O'Neill v. Standard Homeopathic Co.
This text of 346 F. Supp. 3d 511 (O'Neill v. Standard Homeopathic Co.) is published on Counsel Stack Legal Research, covering District Court, S.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
Opinion
KENNETH M. KARAS, District Judge:
Plaintiffs Jennifer O'Neill ("O'Neill") and Tricia Zamfino ("Zamfino") bring the instant Complaint, on their own behalf and on behalf of a putative class, alleging that they were injured by paying for unsafe products that have since been voluntarily removed from the marketplace by Defendants Standard Homeopathic Company ("Standard") and Hyland's, Inc. ("Hyland's"), and which are no longer available for purchase at Defendants Target Corporation ("Target") or CVS Pharmacy, Inc. ("CVS") (collectively "Defendants"). (Am. Compl. ¶¶ 1-3 (Dkt. No. 20).) According to Plaintiffs, Defendants "made false representations about their teething products," that were in violation of New York General Business Law ("GBL") §§ 349 and 350, and also resulted in a breach of the implied warranty of merchantability and a breach of contract. (Id. ¶¶ 53-76.) Defendants have filed a Motion To Dismiss Plaintiffs' Amended Complaint. (See Defs.' Mot. To Dismiss Am. Compl. (Dkt. No. 59).) For the following reasons, Defendants' Motion is granted in part and denied in part.
I. Background
A. Factual Background
For purposes of the instant Motion, the Court treats the allegations contained in the Amended Complaint as true. Plaintiff O'Neill purchased Hyland's Baby Teething Tablets on an unspecified date at Target in Newburgh, New York. (Am. Compl. ¶ 4.) Plaintiff Zamfino purchased the same product at CVS in Middletown, New York. (Id. ¶ 5.) O'Neill discarded a full, unused container of Hyland's Baby Teething Tablets in the wake of the Food and Drug Administration's (the "FDA") warning regarding the safety of the product in September 2016, (id. ¶ 4), while Zamfino discarded a full, unused container, as well as a half-filled container, of the same, (id. ¶ 5).
Standard, through its Hyland's division, sold various homeopathic medicines under the brand name of "Hyland's." (Id. ¶ 7.) As is relevant here, Standard sold Hyland's Baby Nighttime Teething Tablets, Hyland's Baby Teething Gel, Hyland's Baby Teething Tablets, and Hyland's Teething Gel at various retailers, including Target and CVS. (Id. ¶¶ 14, 18.) According to Plaintiffs, Standard marketed the specific product purchased by O'Neill and Zamfino-the *518Hyland's Baby Teething Tablets-by claiming that the product "make[s] nights bearable, days livable, and truly make[s] the teething years way more groovy." (Id. ¶ 15.) In addition to these marketing statements, Standard's and Hyland's website allegedly contained a "detailed 'Safety Information' " page that included "representations that the FDA had regulated its manufacturing, and provid[ed] an overall impression that their products were safe." (Id. ¶ 16.) This safety information included a hypothetical regarding product safety, wherein Standard and Hyland's asserted that "a 10-pound child would have to accidentally ingest, all at the same time, more than a dozen bottles of 135 Baby Teething Tablets before experiencing certain adverse effects." (Id. ¶ 17 (internal quotation marks omitted).)
However, in 2010, the FDA issued a warning that Hyland's Teething Tablets may pose a risk to children, recommended that "consumers not use this product and dispose of any in their possession," (id. ¶ 19 (internal quotation marks omitted) ), and announced that Hyland's would be issuing a recall of the product, (id. ¶ 20). According to Plaintiffs, the FDA warning concerned the existence of "a small amount of belladonna, a substance that can cause serious harm at larger doses," in the Hyland's Teething Tablets. (Id. ¶ 21.) Plaintiffs allege that the FDA's laboratory analysis showed that the belladonna was not "carefully controlled," as the Hyland's Teething Tablets were shown to "contain inconsistent amounts of belladonna." (Id. ) Moreover, the FDA had "received reports of serious adverse events in children taking this product that [were] consistent with belladonna toxicity." (Id. ) Ultimately, Hyland's agreed to recall the Teething Tablets in 2010 out of "an abundance of caution," although it contended that the Teething Tablets were "safe for infants and toddlers." (Id. ¶ 22-23 (internal quotation marks omitted).) Yet, in 2011, Hyland's reintroduced the Teething Tablets to the market, "stating it had modified its manufacturing process, and ... claiming its products were safe." (Id. ¶ 24.)
