Holland v. Goodyear Tire & Rubber Co.

75 F.R.D. 743, 22 Fed. R. Serv. 2d 1154, 1975 U.S. Dist. LEXIS 11393
CourtDistrict Court, N.D. Ohio
DecidedJuly 18, 1975
DocketNo. C73-867
StatusPublished
Cited by5 cases

This text of 75 F.R.D. 743 (Holland v. Goodyear Tire & Rubber Co.) is published on Counsel Stack Legal Research, covering District Court, N.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Holland v. Goodyear Tire & Rubber Co., 75 F.R.D. 743, 22 Fed. R. Serv. 2d 1154, 1975 U.S. Dist. LEXIS 11393 (N.D. Ohio 1975).

Opinion

MEMORANDUM OPINION AND ORDER

BATTISTI, Chief Judge.

Plaintiff, by the instant action, seeks damages for alleged violations of section 2 of the Sherman Act, 15 U.S.C. § 2 (1970). According to plaintiff’s amended complaint, Goodyear has allegedly monopolized or attempted to monopolize the replacement automobile tire market. This action is sought to be maintained as a class action on behalf of plaintiff and “all other persons who, within four years prior to the date of the filing of this Complaint, resided within the State of Ohio, and, while so residing, purchased new replacement tires for passenger automobiles from any outlet owned by the defendant and located within the State of Ohio.”

Presently before the Court is plaintiff’s motion for leave to file a second amended complaint and for class certification. Also [745]*745pending is defendant’s motion to dismiss the amended complaint for failure to state a claim upon which relief can be granted or, in the alternative, to dismiss the class action allegations of the amended complaint.

Plaintiff, by his second amended complaint, seeks to redefine the purported class so as to impose more restrictive parameters in terms of both time and space. The “new” class would consist of those residents of Summit County who purchased new replacement tires for passenger automobiles from company owned outlets within Summit County during the fiscal quarter in which plaintiff purchased his tires.

Defendant seeks dismissal of this action on the grounds that the allegations of the amended complaint neither support a charge of monopolization or attempted monopolization, nor are there any facts which plaintiff could plead or prove which would support such charges. Alternatively, defendant seeks dismissal of the class action allegations contained in the complaint because (a) plaintiff is not a member of the class he seeks to represent, (b) plaintiff, in his dual capacity as class representative and attorney for the class, cannot adequately represent the class, and (c) the class, as presently defined, is unmanageable. These last contentions shall be dealt with first, and they, in turn, seriatim.

I. Plaintiff’s Representative Status

This private antitrust action found its genesis in Government antitrust actions filed against Goodyear and Firestone Tire and Rubber Company on August 9, 1973. Plaintiff concedes that his action was precipitated by the initiation of the Government suits and, in fact, was filed only seven days after the Government complaint.

In order to place himself in the class he seeks to represent, plaintiff alleges that his wife, on or about August 30, 1969, bought two tires from the Goodyear Service Store in Akron, Ohio. Plaintiff, however, possesses no documentation in the form of a receipt or cancelled check to verify the alleged purchase. Instead he contends that his wife cashed a check for $65 and used a portion of the proceeds to purchase the tires. Plaintiff has, in this regard, produced a cancelled check for $65 made payable to and endorsed by a third party, dated August 30, 1969.

Defendant, on the other hand, has submitted the affidavit of John Kovac who is the Office Manager of the Goodyear Service Store at which the alleged purchase of the tires took place. Mr. Kovac stated that all retail tire transactions are recorded on consecutively numbered sales invoices that are retained in the store’s files for a minimum of six and one-half years. These invoices contain detailed information as to the name of the customer, the specific product involved, as well as the date and amount of the transaction. Invoices used for tire sales are distinctive in their numerical sequencing as well as their physical design and it is unlikely that a retail tire sale would be recorded on any invoice other than the one designed for that purpose.

Defendant conducted an examination of all sales invoices for the period August 15, 1969 through September 30, 1969, including those emanating from departments that sell products other than automobile tires. The search revealed that seven invoices were missing from the entire store. Four of the seven missing invoices were from the tire department. There are, however, no invoices missing from any department from August 22, 1969, through September 3, 1969, and no invoices missing from the tire department from August 15, 1969, through September 3, 1969. Thus, if plaintiff purchased the tires in question on August 30, 1969 from the Goodyear Store in Akron as alleged, the transaction would have had to have been completed without it ever having been recorded — on an invoice of any kind— contrary to the standard practice followed by the store personnel. Given the significant role played by the sales invoice, both for internal accounting and customer warranty, this occurrence seems highly unlikely.

It is settled that a plaintiff may not represent a class of which he himself is not [746]*746a part, Bailey v. Patterson, 369 U.S. 31, 32-33, 82 S.Ct. 549, 7 L.Ed.2d 512 (1962). The rationale behind such a rule has been articulated in many ways but is usually couched in terms of “adequacy of representation.”

“Before one may successfully institute a class action ‘[i]t is of course necessary generally that [he] be able to show injury to himself in order to entitle him to seek judicial relief’ (citation omitted). A plaintiff who is unable to secure standing for himself is certainly not in a position to ‘fairly insure the adequate representation’ of those alleged to be similarly situated (citation omitted). In short, a predicate to appellee’s right to represent a class is his eligibility to sue in his own right. What he may not achieve himself, he may not accomplish as a representative of a class.” Kauffman v. Dreyfus Fund Inc., 434 F.2d 727, 734 (3d Cir. 1970), cert. denied, 401 U.S. 974, 91 S.Ct. 1190, 28 L.Ed.2d 323 (1971).

See also Kister v. Ohio Board of Regents, 365 F.Supp. 27, 33 (S.D.Ohio 1973), aff’d, 414 U.S. 117, 94 S.Ct. 855, 38 L.Ed.2d 747 (1974).

An important corollary to the requirement that a purported class representative himself have standing to sue is that in an antitrust action he be able to prove individual damage as a result of the alleged violation.

“But it is not enough for recovery of damages to prove that an antitrust law was violated by the defendant (citation omitted). Rather, the rule is that damages may not be awarded to a litigant unless he also proves ‘with a fair degree of certainty, the fact of damage and the causal connection between the antitrust violation and the injury.’ ” Morning Pioneer Inc. v. Bismarck Tribune Co., 493 F.2d 383, 387 (8th Cir. 1974), cert. denied, 419 U.S. 836, 95 S.Ct. 64, 42 L.Ed.2d 63 (1974).

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Cite This Page — Counsel Stack

Bluebook (online)
75 F.R.D. 743, 22 Fed. R. Serv. 2d 1154, 1975 U.S. Dist. LEXIS 11393, Counsel Stack Legal Research, https://law.counselstack.com/opinion/holland-v-goodyear-tire-rubber-co-ohnd-1975.