Ford Motor Credit Co. v. Ferrell

982 A.2d 1175, 188 Md. App. 704, 2009 Md. App. LEXIS 173
CourtCourt of Special Appeals of Maryland
DecidedNovember 2, 2009
Docket1336, September Term, 2008
StatusPublished
Cited by2 cases

This text of 982 A.2d 1175 (Ford Motor Credit Co. v. Ferrell) is published on Counsel Stack Legal Research, covering Court of Special Appeals of Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ford Motor Credit Co. v. Ferrell, 982 A.2d 1175, 188 Md. App. 704, 2009 Md. App. LEXIS 173 (Md. Ct. App. 2009).

Opinion

WRIGHT, J.

John and Sarah Shumaker, appellees, 1 filed a class action complaint in the Circuit Court for Howard County against Ford Motor Credit Company (“FMC”), appellant, for alleged violations of the following statutes: 1) Maryland’s Credit Grantor Closed End Provisions (“CLEC”), Md.Code (1975, 2005 Repl.Vol.), Commercial Law Article (“CL”) § § 12-1001 et seq.; 2) Maryland’s Consumer Protection Act (“CPA”), CL § § 13-101 et seq.; and 3) Maryland’s Retail Installment Sales Act (“RISA”), CL §§ 12-601 et seq. The circuit court certified the action as a class action. Appellant then filed this appeal, presenting four issues 2 for our review, which we will summarize and combine for clarity as follows:

*709 1) Whether the collateral order doctrine permits an interlocutory appeal from a class certification order in this case.
2) Whether the trial court abused its discretion in certifying the Ford Credit Subclass under Maryland Rule 2-231.

Appellees moved to dismiss the appeal for lack of jurisdiction and also filed a general response to the appeal.

We hold that the class action certification order in this case is not appealable under the collateral order doctrine and, accordingly, dismiss the appeal for lack of jurisdiction. We therefore do not reach the second issue presented and shall not address whether the trial court abused its discretion in certifying the Ford Credit Subclass.

FACTUAL BACKGROUND

Appellees allege that Koons Dealerships of Marlow Heights, Maryland (“Koons”) violated Maryland law by “concocting a scheme” to overcharge its customers for the costs of title, tags, and registration (“government fees”) in connection with motor vehicle purchases. Appellees allege that Koons represented to its customers that they were charged the actual cost of government fees and that Koons collected the money only to pass it along to the Maryland Vehicle Administration (“MVA”). Appellees further allege that Koons intentionally inflated the government fees by approximately $25.00 to $55.00 per transaction, submitted to the MVA only the government fees actually due, and retained the balance. Appellees argue that FMC is likewise responsible for this “scheme” because it financed numerous sales that included these overcharges.

*710 John and Sarah Shumaker traded in their 1999 Hyundai automobile and purchased a 2002 GMC Sonoma truck from Koons on February 7, 2002. Koons assigned the Shumakers’ contract to FMC. Although Koons did obtain a duplicate title for the Hyundai, it is disputed whether Sarah Shumaker signed the application for the duplicate title and whether Koons disclosed the fee for the title. The fee for a duplicate title was $20.00 in 2002. Koons also issued a temporary registration plate for the GMC Sonoma. The fee for the registration plate was $15.00 in 2002. The parties agree that Koons charged $157.00 for government fees. Appellees allege that Koons only paid the MVA $132.50 and “pocketed” the difference. Appellant, however, argues that the duplicate title fee and temporary registration fee must be included in the cost of the government fees; therefore, the total due was $167.50 and the Shumakers were actually undercharged.

PROCEDURAL BACKGROUND

On October 31, 2003, appellees filed a complaint and request for jury trial. An amended complaint was filed on January 15, 2004. Appellees filed a third amended complaint on August 10, 2005, seeking damages from appellant for alleged violations of the Maryland CLEC, CPA, and RISA, as described above. Appellant denied the allegations of the complaint, moved to dismiss all claims, and moved for summary judgment as to the Shumakers. On July 10, 2008, the circuit court denied the motion to dismiss and for summary judgment with respect to all claims applicable to appellant. 3

Appellees filed a renewed motion for certification of the class on September 9, 2005. The court held a hearing on the motion, and the parties submitted extensive memoranda and exhibits. On July 10, 2008, the court issued a memorandum opinion and order granting appellees’ motion for class certification under Maryland Rules 2—231(b)(2) and 2—231 (b)(3). The court certified the following class and subclasses:

*711 “Overcharge Class”
All Koons Customers who: (1) purchased or leased a new or used motor vehicle from Koons Dealerships and (2) as part of the transaction paid more to the Koons Dealerships for Governmental Charges than the amount which the dealerships paid to the government for those charges.
“In House Subclass
The In-House Subclass consists of all Customers who financed all or part of their vehicle purchase from Koons Dealerships by a credit contract with Koons Dealerships, which the Koons Dealerships did not assign to a licensed third party lender.
“Ford Credit Subclass
The Ford Credit Subclass consists of all Customers who: (1) are part of the Overcharge Class, and (2) financed all or part of their vehicle purchase price through a credit contract which Koons Dealerships assigned to Ford Credit.

The court also ordered the parties to “prepare for the Court’s approval ... an Administrative Order setting forth the form and manner of providing notice to the class, consistent with this Order and pursuant to Md. Rule 2-231(c).” The docket entries reflect that appellees filed a motion for entry of administrative order and appellants filed an opposition to the motion. The circuit court has not ruled on the motion.

DISCUSSION

1. Appellate review of non-final judgments

Ordinarily, a party may appeal only from a final judgment. Rohrbeck v. Rohrbeck, 318 Md. 28, 41, 566 A.2d 767 (1989). The final judgment rule is paramount in avoiding disfavored piecemeal appeals. The application of the rule “results in a single review of all claims of error throughout an entire proceeding, thus both expediting and conserving judicial and other resources.” Philip Moris v. Angeletti, 358 Md. 689, 713, 752 A.2d 200 (2000) (citations omitted).

*712 A final judgment exists when “(1) the court intends for the judgment to constitute an unqualified final disposition of the matter; (2) the court adjudicates all of the claims of the parties; and (3) the clerk properly records the judgment in accordance with Maryland Rule 2-601.” Royal Fin. Servs., Inc. v. Eason, 183 Md.App. 496, 499, 961 A.2d 1161 (2008) (citing Rohrbeck, supra,

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Bluebook (online)
982 A.2d 1175, 188 Md. App. 704, 2009 Md. App. LEXIS 173, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ford-motor-credit-co-v-ferrell-mdctspecapp-2009.