Approximately four years later, in September 2015, USA Today published an article wherein the mother of an infant in Texas alleged that her child "was having five to six seizures a day after [the child] started taking Hyland's Baby Nighttime Teething Tablets." (Id. ¶ 25.) According to the article, "an ingredient in Hyland's homeopathic teething tablets had earlier been linked to seizures." (Id. ¶ 27.)
Roughly one year after the USA Today report, the FDA issued a new warning to consumers regarding certain homeopathic remedies. Specifically, the FDA stated that "homeopathic teething tablets and gels may pose a risk to infants and children," and further recommended that "consumers stop using these products and dispose of any in their possession." (Id. ¶ 29 (internal quotation marks omitted).) According to the FDA, these products had been linked to "adverse events ... including seizures in infants and children who were given these products." (Id. ¶ 30 (internal quotation marks omitted).) The FDA also confirmed that homeopathic teething tablets and gels had "not been evaluated or approved by the FDA for safety or efficacy," in direct contrast to representations allegedly made by Defendants. (Id. ¶ 31 (emphasis and internal quotation marks omitted).)
In response, Hyland's maintained that it was "confident that Hyland's Baby Teething Tablets remain safe," and that the FDA's warning came as "a surprise statement." (Id. ¶ 33 (internal quotation marks omitted).) Hyland's also confirmed that its homeopathic products were in fact regulated by the FDA, which placed it in direct *519conflict with the FDA's statement. (Id. ¶ 34.) Nonetheless, in response to the FDA's warning, "Hyland's discontinued distribution of its teething products in the United States." (Id. ¶ 36.)
Then, on January 27, 2017, the FDA issued another warning regarding homeopathic teething tablets. (Id. ¶ 37.) At this time, the FDA "indicated that it asked Standard to recall its teething tablets containing belladonna." (Id. ) The FDA's January 2017 warning confirmed that a "laboratory analysis found inconsistent amounts of belladonna ... in certain homeopathic teething tablets, sometimes far exceeding the amount claimed on the label." (Id. ¶ 38 (internal quotation marks omitted).) Due to these findings, the FDA "contact[ed] Standard directly and ask[ed] Standard to recall its homeopathic teething tablets in order to protect consumers from inconsistent levels of belladonna." (Id. ¶ 40 (internal quotation marks omitted).) At the time the Amended Complaint was filed, Standard had not yet recalled the relevant products. (Id. ¶ 41.) However, on April 13, 2017, Standard announced that it was recalling all Hyland's Baby Teething Tablets and Hyland's Baby Nighttime Teething Tablets sold in retail stores to consumers. (See Decl. of Judith A. Archer, Esq. in Supp. of Mot. To Dismiss ("Archer Decl.") Ex.
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KENNETH M. KARAS, District Judge:
Plaintiffs Jennifer O'Neill ("O'Neill") and Tricia Zamfino ("Zamfino") bring the instant Complaint, on their own behalf and on behalf of a putative class, alleging that they were injured by paying for unsafe products that have since been voluntarily removed from the marketplace by Defendants Standard Homeopathic Company ("Standard") and Hyland's, Inc. ("Hyland's"), and which are no longer available for purchase at Defendants Target Corporation ("Target") or CVS Pharmacy, Inc. ("CVS") (collectively "Defendants"). (Am. Compl. ¶¶ 1-3 (Dkt. No. 20).) According to Plaintiffs, Defendants "made false representations about their teething products," that were in violation of New York General Business Law ("GBL") §§ 349 and 350, and also resulted in a breach of the implied warranty of merchantability and a breach of contract. (Id. ¶¶ 53-76.) Defendants have filed a Motion To Dismiss Plaintiffs' Amended Complaint. (See Defs.' Mot. To Dismiss Am. Compl. (Dkt. No. 59).) For the following reasons, Defendants' Motion is granted in part and denied in part.
