Pranger v. Oregon State University

CourtDistrict Court, D. Oregon
DecidedJanuary 4, 2023
Docket3:21-cv-00656
StatusUnknown

This text of Pranger v. Oregon State University (Pranger v. Oregon State University) is published on Counsel Stack Legal Research, covering District Court, D. Oregon primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pranger v. Oregon State University, (D. Or. 2023).

Opinion

IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF OREGON

DANIELLE PRANGER and GARRETT No. 3:21-cv-00656-HZ HARRIS, individually and on behalf of all others similarly situated, OPINION & ORDER

Plaintiffs,

v.

OREGON STATE UNIVERSITY, a public body of the State of Oregon,

Defendant.

Alexander Graven Neil N. Olsen Paul B. Barton Olsen Barton LLC 5 Centerpointe Drive, Suite 220 Lake Oswego, OR 97035

Daniel Kurowski Hagens Berman Sobol Shapiro LLP 455 N. Cityfront Plaza Drive, Suite 2410 Chicago, IL 60611 Steve W. Berman Hagens Berman Sobol Shapiro LLP 1301 2nd Ave., Suite 2000 Seattle, WA 98101

Jae Kook Kim Lynch Carpenter, LLP 117 E. Colorado Blvd. Suite 600 Pasadena, CA 91105

Attorneys for Plaintiffs

Gregory J. Mina Sarah J. Crooks Stephen F. English Alex Van Rysselberghe 1120 NW Couch Street, 10th Floor Portland, OR 97209-4128

Attorneys for Defendant

HERNÁNDEZ, District Judge: Plaintiffs Danielle Pranger and Garrett Harris, students at Oregon State University (“OSU”) during the Winter, Spring, and Fall 2020 quarters, brought this class action lawsuit on behalf of all similarly situated students. Plaintiffs allege that Defendant OSU breached contracts with them and similarly situated students by refusing to refund or reimburse them the tuition and fees they paid for on-campus instruction after OSU closed on-campus services and facilities and provided only online classes in response to the COVID-19 pandemic. On January 25, 2022, the Court issued an Opinion and Order denying in part and granting in part Defendants’ motion to dismiss. ECF 27. Now before the Court are Defendant OSU’s Motion for Reconsideration and Motion to Certify a Question to the Oregon Supreme Court. ECF 31; ECF 32. The Court denies both motions. BACKGROUND The relevant facts are described in the Court’s Opinion and Order on Defendant’s motion to dismiss. Pranger v. Oregon State Univ., No. 3:21-cv-00656-HZ, 2022 WL 214629, at *1-2 (D. Or. Jan. 25, 2022). Plaintiffs filed a Class Action Complaint in Multnomah County Circuit court on March 5, 2021, bringing four state-law claims and two federal law claims under 42 U.S.C. §

1983 against Defendant OSU and several individual OSU Board of Trustee members in their official capacities. Compl., ECF 1-1. Defendants removed the case to this Court on April 30, 2021, asserting federal question jurisdiction under 28 U.S.C. § 1331 and supplemental jurisdiction over the state-law claims under 28 U.S.C. § 1367(a). During the conferral process before Defendants filed their motion to dismiss, Plaintiffs voluntarily dismissed both federal claims and one state-law claim. The Court then granted Defendants’ motion to dismiss Plaintiff’s state-law claim for unjust enrichment, thus dismissing all of the individual Defendants from the case. The sole remaining claims are state-law claims for breach of contract and breach of implied contract against Defendant OSU.

DISCUSSION I. Subject Matter Jurisdiction The Court asked the parties to brief the issue of whether it should exercise supplemental jurisdiction over the remaining state-law claims after Plaintiffs voluntarily dismissed all federal claims. Both Defendant OSU and the named Plaintiffs are citizens of Oregon, so complete diversity is absent and the Court lacks jurisdiction under 28 U.S.C. § 1332. At the time Defendants removed the case, the Court had original jurisdiction over the federal claims under 28 U.S.C. § 1331 and supplemental jurisdiction under 28 U.S.C. § 1367(a) over the state-law claims. But as here, when a plaintiff has voluntarily dismissed all federal claims which gave rise to the district court’s original jurisdiction, the court “ordinarily should remand the supplemental claims to the state court or order those claims dismissed without prejudice, although it has discretion to retain and adjudicate them.” 7C Charles A. Wright & Arthur R. Miller, Federal Practice and Procedure § 3739.1 (4th ed. 2022). Plaintiff argues that the Court should retain jurisdiction and continue to adjudicate the

state-law claims because: (1) the relevant factors weight in favor of the Court exercising supplemental jurisdiction; and (2) the Court has original jurisdiction over the state-law claims under the Class Action Fairness Act of 2005 (“CAFA”). Defendant asserts that the relevant factors favor the Court declining to exercise supplemental jurisdiction and the Court lacks jurisdiction under CAFA. A. Supplemental Jurisdiction Because Plaintiff voluntarily dismissed all federal claims, the Court must decide whether to continue to retain supplemental jurisdiction over the state-law claims. A district court may decline to exercise supplemental jurisdiction over state-law claims if it “has dismissed all claims

over which it has original jurisdiction.” 28 U.S.C. § 1367(c)(3). When all federal law claims have been eliminated, a court must weigh the “the balance of factors to be considered under the pendent jurisdiction doctrine—judicial economy, convenience, fairness, and comity.” Carnegie- Mellon Univ. v. Cohill, 484 U.S. 343, 350 n.7 (1988). Typically, where federal claims have dropped out in the early stages, these factors “will point toward declining to exercise jurisdiction over the remaining state-law claims.” Id.; see also Wallace v. Smith & Smith Constr., Inc., 65 F. Supp. 2d 1121, 1123 (D. Or. 1999) (“There is a strong preference in the Ninth Circuit for declining to exercise supplemental jurisdiction once the federal claim is dismissed.”) But the Supreme Court has made clear that no mandatory rule prohibits a district court from retaining supplemental jurisdiction in this situation. Carnegie-Mellon Univ., 484 U.S. at 350 n.7. “[T]he doctrine of pendent jurisdiction thus is a doctrine of flexibility, designed to allow courts to deal with cases involving pendent claims in the manner that most sensibly accommodates a range of concerns and values.” Id. at 350. Although in the usual case, a federal

district court will dismiss or remand state-law claims after all federal claims have been dismissed, “the district court, of course, has the discretion to determine whether its investment of judicial energy justifies retention of jurisdiction.” Schneider v. TRW, Inc., 938 F.2d 986, 995 (9th Cir. 1991). In the interest of judicial economy, convenience, fairness, and comity, dismissal of federal claims “usually will favor a decision to relinquish jurisdiction when ‘state issues substantially predominate, whether in terms of proof, of the scope of the issues raised, or of the comprehensiveness of the remedy sought.’” Carnegie-Mellon Univ., 484 U.S. at 350 (quoting United Mine Workers v. Gibbs, 383 U.S. 715, 726 (1966)). Here, some factors weigh in favor of remand. As Defendant notes, both named Plaintiffs

and the sole Defendant are Oregon citizens, so Oregon state court would be a convenient forum.

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Pranger v. Oregon State University, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pranger-v-oregon-state-university-ord-2023.