Beckemeyer v. Gelco Corporation

CourtDistrict Court, S.D. Ohio
DecidedJanuary 31, 2020
Docket1:17-cv-00695
StatusUnknown

This text of Beckemeyer v. Gelco Corporation (Beckemeyer v. Gelco Corporation) is published on Counsel Stack Legal Research, covering District Court, S.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Beckemeyer v. Gelco Corporation, (S.D. Ohio 2020).

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF OHIO WESTERN DIVISION

Melanie Beckemeyer,

Plaintiff,

v. Case No. 1:17cv695

Gelco Corporation, Judge Michael R. Barrett

Defendant.

OPINION & ORDER

This matter is before the Court upon Plaintiff’s Motion for Reconsideration (Doc. 38); and Defendant’s Motion to Strike Portions of Amended Complaint (Doc. 39). Also before the Court is Defendant’s Motion for Summary Judgment (Doc. 55). Related to the summary judgment motion is Defendant’s Motion for Leave to File Exhibit 5, Declaration of RoseAnn Avilez (Doc. 54); Plaintiff’s Motion to Strike Defendant’s Motion for Leave (Doc. 56); Defendant’s Motion to Strike Affidavit and Exclude Opinions and Testimony of Plaintiff's Expert Scott W. McMahon, M.D. (Doc. 65); and Motion to Exclude Plaintiff's Expert Opinions of Steven Rucker, CIH (Doc. 52). These motions have been fully briefed (Docs. 40, 42, 55, 60, 61, 63, 64, 66, 67, 68). I. BACKGROUND Plaintiff’s claims stem from a Toyota RAV4. Plaintiff claims the vehicle was contaminated with mold or some other environmental hazard which caused her to develop severe health conditions. Plaintiff’s employer, Avanir Pharmaceuticals, contracted with Defendant Gelco Corporation1 to provide Plaintiff with the vehicle. Plaintiff drove the

1Gelco Corporation is now known as Element Fleet Corporation. vehicle intermittently from May 6, 2016 through September 23, 2016. In her original complaint, Plaintiff brought claims for negligence and breach of contract. Plaintiff moved to amend her complaint in order to add factual allegations. The Court granted Plaintiff leave to amend the complaint, but only as to the negligence

claim, since amending the breach of contract claim would be futile. (Doc. 34). Plaintiff seeks reconsideration on this issue. (Doc. 38). Defendant seeks to strike portions of the Amended Complaint because according to Defendant, the Amended Complaint sets forth allegations that go beyond the scope of the leave to amend permitted by the Court. (Doc. 39). II. ANALYSIS A. Motion for Reconsideration Although a motion for reconsideration is not mentioned in the Federal Rules of Civil Procedure, it is often treated as a motion to amend judgment under Rule 59(e). McDowell v. Dynamics Corp. of America, 931 F.2d 380 (6th Cir. 1991). There are three grounds

for amending a judgment under Rule 59: “(1) a clear error of law; (2) newly discovered evidence; (3) an intervening change in controlling law; or (4) a need to prevent manifest injustice.” Leisure Caviar, LLC v. United States Fish & Wildlife Serv., 616 F.3d 612, 615 (6th Cir. 2010) (quoting Intera Corp. v. Henderson, 428 F.3d 605, 620 (6th Cir. 2005)). However, a motion made under Rule 59(e) is not an opportunity to reargue a case. Sault Ste. Marie Tribe of Chippewa Indians v. Engler, 146 F.3d 367, 374 (6th Cir. 1998) (citation omitted). The court should use its “informed discretion” in deciding whether to grant or deny a Rule 59(e) motion. Huff v. Metro. Life Ins. Co., 675 F.2d 119, 122 (6th Cir. 1982). Plaintiff asks the Court to reconsider its dismissal of her breach of contract claim based on a document which was discovered subsequent to the briefing on the Motion for Leave to Amend. Plaintiff maintains that this document, titled “Maintenance Management Addendum,” shows that Plaintiff was an intended third-party beneficiary of the contract between Avanir and Defendant. (Doc. 38-1).

Even though there is some indication that Plaintiff had possession of this document while her Motion for Leave to Amend was pending (See Doc. 40, PAGEID# 298), the Court will nevertheless reconsider its decision to deny Plaintiff leave to amend her breach of contract claim. As this Court previously explained, in Ohio, the “intent to benefit” test is used to determine whether a third party is an intended beneficiary of a contract. Huff v. FirstEnergy Corp., 130 Ohio St. 3d 196, 200, 957 N.E.2d 3, 6 (Ohio 2011). Intent is determined by looking at the language of the contract. Id. Accordingly, “for an injured third party to qualify as an intended third-party beneficiary under a written contract, the contract must indicate an intention to benefit that third party.” Id. at 8.

In ruling on Plaintiff’s Motion for Leave to Amend, the Court noted that the Master Lease Agreement between Avanir and Defendant does not indicate an intention to directly benefit Plaintiff. In the Master Lease Agreement, Avanir is referred to as the “Customer.” As part of the Agreement, Defendant agrees “to lease to Customer and Customer hereby agrees to lease from [Defendant] certain Vehicles for use in its business.” (Doc. 14-1). Under the Maintenance Management Addendum, Avanir is again referred to as the “Customer.” The Addendum states that Defendant “provides a program to minimize Customer’s vehicle operating costs, driver downtime and administrative cost associated with the payment of multiple suppliers.” (Doc. 38-1). The Addendum does little to demonstrate that Plaintiff was an intended beneficiary of the agreement between Avanir and Defendant. Any mention of a “Customer driver,” such as Plaintiff, is in the context of reducing driver downtime or administrative costs, which is a benefit to the Customer. For example, the Addendum explains that Defendant is able to lower costs because it

maintains a database of vendors who have agreed to provide services; but “[i]f a driver has an emergency in a remote location or with an inoperable vehicle, a vendor may be set up at the time of the first expected use.” The Addendum also states that Defendant “will not refer a Customer driver to a vendor about which [Defendant] has knowledge of or a reasonable basis of concern about the vendor performing defective and dangerous repairs.” The Addendum then adds: “Customer acknowledges, however, that (i) [Defendant] provides this service from a phone center in Minnesota and does not observe either the vendor's operation or any repair; (ii) although drivers/customers may provide information about problematic repairs and vendors, provision of such information is entirely voluntary and nonsystematic.”

After reviewing the above contract language, and other language in the Addendum, the Court concludes that Plaintiff was not an intended third-party beneficiary under the Master Lease Agreement; and she has no enforceable rights under the Master Lease Agreement or its Maintenance Management Addendum. Therefore, upon reconsideration, the Court concludes Plaintiff’s Amended Motion for Leave to Amend her Complaint would be futile as it relates to her claim for breach of contract. Accordingly, Plaintiff’s Motion for Reconsideration (Doc. 38) is DENIED. B. Motion to Strike Portions of Amended Complaint Defendant argues that this Court should strike the allegations in Plaintiff’s Amended Complaint which exceed the scope of the leave to amend granted by the Court. Federal Rule of Civil Procedure 12(f) provides that, on motion of a party, the court may strike from a pleading “an insufficient defense or any redundant, immaterial, impertinent, or scandalous matter.” Fed. R. Civ.P. 12(f). This Court has stricken an

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Bluebook (online)
Beckemeyer v. Gelco Corporation, Counsel Stack Legal Research, https://law.counselstack.com/opinion/beckemeyer-v-gelco-corporation-ohsd-2020.