Chung v. Pure Fishing, Inc.

CourtDistrict Court, E.D. New York
DecidedMarch 23, 2022
Docket1:20-cv-03983
StatusUnknown

This text of Chung v. Pure Fishing, Inc. (Chung v. Pure Fishing, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Chung v. Pure Fishing, Inc., (E.D.N.Y. 2022).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK ---------------------------------------------------------x DAVID CHUNG,

Plaintiff, MEMORANDUM AND ORDER

v. 20-CV-3983 (RPK) (CLP)

PURE FISHING, INC.,

Defendant. ---------------------------------------------------------x RACHEL P. KOVNER, United States District Judge: Plaintiff David Chung, a recreational fisherman, brings this lawsuit against defendant Pure Fishing, Inc., the maker of the “Berkley Gulp!” line of bait. See Compl. ¶¶ 3, 5, 74. Mr. Chung started using “Berkley Gulp!” around 2015. Soon afterward, he alleges, he learned that the containers in which the bait is packaged are prone to leaking. Id. ¶¶ 77-91. Nevertheless, Mr. Chung found the bait “highly effective.” Id. ¶ 75. He kept buying the product until August 2020, when he filed this lawsuit. He claims that as a result of the product’s propensity for leakage, which Pure Fishing did not disclose, the company breached express and implied warranties, violated the Magnuson-Moss Warranty Act (“MMWA”), committed fraud, made negligent misrepresentations, violated New York General Business Law (“GBL”) Sections 349 and 350 and similar consumer- protection laws of other States, and received unjust enrichment. See id. ¶¶ 111-144. Pure Fishing has moved to dismiss the complaint. For the reasons below, the motion is granted. BACKGROUND The following facts are drawn from the complaint and are assumed true for the purposes of this order. Pure Fishing makes fishing gear, including “Berkley Gulp!” artificial bait. Id. ¶¶ 2- 4. “Berkley Gulp!” contains imitation baitfish immersed in attractant liquid. Id. ¶¶ 2-8. The labeling states that it “[i]mitates the natural odor and flavor of live bait,” “[o]utfishes all other bait,” and will help customers “catch more fish.” Id. ¶¶ 24, 27. “Berkley Gulp!” is sold in resealable plastic bags and in pint-sized tubs. Id. ¶ 6. Pure Fishing warrants that the bait is “free from defects in materials or workmanship for a period of one (1) year from the date of purchase.” Id. ¶ 113.

Mr. Chung was introduced to “Berkley Gulp!” in 2015. Id. ¶ 75. He “immediately found it to be highly effective.” Ibid. But he “soon discovered” the product had flaws. Id. ¶ 77. From the time that “he first bought” “Berkley Gulp!,” the product’s containers sometimes leaked attractant fluid. Id. ¶ 80; see id. ¶¶ 81-93. Mr. Chung nevertheless continued to buy and use “Berkley Gulp!” until August 2020. Id. ¶ 94. That month, Mr. Chung filed this putative class action lawsuit on behalf of “[a]ll persons who purchased one or more Gulp! replicator products in the United States and its territories or possessions.” Id. ¶ 98. Mr. Chung’s claims center around the allegedly leaky containers. He alleges that Pure Fishing breached express and implied warranties and violated the MMWA through its sales of the product. Id. ¶¶ 124-47. He also alleges that Pure Fishing committed fraud,

made negligent misrepresentations, and violated the consumer-protection provisions in Sections 349 and 350 of the New York GBL by failing to disclose the leakage problem. Id. ¶¶ 148-60, 169- 70. Finally, he alleges that the company received unjust enrichment from sales of the bait. Id. ¶¶ 161-68. Pure Fishing has moved to dismiss the complaint. See Dkt. # 16. STANDARD OF REVIEW Federal Rule of Civil Procedure 12(b)(6) directs a court to dismiss a complaint that “fail[s] to state a claim upon which relief can be granted.” To survive a motion to dismiss, a complaint must “state a claim to relief that is plausible on its face.” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009). The facial “plausibility standard is not akin to a probability requirement,” but it requires a plaintiff to allege sufficient facts to allow “the court to draw the reasonable inference that the defendant is liable for the misconduct alleged.” Ibid. (quotations omitted) (citing Bell Atl. Corp. v. Twombly, 550 U.S. 544, 556-57 (2007)). “A well-pleaded complaint may proceed even if it

strikes a savvy judge that actual proof [of the facts alleged] is improbable, and that a recovery is very remote and unlikely.” Twombly, 550 U.S. at 556 (quotations omitted). When reviewing the complaint on a motion to dismiss, the court must accept all facts alleged in a complaint as true. Iqbal, 556 U.S. at 678. The court, however, is not obligated to adopt “mere conclusory statements” or “threadbare recitals of the elements of a cause of action” that are not “supported by factual allegations.” Id. at 678-79. DISCUSSION For the reasons that follow, Mr. Chung’s claims for violation of Sections 349 and 350 of New York’s GBL, breach of express and implied warranties, fraud, negligent misrepresentation, and unjust enrichment are dismissed.

