McGill v. FCA US LLC

CourtDistrict Court, E.D. California
DecidedDecember 13, 2021
Docket2:21-cv-00093
StatusUnknown

This text of McGill v. FCA US LLC (McGill v. FCA US LLC) is published on Counsel Stack Legal Research, covering District Court, E.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
McGill v. FCA US LLC, (E.D. Cal. 2021).

Opinion

1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 EASTERN DISTRICT OF CALIFORNIA 10 11 JACQUELINE JOSEPHINE MCGILL No. 2:21-cv-00093-MCE-JDP and CHARLES MCGILL, 12 Plaintiffs, 13 MEMORANDUM AND ORDER v. 14 FCA US LLC and DOES 1 through 10, 15 inclusive, 16 Defendant. 17 18 On April 8, 2020, Plaintiffs Jacqueline Josephine McGill and Charles McGill 19 (“Plaintiffs”) filed a Complaint in the Superior Court of California, County of Los Angeles, 20 against Defendant FCA US LLC (“Defendant”), alleging violations of California’s Song- 21 Beverly Consumer Warranty Act, California Civil Code §§ 1790 et seq. (“Song-Beverly 22 Act”); breach of express and implied warranties; fraud by omission; and violations of 23 California’s Consumer Legal Remedies Act, California Civil Code §§ 1750 et seq.1 24 Compl., ECF No. 1-6 (“Compl.”). Defendant subsequently removed the case to this 25 /// 26 ///

27 1 The parties stipulated to transfer venue of the state court action to the Superior Court of California, County of Sacramento, on May 29, 2020. Not. Removal, ECF No. 1 ¶ 4. The original complaint 28 also named Elk Grove Dodge as a defendant, but it was dismissed on January 8, 2021. Id. ¶ 5. 1 Court pursuant to 28 U.S.C. § 1332. Presently before the Court is Plaintiff’s Motion to 2 Remand. ECF No. 5. For the reasons set forth below, Plaintiff’s Motion is DENIED.2 3 4 BACKGROUND 5 6 On March 28, 2019, Plaintiffs purchased a 2017 Chrysler Pacifica (“Vehicle”) 7 which was manufactured and distributed by Defendant. Compl. ¶ 9. In connection with 8 the purchase, Plaintiffs received an express written warranty in which Defendant 9 undertook to preserve or maintain the utility or performance of the Vehicle or to provide 10 compensation if there is a failure in utility or performance for a specified period of time. 11 Id. ¶ 10. The warranty provided, in relevant part, that in the event a defect developed 12 with the Vehicle during the warranty period, Plaintiffs could deliver the Vehicle for repair 13 services to Defendant’s representative and the Vehicle would be repaired. Id. 14 During the warranty period, Plaintiffs allege that the Vehicle contained or 15 developed defects which substantially impaired the use, value, and/or safety of the 16 Vehicle. Id. ¶ 11. For example, Plaintiffs claims that the Vehicle was manufactured with 17 a defective 9HP transmission and Powertrain Control Module. Id. ¶¶ 13–14. According 18 to Plaintiffs, Defendant knew of these defects prior to Plaintiffs’ purchase of the Vehicle 19 but instead Defendant concealed and failed to disclose them to its sale representatives 20 and Plaintiffs at the time of sale and thereafter. Id. ¶¶ 16–18. Neither Defendant nor its 21 representatives have been able to service or repair the Vehicle to conform to the 22 applicable express warranty after a reasonable number of repair attempts. Id. ¶¶ 31, 38. 23 /// 24 /// 25 /// 26 /// 27 2 Because oral argument would not be of material assistance, the Court ordered this matter 28 submitted on the briefs. E.D. Local Rule 230(g). 1 STANDARD 2 3 When a case “of which the district courts of the United States have original 4 jurisdiction” is initially brought in state court, the defendant may remove it to federal court 5 “embracing the place where such action is pending.” 28 U.S.C. § 1441(a). There are 6 two bases for federal subject matter jurisdiction: (1) federal question jurisdiction under 7 28 U.S.C. § 1331, and (2) diversity jurisdiction under 28 U.S.C. § 1332. A district court 8 has federal question jurisdiction in “all civil actions arising under the Constitution, laws, 9 or treaties of the United States.” Id. § 1331. A district court has diversity jurisdiction 10 “where the matter in controversy exceeds the sum or value of $75,000, . . . and is 11 between citizens of different states, or citizens of a State and citizens or subjects of a 12 foreign state . . . .” Id. § 1332(a)(1)–(2). 13 A defendant may remove any civil action from state court to federal district court if 14 the district court has original jurisdiction over the matter. 28 U.S.C. § 1441(a). “The 15 party invoking the removal statute bears the burden of establishing federal jurisdiction.” 16 Ethridge v. Harbor House Rest., 861 F.2d 1389, 1393 (9th Cir. 1988) (citing Williams v. 17 Caterpillar Tractor Co., 786 F.2d 928, 940 (9th Cir. 1986)). Courts “strictly construe the 18 removal statute against removal jurisdiction.” Gaus v. Miles, Inc., 980 F.2d 564, 566 19 (9th Cir. 1992) (internal citations omitted). “[I]f there is any doubt as to the right of 20 removal in the first instance,” the motion for remand must be granted. Id. Therefore, “[i]f 21 at any time before final judgment it appears that the district court lacks subject matter 22 jurisdiction, the case shall be remanded” to state court. 28 U.S.C. § 1447(c). 23 If the district court determines that removal was improper, then the court may also 24 award the plaintiff costs and attorney fees accrued in response to the defendant’s 25 removal. 28 U.S.C. § 1447(c). The court has broad discretion to award costs and fees 26 whenever it finds that removal was wrong as a matter of law. Balcorta v. Twentieth- 27 Century Fox Film Corp., 208 F.3d 1102, 1106 n.6 (9th Cir. 2000). 28 /// 1 ANALYSIS 2 3 Defendant removed the instant case pursuant to the Court’s diversity jurisdiction. 4 See Not. Removal, ECF No. 1. As the removing party, Defendant bears the burden of 5 establishing federal jurisdiction. Ethridge, 861 F.2d at 1393. The pertinent inquiries for 6 the Court therefore go to the amount in controversy and the diversity of the parties. 7 A. Amount in Controversy3 8 Defendant raises two arguments in support of its contention that the amount in 9 controversy exceeds $75,000, the first one being that the amount in controversy is 10 apparent from the face of the Complaint. See Def.’s Opp’n Mot. Remand, ECF No. 7, at 11 8–10. Second, Defendant provides additional evidence and asserts that it can establish 12 by a preponderance of the evidence that the amount in controversy exceeds $75,000. 13 See id. at 10–14. The Court will address each argument in turn. 14 1. Face of the Complaint 15 In the Complaint, Plaintiffs allege that they “suffered damages in a sum to be 16 proven at trial in an amount that is not less than $25,001.00.” Compl. ¶ 12. No specific 17 amount is stated in Plaintiffs’ Prayer for Relief, which lists actual, consequential, punitive, 18 and incidental damages; equitable and injunctive relief; attorneys’ fees and costs; and 19 prejudgment interest. Id. at 16–17. Furthermore, “Plaintiffs seek the remedies provided 20 in California Civil Code [§] 1794(b)(1), including the entire contract price.” Id. ¶ 37. 21 Finally, Plaintiffs claim they “are entitled to a civil penalty of two times Plaintiffs’ actual 22 damages pursuant to [California] Civil Code” § 1794(c) and (e). Id. ¶¶ 31–32. 23 /// 24

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McGill v. FCA US LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mcgill-v-fca-us-llc-caed-2021.