I. Background
A. Factual Background
For purposes of the instant Motion, the Court treats the allegations contained in the Amended Complaint as true. Plaintiff O'Neill purchased Hyland's Baby Teething Tablets on an unspecified date at Target in Newburgh, New York. (Am. Compl. ¶ 4.) Plaintiff Zamfino purchased the same product at CVS in Middletown, New York. (Id. ¶ 5.) O'Neill discarded a full, unused container of Hyland's Baby Teething Tablets in the wake of the Food and Drug Administration's (the "FDA") warning regarding the safety of the product in September 2016, (id. ¶ 4), while Zamfino discarded a full, unused container, as well as a half-filled container, of the same, (id. ¶ 5).
Standard, through its Hyland's division, sold various homeopathic medicines under the brand name of "Hyland's." (Id. ¶ 7.) As is relevant here, Standard sold Hyland's Baby Nighttime Teething Tablets, Hyland's Baby Teething Gel, Hyland's Baby Teething Tablets, and Hyland's Teething Gel at various retailers, including Target and CVS. (Id. ¶¶ 14, 18.) According to Plaintiffs, Standard marketed the specific product purchased by O'Neill and Zamfino-the *518Hyland's Baby Teething Tablets-by claiming that the product "make[s] nights bearable, days livable, and truly make[s] the teething years way more groovy." (Id. ¶ 15.) In addition to these marketing statements, Standard's and Hyland's website allegedly contained a "detailed 'Safety Information' " page that included "representations that the FDA had regulated its manufacturing, and provid[ed] an overall impression that their products were safe." (Id. ¶ 16.) This safety information included a hypothetical regarding product safety, wherein Standard and Hyland's asserted that "a 10-pound child would have to accidentally ingest, all at the same time, more than a dozen bottles of 135 Baby Teething Tablets before experiencing certain adverse effects." (Id. ¶ 17 (internal quotation marks omitted).)
However, in 2010, the FDA issued a warning that Hyland's Teething Tablets may pose a risk to children, recommended that "consumers not use this product and dispose of any in their possession," (id. ¶ 19 (internal quotation marks omitted) ), and announced that Hyland's would be issuing a recall of the product, (id. ¶ 20). According to Plaintiffs, the FDA warning concerned the existence of "a small amount of belladonna, a substance that can cause serious harm at larger doses," in the Hyland's Teething Tablets. (Id. ¶ 21.) Plaintiffs allege that the FDA's laboratory analysis showed that the belladonna was not "carefully controlled," as the Hyland's Teething Tablets were shown to "contain inconsistent amounts of belladonna." (Id. ) Moreover, the FDA had "received reports of serious adverse events in children taking this product that [were] consistent with belladonna toxicity." (Id. ) Ultimately, Hyland's agreed to recall the Teething Tablets in 2010 out of "an abundance of caution," although it contended that the Teething Tablets were "safe for infants and toddlers." (Id. ¶ 22-23 (internal quotation marks omitted).) Yet, in 2011, Hyland's reintroduced the Teething Tablets to the market, "stating it had modified its manufacturing process, and ... claiming its products were safe." (Id. ¶ 24.)
Approximately four years later, in September 2015, USA Today published an article wherein the mother of an infant in Texas alleged that her child "was having five to six seizures a day after [the child] started taking Hyland's Baby Nighttime Teething Tablets." (Id. ¶ 25.) According to the article, "an ingredient in Hyland's homeopathic teething tablets had earlier been linked to seizures." (Id. ¶ 27.)
Roughly one year after the USA Today report, the FDA issued a new warning to consumers regarding certain homeopathic remedies. Specifically, the FDA stated that "homeopathic teething tablets and gels may pose a risk to infants and children," and further recommended that "consumers stop using these products and dispose of any in their possession." (Id. ¶ 29 (internal quotation marks omitted).) According to the FDA, these products had been linked to "adverse events ... including seizures in infants and children who were given these products." (Id. ¶ 30 (internal quotation marks omitted).) The FDA also confirmed that homeopathic teething tablets and gels had "not been evaluated or approved by the FDA for safety or efficacy," in direct contrast to representations allegedly made by Defendants. (Id. ¶ 31 (emphasis and internal quotation marks omitted).)