I. Mr. Chung Has Failed to State a Claim for Violations of New York’s General Business Law. Mr. Chung has failed to adequately plead a violation, within the statute of limitations, of Sections 349 and 350 of New York’s GBL. “To successfully assert a claim under either section, a plaintiff must allege that a defendant has engaged in (1) consumer-oriented conduct that is (2) materially misleading and that (3) plaintiff suffered injury as a result of the allegedly deceptive act or practice.” Orlander v. Staples, Inc., 802 F.3d 289, 300 (2d. Cir. 2015). A claim under these sections accrues when a plaintiff is injured. See Corsello v. Verizon New York, Inc., 967 N.E.2d 1177, 1185 (N.Y. 2012). The statute of limitations ends three years from the date on which the claim accrues. Atik v. Welch Foods, Inc., No. 15-CV-5405 (MKB), 2016 WL 11480151, at *7 (E.D.N.Y. Aug. 5, 2016). Accordingly, Mr. Chung may only bring claims under these sections for violations in the three years between August 2017 and August 2020, when the complaint was filed. Mr. Chung errs in contending that the continuing violations doctrine permits him to bring claims based on purchases going as far back as 2015, when he first bought the product. Pl.’s Mem.

of L. in Opp’n 5-7 (Dkt. # 17) (“Pl.’s Opp’n”). That doctrine applies only to claims that are “composed of a series of separate acts that collectively constitute one unlawful [] practice.” Washington v. Cty. of Rockland, 373 F.3d 310, 318 (2d Cir. 2004). That is, it applies only “to claims that by their nature accrue only after the plaintiff has been subjected to some threshold amount of mistreatment.” Gonzalez v. Hasty, 802 F.3d 212, 220 (2d Cir. 2015) (citing Nat’l R.R. Passenger Corp. v. Morgan, 536 U.S. 101, 111 (2002)). In contrast, it does not apply to “discrete unlawful acts, even where these acts are part of a serial violation.” Ibid. As Mr. Chung’s counsel acknowledged at oral argument, Mr. Chung is not pressing the type of claim that accrues only after a plaintiff has been subjected to some threshold amount of mistreatment. The continuing violations doctrine, therefore, does not apply.

Mr. Chung has failed to adequately plead that Pure Fishing violated Sections 349 and 350 within the statute of limitations, because he has not plausibly alleged that Pure Fishing engaged in deceptive conduct that caused him injury in the past three years. While Sections 349 and 350 “do[] not require proof of justifiable reliance,” Oswego Laborers’ Loc. 214 Pension Fund v.

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

Related

NetJets Aviation, Inc. v. LHC COMMUNICATIONS, LLC
537 F.3d 168 (Second Circuit, 2008)
Merrill Lynch & Co. Inc. v. Allegheny Energy, Inc.
500 F.3d 171 (Second Circuit, 2007)
Lewis v. Casey
518 U.S. 343 (Supreme Court, 1996)
National Railroad Passenger Corporation v. Morgan
536 U.S. 101 (Supreme Court, 2002)
Bell Atlantic Corp. v. Twombly
550 U.S. 544 (Supreme Court, 2007)
Ashcroft v. Iqbal
556 U.S. 662 (Supreme Court, 2009)
In Re Time Warner Inc. Securities Litigation
9 F.3d 259 (Second Circuit, 1993)
Anschutz Corp. v. Merrill Lynch & Co.
690 F.3d 98 (Second Circuit, 2012)
Oswego Laborers' Local 214 Pension Fund v. Marine Midland Bank, N. A.
647 N.E.2d 741 (New York Court of Appeals, 1995)
Blue Cross & Blue Shield of New Jersey, Inc. v. Philip Morris USA Inc.
818 N.E.2d 1140 (New York Court of Appeals, 2004)
Kimmell v. Schaefer
675 N.E.2d 450 (New York Court of Appeals, 1996)
Corsello v. Verizon New York, Inc.
967 N.E.2d 1177 (New York Court of Appeals, 2012)
Orlander v. Staples, Inc.
802 F.3d 289 (Second Circuit, 2015)
Loreley v. Wells Fargo
13 F.4th 247 (Second Circuit, 2021)
Mandarin Trading Ltd. v. Wildenstein
944 N.E.2d 1104 (New York Court of Appeals, 2011)

Cite This Page — Counsel Stack

Bluebook (online)
Chung v. Pure Fishing, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/chung-v-pure-fishing-inc-nyed-2022.