Card v. Ralph Lauren Corporation

CourtDistrict Court, N.D. California
DecidedSeptember 27, 2021
Docket3:18-cv-02553
StatusUnknown

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

Bluebook
Card v. Ralph Lauren Corporation, (N.D. Cal. 2021).

Opinion

1 2 3 4 5 UNITED STATES DISTRICT COURT 6 NORTHERN DISTRICT OF CALIFORNIA 7 8 VICTORIA CARD, Case No. 18-cv-02553-JSC

9 Plaintiff, ORDER RE: DEFENDANTS’ MOTION 10 v. FOR SUMMARY JUDGMENT

11 RALPH LAUREN CORPORATION, et al., Re: Dkt. No. 148 Defendants. 12

13 14 Victoria Card sues the Ralph Lauren Corporation, Ralph Lauren Company West, LLC, and 15 E.J Victor Inc (Defendants) for their May 2015 termination of a business relationship.1 16 Defendants’ motion for summary judgment is now pending before the Court. (Dkt. No. 148.2) 17 After carefully considering the parties’ briefs and the relevant legal authority, the Court concludes 18 that oral argument is unnecessary, see Civ. L.R. 7-1(b), VACATES the September 29, 2021 19 hearing date, and GRANTS the motion for summary judgment. Plaintiff has not identified 20 evidence sufficient to create a genuine dispute of fact regarding her contract-based claims or her 21 Robinson-Patman Act claim; Defendants are therefore entitled to judgment on these claims as a 22 matter of law. 23 SUMMARY JUDGMENT EVIDENCE 24 In 2007, Victoria Card “opened a full, high-end furniture store, focused more, but not 25 entirely, on [Ralph Lauren Home] RLH products” in San Francisco called Pacific Heights Place. 26 1 Both parties have consented to the jurisdiction of a magistrate judge pursuant to 28 U.S.C. § 27 636(c). (Dkt. Nos. 6 & 9.) 1 (Dkt. No. 165 at ¶ 2.) Pacific Heights Place operated as a brick and mortar store selling home 2 furnishing products such as furniture, lighting, fabrics and accessories. (Id.) Plaintiff launched an 3 accompanying website in 2008. (Id.) Plaintiff offered “extraordinary personal service” to her 4 customers including