In response, Hyland's maintained that it was "confident that Hyland's Baby Teething Tablets remain safe," and that the FDA's warning came as "a surprise statement." (Id. ¶ 33 (internal quotation marks omitted).) Hyland's also confirmed that its homeopathic products were in fact regulated by the FDA, which placed it in direct *519conflict with the FDA's statement. (Id. ¶ 34.) Nonetheless, in response to the FDA's warning, "Hyland's discontinued distribution of its teething products in the United States." (Id. ¶ 36.)
Then, on January 27, 2017, the FDA issued another warning regarding homeopathic teething tablets. (Id. ¶ 37.) At this time, the FDA "indicated that it asked Standard to recall its teething tablets containing belladonna." (Id. ) The FDA's January 2017 warning confirmed that a "laboratory analysis found inconsistent amounts of belladonna ... in certain homeopathic teething tablets, sometimes far exceeding the amount claimed on the label." (Id. ¶ 38 (internal quotation marks omitted).) Due to these findings, the FDA "contact[ed] Standard directly and ask[ed] Standard to recall its homeopathic teething tablets in order to protect consumers from inconsistent levels of belladonna." (Id. ¶ 40 (internal quotation marks omitted).) At the time the Amended Complaint was filed, Standard had not yet recalled the relevant products. (Id. ¶ 41.) However, on April 13, 2017, Standard announced that it was recalling all Hyland's Baby Teething Tablets and Hyland's Baby Nighttime Teething Tablets sold in retail stores to consumers. (See Decl. of Judith A. Archer, Esq. in Supp. of Mot. To Dismiss ("Archer Decl.") Ex. B ("Recall Announcement") (Dkt. No. 61).)1 The recall notice stated that Standard was "notifying its distributors and retailers by mail and [was] arranging for the return of all recalled products," and further that "[c]onsumers who have products which are being recalled should discard the product." (Id. ) As part of the recall, consumers were told they could receive a refund by "call[ing] [the] customer service team," who will then "begin the process of refunding the product." (Archer Decl. Ex. C ("Recall FAQ").)2
Prior to Standard initiating the aforementioned recall, Defendants CVS and Target removed the Hyland's teething products from their stores. (Am. Compl. ¶ 42.) Specifically, on September 30, 2016, CVS announced that it had "voluntarily withdrawn all brands of homeopathic teething products sold in its retail stores and online at CVS.com," and that it had initiated certain in-store controls to "prevent further sale of these products." (Id. ¶ 43 (internal quotation marks omitted).) Target did not make an announcement regarding the homeopathic teething products, but it did "pull[ ] the products from its shelves and stopped making the products available on [its] website." (Id. ¶ 44.) Neither Target nor CVS offered any "refund, rebate, discount, or other form of *520compensation to consumers" when they removed the Hyland's products from their respective stores and websites. (Id. ¶ 45.)
B. Procedural History
Plaintiffs filed their initial Complaint on November 9, 2016. (Dkt. No. 1.) On February 2, 2017, Defendants filed a pre-motion letter seeking to file a motion to dismiss the Complaint. (Dkt. No. 42.) In response to the pre-motion letter, Plaintiffs filed an Amended Complaint on February 3, 2017, (Am. Compl. (Dkt. No. 44) ), and agreed to dismiss claims brought by former-Plaintiffs Lisa Corbett and Laura Kasiotis against former-Defendant Church & Dwight Co., Inc. and Defendants CVS and Target, (Dkt. No. 46). Plaintiffs then filed a letter in response to Defendants' pre-motion letter on February 7, 2017. (Dkt. No. 47.) The Court thereafter adopted a briefing schedule for Defendants' Motion. (Dkt. No. 50.)
In the interim, the Court referred this case to Magistrate Judge McCarthy for purposes of settlement. (Dkt. No. 52.) On June 13, 2017, in an attempt to facilitate settlement of this action, the Parties proposed a revised briefing schedule extending the deadline to file the putative Motion To Dismiss. (Dkt. No. 56.) The Court then adopted this revised schedule. (Dkt. No. 57.) Unable to settle the case, Defendants filed their Motion To Dismiss and accompanying papers, dated July 15, 2017, on September 15, 2017. (Dkt. Nos. 59-61.) Plaintiffs filed their Opposition to the Defendants' Motion, dated August 18, 2017, that same day, (Dkt. No. 62), and Defendants filed their Reply, on September 15, 2017 as well, (Dkt. No. 63).
