McPeters v. Lexisnexis

910 F. Supp. 2d 981, 2012 WL 4739565, 2012 U.S. Dist. LEXIS 143125
CourtDistrict Court, S.D. Texas
DecidedOctober 3, 2012
DocketCase No. 4:11-cv-02056
StatusPublished
Cited by3 cases

This text of 910 F. Supp. 2d 981 (McPeters v. Lexisnexis) is published on Counsel Stack Legal Research, covering District Court, S.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
McPeters v. Lexisnexis, 910 F. Supp. 2d 981, 2012 WL 4739565, 2012 U.S. Dist. LEXIS 143125 (S.D. Tex. 2012).

Opinion

MEMORANDUM AND ORDER

KEITH P. ELLISON, District Judge.

Before the Court is Defendant’s Motion to Dismiss (“Motion”). (Doc. No. 68.) After considering the Motion, all responses and replies thereto, and the applicable law, the Court concludes that the Motion should be GRANTED in part and DENIED in part.

I. Background

Plaintiff Karen McPeters is a Montgomery County civil litigant who challenges the electronic filing (“e-filing”) charges imposed by Defendant on litigants in Texas state courts in Montgomery and Jefferson counties. Plaintiff brings this suit as a putative class action, and alleges that Defendant has violated several provisions of the Texas Constitution, the Texas Deceptive Trade Practices (“DTPA”), the Texas Theft Liability Act (“TTLA”), and the Texas Business and Commerce Codes.

Plaintiff previously sued Defendant in a related action in this Court, asserting both federal law and Texas state law claims. McPeters v. Edwards, 806 F.Supp.2d 978 (S.D.Tex.2011) aff'd, 464 Fed.Appx. 351 (5th Cir.2012). Defendant filed a motion to dismiss in that case. This Court granted Defendant’s motion, dismissing Plaintiffs federal claims, and declined to exercise supplemental jurisdiction over her state law claims. Plaintiff appealed, and the decision regarding the federal claims was affirmed by the Fifth Circuit. McPeters v. Edwards, 464 Fed.Appx. 351, 352 (5th Cir.2012).

Plaintiff initiated the instant action in Bexar County, and Defendant removed it to this Court on the basis of diversity. The disputed issues resolved in this Order concern Plaintiffs state claims.

II. LEGAL STANDARD

Rule 12(b)(6) provides for dismissal of a complaint for “failure to state a claim for which relief can be granted.” Fed. R.Civ.P. 12(b)(6). When considering a Rule 12(b)(6) motion to dismiss, a court must “accept the complaint’s well-pleaded facts as true and view them in the light most favorable to the plaintiff.” Johnson v. Johnson, 385 F.3d 503, 529 (5th Cir. 2004). A claim “does not need detailed factual allegations” but must provide par[987]*987ty’s grounds for entitlement to relief, “including factual allegations that when assumed to be true raise a right to relief above the speculative level.” Cuvillier v. Taylor, 503 F.3d 397, 401 (5th Cir.2007), citing Bell Atl. Corp. v. Twombly, 550 U.S. 544, 545, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007).

A district court will dismiss a claim under Fed. R. of Civ. P. 12(b)(6) only if “it appears certain that the plaintiff cannot prove any set of facts in support of his claim that would entitle him to relief.” Leffall v. Dallas Indep. Sch. Dist., 28 F.3d 521, 524 (5th Cir.1994). However, “conclusory allegations or legal conclusions masquerading as factual conclusions will not suffice to prevent a motion to dismiss.” Fernandez-Montes v. Allied Pilots Ass’n, 987 F.2d 278, 284 (5th Cir.1993). A complaint will only survive a motion for dismissal if the plaintiff pleads sufficient facts to state a claim for relief that is facially plausible. Ashcroft v. Iqbal, 556 U.S. 662, 677, 129 S.Ct. 1937, 173 L.Ed.2d 868 (2009); Twombly, 550 U.S. at 570, 127 S.Ct. 1955.

III. ANALYSIS

A. The Texas Deceptive Trade Practices Act (“DTPA”)

Plaintiff alleges that Defendant engaged in false, misleading, or deceptive practices (§ 17.46(b) of the DTPA) and that Defendant engaged in unconscionable conduct (§ 17.50(a)(3)). The Court grants Defendant’s Motion with regard to § 17.46(b) and denies Defendant’s Motion with regard to 17.50(a)(3).

1. § 17.46(b): False, Misleading, or Deceptive Acts

Section 17.46(b) of the DTPA makes unlawful false, misleading, or deceptive acts or practices in the conduct of any trade or commerce. Plaintiff alleges that Defendant made implied representations that it was a government actor, and misled Plaintiff about the amount and nature of the e-filing fee. Defendant asserts that Plaintiff has not demonstrated causation or injury based on Defendant’s conduct. Detrimental reliance is an essential element for proving false, misleading or deceptive acts under the DTPA. Tex. Bus. & Com.Code § 17.50(a)(1)(B). The Court finds that the Plaintiff has not demonstrated causation because she has failed to allege any specific concealments by Defendant that she relied upon to e-file. Plaintiff had knowledge of the alternatives to e-filing before she chose to e-file. (Compl. ¶ 10, 82). She did not choose to e-file because she thought that Defendant was charging her a “filing fee,” rather than an e-filing fee.

Plaintiff also alleges that Defendant concealed information such as the amount of the e-filing fee, the ability to pay for filing without paying for service of a document, and the cost of an invoice for services provided from the consumer. The Court finds that 1) these concealments did not induce Plaintiff to pay the e-filing fee, and 2) failure to disclose the e-filing fee is not a violation of the DTPA. To be actionable, Defendant’s failure to disclose must have been “intended to induce the consumer into a transaction into which the consumer would not have entered had the information been disclosed.” See DTPA § 17.46(b)(24) (Vernon Supp. 2001), cited in Texas v. Am. Blastfax, Inc., 164 F.Supp.2d 892, 901 (W.D.Tex.2001). Plaintiff has not alleged that she would have used an alternative method if she had known the cost of e-filing, indeed she states that the “local terminal option” for filing court documents is “even more costly and inconvenient,” which is why she chose not to use it (Compl. ¶ 82(i)).

Plaintiff alleges that parties in Montgomery County have misrepresented De[988]*988fendant’s role in e-filing to her. However, Plaintiff cannot show that Defendant is responsible for misstatements by other parties. For example, Plaintiff points to the statements of the Montgomery County District Clerk, who incorrectly informed her that e-filing was mandatory. While “there may be more than one proximate cause of an event,” Plaintiff has not sufficiently asserted that the Defendant is one cause of the false, misleading, or deceptive conduct. Del Lago Partners, Inc. v. Smith, 307 S.W.3d 762, 774 (Tex.2010), citing Lee Lewis Constr., Inc. v. Harrison, 70 S.W.3d 778, 784 (Tex.2001).

2. Section 17.50(a)(3): Unconscionability

Plaintiff alleges that e-filing fees charged by Defendant are unconscionable.

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Cite This Page — Counsel Stack

Bluebook (online)
910 F. Supp. 2d 981, 2012 WL 4739565, 2012 U.S. Dist. LEXIS 143125, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mcpeters-v-lexisnexis-txsd-2012.