Manley v. MGM Resorts International

District Court, D. Nevada·Decided May 30, 2023·No. 2:22-cv-01906·Unknown

Opinion

* * *

DWIGHT MANLEY, Case No. 2:22-cv-01906-MMD-DJA

Plaintiff, ORDER v. MGM RESORTS INTERNATIONAL, et al.,

Defendants.

Plaintiff Dwight Manley sued Defendants MGM Resorts International, MGM Growth Properties Operating Partnership, LP, and MGM Grand Hotel, LLC (collectively, “Defendants”) after Manley was drugged while gaming at Defendants’ casino and injured himself in that state, but Defendants failed to provide medical assistance or pause Manley’s gaming play. (ECF No. 7 (“FAC”).) Before the Court is Defendants’ motion to dismiss Manley’s negligence and consumer fraud claims.1 (ECF No. 9 (“Motion”).) As explained below, the Court will grant in part and deny in part the Motion. The following allegations are adapted from the FAC. One afternoon in December 2021, Manley, visiting from California, went gambling at the MGM Grand Las Vegas hotel and casino resort (“MGM Grand”)—a property owned and managed by Defendants. Manley had frequented Defendants’ property as a VIP patron for many years. As a VIP patron, Manley received complementary lodging, courtesy of his assigned casino host, “so that [he] would play table games and enter a poker tournament to be held at MGM Grand.” As with other VIP patrons, MGM Grand during table play and later had him sign a credit instrument—a “marker”—in the amount of the credit advances, which evidenced his gaming debts. Manley alleges that “the process by which a patron increases his or her credit line is carefully decided by the casino and a patron’s credit line is not routinely increased, certainly not in large increments.” (ECF No. 7 at 2-4.) Shortly after arriving and checking in at “The Mansion”—an exclusive luxury villa resort on the MGM Grand premises—Manley went with a friend to the high-limit gaming salon to “gamble[ ] alone at a blackjack table.” After sitting down at the blackjack table, Manley ordered a cocktail from the gaming salon’s bar and, after tasting the cocktail, remarked that it tasted abnormally bitter and “dirty.” Shortly after drinking the cocktail, Manley felt disoriented and “out of it,” and during game play he eventually “shattered an ashtray, cut his hand and was bleeding onto the blackjack table’s felt.” Manley does not recall cutting his hand, and at the time he “did not feel any pain[ ] and was unaware that he was bleeding.” After cutting his hand, Manley began “dripping blood on the table,” and Defendants, in turn, relocated him to a second blackjack table to continue playing. Defendants “did not seek medical attention” for Manley; instead, they gave Manley’s friend bandages to put on Manley’s hand in the bathroom before Manley would resume table play. (Id. at 4-5.) Manley then continued playing at the second blackjack table, where he was presented with an application for a temporary increase in his credit limit maximum, known as a “this-trip-only” (“TTO”) request. Around this time, Manley’s assigned casino host relayed to Manley’s friends that other staff had told her that Manley “was acting erratic.” Despite the casino host’s comment, Defendants “did nothing to stop [Manley] from further gaming play or to otherwise check on his well-being.” After Manley lost the additional credit extended to him through the first TTO request, Defendants “again increased [Manley]’s credit limit with a second TTO.” Due to his “disoriented” state, Manley also left he had done so. Manley does not recall these events. (Id. at 4-5.) After about three hours of table play, Manley tried to get up from the blackjack table, but he “was so disoriented that he could not stand or walk without assistance.” While Manley’s friends took him back to his nearby villa, Manley fell multiple times, “sustained severe bruises,” and told them that “he felt dizzy and slow” before “collaps[ing]” into bed and sleeping the entire night. Manley woke up the next morning “feeling nauseous and groggy, having almost no recollection of the events from the prior afternoon.” Manley then texted his casino host, informing her that he believed he had been drugged the day before and that “something was wrong.” Manley also requested that the casino host check the hotel’s surveillance tapes “regarding how his first [cocktail] was made” because he suspected that the drink was “spiked.” (Id. at 5-6.) Upon his return to California, Manley sought medical assistance for his condition and sought a drug test to determine whether he had in fact been drugged. Subsequent test results “demonstrated the presence of [k]etamine in his system” during his stay on Defendants’ premises. Up to this point, Manley had never knowingly consumed ketamine—a powerful, dissociative anesthetic. Thereafter, Manley informed Defendants that he had been drugged, filed a police report, and submitted a written complaint to the Nevada Gaming Control Board. Despite Manley’s explanation that he had been drugged while gambling, Defendants nevertheless “deposited a [marker] for $2,000,000 and has continued to demand payment” of an additional $440,000. (Id. at 6-7.) In the FAC, Manley asserts five claims, including negligence and consumer fraud in violation of the Nevada Deceptive Trade Practices Act (“NDTPA”). (ECF No. 1.) Relevant to this order, Defendants seek dismissal of the negligence and NDTPA claims. The Court addresses Defendants’ Motion as to each challenged claim. The Court then addresses whether it will grant Manley leave to amend any deficient claims. Defendants challenge Manley’s negligence claim on two grounds. First, they argue the claim fails because Manley has not sufficiently pleaded the duty and causation elements of negligence. (ECF No. 9 at 5-6.) Second, they contend Manley’s negligence claim is barred under Nevada’s economic loss doctrine. (Id. at 6-8.) As explained below, the Court grants in part and denies in part Defendants’ Motion as to the negligence claim. 1. Duty To prevail on a negligence claim under Nevada law, a plaintiff must establish “(1) the existence of a duty of care, (2) breach of that duty, (3) legal causation, and (4) damages.” Klasch v. Walgreen Co., 264 P.3d 1155, 1158 (Nev. 2011) (citation omitted). Whether a duty of care exists is a question of law for the Court to resolve. Butler ex rel. Biller v. Bayer, 168 P.3d 1055, 1063 (Nev. 2007). Generally, “a landowner owes a duty of reasonable care to entrants for risks that exist on the landowner’s property.” Foster v. Wholesale Corp., 291 P.3d 150, 152, 156 (Nev. 2012). However, “it is well settled in Nevada that commercial liquor vendors, including hotel proprietors, cannot be held liable for damages related to any injuries caused by the intoxicated person, which are sustained by either the intoxicated patron or a third party.” Rodriguez v. Primadonna Co., LLC, 216 P.3d 793, 798 (Nev. 2009) (citing Hamm v. Carson City Nugget, Inc., 450 P.2d 358, 359 (Nev. 1969); Snyder v. Viani, 885 P.2d 610, 612-13 (Nev. 1994)). “In other words, Nevada subscribes to the rationale underlying the nonliability principle—that individuals, drunk or sober, are responsible for their torts.” Id. (citing Hinegardner v. Marcor Resorts, 844 P.2d 800, 803 (Nev. 1992)). In the FAC, Manley alleges that because he sustained his injuries while staying on Defendants’ premises as an invited guest and patron, Defendants owed Manley a duty of care. (ECF No. 7 at 9.) Specifically, Manley argues Defendants “violated their duties to [Manley] by refusing to properly address [his] incapacitated state while concurrently extending credit and significantly increasing his credit limit, continuing to serve him alcohol, failing to properly respond to him cutting his hand and bleeding on a blackjack actin

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Manley v. MGM Resorts International, (D. Nev. 2023).

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