Margaret Trevino v. AAA Insurance Company, et al.

District Court, D. Arizona·Decided August 25, 2026·No. 2:25-cv-02287·Unknown

Opinion

WO

Margaret Trevino, No. CV-25-02287-PHX-DWL

Plaintiff, ORDER

v.

AAA Insurance Company, et al.,

Defendants. Margaret Trevino (“Plaintiff”) sued CSAA General Insurance Company (“Defendant”) for failing to pay underinsured motorist benefits. (Doc. 1-3 at 4-9.) However, after the case was removed to federal court, Plaintiff essentially stopped participating—she did not provide initial disclosures, respond to written discovery requests, appear for her deposition, disclose experts, or engage in court-ordered settlement negotiations. As a result, Defendant has moved for summary judgment under Rule 56 or, alternatively, to dismiss for failure to prosecute under Rule 41. (Doc. 18.) The motion is now fully briefed. (Docs. 21, 22.) For the reasons that follow, this action is dismissed without prejudice for failure to prosecute under Rule 41.1 Defendant “issued an automobile policy of insurance, identified as Policy Number AZSS211886298, to Plaintiff, with underinsured motorist coverage in the amount of

1 This conclusion renders it unnecessary to address whether summary judgment should be granted under Rule 56. $100,000.00 for each person and $300,000.00 for each occurrence.” (Doc. 1-3 at 5 ¶ 7; Doc. 4 at 2 ¶ 7.) On or about July 12, 2024, “Plaintiff was involved in a motor vehicle collision that was caused by the negligence of uninsured motorist, Marlon Demond Juniel.” (Doc. 1-3 at 5 ¶ 8; Doc. 4 at 2 ¶ 8.) At some point thereafter, Plaintiff made an underinsured motorist claim to Defendant. (Doc. 1-3 at 6 ¶ 13; Doc. 18 at 1-2.) On February 7, 2025, Plaintiff sued Defendant in Maricopa County Superior Court. (Doc. 1-3 at 10-15.) Plaintiff’s complaint was signed by Steven Jones (“Jones”) of Morgan & Morgan Arizona, PLLC (“Morgan & Morgan”). (Id. at 15.) On April 23, 2025, Plaintiff filed an amended complaint in Maricopa County Superior Court. (Id. at 4-9.) Plaintiff’s amended complaint was again signed by Jones. (Id. at 9.) The amended complaint asserts claims for breach of contract, bad faith, and underinsured motorist benefits. (Id. at 6-8 ¶¶ 21-34.) On May 20, 2025, Javier Alatorre (“Alatorre”), also of Morgan & Morgan, filed a notice of appearance on behalf of Plaintiff. (Id. at 2-3.) On June 3, 2025, defense counsel sent correspondence to Jones and Alatorre advising, among other things, that Defendant intended to remove the case to federal court. (Doc. 18-2 at 2.) On June 4, 2025, Alatorre sent correspondence to defense counsel indicating that he would be representing Plaintiff and providing his contact information and his paralegal’s contact information. (Doc. 18-3 at 2-3.) On June 30, 2025, Defendant removed the case to federal court. (Doc. 1.) On July 2, 2025, Defendant filed its answer. (Doc. 4.) On August 15, 2025, Defendant provided Rule 26 initial disclosures to Plaintiff. (Doc. 18-4.) On August 19, 2025, the parties filed a joint Rule 26(f) case management report. (Doc. 9.) The joint report identified Alatorre as “Counsel for Plaintiff.” (Id. at 1.) On August 20, 2025, the Court entered a Case Management Order (“CMO”). (Doc. 10.) The CMO set forth various deadlines, including, among other things, a September 3, 2025 deadline for initial disclosures, a December 1, 2025 deadline for good-faith settlement talks, a December 15, 2025 deadline for Plaintiff to provide expert disclosures, and an April 15, 2026 deadline to complete fact discovery. (Id.) The CMO also warned: “The Deadlines Are Real. The Court intends to enforce the deadlines set forth in this [CMO], and the parties should plan their litigation activities accordingly.” (Id. ¶ 12.) The CMO further warned: “Dismissal for Failure to Meet Deadlines. The parties are warned that failure to meet any of the deadlines in this [CMO] or in the Federal or Local Rules of Civil Procedure without substantial justification may result in sanctions, including dismissal of the action or entry of default.” (Id. ¶ 15.) On November 11, 2025, defense counsel sent correspondence to Jones