II. Discussion
A. Standard of Review
Defendants move to dismiss Plaintiffs' Amended Complaint pursuant to Federal Rules of Civil Procedure 12(b)(1) and 12(b)(6). (See Mem. of Law in Supp. of Defs.' Mot. To Dismiss ("Defs.' Mem.") 7 (Dkt. No. 65).)
"The standards of review for a motion to dismiss under Rule 12(b)(1) for lack of subject matter jurisdiction and under 12(b)(6) for failure to state a claim are substantively identical. In deciding both types of motions, the Court must accept all factual allegations in the complaint as true, and draw inferences from those allegations in the light most favorable to the plaintiff." McCray v. Lee ,
1. Rule 12(b)(1)
"A federal court has subject matter jurisdiction over a cause of action only *521when it has authority to adjudicate the cause pressed in the complaint." Bryant v. Steele ,
2. Rule 12(b)(6)
"While a complaint attacked by a Rule 12(b)(6) motion to dismiss does not need detailed factual allegations, a plaintiff's obligation to provide the grounds of his [or her] entitlement to relief requires more than labels and conclusions, and a formulaic recitation of the elements of a cause of action will not do." Bell Atl. Corp. v. Twombly ,
"[W]hen ruling on a defendant's motion to dismiss, a judge must accept as true all of the factual allegations contained in the complaint." Erickson v. Pardus ,
B. Analysis
Plaintiffs make three claims in the Amended Complaint. First, Plaintiffs allege violations of New York GBL §§ 349 -50 by Defendants Standard and Hyland's. (Am. Compl. ¶¶ 53-64.) Second, Plaintiffs allege that Defendants Target and CVS breached the implied warranty of merchantability. (Id. ¶¶ 65-71.) Third, Plaintiffs claim that Defendants Target and CVS breached a contractual obligation to Plaintiffs. (Id. ¶¶ 72-76.)
The Court will first address Defendants' Mootness and Standing arguments, because they are directed at the Court's jurisdiction. See Anderson Grp., LLC v. City of Saratoga Springs ,
1. Mootness
Defendants argue that the lawsuit is moot because Hyland's and Standard have "recalled the Products and [are] providing refunds to consumers." (Defs.' Mem 7.) A "case is moot when the issues presented are no longer 'live' or the parties lack a legally cognizable interest in the outcome." Powell v. McCormack,
Defendants attach exhibits to their Motion indicating that Standard and Hyland's have initiated a recall campaign and that consumers may receive a refund by "[s]imply call[ing] [their] customer service team," who will then "begin the process of refunding the product." (Recall FAQ.) However, this recall is insufficient to justify dismissal on mootness grounds. As an initial matter, "Defendants['] promise of a refund as of yet remains just that; none of Plaintiffs' allegations in the Amended Complaint suggests that Plaintiff, or any class members, has received a refund, and there is nothing to suggest Defendants even know whom to compensate or how much each putative class member might claim by way of damages." Reynolds v. Lifewatch, Inc. ,
Moreover, the GBL provides for a minimum amount of statutory damages. See
Ultimately, "[t]he wisdom of ... Plaintiffs' decision to forgo the [r]ecall program *524[may be] questionable," given the issues that may arise at the class certification stage, but "there is no bar preventing [t]he plaintiffs from forgoing compensation through a voluntary refund program in order to pursue their claims in a consumer class action." Leonard ,
2. Standing
"[N]ot all standing is created equal, and, historically, courts in the Second Circuit have distinguished between Article III, statutory, and class standing." Kacocha v. Nestle Purina Petcare Co. , No. 15-CV-5489,
"Federal courts are courts of limited jurisdiction," Gunn v. Minton ,
*525Cortlandt St. Recovery Corp. v. Hellas Telecomms., S.à.r.l. ,
"That a suit may be a class action ... adds nothing to the question of standing," because "even named plaintiffs who represent a class 'must allege and show that they personally have been injured, not that injury has been suffered by other, unidentified members of the class to which they belong and which they purport to represent.' " Simon v. E. Ky. Welfare Rights Org. ,
Defendants' standing argument is three-fold: (1) Plaintiffs have failed to adequately plead an economic injury, (see Defs' Mem. 10-11); (2) Plaintiffs lack standing to seek injunctive relief because the products are no longer available, (see id. at 12-13); and (3) Plaintiffs lack standing to pursue claims "relating to products they themselves did not purchase," (id. at 13-15). The Court will address each of these in turn.
