Martinez v. Ford Motor Company

District Court, S.D. California·Decided April 17, 2023·No. 3:22-cv-01082·Unknown

Opinion

JORGE MARTINEZ, Case No. 22-cv-1082-MMA (BGS)

Plaintiff, ORDER GRANTING DEFENDANT v. ETHOS GROUP INC.’S MOTION TO DISMISS; AND FORD MOTOR COMPANY, et al.

Defendants. [Doc. No. 23]

ORDER GRANTING IN PART AND DENYING IN PART DEFENDANT FORD MOTOR COMPANY’S MOTION TO DISMISS [Doc. No. 24]

On June 24, 2022, Jorge Martinez (“Plaintiff”) commenced the instant action against Ethos Group Inc. (“Defendant Ethos”), Ford Motor Company (“Defendant Ford”), Norm Reeves Ford Lincoln, and Does 1–10 in the State of California, Superior Court for the County of San Diego. See Doc. No. 1-2 (“Compl.”). On July 25, 2022, Defendant Ford removed the action to this Court based on federal question jurisdiction. See Doc. No. 1. Defendant Ethos consented to removal. See id. at 2. Both Defendant Ethos and Defendant Ford now move to dismiss pursuant to Federal Rule of Civil Procedure 12(b)(6). See Doc. Nos. 23, 24. Plaintiff filed oppositions, to which Defendants Ford and Ethos replied. See Doc. Nos. 25, 26, 27, 28. The Court found the matters suitable for determination on the papers and without oral argument pursuant to Civil Local Rule 7.1.d.1. See Doc. No. 29. For the reasons set forth below, the Court GRANTS Defendant Ethos’s motion to dismiss and GRANTS IN PART and DENIES IN PART Defendant Ford’s motion to dismiss. I. BACKGROUND2 Plaintiff purchased a “new 2014 Ford Edge” (the “Vehicle”). FAC ¶ 6. Plaintiff contends that Defendant Ford is the distributor of the Vehicle. Id. Plaintiff also purchased a service contract from Defendant Ethos that “covered some repair costs of the Vehicle.” Id. ¶ 64. The Vehicle subsequently developed issues. See id. ¶ 9. Plaintiff alleges the following mechanical failures: During the warranty period, the Vehicle contained or developed nonconformity(s) to warranty, including but not limited to defect(s) which have manifested as check engine lights, cooling fan defect, power steering defect, coolant leaks, oil leaks, and Evaporative Emission Control System leaks. Said defects substantially impair the use, value, or safety of the Vehicle. Id. Plaintiff alleges that he “presented the Vehicle for repair at Defendant[] [Ford’s] authorized repair facility on or about August 24, 2020[,]” “again presented the Vehicle for repairs at Defendant’s authorized repair facility due to overheating” on September 16, 2021, and then “scheduled another repair appointment and took

