Cole v. Quest Diagnostics, Inc.

CourtDistrict Court, D. New Jersey
DecidedSeptember 22, 2023
Docket2:23-cv-20647
StatusUnknown

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

Bluebook
Cole v. Quest Diagnostics, Inc., (D.N.J. 2023).

Opinion

1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 EASTERN DISTRICT OF CALIFORNIA 10 11 ANGELA COLE and BEATRICE Case No.: 1:22-cv-00892 JLT SKO ROCHE, individually and on behalf of all 12 others similarly situated, ORDER GRANTING DEFENDANT’S MOTION TO TRANSFER VENUE AND 13 Plaintiffs, TRANSFERRING THE MATTER TO THE UNITED STATES DISTRICT COURT FOR 14 v. THE DISTRICT OF NEW JERSEY 15 QUEST DIAGNOSTICS, INC., (Doc. 15) 16 Defendant. 17

18 Angela Cole and Beatrice Roche allege Quest Diagnostics Incorporated1 assisted Facebook in 19 intercepting their internet communications with Quest and improperly disclosed patient medical 20 information to Facebook. (See generally Doc. 23.) Plaintiffs assert two causes of action against Quest 21 on behalf of a putative class of Quest website users: violation of California Invasion of Privacy Act 22 and violation of California’s Confidentiality of Medical Information Act. (Id.) Quest seeks transfer of 23 the action to the United States District Court for the District of New Jersey pursuant to a binding 24 forum selection clause and 28 U.S.C. § 1404(a). (See Doc. 15.) Plaintiffs oppose the motion, asserting 25 the forum selection clause is inapplicable or, in the alternative, unenforceable. (See Doc. 24.) The 26 Court finds the matter suitable for decision without oral argument pursuant to Local Rule 230(g) and 27 28 1 Quest notes it was erroneously sued as Quest Diagnostics, Inc. (Doc. 15 at 6.) 1 General Order 618. For the reasons set forth below, Quest’s motion to transfer venue to the District of 2 New Jersey is GRANTED. 3 I. Background and Allegations 4 Plaintiffs are California residents who ordered and accessed medical diagnostic tests from 5 Quest by navigating two of its websites: www.questdiagnostics.com (“General Website”) and 6 myquest.questdiagnostics.com (“MyQuest”). (Doc. 23 at ¶¶ 1, 4-5.) Upon navigating to the General 7 Website, Plaintiffs were redirected to MyQuest to access their test results, and both created accounts 8 as required to gain such access. (Id. at ¶¶ 4-5.) Plaintiffs claim that without their consent, Quest 9 assisted Facebook, a third party, in intercepting their internet communications and medical 10 information while they navigated the websites. (See id. at ¶¶ 59, 68.) 11 Plaintiffs now assert claims against Quest, individually and on behalf of a putative California 12 class of website users, for violation of the California Invasion of Privacy Act, Cal. Penal Code § 631, 13 and the Confidentiality of Medical Information Act, Cal. Civ. Code § 56, et seq. (Doc. 23 at ¶¶ 54-73.) 14 Quest filed a motion to transfer venue to the United States District Court for the District of New Jersey 15 on November 22, 2022. (Doc. 15.)2 Plaintiffs filed an opposition on January 6, 2023, (Doc. 24), to 16 which Quest replied on January 27, 2023. (Doc. 31.) 17 II. Legal Standard 18 “[A] forum-selection clause may be enforced by a motion to transfer under § 1404(a)…” Atl. 19 Marine Const. Co. v. U.S. Dist. Ct. for W. Dist. of Texas, 571 U.S. 49, 52 (2013). In considering a 20 motion to change venue, “[t]he presence of a forum-selection clause…will be a significant factor that 21 figures centrally in the district court’s calculus.” Stewart Org. v. Ricoh Corp., 487 U.S. 22, 29 (1988) 22 (quoting Van Dusen v. Barrack, 376 U.S. 612, 622 (1964)). This is because a valid forum selection 23 clause constitutes the parties’ agreement as to the most proper forum, Atl. Marine, 571 U.S. at 63, and 24 25 2 Plaintiffs filed their complaint on July 19, 