Doe (K.H.) v. R-Roof VI LLC

CourtDistrict Court, E.D. Michigan
DecidedJanuary 14, 2025
Docket2:23-cv-11422
StatusUnknown

This text of Doe (K.H.) v. R-Roof VI LLC (Doe (K.H.) v. R-Roof VI LLC) is published on Counsel Stack Legal Research, covering District Court, E.D. Michigan primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Doe (K.H.) v. R-Roof VI LLC, (E.D. Mich. 2025).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF MICHIGAN SOUTHERN DIVISION

JANE DOE (K.H.),

Plaintiff, Case No. 23-cv-11422 v. Honorable Robert J. White R-ROOF VI LLC d/b/a RED ROOF INN, et al.,

Defendants.

OPINION AND ORDER GRANTING DEFENDANTS’ MOTIONS TO DISMISS THE AMENDED COMPLAINT

I. Introduction

K.H. commenced this action against Red Roof Inns, Inc., the company’s affiliated entities, and a third-party franchisee under the Trafficking Victims Protection Reauthorization Act. The amended complaint alleges that defendants either perpetrated an act of sex trafficking against her or knowingly benefitted from their participation in a venture that engaged in sex trafficking. Before the Court are defendants’ separate motions to dismiss the amended complaint. (ECF Nos. 16-18). K.H. responded in opposition. (ECF Nos. 20-22). Defendants filed their replies. (ECF Nos. 23-25). The Court will decide the motions without oral argument pursuant to E.D. Mich. LR 7.1(f)(2). For the following reasons, the motions to dismiss the amended complaint are granted with prejudice.

II. Background A. Factual History K.H. was sex trafficked at various Red Roof Inn hotels located in Michigan

between January 2011 and October 2013. (ECF No. 12, PageID.152-55, ¶¶ 20, 26- 27, 34, 40). The amended complaint alleges that K.H. was trafficked at three Red Roof Inns specifically – the Miller Road location in Flint and the State Street and Plymouth Road locations in Ann Arbor. (Id., PageID.153-56, ¶¶ 26-44). Red Roof

Inns, Inc. structured the ownership and operations of these hotels as follows: The Miller Road Location. R-Roof VI LLC owned and operated the Miller Road location from January 2011 through November 2, 2011. (Id., PageID.153, ¶

28). R-Roof VI is a Red Roof Inn affiliated entity that Red Roof Inns, Inc. controls. (Id.). FMW RRI I LLC owned and operated the Miller Road location from November 3, 2011 through October 2013. (Id., PageID.153-54, ¶ 30). FMW RRI I is a Red Roof Inn affiliated entity that RRI West Management, LLC controls. (Id.).

The State Street Location. Ann Arbor Hospitality LLC owned the State Street location from November through December 2012. (Id., PageID.154, ¶¶ 34, 36). It operated the hotel alongside Red Roof Inns, Inc. and Red Roof Franchising, LLC.

(Id., PageID.154-55, ¶¶ 36, 38). The Plymouth Road Location. RRI I LLC owned the Plymouth Road location from November 2012 through May 2013. (Id., PageID.155, ¶¶ 40-41). RRI I is a

Red Roof Inn affiliated entity that Red Roof Inns, Inc. controls. (Id., ¶ 41). Red Roof Inns, Inc., RRI West Management, and Red Roof Franchising all operated and managed the hotel. (Id., PageID.155-56, ¶¶ 41-43).

