Latimer v. AT&T Mobility LLC

District Court, W.D. Washington·Decided June 1, 2022·No. 2:21-cv-00856·Unknown

Opinion

UNITED STATES DISTRICT COURT WESTERN DISTRICT OF WASHINGTON DANIELLE LATIMER, CASE NO. 2:21-cv-00856-TL Plaintiff, ORDER ON DEFENDANTS’ v. MOTION TO DISMISS AND DIRECTING PARTIAL REMAND OF AT&T MOBILITY LLC et al., PLAINTIFF’S SECOND CAUSE OF Defendant. ACTION

This matter is before the Court on the Motion of Defendants AT&T Mobility LLC and DirecTV, LLC to Dismiss for Lack of Subject Matter Jurisdiction. Dkt. No. 11. Having reviewed the relevant record and briefing on this motion and having heard the Parties’ oral arguments, the Court GRANTS Defendants’ motion, DISMISSES WITHOUT PREJUDICE Plaintiffs’ request for injunctive relief under the Washington Consumer Protection Act (“CPA”) in their first cause of action, and REMANDS Plaintiffs’ second cause of action under Washington’s Commercial Electronic Mail Act (“CEMA”) back to Snohomish County Superior Court (case number 21-2-02029-31). On May 3, 2021, named Plaintiff Danielle Latimer filed this class-action lawsuit in Snohomish County Superior Court (case number 21-2-02029-31) on behalf of herself, as a private attorney general, and on behalf of all other similarly situated Washington state residents

(collectively, “Plaintiffs”). See generally Dkt. No. 1-2. Ms. Latimer asserts that she received an allegedly deceptive email communication in July 2018 that included a false and misleading subject line. Id. at ¶¶ 81-121. Upon information and belief, Ms. Latimer further alleges that Defendants transmitted comparable emails to other similarly situated Washington residents. Id. ¶¶ 94-95, 104-105. The Complaint asserts two causes of action against AT&T Mobility LLC, DirecTV, LLC, AT&T Inc., and unnamed individual Defendants Does 1-20. In the first cause of action under the CPA, Plaintiffs seek statutory damages, other monetary relief, and prospective injunctive relief available to a “plaintiff who successfully pleads and proves a CEMA violation as a per se violation of the CPA.” Dkt. No. 1-2 at ¶ 88. The second cause of action, a stand-alone CEMA

claim, allows for only injunctive relief. Id. at ¶¶ 117-121. Ms. Latimer claims the deceptive emails violated both the CPA, as well as CEMA, which itself represents a per se CPA violation. Id. at ¶¶ 81-121. On June 25, 2021, Defendants removed the case to the U.S. District Court for the Western District of Washington in Seattle based on diversity jurisdiction under the Class Action Fairness Act (“CAFA”) and the class-wide statutory damages available under CEMA through the CPA. Dkt. No. 1. Defendants removed this case to federal court pursuant to 28 U.S.C. § 1441, which allows removal of “any civil action brought in a State court of which the district courts of the United States have original jurisdiction.” 28 U.S.C. § 1441. Removal was proper in this case

because Ms. Latimer could have asserted original jurisdiction in federal court for the CPA class- action suit under CAFA. See 28 U.S.C. § 1332(d)(2). CAFA jurisdiction requires minimum diversity and an aggregate amount in controversy of at least $5,000,000, exclusive of interest and costs. Id.; see also Greene v. Harley-Davidson, Inc., 965 F.3d 767, 771 (9th Cir. 2020). The Parties do not dispute that the case was properly removed under CAFA. See generally Dkt.

Nos. 11, 20, 21. On July 14, 2021, by stipulation of the Parties, AT&T Inc. was voluntarily dismissed from this action. Dkt. Nos. 9, 10. Defendants then filed the instant motion on July 26, 2021. Dkt. No. 11. Defendants argue that Ms. Latimer lacks Article III standing to seek prospective injunctive relief because she cannot establish imminent injury. See generally id. Without conceding liability, Defendants aver that the email Ms. Latimer received was part of a limited email marketing campaign that ended in 2018, and they have not since sent, nor do they intend to initiate, any similar email marketing campaigns in the future. Id. at 2-3. Defendants therefore request dismissal of all claims for prospective injunctive relief for lack of subject matter jurisdiction. Id. at 7. In response, Plaintiff essentially concedes lack of standing to seek injunctive relief based on the state of federal

caselaw on imminent injury, agrees that the Court must dismiss without prejudice the request for injunctive relief in the first cause of action, but asks the Court to remand the stand-alone CEMA claim back to state court rather than dismissing that cause of action. See generally Dkt. No. 20. In reply, Defendants argue that such a partial remand would be inappropriate and request instead that the Court simply dismiss all claims for injunctive relief without prejudice, which would allow Plaintiff to re-file any still viable injunctive claims in state court. See generally Dkt. No. 21. Before the Court ruled on Defendants’ motion, the case was reassigned to the Honorable Judge Tana Lin on December 13, 2021. On March 8, 2022, Judge Lin ordered additional briefing

regarding the Court’s authority to partially remand a state law cause of action in a case for which it retains original jurisdiction over part of the claims under CAFA. Dkt. No. 28. The Parties submitted their additional briefing as requested. Plaintiffs point to cases involving similar circumstances, although not directly analogous, that indicate such a partial remand would be appropriate under circumstances such as these. See generally Dkt. No. 29. Defendants argue that

as a question of first impression, it comes down to statutory interpretation, and that partial remand is precluded because it is not expressly authorized under the federal removal and remand statutes. See generally Dkt. No. 30. Upon review of the additional briefing, the Court requested oral argument to address the Court’s authority to decline jurisdiction under the supplemental jurisdiction statue and to clarify the Parties’ respective positions on how they might be prejudiced by the other Parties’ requested disposition of the stand-alone CEMA claim. Oral arguments were heard on May 16, 2022. Dkt. No. 31. Defendants challenge the Court’s subject matter jurisdiction over certain aspects of Plaintiffs’ case. Subject matter jurisdiction refers to “the courts' statutory or constitutional power

to adjudicate the case.” Steel Co. v. Citizens for a Better Env't, 523 U.S. 83, 89 (1998) (emphasis in original). A federal court is obligated to “police” its subject matter jurisdiction on an ongoing basis throughout a litigation to ensure it remains “within the bounds the Constitution and Congress have prescribed.” Ruhrgas AG v. Marathon Oil Co., 526 U.S. 574, 583 (1999); see also Mashiri v. Dep't of Educ., 724 F.3d 1028, 1031 (9th Cir. 2013) (“[F]ederal courts have a continuing, independent obligation to determine whether subject matter jurisdiction exists.” (citing Leeson v. Transamerica Disability Income Plan, 671 F.3d 969, 975 n. 12 (9th Cir.2012)). Subject matter jurisdiction encompasses statutory grants of original jurisdiction, such as federal question jurisdiction under 28 U.S.C. § 1331 or diversity jurisdiction under 28 U.S.C.

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