5 (a) mixing and matching various RLH Products to suit the client’s needs and taste, (b) helping customers to furnish whole rooms, and 6 even their entire home, (c) following through against factory delays and/or furniture that was damaged or otherwise compromised on 7 arrival to the customer, and (d) securing the highest quality and efficiency white-glove delivery. 8 (Id.) 9 During this period, Ralph Lauren licensed the RLH brand and related trademarks to E.J. 10 Victor for the manufacture and sale of RLH furniture. (Dkt. No. 147-4 at ¶ 2; Dkt. No. 174-4, Ex. 11 A.) According to E.J. Victor’s Chief Creative Officer and Chairman of the Board, John Jokinen, 12 E.J. Victor did not “enter into distribution agreements or long-term contracts with resellers or 13 customers. Rather, each purchase order gives rise to a transaction-specific contract for particular 14 items of furniture. Upon acceptance of a purchase order, E.J. Victor manufactures and ships the 15 item(s) to the reseller, which pays for and sells the item to the reseller’s customer.” (Dkt. No. 174- 16 4 at ¶ 2.) Under their business model, “[d]efendants can stop accepting new furniture orders from 17 a reseller at any time, for any reason, or no reason. Similarly, resellers can stop placing new orders 18 for furniture at any time, for any reason, or no reason.” (Id. at ¶ 3.) 19 Plaintiff had a reseller account with Defendants from 2007 to 2015 and purchased several 20 thousands of dollars—according to Plaintiff, a half a million dollars—in merchandise from 21 Defendants over those years. (Dkt. No. 148-1, Card Depo. at 251:2-3.) Plaintiff’s account was a 22 full-price, rather than off-price account. (Dkt. No. 148-1, Colgan Depo. at 25:5-9.) Full-price 23 accounts, such as Plaintiff’s, were only allowed to sell at discounts greater than 30 percent off the 24 Manufacturer’s Suggested Retail Price (MSRP) with prior authorization from Defendants and 25 such requests were considered on a case-by-case basis. (Dkt. No. 147-4 at ¶ 4.) Defendants’ 26 witnesses testified that during the period in question, it only had two off-price accounts: One 27 Kings Lane and TJX Companies, which were “used specifically to liquidate excess inventory.” 1 (Dkt. No. 147-4 at ¶ 5; Dkt. No. 148-1, Coglan Depo. at 24:6-14.) 2 In November 2013, Plaintiff received an email from Carly Conelli at Ralph Lauren 3 notifying her that “your account is not approved and we can no longer take any new order[s] from 4 you.” (Dkt. No. 166-10 at 4.) In response to Plaintiff’s email objecting to her account closure, Ian 5 Sears, the President of RLH, emailed Plaintiff stating, in part, that Plaintiff had previously been 6 notified that “the online sale of Ralph Lauren Home products by Pacific Heights Place on its 7 website has not been authorized by our company” and although Plaintiff was provided with the 8 “formal application for authorization of online sales,” Plaintiff did not submit such an application. 9 Because her unauthorized online sale of products had continued despite the lack of authorization, 10 “Ralph Lauren Home and its licensees will be discontinuing sales of Ralph Lauren Home products 11 to Pacific Heights Place.” (Dkt. No. 167-1.) Plaintiff responded that she had never received a 12 formal application, she was unaware of the issues, and she sought Mr. Sear’s assistance in “getting 13 my account back on track.” (Dkt. No. 167-2.) Mr. Sears responded the following day offering to 14 “defer the discontinuation of [Plaintiff’s] account pending [her] completion of [their] account 15 application process.” (Dkt. No. 167-3.) After “a months-long” “cooperative effort” to re-do her 16 website and despite “great praise,” Plaintiff was notified on May 8, 2015, that Defendants had “re- 17 evaluated its wholesale and ecommerce network” and terminated “the status of Pacific Heights 18 Place as an authorized Ralph Lauren Home dealer.” (Dkt. No. 165 at ¶ 13; Dkt. No. 171-4.) 19 PROCEDURAL BACKGROUND 20 In May 2017, two years after Ralph Lauren terminated the parties’ relationship, Plaintiff 21 sued Defendants in San Francisco Superior Court. (Dkt. No. 1-1.) Plaintiff alleged 11 claims for 22 relief: (1) breach of implied contract. (2) promises without intent to perform, (3) intentional 23 misrepresentation, (4) breach of the covenant of good faith and fair dealing, (5) violation of 24 fiduciary obligations, (6) intentional wrongdoing in violation of California Civil Code § 1708, (7) 25 intentional infliction of emotional distress, (8) discrimination in violation of the Unruh Act, (9) 26 violation of California Business and Professions Code § 17200, (10) violation of the Robinson- 27 Patman Act, and (11) RICO. Defendants removed the action to this Court based on diversity and 1 Over the next year and a half, there were several rounds of motion practice regarding the 2 sufficiency of the complaint. (Dkt. Nos. 32, 39, 47, 49, 58, 67.) Ultimately, on January 21, 2020, 3 the Court granted in part and denied in part Defendants’ motion to dismiss, allowing Plaintiff’s 4 contract-based claims to proceed and granting Plaintiff leave to amend her Robinson-Patman Act 5 claim (and the derivative Section 17200 claim). The Court dismissed the remaining claims with 6 prejudice. (Dkt. No. 87.) Plaintiff then filed her now-operative Fourth Amended Complaint. 7 (Dkt. No. 89.) 8 The parties thereafter sought and obtained several extensions of the case schedule. (Dkt. 9 Nos. 98, 110.) A week before the close of fact discovery, Plaintiff moved to extend the expert 10 discovery cut-off because she had not served any deposition notices prior to the deadline to do so. 11 (Dkt. Nos. 125, 135.) The Court granted the motion in part, allowing Plaintiff’s untimely Rule 12 30(b)(6) deposition to proceed, but no other depositions. (Dkt. No. 135.) 13 On July 29, 2021, Defendants filed the now pending motion for summary judgment. (Dkt. 14 No. 148.) After receiving multiple extensions of time to submit her opposition to Defendants’ 15 motion for summary judgment, Plaintiff submitted her opposition brief late, allegedly due to a 16 plumbing emergency and computer malfunction.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Tomaiolo v. Mallinoff
281 F.3d 1 (First Circuit, 2002)
M. D. Rutledge v. Electric Hose & Rubber Company
511 F.2d 668 (Ninth Circuit, 1975)
Ladas v. California State Automobile Ass'n
19 Cal. App. 4th 761 (California Court of Appeal, 1993)
Weddington Productions, Inc. v. Flick
60 Cal. App. 4th 793 (California Court of Appeal, 1998)
Racine & Laramie, Ltd. v. Department of Parks & Recreation
11 Cal. App. 4th 1026 (California Court of Appeal, 1992)
Golden West Baseball Co. v. City of Anaheim
25 Cal. App. 4th 11 (California Court of Appeal, 1994)
Yari v. PRODUCERS GUILD OF AMERICA, INC.
73 Cal. Rptr. 3d 803 (California Court of Appeal, 2008)
Rutherford Holdings, LLC v. Plaza Del Rey
223 Cal. App. 4th 221 (California Court of Appeal, 2014)
Plastic-View International, Inc. v. Eastman Chemical Co.
706 F. App'x 375 (Ninth Circuit, 2017)
Basile v. California Packing Corp.
25 F.2d 576 (Ninth Circuit, 1928)
Keenan v. Allan
91 F.3d 1275 (Ninth Circuit, 1996)

Cite This Page — Counsel Stack

Bluebook (online)
Card v. Ralph Lauren Corporation, Counsel Stack Legal Research, https://law.counselstack.com/opinion/card-v-ralph-lauren-corporation-cand-2021.