a. Economic Injury
Defendants' first argument is that Plaintiffs have failed to plead a concrete and individualized injury "because they have not shown how they have suffered any loss of money." (Id. at 11.) "Economic injury suffices as a form of injury-in-fact that meets the first element of standing." Hughes v. Ester C Co. ,
In effect, Standard and Hyland's represented that the products were "safe," which has been belied by the FDA's pronouncements and the later recall. (Am. Compl. ¶ 54.) These representations "resulted in the purchase of [the] products," now allegedly worthless because they are "[i]n reality, ... unsafe," given the FDA's warnings and Standard and Hyland's later recall and instruction to dispose of the product. (Id. ¶¶ 54, 56.) This is sufficient to allege an economic injury for purposes of standing. See Dubuisson v. Stonebridge Life Ins. Co. ,
*526Reid v. GMC Skin Care USA Inc., No. 15-CV-277,
b. Injunctive Relief
Plaintiffs claim standing to pursue injunctive relief in this Action, even though Defendants have discontinued the sale of the teething tablets. The Court disagrees. "Plaintiffs lack standing to pursue injunctive relief where they are unable to establish a 'real or immediate threat' of injury." Nicosia v. Amazon.com, Inc. ,
The Second Circuit's recent decision in Nicosia is dispositive. In Nicosia , the plaintiff purchased a weight loss drug containing a dangerous substance, sibutramine, from Amazon.com. See
As was the case in Nicosia , Plaintiffs here are pursuing injunctive relief based solely on past purchases, and they *527have not pled that they intend to purchase any products from any Defendants, let alone the relevant homeopathic teething products. (See Am. Compl. ¶¶ 4-5 (noting that the products have been "discarded" and "thrown out").) Moreover, Plaintiffs cannot establish a "present, immediate risk," Baur ,
Accordingly, the Court dismisses Plaintiffs request for injunctive relief for lack of subject matter jurisdiction pursuant to Rule 12(b)(1).
c. Standing as to Products Plaintiffs Did Not Purchase
Lastly, Defendants contend that Plaintiffs "lack Article III standing to assert *528claims relating to products they themselves did not purchase." (Defs. Mem. 13.) As this Court has previously held, "in light of [ NECA-IBEW Health & Welfare Fund v. Goldman Sachs & Co. ,
The Court finds that Plaintiffs have the requisite Article III standing to pursue their claims, and "[t]o the extent Plaintiff[s] seek[ ] to maintain claims for products [t]he[y] did not purchase ... those will be addressed upon motion for class certification." Kacocha ,
Accordingly, because Plaintiffs have standing to pursue damages, and their damages claims are not moot, the Court will now turn to Defendants' Rule 12(b)(6) Motion to determine whether Plaintiffs have stated a claim.