and Alatorre. (Doc. 18-5.) In that correspondence, defense counsel noted that “Plaintiff’s Initial Disclosure [was] now over two months overdue.” (Id. at 2.) Defense counsel requested Plaintiff’s initial disclosures “by no later than Friday, November 21, 2025.” (Id.) Separately, defense counsel sought “to move forward with scheduling the Plaintiff’s deposition” and asked Plaintiff’s counsel to respond with their availability by Wednesday, November 19, 2025. (Id.) Defense counsel advised that if he did not hear from Plaintiff’s counsel by November 19, 2025, he would notice the deposition “based on [his] calendar only.” (Id.) Additionally, defense counsel noted that “the Court has ordered that the parties are to engage in good faith settlement discussions by December 1, 2025” and asked for Plaintiff’s counsel’s availability “for a telephone conference to discuss settlement negotiations.” (Id.) Finally, defense counsel attached Defendant’s First Set of Interrogatories and Requests for Production. (Id. at 3. See also Docs. 18-6, 18-7.) On November 26, 2025, defense counsel wrote to Jones and Alatorre because he had “not received any response from [Plaintiff’s counsel] regarding the information [he] raised in [his] November 11, 2025 letter.” (Doc. 18-8 at 2.) Defense counsel stated that Plaintiff’s initial disclosures remained “overdue” and that he had not heard from Plaintiff’s counsel about scheduling Plaintiff’s deposition. (Id.) Defense counsel “demand[ed] that [Plaintiff’s counsel] provide the Plaintiff’s Initial Disclosure Statement by no later than December 5, 2025.” (Id.) Defense counsel also “attached . . . a Notice of Deposition of [Plaintiff]” and noted that defense counsel had “scheduled this deposition for Tuesday, December 16, 2025 at 9:30 a.m. at [his] office” and had “chosen this date based on [his] own calendar since [Plaintiff’s counsel] did not respond to [his] November 11, 2025 letter.” (Id.) Defense counsel also reiterated his request “to discuss engaging in good faith settlement discussion by the Court-ordered deadline of December 1, 2025.” (Id.) That same day, Defendant filed a notice of deposition for Plaintiff. (Doc. 13.) The notice listed the deposition date as December 15, 2025. (Id. at 1.) On December 1, 2025, Jones filed a notice of appearance for himself and notice of withdrawal for Alatorre. (Doc. 14.) The notice explained that Alatorre had “disassociate[d] from Morgan [&] Morgan.” (Id. at 1.) That same day, Jones sent correspondence to defense counsel indicating that he would be representing Plaintiff and providing his contact information and his paralegal’s contact information. (Doc. 18-9.) This letter mirrored the letter sent by Alatorre on June 4, 2025. (Compare Doc. 18-3 with Doc. 18-9.) On December 8, 2025, the parties did not file a joint report on settlement talks as required by paragraph 11 of the CMO. (Doc. 10 ¶ 11.) Instead, on December 8, 2025, Defendant filed “Defendant’s Report on Settlement Talks.” (Doc. 15.) Defendant explained that since the lawsuit had been filed, there had “been no further settlement talks . . . despite [defense counsel’s] request to Plaintiff’s counsel for a telephone conversation to discuss settlement” on November 11 and 26, 2025. (Id. at 1.) On December 15, 2025, defense counsel emailed Jones and others to “follow up to [his] 11/11/25 and 11/26/26 letters.” (Doc. 18-10 at 2.) Defense counsel stated that Plaintiff’s “deposition [was] scheduled for tomorrow” but that Morgan & Morgan “ha[d] informed [him] that it [was] not on [Plaintiff’s counsel’s] calendar.” (Id.) Defense counsel “reluctantly” agreed to “reschedul[e] this deposition” and asked Jones which of several proposed dates would work. (Id.) Defense counsel asked for a response by Wednesday, December 17, 2025, “[o]therwise, [defense counsel] [would] pick one of these dates and issue the amended notice of deposition.” (Id.) Finally, defense counsel reiterated that he

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Margaret Trevino v. AAA Insurance Company, et al., (D. Ariz. 2026).

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