Lin v. Solta Medical, Inc.

District Court, N.D. California·Decided December 6, 2021·No. 4:21-cv-05062·Unknown

Opinion

Case No. 21-cv-05062-PJH Plaintiff,

v. ORDER DENYING MOTION TO DISMISS AND GRANTING SOLTA MEDICAL, INC., et al., JURISDICTIONAL DISCOVERY Defendants. Re: Dkt. Nos. 8, 9, 27, 30

Defendants’ motion to dismiss came on for hearing before this court on October 14, 2021. Plaintiff appeared through her counsel, Carter Zinn and Jeremy Pollack. Defendants appeared through their counsel, David Norden and Ryan Lewis. Having read the papers filed by the parties and carefully considered their arguments and the relevant legal authority, and good cause appearing, the court hereby DENIES the motion for the following reasons. Plaintiff, Hsin Lin, alleges that on January 22, 2019 she was injured by the Thermage CPT when she underwent a facial procedure in Taiwan that utilized the device.1 Lewis Decl. (Dkt. 1-1) at 7.2 On January 21, 2021, plaintiff filed a four-page

1 Plaintiff’s opposition states that the product at issue is the “Thermage CPT,” not the “Thermage FLX” as is alleged in her complaint. Dkt. 26 at 7, n.1. Because defendants are aware that plaintiff misidentified the medical device in her complaint, the court will refer to the device at issue as “Thermage CPT,” notwithstanding the complaint’s reference to “Thermage FLX.” checkbox, form complaint in the Alameda County Superior Court against Solta Medical, Inc. (“Solta”) and Bausch Health Americas, Inc. (“BHA”) (collectively, “defendants”), the alleged manufacturers of the Thermage CPT medical device. Id. at 4–7. Plaintiff asserts claims against defendants for strict liability, negligence, and breach of implied and express warranties. Id. at 5–6. With respect to her injury, plaintiff states only that she was injured by the Thermage CPT. Id. at 7. Through her checkboxes, plaintiff identifies BHA and Solta as the designers and manufacturers of the Thermage CPT and alleges that defendants are “out-of-state corporations who have failed to designate a principal place of business in California, and thus may be sued in any county.” Id. at 5, 7, ¶¶ 8, Prod. L-4. Plaintiff makes no mention of corporate citizenship, defendants’ contacts with any state, or how her injury relates to defendants’ contacts with a particular state. On May 21, 2021, plaintiff filed a case management statement with the Superior Court in which she made the same statement about defendants being “out-of-state corporations.” Id. at 14. On June 30, 2021, defendants removed the case to federal court pursuant to 28 U.S.C. § 1441(a). Dkt. 1. Defendants asserted there was complete diversity, stating plaintiff was a citizen of California and Solta and BHA were citizens of Delaware and New Jersey. Id. at 3–4. Defendants now move to dismiss for lack of personal jurisdiction pursuant to Federal Rule of Civil Procedure 12(b)(2) and for failure to state a claim under Federal Rule of Civil Procedure 12(b)(6). On the matter of personal jurisdiction, defendants assert the court’s exercise of general personal jurisdiction is improper because their principal place of business is in Bridgewater, New Jersey, and they are incorporated in Delaware. Defendants further assert the court’s exercise of specific personal jurisdiction is improper because defendants have not purposefully availed themselves of the privileges of conducting business in California. In support of their motion, defendants submit records from the California Secretary of State and declarations from two executives from defendants’ parent corporation. Defendants’ records with the California headquarters in Bridgewater, New Jersey. Dkt. 9-1 at 9–31. A declaration from Scott Hirsch—President, Ortho Dermatologics and OraPharma & Chief Strategy Officer of Bausch Health Companies Inc. (“BHCI”), the parent company of Solta and BHA—states (1) Solta’s Principal Executive Office is located in Bridgewater, New Jersey; (2) Solta’s corporate officers and directors maintain their offices in Bridgewater, New Jersey; (3) Solta’s business activities are directed from Bridgewater, New Jersey; (4) Solta’s Board of Directors are located in Bridgewater, New Jersey; (5) Solta’s headquarters used to be in Hayward, California but its headquarters moved to Bridgewater, New Jersey after BHCI acquired Solta in 2014; (6) Solta has an office in Pleasanton, California that serves predominantly as Solta’s telephone customer service center; and (7) no Solta leadership officers or directors work in California. Dkt. 28-1. A declaration from Jeremy Lipshy— Senior Vice President, Tax, of BCHI—states (1) BHA is incorporated in Delaware with its principal place of business in Bridgewater, New Jersey; (2) all BHA corporate officers and directors maintain their offices in Bridgewater, New Jersey; (3) BHA’s direction, control, and coordination comes from the Bridgewater, New Jersey office; and (4) no BHA corporate officers or directors are located in California. Dkt. 28-2. Plaintiff, in turn, opposes defendants’ 12(b)(2) motion to dismiss, and seeks jurisdictional discovery or an evidentiary hearing if she cannot prove personal jurisdiction exists. Plaintiff also opposes defendants’ 12(b)(6) motion to dismiss, but she requests leave from the court to amend her complaint if her complaint fails to meet pleading standards. Plaintiff also suggests that the court should sua sponte assess its own subject matter jurisdiction in this matter, asserting that the defendants are citizens of California like herself. Along with her opposition, plaintiff submits exhibits, many inadmissible, that purportedly support the position that defendants have significant business ties in California and that defendants are citizens of a state other than New Jersey. For instance, two filings with the Food and Drug Administration (“FDA”) from 2013 state that Solta was based in Hayward, California. Dkt. 27 at 21–30. Plaintiff also such as defendants “conducted extensive business activities in California, by designing, manufacturing, marketing, distributing and servicing the Thermage CPT devices in California.” Dkt. 26 at 21. A. Legal Standard 1. Federal Rule of Civil Procedure 12(b)(2) Under the Federal Rule of Civil Procedure 12(b)(2), a defendant may move to dismiss for lack of personal jurisdiction. The party seeking to invoke a federal court’s jurisdiction bears the burden of demonstrating jurisdiction. See Picot v. Weston, 780 F.3d 1206, 1211 (9th Cir. 2015). Where the defendant’s motion is based on a written record and no evidentiary hearing is held, the “plaintiff need only make a prima facie showing of jurisdictional facts.” Id. (internal quotation marks omitted). That is, the plaintiff “need only demonstrate facts that if true would support jurisdiction over the defendant.” Harris Rutsky & Co. Ins. Servs. v. Bell & Clements Ltd., 328 F.3d 1122, 1129 (9th Cir. 2003) (internal quotation marks omitted). A prima facie showing is not a “toothless” standard. In re Boon Glob. Ltd., 923 F.3d 643, 650 (9th Cir. 2019). The “party asserting jurisdiction cannot simply rest on the bare allegations of its complaint; however, uncontroverted allegations in the complaint must be taken as true.” Id. (internal quotation marks omitted). And “[c]onflicts between parties over statements contained in affidavits must be resolved in the plaintiff’s favor.” Id. (internal quotation marks omitted). But the court “may not assume the truth of allegations in a pleading which are contradicted by affidavit.” Mavrix Photo, Inc. v. Brand Techs., Inc.,

Lin v. Solta Medical, Inc., (N.D. Cal. 2021).

Lin v. Solta Medical, Inc. (Lin v. Solta Medical, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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