The Court will refer to Red Roof Inns, Inc. as “Red Roof Inn” and Red Roof Franchising, RRI West Management, R-Roof VI, FMW RRI I, and RRI I as the “affiliated entities” from here on in. K.H. maintains that “obvious signs of her trafficking” were apparent to

“multiple employees” at the three hotels, including management-level employees. (Id., PageID.169-70, ¶¶ 77-78). The “obvious signs” of trafficking included: a. The hotel rooms where she was trafficked were often paid for with prepaid cards.

b. The hotel rooms where she was trafficked were often booked under a fake name.

c. K.H.’s trafficker would book two rooms at a time, one room for him and one for K.H.

d. There was heavy foot traffic in and out of K.H.’s room involving men who were not hotel guests. These individuals entered and left at unusual hours and were present at the hotel for brief periods of time, which are signs of sex trafficking that hotel staff observed.

e. Other obvious signs of trafficking, consistent with the modus operandi of K.H.’s trafficker, which were observed by hotel staff. (Id., PageID.169-70, ¶ 77). B. Procedural History K.H. initially filed this lawsuit in Washtenaw County Circuit Court. (ECF No.

1, PageID.10-36). The complaint alleged a single cause of action under the Trafficking Victims Protection Reauthorization Act against the same defendants, except for Red Roof Franchising and RRI West Management. (Id., PageID.31-34, ¶¶ 84-95). Red Roof Inn timely removed the case to the Eastern District of Michigan

and moved to dismiss the complaint. (ECF Nos. 1, 3). K.H. amended the complaint in lieu of responding to the motion and named Red Roof Franchising and RRI West Management as additional defendants. (ECF No. 12).

Red Roof Inn and the affiliated entities now move to dismiss the amended complaint.1 (ECF Nos. 16-18).

1 Two housekeeping items are in order. First, it is unclear whether K.H. ever served process on Ann Arbor Hospitality. Either way, it did not move to dismiss the amended complaint. The Court will address whether the amended complaint states a plausible claim for relief against Ann Arbor Hospitality for completeness’ sake. See Bonny v. Society of Lloyd’s, 3 F.3d 156, 162 (7th Cir. 1993) (“A court may grant a motion to dismiss even as to non-moving defendants where the nonmoving defendants are in a position similar to that of moving defendants or where the claims against all defendants are integrally related.”); see also Loman Dev. Co. v. Daytona Hotel & Motel Suppliers, Inc., 817 F.2d 1533, 1537 (11th Cir. 1987). This course of action is appropriate even with respect to non-moving defendants who never appeared in the action. See Abagninin v. AMVAC Chem. Corp., 545 F.3d 733, 742- 43 (9th Cir. 2008) (“we have upheld dismissal with prejudice in favor of a party which had not appeared, on the basis of facts presented by other defendants which III. Legal Standards When reviewing a motion to dismiss the complaint for failing to state a claim,

the Court must “construe the complaint in the light most favorable to the plaintiff and accept all factual allegations as true.” Daunt v. Benson, 999 F.3d 299, 308 (6th Cir. 2021) (cleaned up); see also Fed. R. Civ. P. 12(b)(6). “The factual allegations

in the complaint need to be sufficient to give notice to the defendant as to what claims are alleged, and the plaintiff must plead sufficient factual matter to render the legal claim plausible.” Fritz v. Charter Twp. of Comstock, 592 F.3d 718, 722 (6th Cir. 2010) (quotation omitted).

IV. Analysis A. Overview of the Trafficking Victims Protection Reauthorization Act Sex trafficking is a federal crime. At the time of K.H.’s trafficking, 18 U.S.C.

§ 1591(a) (2008) provided that: (a) Whoever knowingly—

(1) in or affecting interstate or foreign commerce . . . recruits, entices, harbors, transports, provides, obtains, or maintains by any means a person; or

had appeared.”); see also Lee v. Flint Cmty. Sch., No. 22-13134, 2023 U.S. Dist. LEXIS 184816, at *6 (E.D. Mich. Oct. 13, 2023). Second, RRI I appeared in this case but never moved to dismiss the amended complaint. This seems to be an oversight because its attorneys are the same ones representing Red Roof Inn and the affiliated entities. (ECF Nos. 5, 13, 28-29). The Court will address whether the amended complaint states a plausible claim for relief against RRI I for completeness’ sake as well. See Bonny, 3 F.3d at 162; Loman, 817 F.2d at 1537.

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