Caracci v. American Honda Motor Company, Inc.

CourtDistrict Court, N.D. Illinois
DecidedMarch 27, 2024
Docket1:19-cv-02796
StatusUnknown

This text of Caracci v. American Honda Motor Company, Inc. (Caracci v. American Honda Motor Company, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Caracci v. American Honda Motor Company, Inc., (N.D. Ill. 2024).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

Jay Caracci, on behalf of ) himself and all others ) similarly situated, ) ) Plaintiffs, ) ) ) ) v. ) No. 19 C 2796 ) (Consolidated action) ) American Honda Motor Company, ) Inc., ) ) Defendant. )

Memorandum Opinion and Order

Chicago has a rat problem. Indeed, it has been named the Rattiest City in America every year for the past nine years.1 The city’s impressive rodent population makes itself known to Chicagoans in a variety of ways, ranging from the distasteful—such as when rats scurry down alleys, around garbage bins, or across the sidewalk—to the destructive,2 to the downright weird.3 Rodents

1 See Oh Rats! Chicago Tops Orkin’s Rattiest Cities List for Ninth Consecutive Year, at https://www.orkin.com/press-room/top-rodent- infested-cities-2023 (last accessed March 11, 2024). 2 Researchers from the Lincoln Park Zoo’s Chicago Rat Project note that “[r]ats can damage property by chewing pipes and wires.” See https://www.lpzoo.org/science-project/the-chicago-rat-project/. See also Sackman Report, ECF 174-51 at 6 (“Claims reported for U.S. insurance companies as far back as the 1950’s estimated that about 25% of house fires due to undetermined causes are in fact the result of rodent damage to wiring.”). have long been known to gnaw on a variety of industrial materials, including “telephone cables, wiring, plastic pipes, rubber, lead and even steel,” Sackman Report, ECF 174-51 at 6, and national newspapers have reported that “[rJodents have long ravaged automobiles[.]”4 In November of 2023, ABC News Chicago confirmed that “[r]Jats feasting on your car’s wires iS a common problem in Chicago.”° The present law suit seeks to hold the American Honda Motor Company (“Honda”) responsible for failing to inform three Chicagoland customers and a putative class of consumers that their vehicles were susceptible to rodent damage that could cause serious vehicle malfunctions. The action also challenges Honda’s failure either to repair such damage under the terms of Honda’s New Vehicle Limited Warranty (“NVLW”) or to alert consumers ex ante that such damage would not be covered by that warranty. A

3 See Emily Schmall, Jan. 13, 2024, Chicago’s Latest Attraction? A Rat-Shaped Hole, N. Y. TIMES, https://www.nytimes.com/2024/01/13/us/chicago-rat-hole.html. A photograph of the hole as published in a tweet by Chicago-based comedian and writer Winslow Dumaine, is reproduced here:

4 Ginger Adams Otis, Jan. 12, 2024, A New York Professor Wages Epic Battle Against Rats Attacking His Car, WALL STREET JOURNAL, A New York Professor Wages Epic Battle Against Rats Attacking His Car - WSJ ° Jason Knowles and Ann Pistone, Chicago rats chew through car wires, make nests under hoods; what you can do,” ABC 7, Nov. 11, 2023, https://abc7chicago.com/how-many-rats-are-in-chicago-car- wires-chewed-by-rat-baby/14040672/.

summary of plaintiffs’ allegations and the proceedings to date follows: After rodents gnawed the electrical wiring of his 2015 Honda Accord, causing its power steering to malfunction, Michael Preston filed a putative class action challenging Honda’s “decision to

switch to soy-based insulation to cover the subject vehicles’ electrical wiring” in an effort to be “more environmentally friendly[.]” Compl., Preston v. American Honda Co., No. 22 C 1777 (N.D. Ill.) (“Preston”), ECF 1 at ¶ 2. Preston alleged that Honda’s “use of soy-based material to cover electrical wiring rendered the wiring particularly susceptible to being sought out, chewed and/or eaten by rodents and other animals,” and thus “defective” in material and/or workmanship. Id. at ¶¶ 17, 1. Mr. Preston claimed that Honda’s failure to disclose his vehicle’s “soy-based wiring defect,” and its failure to disclose that damage resulting from this defect would not be covered by the NVLW violated the Illinois Consumer Fraud and Deceptive Business

Practices Act (“ICFA”), 815 ILCS 505/1 et seq. Mr. Preston also alleged that Honda’s failure to cover the rodent damage to his vehicle under the NVLW—which promises to “repair or replace any part that is defective in material or workmanship under normal use”—breached Honda’s express warranty, as well as its implied warranty that Preston’s vehicle was fit for use. Preston Compl., ECF 1. In a First Amended Complaint, Penelope Turgeon, whose 2017 Honda Civic twice malfunctioned due to successive incidents of rodent damage to its electrical wiring, joined Mr. Preston as a named plaintiff. The First Amended Complaint in Preston omitted Mr. Preston’s breach of warranty claims and asserted only a claim

under the ICFA. That complaint, which was then pending before another judge of this district, was transferred to the Central District of California, where similar cases against Honda had been filed. It was then dismissed by the California court for failure to state a claim; and while the Ninth Circuit affirmed dismissal, it remanded to allow plaintiffs to amend their complaint. Preston v. Am. Honda Motor Co., Inc., 783 F. App’x 669, 670 (9th Cir. 2019). The Central District of California then transferred the action back to this district. By that time, plaintiff Jay Caracci had filed a separate action in this district after rodents chewed through the wiring of his 2015 Honda CR-V.6 Mr. Caracci alleged that “the soy or bio-based materials used in vehicle manufacturing

today...are increasingly more vulnerable to rodent attacks,” and he claimed that Honda’s failure to disclose “the defective nature of these materials” used in his vehicle, or to cover repairs

6 As I noted in my order denying Honda’s motion to transfer this case to the Central District of California, ECF 29, the judge of that district, whose familiarity with similar cases prompted Judge Leinenweber to transfer Preston, had since died, undermining the argument that judicial resources would be conserved by transferring Mr. Caracci’s case to that district. necessitated by rodent damage under the NVLW, violated the ICFA and breached Honda’s express and implied warranties. First Am. Compl., ECF 1-1 at ¶¶ 2, 37. I consolidated the Preston and Caracci actions and allowed plaintiffs to file the now-operative Second Amended Complaint (“SAC”).

The SAC alleges, on behalf of the individuals named above and a putative class of Illinois consumers, that Honda violated the ICFA by: concealing known defects in their vehicles’ wire harnesses that made them especially vulnerable to rodent damage; failing to warrant repairs necessitated by such damage under the NVLW; and failing to warn consumers that rodent damage posed significant safety hazards. The SAC also claims that Honda breached its implied warranty of merchantability and fitness for ordinary purpose by selling cars that “include wiring that acts as food for rodents” and then failing to repair or replace the damaged wiring and component parts. Finally, it claims that Honda breached its express warranty to “repair or replace any part that

is defective in material or workmanship under normal use.” Honda has moved for summary judgment of the individual plaintiffs’ claims and to exclude the testimony of plaintiffs’ experts. Plaintiffs have moved for class certification. For the reasons explained below, I grant Honda’s summary judgment motion, rendering the remaining motions moot. I. Summary judgment is appropriate when “the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is

entitled to a judgment as a matter of law.” Fed. R. Civ. P. 56(c).

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Caracci v. American Honda Motor Company, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/caracci-v-american-honda-motor-company-inc-ilnd-2024.