Exhaust Unlimited, Inc. v. Cintas Corp.

223 F.R.D. 506, 2004 U.S. Dist. LEXIS 15153, 2004 WL 1728598
CourtDistrict Court, S.D. Illinois
DecidedJuly 26, 2004
DocketNo. 02-CV-0614-MJR
StatusPublished
Cited by3 cases

This text of 223 F.R.D. 506 (Exhaust Unlimited, Inc. v. Cintas Corp.) is published on Counsel Stack Legal Research, covering District Court, S.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Exhaust Unlimited, Inc. v. Cintas Corp., 223 F.R.D. 506, 2004 U.S. Dist. LEXIS 15153, 2004 WL 1728598 (S.D. Ill. 2004).

Opinion

MEMORANDUM & ORDER

REAGAN, District Judge.

This matter is before the Court on Plaintiff Exhaust Unlimited, Inc.’s (“Exhaust”) “Motion to Certify Class” (Doc. 174) as to Count One of their class action complaint filed against Defendants Cintas Corporation, Steiner Corporation, Mission Linen Supply, G & K Services, Inc., AmeriPride Services, Inc., National Services Industries, Inc., Uni-First Corporation, and the Textile Rental Service Association (collectively, “Defendants”), all members of a nationwide textile linen supply industry. Exhaust brings suit on behalf of itself and other purchasers of linen services and supplies alleging Defendants, “who in large part make up the national textile linen supply industry” are not true competitive rivals, have made arrangements which substantially reduce competition in the retail linen supply business, impose improper ancillary charges, and conspire to restrain trade, all in violation of federal antitrust laws. Exhaust seeks certification of the following class: “All persons and entities in the United States that have purchased textile linen supplies and/or service from Defendants on or after February 22,1991 and were charged an Environment Charge” (Doc. 175, p. 10). In a nutshell, Exhaust alleges Defendants unlawfully exchanged information and fixed prices in violation of the Sherman Act, 15 U.S.C. § 1 et seq., by charging environmental fees unrelated to their actual environmental costs. This Court enjoys subject matter jurisdiction over this matter pursuant to 28 U.S.C. § 1331 and venue is proper under 28 U.S.C. § 1391(b). The Court begins its analysis with a brief recitation of the key facts and procedural history.

I. Background and Procedural History1

Exhaust, an Illinois corporation specializing in automotive repair, was a customer of both Defendant Cintas Corporation (“Cin-tas”) and G & K Services, Inc. (“G & K”), members of the textile linen supply industry. From at least 1995 until 2001, Exhaust rented uniforms from G & K. Then in 2001, Exhaust began renting from Cintas. Both Cintas and G & K charged Exhaust an “environment charge” which Exhaust alleges is a line-item charge imposed by all Defendants on their customers. Exhaust alleges that the environmental charges imposed by Defendants are a sham and unrelated to environmental costs. Exhaust defines an environmental charge as: “ancillary charges assessed by the Defendants that use an environment-related word, including, but not limited to ‘environment,’ ‘sewer’, ‘waste-water,’ or ‘EPA.’ ” See Doc. 149.

On June 13, 2002, Exhaust filed a three-count complaint on behalf of itself and other purchasers of linen services and supplies alleging Defendants imposed on its customers environmental charges unrelated to environmental costs through a nationwide conspiracy. Count One contends all Defendants unlawfully exchanged information and fixed prices in violation of the Sherman Act, 15 U.S.C. § 1, et seq. Count Two, again against all Defendants, claimed violations of the Illinois Consumer Fraud and Deceptive Business Practices Act, 815 ILCS 505/1, et seq. Count Three charged all Defendants, except the Textile Rental Service Association, with unjust enrichment. In its February 27, 2003 Order, this Court dismissed without prejudice Counts Two and Three against all Defendants, leaving only Count One’s Sherman Act violations (Doc. 127). Both Counts Two and Three were dismissed against all Defendants except for Cintas due to failure to state a claim upon which relief may be given. [509]*509Doe. 127, p. 4, 6. Counts Two and Three were dismissed against Cintas for failure to plead with specificity under Federal Rule op Civil Procedure 9(b). Doe. 127, p. 4-5. The Court gave Exhaust leave to file an amended complaint by March 24, 2003, but it chose not to do so. Accordingly, Count One is the only remaining claim.

On January 9, 2004, the Court heard testimony and arguments regarding Exhaust’s motion for class certification (Doc. 174) which seeks certification of the following class: “All persons and entities in the United States that have purchased textile linen supplies and/or service from Defendants on or after February 22, 1991 and were charged an Environment Charge” (Doc. 175, p. 10). Exhaust seeks class certification as either a Federal Rule of Civil Procedure 23(b)(2) or 23(b)(3) class. Rule 23(b)(2) classes are those where “final injunctive relief or corresponding declaratory relief with respect to the class as a whole” is appropriate. Rule 23(b)(3) classes must involve matters where “the questions of law or fact common to the members of the class predominate over any questions affecting only individual members, and that a class action is a superior to other available methods for the fair and efficient adjudication of the controversy.”

II. Standard Governing Class Certification

A plaintiff must first satisfy the requirements of Federal Rule of Civil Procedure 23(a) in order to be granted a class certification. Rule 23(a) has four requirements: nu-merosity, commonality, typicality and adequacy of representation. Amchem Prods., Inc. v. Windsor, 521 U.S. 591, 613, 117 S.Ct. 2231, 138 L.Ed.2d 689 (1997); Harriston v. Chicago Tribune Co., 992 F.2d 697, 703 (7th Cir.1993). Failure by a plaintiff as to one of the four requirements precludes certification as a class. Retired Chicago Police Ass’n v. City of Chicago, 7 F.3d 584, 596 (7th Cir. 1993). If a plaintiff is able to satisfy all of the requirements of Rule 23(a), the district court must then determine whether a plaintiff’s action can be maintained as a class action by meeting one of the requirements of Federal Rule of Civil Procedure 23(b). See Williams v. Chartwell Fin. Servs., Ltd., 204 F.3d 748, 760 (7th Cir.2000).

In order to determine whether a class should be certified, a court may make factual and legal inquires necessary under Rule 23. Szabo v. Bridgeport Machines, Inc., 249 F.3d 672, 675-76 (7th Cir.2001). A court need not accept a plaintiffs assertions as conclusive, but may receive any evidence necessary to make a decision on class certification. Id. The burden is on the party seeking class certification to demonstrate that all the requirements of Rule 23 have been satisfied. Gen. Tel. Co. of S.W. v. Falcon,

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

Related

In Re RAIL FREIGHT FUEL SURCHARGE ANTITRUST LITIGATION
287 F.R.D. 1 (District of Columbia, 2012)
Kottaras v. Whole Foods Market, Inc.
281 F.R.D. 16 (District of Columbia, 2012)

Cite This Page — Counsel Stack

Bluebook (online)
223 F.R.D. 506, 2004 U.S. Dist. LEXIS 15153, 2004 WL 1728598, Counsel Stack Legal Research, https://law.counselstack.com/opinion/exhaust-unlimited-inc-v-cintas-corp-ilsd-2004.