Creative Lifiting Services, Incorporated v. Steam Logistics, LLC (JRG2)

District Court, E.D. Tennessee·Decided August 1, 2022·No. 1:20-cv-00337·Unknown

Opinion

IN THE UNITED STATES DISTRICT COURT EASTERN DISTRICT OF TENNESSEE CHATTANOOGA DIVISION

CREATIVE LIFTING SERVICES, INC. ) ) Plaintiff, ) ) v. ) No. 1:20–CV–337 ) STEAM LOGISTICS, LLC, ) ) Defendants. )

MEMORANDUM OPINION AND ORDER

Defendant Steam Logistics, LLC previously filed a Motion for Judgment on the Pleadings. [Doc. 16]. The Court denied Defendant’s motion and instead granted Plaintiff Creative Lifting Services, Inc.’s motion for leave to amend its Complaint. [See Doc. 20]. However, the Court explained in its Order that Defendant would not be “prejudiced from filing a second motion for dismissal or judgment on the pleadings.” [Id. at 8, 9, 11, 12]. Plaintiff filed an Amended Complaint on January 24, 2022 [Doc. 21], and Defendant filed a Motion to Dismiss for Failure to State a Claim on February 11, 2022 [Doc. 26]. For the reasons stated below, Defendant’s Motion to Dismiss [Doc. 26] is GRANTED IN PART. I. BACKGROUND The factual content of Plaintiff’s Amended Complaint is largely identical to the original Complaint. Plaintiff alleges that it hired Defendant to ship a crane (the “Crane”) from Italy to Houston. [Doc. 21, at 1]. Defendant issued a Bill of Lading1 dated April 13, 2020, with a shipment date for the Crane of December 3, 2019. [Id.].

1 Plaintiff failed to attach the complete Bill of Lading to its Amended Complaint. After Defendant pointed out this deficiency [Doc. 27, at 6 n.2], Plaintiff filed a “Supplement” to the Amended Complaint attaching the complete exhibit. [See Doc. 30-1]. This Court has already placed Plaintiff Plaintiff alleges that Defendant caused the Crane to be shipped from Houston to Italy as the Carrier pursuant to the Bill of Lading, but the wood utilized to stabilize the Crane for shipment was infested with insects. [Id. at 2]. Accordingly, the shipment was rejected at the Port of Houston. [Id.]. Defendant then caused the Crane to be shipped back to Italy to be fumigated and reshipped to Houston. [Id.].

Plaintiff claims that Defendant engaged in “unfair and deceptive acts” based upon representations made to Plaintiff through Defendant’s website, steamlogistics.com, such as “[t]he perfect shipment lives here”; “[Defendant] provide[s] end to end logistics solutions across all transportation modes”; “[Defendant’s] progressive tailored approach delivers an elevated service experience when compared to traditional ‘big box’ forwarders.”; “[d]eep expertise by a veteran team of talented logistics professionals”; and “[s]hip confidently with total accountability throughout the lifecycle of your shipment.” [Doc. 21, at 2]. Plaintiff alleges that Defendant violated these representations when it failed to “ensure that a certified packing company was utilized to pack the Crane and that all shipments complied with International Standards for Phytosanitary

Measures No. 15[.]” [Id. at 2]. Defendant further told Plaintiff that Plaintiff must incur the additional costs to have the Crane shipped back to Houston, stating that “[u]ltimately, the risks associated with these moves does fall back on [Plaintiff] as the importer.” [Id. at 3].

on notice that any future attempts to amend the pleadings should be the subject of a separate filed motion. [Doc. 20, at 7 n.3 (“Plaintiff is ON NOTICE that any further requests to amend the pleadings should be the subject of a separate motion filed with the Court.”)]. Accordingly, the Court will not consider Plaintiff’s Supplement [Doc. 30] or its exhibits as a properly filed Amended Complaint. Ultimately, however, this error is immaterial to the Court’s decision in this case. To the extent that the contents of the Bill of Lading are relevant to Plaintiff’s breach of contract claim, Plaintiff has now failed twice to identify any provisions within the Bill of Lading that Defendant has allegedly breached. See infra Section III.C.

Plaintiff further alleges that Defendant, based on the representations contained on its website, negligently misrepresented that it had the experience, skill, and knowledge necessary to procure a competent shipping company to ship the Crane from Italy to Houston. [Id. at 3–4]. Instead, Defendant failed to ensure that a certified packing company packed the Crane and failed to mitigate the damage caused by the infested packing when Defendant had the Crane returned to

Italy rather than sent to a closer port that would accept it in order to fumigate and re-pack the Crane. [Id. at 4]. Plaintiff’s Amended Complaint alleges that Defendant: (1) violated the Tennessee Consumer Protection Act (the “TCPA”); (2) negligently misrepresented its experience, skill, and knowledge to Plaintiff’s detriment; (3) breached its contract with Plaintiff as set forth in the Bill of Lading; and (4) negligently procured subcontractors that did not pack the Crane in compliance with applicable international standards. [Doc. 21, at 2–5]. Defendant did not answer the Amended Complaint, instead filing its Motion to Dismiss [Doc. 26]. Plaintiff has responded in opposition [Doc. 31], and the matter is now ripe for the Court’s review.

II. LEGAL STANDARD

Under Federal Rule of Civil Procedure 8(a)(2), “[a] pleading that states a claim for relief must contain . . . a short and plain statement of the claim showing that the pleader is entitled to relief.” Fed. R. Civ. P. 8(a)(2). To survive a motion to dismiss under Federal Rule of Civil Procedure 12(b)(6), the plaintiff’s complaint must contain “sufficient factual matter, accepted as true, to ‘state a claim to relief that is plausible on its face.’” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009) (quoting Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007)). A claim is facially plausible when the plaintiff pleads facts that create a reasonable inference that the defendant is liable for the alleged conduct in the complaint. Id. When considering a motion to dismiss under Rule 12(b)(6), a court accepts the allegations in the complaint as true and construes them in a light most favorable to the plaintiff. Mixon v. Ohio, 193 F.3d 389, 400 (6th Cir. 1999). “[T]he tenet that a court must accept as true all of the allegations contained in a complaint is inapplicable to legal conclusions,” however. Iqbal, 556 U.S. at 678. A plaintiff’s allegations must consist of more than “labels,” “conclusions,” and “formulaic

recitation[s] of the elements of a cause of action.” Twombly, 550 U.S. at 555 (citation omitted); see Iqbal, 556 U.S. at 678 (“Threadbare recitals of the elements of a cause of action, supported by mere conclusory statements, do not suffice.” (citation omitted)). Generally, if a court examines documents outside the pleadings when ruling on a motion to dismiss, the motion is converted into a motion for summary judgment. Fed. R. Civ. P. 12(d); Tackett v. M & G Polymers, USA, LLC, 561 F.3d 478, 487 (6th Cir. 2009). A court may look beyond the pleadings if an exhibit is integral to the plaintiff’s claims but is not required to do so. Commercial Money Ctr., Inc. v. Illinois Union Ins. Co., 508 F.3d 327, 335–36 (6th Cir. 2007). III. ANALYSIS

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Creative Lifiting Services, Incorporated v. Steam Logistics, LLC (JRG2), (E.D. Tenn. 2022).

Creative Lifiting Services, Incorporated v. Steam Logistics, LLC (JRG2) (Creative Lifiting Services, Incorporated v. Steam Logistics, LLC (JRG2)) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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