as true, to ‘state a claim to relief that is plausible on its face.’” Iqbal, 556 U.S. at 678 (citing Twombly, 550 U.S. at 570). Under these authorities, the Court must view the allegations of the complaint in the light most favorable to Plaintiff, consider allegations of the complaint as true, and accept all reasonable inferences—though the Court is “not required to indulge in unwarranted inferences.” Doe I v. Wal-Mart Stores, Inc., 572 F.3d 677, 681 (9th Cir. 2009) (citation omitted). And while detailed factual allegations are not required under Rule 8(a)(2), “[t]hreadbare recitals of the elements of a cause of action, supported by mere conclusory statements, do not suffice.” Iqbal, 556 U.S. at 678 (citation omitted). Plaintiff’s claims must contain sufficient factual detail to allow the Court to reasonably infer that each named defendant is liable for the misconduct alleged. Iqbal, 556 U.S. at 678. Pursuant to Rule 12(f), a court “may order stricken from any pleading…any redundant, immaterial, impertinent or scandalous matter.” This rule allows the parties and the court to “avoid the expenditure of time and money that must arise from litigating spurious issues by dispensing those issues prior to trial.” Fed. R. Civ. P. 12(f). Determination of whether to apply a federal or state law to a pendent state claim in federal court depends upon classification of the state law as procedural or substantive. Jackson v. E. Bay Hosp., 980 F. Supp. 1341, 1353 (N.D. Cal. 1997). The court considers California Civil Code section 3294 to be substantive law, as it establishes a right to recover punitive damages, and lists the essential elements, rather than laying out a procedural requirement. Id. Although the court applies the substantive law embodied in section 3294 “‘determinations regarding the adequacy of pleadings are governed by the Federal Rules of Civil Procedure.’” Id. (citations omitted). Pursuant to those rules, “a pleading need only ‘contain ... a short and plain statement of the claim showing that the pleader is entitled to relief and ... a demand for judgment for the relief the pleader seeks.” Fed. R. Civ. P. 8(a). Therefore, despite section 3294’s specific requirement that a pleading allege oppression, fraud or malice, these ‘may be averred generally.’” Id. at 1353-54 (citing Fed. R. Civ. P. 9(b)). II. FAC Allegations. The FAC asserts that Defendant’s employees engaged in discriminatory conduct towards Plaintiff during her visits to Defendant’s Carlsbad store on October 21, November 13 and 20, and December 4, 2024. Plaintiff alleges on October 21, while using the self- checkout to scan her groceries, she “was unexpectedly stopped by store manager, Dawn (Caucasian female), who positioned herself next to Plaintiff and prevented her from continuing[,]” stating: “You cannot scan those items that way. That is not how we do it here. We need to make sure that you pay.” (FAC at 3.) Plaintiff compares this to “other shoppers (including a Caucasian customer nearby)” who “used the same scanning method without interference.” (Id.) “The only apparent difference between Plaintiff and the other customer was race.” (Id.) The FAC next identifies an occasion on November 13, where store manager Dawn “immediately began tailing” Plaintiff but not her Caucasian husband Lenny Rosenberg. (Id.) “Shortly thereafter, Dawn entered the store’s back office and made intercom announcements that were: “‘[unintelligible] office, [unintelligible] office[,]’” but assumes they were “security alerts.” At the checkout, Plaintiff was not confronted “seemingly due to the presence of her Caucasian husband.” Plaintiff alleges this incident demonstrates “selective targeting” of her, thus “reinforcing the discriminatory nature of the incident.” (Id. at 4.) In another instance on November 20, Plaintiff alleges that soon after she entered the store, manager Dawn entered the back office and made an intercom announcement, stating “‘[unintelligible] office, [unintelligible] office.’” (Id.) Another store manager “Riley (Caucasian male)[,]” then approached Plaintiff at the self-checkout and told her: “You cannot use your phone to record, or you will have to leave. I am going to call the police.” (Id.) Plaintiff contrasts this with her observation that “another Defendant employee (a Caucasian woman) freely and publicly recorded the check-out interaction … [but] faced no intervention, admonishment, or threat of police involvement” (Id.) Plaintiff alleges this incident demonstrates “selective enforcement of what appeared to be an unwritten or inconsistently applied policy[,]” indicative of “the discriminatory treatment Plaintiff endured.” (Id.) Finally, Plaintiff alleges on December 4, after she began scanning items at the self- checkout, “an announcement came over the store intercom stating, “‘Antonio 115, Antonio 115,’” and that after completing her purchase she was “closely monitored” and “followed” by an “unidentified female employee[,]” which Plaintiff alleges was a “baseless and overt act of intimidation” demonstrating a continued pattern of “racial profiling and unnecessary security alerts whenever Plaintiff was present.” (Id.) Plaintiff characterizes the four incidents above as “obs

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Adaeze Nwanonyiri v. Sprouts Farmers Market, Inc., John Does 1-10, (S.D. Cal. 2026).

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