3. New York General Business Law Claim
"A plaintiff under [§] 349 must prove three elements: first, that the challenged act or practice was consumer-oriented; second, that it was misleading in a material way; and third, that the plaintiff suffered injury as a result of the deceptive act." Stutman v. Chem. Bank ,
"The standard for recovery under General Business Law § 350, while specific to false advertising, is otherwise identical to [§] 349." Goshen ,
*530Defendants contend that Plaintiffs "have failed to plausibly allege that they have been injured in any way," and that "Hyland's was the cause of any purported injury." (Defs.' Mem. 15.) Defendants claim that Plaintiffs "never allege that they viewed the [safety] statements prior to any alleged purchase of the Products," and that "[e]ven if the alleged representations were false, there are no facts alleged showing they 'caused' Plaintiffs any injury." (Id. at 16.) In response, Plaintiffs list seven paragraphs from the Amended Complaint wherein they "assert[ed] they purchased Defendants' products as a result of Defendants' misleading advertisements concerning the purported safety of their products and sustained injury when Defendants (and the FDA) instructed consumers to discard these products because they posed an unsafe risk to infants and toddlers." (Pls.' Opp'n 19.) For example, Plaintiffs allege that "Defendants have made false representations about their teething products, and ... the representations ... have the capacity, tendency, and effect of deceiving reasonable consumers," and that "[r]easonable consumers would believe that Defendants homeopathic teething products are safe[, when] [i]n reality, Defendants homeopathic teething products are unsafe." (Am. Compl. ¶ 54.) Plaintiffs go on to allege that "those representations were misleading in material respect to consumers, and resulted in the purchase of Defendants' products." (Id. ) As to injury, Plaintiffs allege that they purchased a product sold by Defendants, (see id. at ¶ 4-5), that the product was deemed unsafe and that Plaintiffs were instructed to discard the product, (see id. ¶ 29, 39; see also Recall Announcement), and that they were therefore "substantially injured in the amount of the purchase price[ ]," (id. ¶ 56). While the pleadings are not a model of meticulousness-Plaintiffs, for example, do not allege the prices paid for the products, nor do they specifically state that they are the "reasonable consumers" discussed in the Amended Complaint, nor do they explain whether they had any interest in purchasing the products at issue separate and apart from the misrepresentations at issue-they are not merely conclusory. Plaintiffs allege that they purchased the products from Defendants, that the products contained false representations as to their safety, and that those representations resulted in the purchase of Defendants' products. (Id. ¶ 54.)
Defendants also contend that Plaintiffs fail to affirmatively allege that they actually saw any misleading statements made by Defendants with regard to the products at issue. (Defs.' Mem. 15-16.) It is true that "[t]o properly allege causation, a plaintiff must state in his complaint that he has seen the misleading statements of which he complains before he came into possession of the products he purchased." Goldemberg v. Johnson & Johnson Consumer Companies, Inc. ,
4. Breach of the Implied Warranty of Merchantability
Plaintiffs' next claim is brought against Target and CVS for an alleged breach of the implied warranty of merchantability because, "[b]y placing Defendants' homeopathic teething products in the stream of commerce, Defendants were impliedly warranting that the products were reasonably safe, adequately tested for their intended use, and that they were of merchantable quality." (Am. Compl. ¶ 69.) Section 2-314 of the New York Uniform Commercial Code states that "a warranty that the goods shall be merchantable is implied in a contract for their sale if the seller is a merchant with respect to goods of that kind."
Defendants argue that "the [r]etailers cannot be liable because there is no allegation that such defect could have been discovered through ordinary inspection." (Defs.' Mem. 17 (internal quotation marks omitted).) Indeed, "a retailer 'cannot *532be held liable for injuries sustained from the contents of a sealed product even though a test might have disclosed a potential danger' because 'there is no obligation upon it to make such a test.' " Porrazzo v. Bumble Bee Foods, LLC ,
5. Breach of Contract
Plaintiffs allege, "in the alternative" that CVS and Target breached a contract forged with Plaintiffs by "failing to compensate Plaintiffs and the Class for the damages sustained due to Plaintiffs' and the Class members' purchase of the Defendants' unsafe homeopathic teething products." (Am. Compl. ¶¶ 74-75.) "To state a claim for breach of contract under New York law, a plaintiff must allege (1) a contract; (2) performance of the contract by one party; (3) breach by the other party; and (4) damages." Marshall v. Hyundai Motor Am. ,
Here, Plaintiffs' Amended Complaint does not plead the purported contract at issue in this Action, "which itself may be fatal." Marshall ,
Because Plaintiffs have not alleged any of the terms of the agreement, it is impossible for the Court to determine whether Target and CVS have breached the supposed contract. See Emerald Town Car of Pearl River, LLC v. Phila. Indem. Ins. Co. , No. 16-CV-1099,
*534Held v. Macy's, Inc. ,
III. Conclusion
For the foregoing reasons, Defendants' Motion To Dismiss is granted in part and denied in part. Defendants' Motion is granted with respect to Plaintiffs' breach of the implied warranty of merchantability claim, the breach of contract claim, and the claim for injunctive relief, and is denied in all other respects. Because Plaintiffs have already amended their Complaint once, these claims are dismissed with prejudice. See Denny v. Barber ,
SO ORDERED.
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