Lester v. FCA US, L.L.C.

2022 Ohio 1776
Ohio Court of Appeals·Decided May 27, 2022·No. C-210532, C-210536·Published·Cited by 5 cases

Opinion

IN THE COURT OF APPEALS

FIRST APPELLATE DISTRICT OF OHIO HAMILTON COUNTY, OHIO

DEREK LESTER, : APPEAL NOS. C-210532 C-210536

Plaintiff-Appellee/Cross- : TRIAL NO. A-1804511 Appellant, :

vs. O P I N I O N.

:

FCA US LLC, :

Defendant-Appellant/Cross-

Appellee. :

Civil Appeals From: Hamilton County Court of Common Pleas

Judgment Appealed From Is: Affirmed in Part, Reversed in Part, and Cause Remanded

Date of Judgment Entry on Appeal: May 27, 2022

Scarlett M. Steuart and Elizabeth Ahern Wells, for Plaintiff-Appellee/Cross- Appellant,

Sutter O’Connell and Kevin W. Kita, for Defendant-Appellant/Cross-Appellee.

MYERS, Presiding Judge.

{¶1} This case arises out of allegations by plaintiff-appellee/cross-appellant Derek Lester that his new Ram truck was defective and that defendant- appellant/cross-appellee FCA US LLC (“FCA”) failed to diagnose and repair the defect under warranty. Following a jury trial, the jury specifically found that Lester’s truck had no defect that was covered under FCA’s written warranties and that FCA did not breach the implied warranty of merchantability. Judgment was entered in favor of FCA on Lester’s Lemon Law, Magnuson-Moss Warranty (“MMWA”), and breach-of- warranty claims. The jury found in favor of Lester on his claim that FCA violated the Consumer Sales Practices Act (“CSPA”), finding that FCA committed an unfair or deceptive act in relation to Lester’s purchase of the truck. The trial court entered judgment in favor of Lester on his CSPA claim, and awarded him damages and attorney fees. Both parties appealed.

{¶2} We find no merit in Lester’s argument that the trial court erred by failing to properly instruct the jury as to his burden of proof on his Lemon Law claim. In addition, we hold that the trial court should have granted FCA’s motion for judgment notwithstanding the verdict on Lester’s CSPA claim. We remand for the trial court to enter judgment in favor of FCA on the CSPA claim and to vacate its awards of damages and attorney fees. We affirm the trial court’s judgment in all other respects.

Factual and Procedural Background

{¶3} On November 14, 2016, Lester purchased a new 2016 Ram 1500 truck.

With his purchase of the vehicle, Lester received FCA’s three-year/36,000-mile Basic Limited Warranty, in which FCA promised to cover “the cost of all parts and labor needed to repair any item on [the] vehicle when it left the manufacturing plant that is defective in material, workmanship, or factory preparation.” Tires are expressly not covered under the warranty. Lester also received FCA’s five-year/100,000-mile

Powertrain Warranty, in which FCA promised to cover repairs to only certain listed powertrain components.

{¶4} Because Lester experienced an intermittent vibration in the truck when driving at highway speeds, he had its tires checked at Firestone Complete Auto Care, where he worked, the same day that he bought the truck. When Lester rebalanced the tires, he noticed flat spots in them. He testified that the rebalancing did not fix the vibration. He placed an order for new tires because he was “suspect of flat spots,” and he preferred the thread design on the tires he ordered. The tires that he ordered were not installed on the truck until January 4, 2017.

{¶5} On November 26, Lester took the truck to Northgate Chrysler, reporting that the truck vibrated at 65 m.p.h. A technician determined that the tires were not in balance and rebalanced them. Lester returned to Northgate on November 29, with the same complaint about vibration. Northgate technicians attempted to balance the tires again but were unable to do so and recommended that Lester replace the tires. Lester returned to Northgate on November 30, and requested that the technicians swap tires from a new truck to test drive it. The technicians test drove the truck with tires swapped from a new vehicle, and reported that “no vibration was felt” with those tires. They put Lester’s original tires back on his truck and balanced them. Lester went back to Northgate on December 2, but was told they could do nothing more for him.

{¶6} On December 6, Lester took his truck to a second dealership, Kings Chrysler, reporting that he felt vibration above 60 m.p.h. A technician test drove the truck and found that it “would shake violently” above 60 m.p.h. The technicians swapped tires with a new truck on the dealership lot and determined that the vibration “diminished considerably.” They put Lester’s tires back on his truck and recommended that he purchase new tires. Lester returned to Kings on December 16, and technicians determined that the truck’s rear wheels were “out of round,” and replaced them.

{¶7} On January 4, 2017, Lester replaced the original Goodyear tires with new Firestone tires (that he ordered on the day he bought the truck). Still not satisfied with the vibration of the truck, he replaced those new tires with a new set of Bridgestone tires on February 7. Two days later, on February 9, he returned to Kings, reporting that his truck’s passenger seat shook at highway speeds. A technician who rode with Lester on a test drive reported that he “could not feel a vibration[,] felt very smooth to me.” No repairs were performed at Kings.

{¶8} On February 16, Lester took his truck to a third dealership, Jeff Wyler Chrysler. The technicians test drove it and verified that the passenger seat shook at highway speeds. They checked that the seat was mounted properly, and they performed no repairs, noting that the truck “is operating as designed.”

{¶9} On March 14, Lester replaced the Bridgestone tires with new Firestone tires. According to Lester, the vibration problem persisted.

{¶10} At some later point, when an employee of a fourth dealership, Jake Sweeney Chrysler, entered Lester’s Firestone store to make a purchase, Lester told him about the vibration he felt with his truck, so the Jake Sweeney employee told him to bring it to his dealership. On December 12, Lester took his truck to Jake Sweeney. No repairs were performed. According to Lester, the technicians told him that he needed to get a vibration analyzer but they did not have one. Lester testified, “When I went to pick up the car, they told me I needed to get a vibration analyzer, and they didn’t have it. And they had to order it in, and they would call me.” When he realized that the printed work order did not include “anything on it as to what they did or what the next steps were,” he requested that an employee handwrite on the work order that they had road tested the truck and that they were waiting on a vibration analyzer. A handwritten note on the work order stated: “shop foreman road tested and experienced vibration/waiting on analyzer will call.”

{¶11} Lester reinstalled the original Goodyear tires on his truck in January 2018. He testified that the truck’s vibration persisted. Having received no call from Jake Sweeney, he called four or five different dealerships in an attempt to find a vibration analyzer, but none of them had one.

{¶12} In February, FCA initiated Customer Assistance Inquiry Record (CAIR)

33350085 in regards to Lester’s concern. The record stated that FCA “[c]ontacted Jake Sweeney. They have a vibration analyzer, but they only use it when the vehicle has a vibration. This vehicle does not.”

{¶13} In August 2018, Lester filed an action against FCA, alleging claims for:

(1) violation of Ohio’s Lemon Law; (2) breach of express and implied warranty in violation of the MMWA; (3) violation of Ohio’s CSPA; and (4) tortious breach of warranty. As relevant here, Lester alleged that FCA breached the CSPA by violating the Lemon Law and the MMWA and by breaching its expressed or implied warranties.

{¶14} In March 2020, the case proceeded to a jury trial.

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Lester v. FCA US, L.L.C., 2022 Ohio 1776 (Ohio Ct. App. 2022).

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