1 At this stage, it appears that Defendant Norm Reeves Ford Lincoln has not yet been properly served. 2 Because this matter is before the Court on a motion to dismiss, the Court must accept as true the allegations set forth in the First Amended Complaint and construe them in the light most favorable to Plaintiff, the non-moving party. See Snyder & Assocs. Acquisitions LLC v. United States, 859 F.3d the vehicle to Norm Reeves Ford in Cerritos CA[.]” Id. ¶ 10. Plaintiff avers that “Defendant has yet to conform the [V]ehicle to warranty” and that “[t]he Vehicle continues to overheat, and the fans are not working.” Id. Plaintiff asserts that Defendant Ford failed to repair or replace the vehicle as required by the warranties and failed to reimburse him for expenses. See id. ¶¶ 6–44. Plaintiff maintains that Defendant Ethos failed to provide the “services” and parts necessary for normal operation. Id. ¶ 66. Plaintiff “repeatedly presented the Vehicle for repairs” and “Defendant Ethos Group, Inc., repeatedly failed to provide functional parts and service necessary to maintain proper operation of the Vehicle.” Id. In sum, Plaintiff asserts Defendant Ethos “fail[ed] to comply with their obligations” under the service contract. Id. ¶ 67. A Rule 12(b)(6) motion to dismiss tests the sufficiency of the complaint. Navarro v. Block, 250 F.3d 729, 732 (9th Cir. 2001). A pleading must contain “a short and plain statement of the claim showing that the pleader is entitled to relief.” Fed. R. Civ. P. 8(a)(2). However, plaintiffs must also plead “enough facts to state a claim to relief that is plausible on its face.” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007); see also Fed. R. Civ. P. 12(b)(6). The plausibility standard demands more than a “formulaic recitation of the elements of a cause of action,” or “‘naked assertions’ devoid of ‘further factual enhancement.’” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009) (quoting Twombly, 550 U.S. at 555). Instead, the complaint “must contain allegations of underlying facts sufficient to give fair notice and to enable the opposing party to defend itself effectively.” Starr v. Baca, 652 F.3d 1202, 1216 (9th Cir. 2011). In reviewing a motion to dismiss under Rule 12(b)(6), courts must assume the truth of all factual allegations and must construe them in the light most favorable to the nonmoving party. Cahill v. Liberty Mut. Ins. Co., 80 F.3d 336, 337–38 (9th Cir. 1996) (citing Nat’l Wildlife Fed’n v. Espy, 45 F.3d 1337, 1340 (9th Cir. 1995)). The court need not take legal conclusions as true merely because they are cast in the form of factual allegations. Roberts v. Corrothers, 812 F.2d 1173, 1177 (9th Cir. 1987) (quoting W. Min. Council v. Watt, 643 F.2d 618, 624 (9th Cir. 1981)). Similarly, “conclusory allegations of law and unwarranted inferences are not sufficient to defeat a motion to dismiss.” Pareto v. FDIC, 139 F.3d 696, 699 (9th Cir. 1998). In determining the propriety of a Rule 12(b)(6) dismissal, courts generally may not look beyond the complaint for additional facts. United States v. Ritchie, 342 F.3d 903, 907–08 (9th Cir. 2003). “A court may, however, consider certain materials—documents attached to the complaint, documents incorporated by reference in the complaint, or matters of judicial notice—without converting the motion to dismiss into a motion for summary judgment.” Id. at 908; see also Lee v. City of Los Angeles, 250 F.3d 668, 688 (9th Cir. 2001). “However, [courts] are not required to accept as true conclusory allegations which are contradicted by documents referred to in the complaint.” Steckman v. Hart Brewing, Inc., 143 F.3d 1293, 1295–96 (9th Cir. 1998) (citing In re Stac Elecs. Sec. Litig., 89 F.3d 1399, 1403 (9th Cir. 1996)). In reviewing a motion to dismiss: [T]he “incorporation by reference” doctrine [extends] to situations in which the plaintiff’s claim depends on the content of a document, the defendant attaches the document to its motion to dismiss, and the parties do not dispute the authenticity of the document, even though the plaintiff does not explicitly allege the contents of that document in the complaint. Knievel v. ESPN, 393 F.3d 1068, 1076 (9th Cir. 2005); Davis v. HSBC Bank Nev., 691 F.3d 1152, 1161 (9th Cir. 2012) (“Under the ‘incorporation by reference’ doctrine in this Circuit, ‘a court may look beyond the pleadings without converting the Rule 12(b)(6) motion into one for summary judgment.’”) (quoting Van Buskirk v. Cable News Network, Inc.,

Martinez v. Ford Motor Company, (S.D. Cal. 2023).

Martinez v. Ford Motor Company (Martinez v. Ford Motor Company) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Bell Atlantic Corp. v. Twombly
550 U.S. 544 (Supreme Court, 2007)
Ashcroft v. Iqbal
556 U.S. 662 (Supreme Court, 2009)
Jack Allen v. City of Beverly Hills
911 F.2d 367 (Ninth Circuit, 1990)
Cortez v. Purolator Air Filtration Products Co.
999 P.2d 706 (California Supreme Court, 2000)
Clemens v. DaimlerChrysler Corp.
534 F.3d 1017 (Ninth Circuit, 2008)
Knappenberger v. City of Phoenix
566 F.3d 936 (Ninth Circuit, 2009)
Weinstat v. Dentsply International, Inc.
180 Cal. App. 4th 1213 (California Court of Appeal, 2010)
Oregel v. AMERICAN ISUZU MOTORS, INC.
109 Cal. Rptr. 2d 583 (California Court of Appeal, 2001)
United States v. Williams
838 F. Supp. 1 (District of Columbia, 1993)
Music Acceptance Corp. v. Lofing
32 Cal. App. 4th 610 (California Court of Appeal, 1995)
American Suzuki Motor Corp. v. Superior Court
37 Cal. App. 4th 1291 (California Court of Appeal, 1995)
Margie Daniel v. Ford Motor Company
806 F.3d 1217 (Ninth Circuit, 2015)
Dean Beaver v. Tarsadia Hotels
816 F.3d 1170 (Ninth Circuit, 2016)