2022. (Doc. 1.) Quest filed the instant motion concurrently with a 26 motion to dismiss. (Docs. 15, 16.) As a result of the motion to dismiss, the parties stipulated to extend Plaintiffs’ time to amend the complaint, (Doc. 18), which was filed on January 6, 2023. (Doc. 23.) The Court 27 construed the parties’ stipulation as an agreement to deny as moot the motion to dismiss upon the filing of Plaintiffs’ First Amended Complaint. (Doc. 27.) Quest filed a second motion to dismiss on February 28, 2023, 28 (Doc. 34), which remains pending before the Court. None of this activity affects the motion to transfer venue apart from the FAC becoming the operative complaint. 1 the “enforcement of valid forum-selection clauses, bargained for by the parties, protects their 2 legitimate expectations and furthers vital interests of the justice system.” Stewart, 487 U.S. at 33. 3 Accordingly, when a section 1404(a) transfer motion is premised on a forum selection clause, 4 the analysis is adjusted and courts “should ordinarily transfer the case to the forum specified in that 5 clause. Only under extraordinary circumstances unrelated to the convenience of the parties should a 6 § 1404(a) motion be denied.” Atl. Marine, 571 U.S. at 62; see also Stewart, 487 U.S. at 33 7 (“[A]uthority and prerogative of the federal courts … should be exercised so that a valid forum- 8 selection clause is given controlling weight in all but the most exceptional cases.”). Finally, the 9 Supreme Court’s decision in M/S Bremen v. Zapata Off-Shore Company, 407 U.S. 1 (1972) “provides 10 guidance regarding the extraordinary circumstances in which a forum-selection clause will not 11 control,” including the presence of fraud or overreaching, public policy concerns, or grave difficulty 12 and inconvenience. Gemini Techs., Inc. v. Smith & Wesson Corp., 931 F.3d 911, 915, 917 (9th Cir. 13 2019). 14 III. Discussion and Analysis 15 Quest contends that venue in this district is improper because a forum selection clause 16 contained within the MyQuest Account Terms and Conditions—which a website user must accept to 17 create an account and access MyQuest—requires all disputes related to the use of MyQuest accounts 18 to be resolved in New Jersey. (See Doc. 15 at 11-14.) In opposition, Plaintiffs raise two arguments. 19 First, they argue the clause is inapplicable to their claims because the claims are not within the 20 clause’s scope. (See Doc. 24 at 5-8.) Second, Plaintiffs contend that even if the Court finds the clause 21 applicable, it is unenforceable because it only covers part of the claims. (Id. at 8-10.) The Court 22 addresses each argument in turn. 23 A. Plaintiffs’ claims fall within the scope of the clause 24 Before the Court can decide whether the parties’ forum selection clause should be enforced, it 25 must interpret the clause and determine its scope.3 See Manetti-Farrow, Inc. v. Gucci Am., Inc., 858 26

27 3 Another threshold question is whether the clause is mandatory or permissive. Knight v. Wata, Inc., 2022 WL 28 3574441, at *2 (C.D. Cal. July 27, 2022) (“[D]istrict courts across the country have … recognized that the analysis on a motion to transfer based on a forum-selection clause begins with whether the clause is mandatory 1 F.2d 509, 513 (9th Cir. 1988) (explaining that the enforcement of a forum selection clause “necessarily 2 entails interpretation of the clause before it can be enforced”). The rule in the Ninth Circuit is that 3 federal law applies to the interpretation of a forum selection clause. Id.; Yei A. Sun v. Advanced China 4 Healthcare, Inc., 901 F.3d 1081, 1086 (9th Cir. 2018).

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Cole v. Quest Diagnostics, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/cole-v-quest-diagnostics-inc-njd-2023.