Knight v. Exeter Finance, LLC

CourtDistrict Court, District of Columbia
DecidedAugust 20, 2024
DocketCivil Action No. 2023-2850
StatusPublished

This text of Knight v. Exeter Finance, LLC (Knight v. Exeter Finance, LLC) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Knight v. Exeter Finance, LLC, (D.D.C. 2024).

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

ISHA S. KNIGHT,

Plaintiff,

v. Civil Action No. 23-cv-2850 (TSC)

EXETER FINANCE, LLC,

Defendant.

MEMORANDUM OPINION

Plaintiff Isha Knight, proceeding pro se, filed this action against Exeter Finance, LLC,

alleging that it violated the Fair Debt Collection Practices Act (“FDCPA”) in attempting to

collect on a debt she owed for her vehicle. Defendant moved to dismiss, arguing that Plaintiff

failed to allege it is a debt collector as required under the FDCPA. Plaintiff cross-moved for

summary judgment and filed a motion requesting the court rule on her motion for summary

judgment. Having considered the record and the briefs, the court will GRANT Defendant’s

Motion to Dismiss and DENY as moot Plaintiff’s Amended Motion for Summary Judgment and

Plaintiff’s Motion to Render & Enter Judgment.

I. BACKGROUND

Plaintiff purchased a vehicle in December 2020 from Daly City Auto Connection, Inc.

(“Daly City”). Am. Mot. for Summ. J. Ex. A, ECF No. 18-1 at 1; see Compl., ECF No. 1 Ex. A

at 1. Beginning in August 2022, Plaintiff alleges that Defendant sought to collect an amount

owed for the vehicle and, in doing so, misrepresented her debt. Compl. at 1. As part of those

collection attempts, Plaintiff alleges that Defendant seized and sold her property, threatened legal

action against her, and caused her loss wages, credibility, and emotional distress. Id. at 1–2.

Page 1 of 5 Plaintiff subsequently brought this action in D.C. Superior Court, alleging violations of

the FDCPA. Id. Defendant removed the case to this court, Notice of Removal, ECF No. 1, and

moved to dismiss for failure to state a claim, ECF No. 6. Plaintiff moved for summary

judgment, ECF No. 12. After two summary judgment filings were denied without prejudice for

failure to follow the Federal Rules of Civil Procedure, Min. Order, Nov. 20, 2023; Min. Order,

Dec. 1, 2023, the court allowed Plaintiff to file a second amended motion for summary judgment

on January 22, 2024, ECF No. 18. On August 8, 2024, Plaintiff also filed a motion asking the

court to “to render and enter judgment” in her favor, ECF No. 25.

II. LEGAL STANDARD

A. Motion to Dismiss

Under Federal Rule of Civil Procedure 12(b)(6), a defendant may move to dismiss a

complaint for “failure to state a claim upon which relief can be granted.” Fed. R. Civ. P.

12(b)(6). “To survive a motion to dismiss, a 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) (citation omitted). In other words, the plaintiff must plead “factual content

that allows the court to draw the reasonable inference that the defendant is liable for the

misconduct alleged.” Id. (citation omitted). The court presumes the truth of the complaint’s

factual allegations under Rule 12(b)(6), Sparrow v. United Air Lines, Inc., 216 F.3d 1111, 1113

(D.C. Cir. 2000), but need not “accept as true ‘a legal conclusion couched as a factual

allegation,’” nor “inferences [that] are unsupported by the facts set out in the complaint,”

Trudeau v. FTC, 456 F.3d 178, 193 (D.C. Cir. 2006) (citations omitted).

B. Motion for Summary Judgment

Under Federal Rule of Civil Procedure 56, courts “shall grant summary judgment if the

movant shows that there is no genuine dispute as to any material fact and the movant is entitled Page 2 of 5 to judgment as a matter of law.” Fed. R. Civ. P. 56(a). A fact is material if “a dispute over it

might affect the outcome of a suit under governing law; factual disputes that are ‘irrelevant or

unnecessary’ do not affect the summary judgment determination.” Holcomb v. Powell, 433 F.3d

889, 895 (D.C. Cir. 2006) (quoting Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 248 (1986)).

An issue is genuine if “the evidence is such that a reasonable jury could return a verdict for the

nonmoving party.” Id. (quoting Anderson, 477 U.S. at 248). The party seeking summary

judgment bears the burden to provide evidence showing “the absence of a genuine issue of

material fact.” Celotex Corp. v. Catrett, 477 U.S. 317, 323 (1986).

III. ANALYSIS

The FDCPA “applies only to a ‘debt collector’ as it defines the term.” Bank of N.Y.

Mellon Trust Co. N.A. v. Henderson, 862 F.3d 29, 33 (D.C. Cir. 2017); see 15 U.S.C. § 1692e.

A “debt collector” is a person in interstate commerce “in any business the principal purpose of

which is the collection of any debts, or who regularly collects or attempts to collect, directly or

indirectly, debts owed or due or asserted to be owed or due to another.” 15 U.S.C. § 1692a(6).

Under this definition, “third party debt collection agents generally qualify as ‘debt collectors’

under the relevant statutory language, while those who seek only to collect for themselves loans

they originated generally do not.” Henson v. Santander Consumer USA Inc., 582 U.S. 79, 81

(2017). Any entity “who regularly purchase[s] debts originated by someone else and then

seek[s] to collect those debts for their own account,” moreover, generally does not qualify as a

debt collector because it does not “regularly seek to collect debts ‘owed [to] another,’” but rather

seek “only to collect debts that it purchased and owned.” Id. at 82–83. Consequently, to allege

that a defendant is a debt collector, a plaintiff must allege facts supporting an inference that the

defendant’s principal purpose is to collect debts owed to another, rather than to collect debts it

originated or purchased. Page 3 of 5 It is important to consider that Plaintiff is proceeding pro se in this case. “A pro se

complaint ‘must be held to less stringent standards than formal pleadings drafted by lawyers,’

but even it must plead ‘factual matter’ that permits the court to infer ‘more than the mere

possibility of misconduct.’” Jones v. Horne, 634 F.3d 588, 596 (D.C. Cir. 2011) (citations

omitted). “Thus, when weighing whether a pro se plaintiff has stated a claim, courts must treat

‘technical deficiencies in the complaint leniently’ and ‘scrutinize’ the ‘entire pleading to

determine if any legally cognizable claim can be found.’” Spence v. U.S. Dep’t of Veterans Affs.,

No. 22-5274, 2024 WL 3504410, at *2 (D.C.

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Related

Anderson v. Liberty Lobby, Inc.
477 U.S. 242 (Supreme Court, 1986)
Ashcroft v. Iqbal
556 U.S. 662 (Supreme Court, 2009)
Sparrow, Victor H. v. United Airlines Inc
216 F.3d 1111 (D.C. Circuit, 2000)
Holcomb, Christine v. Powell, Donald
433 F.3d 889 (D.C. Circuit, 2006)
Trudeau v. Federal Trade Commission
456 F.3d 178 (D.C. Circuit, 2006)
Jones v. Horne
634 F.3d 588 (D.C. Circuit, 2011)

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