Richard Lyon v. Keaton Denlay

District Court, E.D. California·Decided April 6, 2026·No. 2:25-cv-00667·Unknown

Opinion

RICHARD LYON, Case No. 2:25-cv-00667-DC-CSK (PS) Plaintiff, FINDINGS AND RECOMMENDATIONS GRANTING DEFENDANT’S MOTION TO v. DISMISS WITH LEAVE TO AMEND KEATON DENLAY, (ECF No. 18) Defendant. Plaintiff Richard Lyon is proceeding in this action pro se.1 Pending before the Court is Defendant Keaton Denlay’s motion to dismiss pursuant to Federal Rule of Civil Procedure 12(b)(6). (ECF No. 18.) On December 29, 2025, the Court vacated the hearing scheduled for January 13, 2026 on Defendant’s motion. 12/29/2025 Order (ECF No. 23). Briefing is now complete. Pursuant to Local Rule 230(g), the Court submits the motion upon the record and briefs on file. For the reasons that follow, the Court RECOMMENDS GRANTING Defendant’s motion to dismiss with leave to amend. / / / / / / / / / 1 This matter proceeds before the undersigned pursuant to 28 U.S.C. § 636, Fed. R. Civ. P. 72, and Local Rule 302(c). A. Factual Allegations2 The Complaint, in its entirety, provides the following factual allegations. Plaintiff alleges that on October 8, 2024, he entered the Recorder’s office in Butte Country, California to record “a Release of Lien and Release of Mortgage designed to release a lien, along with supporting affidavit(s) attesting to the lawful enactment of said document to be recorded.” Compl. at 2. Defendant Keaton Denlay received Plaintiff’s documents and “refused to record [Plaintiff’s] document(s).” Id. B. Procedural Posture Plaintiff initiated this action against Defendant on February 26, 2025. Compl. (ECF No. 1). The Complaint states this is a “suit of common-law” but does not assert a specific claim or the basis for subject matter jurisdiction. See generally Compl. Instead, the Complaint states that Plaintiff has “established, under the standard of reasonable- articulable suspicion, the triable allegations of[:]” “Unlawful Adjudication;” “Violation of Due Process;” “Concealing Evidence;” “Breach of Duty;” Breach of Oath;” “Deprivation of Rights Under Official Title;” “Abuse of Authority;” Official Misconduct;” “Maintaining False Public Documents;” and “Defrauding the Public Record.” Compl. at 3-8. For relief, Plaintiff seeks damages in the amount of $1,400,000, plus costs. Id. at 8. On December 4, 2025, Defendant filed a motion to dismiss and noticed it before the undersigned. (ECF No. 18.) On December 29, 2025, the Court issued an order to show cause due to Plaintiff’s failure to file a timely opposition or statement of non- opposition to Defendant’s motion. See 12/29/2025 Order. On January 12, 2026, Plaintiff filed an unsigned opposition and response to the Court’s December 29, 2025 Order. (ECF Nos. 24, 25.) On January 15, 2026, the Court ordered Plaintiff to file signed copies

2 These facts primarily derive from the Complaint (ECF No. 1), which are construed in the light most favorable to Plaintiff as the non-moving party. Faulkner v. ADT Sec. Servs., 706 F.3d 1017, 1019 (9th Cir. 2013). However, the Court does not assume the truth of any conclusory factual allegations or legal conclusions. Paulsen v. CNF Inc., 559 F.3d 1061, 1071 (9th Cir. 2009). of his filings, without modifications, no later than January 23, 2026. 1/15/2026 Order (ECF No. 26.) The Court also ordered that Defendant’s reply, if any, was due seven days from the filing of the signed opposition. (Id.) On January 20, 2026, Plaintiff filed his signed opposition and response to the Court’s December 29, 2025 Order. (ECF Nos. 27, 28.) On January 27, 2026, Defendant file his reply. (ECF No. 30.) A. Pro Se Pleadings, Construction and Amendment Pro se pleadings are to be liberally construed and afforded the benefit of any doubt. Chambers v. Herrera, 78 F.4th 1100, 1104 (9th Cir. 2023). Upon dismissal of any claims, the court must tell a pro se plaintiff of a pleading’s deficiencies and provide an opportunity to cure such defects. Garity v. APWU Nat'l Lab. Org., 828 F.3d 848, 854 (9th Cir. 2016). However, if amendment would be futile, leave to amend does not need to be provided. Lathus v. City of Huntington Beach, 56 F.4th 1238, 1243 (9th Cir. 2023). To determine the propriety of a dismissal motion, the court may not consider facts raised outside the complaint (such as in an opposition brief), but it may consider such facts when deciding whether to grant leave to amend. Broam v. Bogan, 320 F.3d 1023, 1026 n.2 (9th Cir. 2003). B. Rule 8 Pleading Notice pleading in federal court requires that the complaint “give the defendant fair notice of what the ... claim is and the grounds upon which it rests.” Bell Atlantic v. Twombly, 550 U.S. 544, 555 (2007) (internal citation and quotations omitted). Pursuant to Federal Rule of Civil Procedure 8(a), a pleading must contain: “(1) a short and plain statement of the grounds for the court's jurisdiction…; (2) a short and plain statement of the claim showing that the pleader is entitled to relief; and (3) a demand for the relief sought, which may include relief in the alternative or different types of relief.” The complaint must clearly and fully set forth “who is being sued, for what relief, and on what theory, with enough detail to guide discovery.” McHenry v. Renne, 84 F.3d 1172, 1178 (9th Cir. 1996). Each allegation must be simple, concise, and direct. Id. Rule 8(d)’s requirement that each averment of a pleading be “‘simple, concise, and direct,’ applies to good claims as well as bad, and is a basis for dismissal independent of Rule 12(b)(6).” Id. at 1179. “The propriety of dismissal for failure to comply with Rule 8 does not depend on whether the complaint is wholly without merit.” Id. C. Failure to State a Claim under Rule 12(b)(6) A claim may be dismissed because of the plaintiff’s “failure to state a claim upon which relief can be granted.” Fed. R. Civ. P. 12(b)(6). A complaint fails to state a claim if it either lacks a cognizable legal theory or sufficient facts to support a cognizable legal theory. Mollett v. Netflix, Inc., 795 F.3d 1062, 1065 (9th Cir. 2015). When considering whether a claim has been stated, the court must accept the well-pleaded factual allegations as true and construe the complaint in the light most favorable to the non- moving party. Id. However, the court is not required to accept as true conclusory factual allegations contradicted by documents referenced in the complaint, or legal conclusions merely because they are cast in the form of factual allegations. Paulsen, 559 F.3d at 1071. Defendant moves to dismiss Plaintiff’s Complaint pursuant to Federal Rule of Civil Procedure 12(b)(6) for failure to state a claim and for failure to comply with Rule 8. Def. Mot. at 2-9 (ECF No. 18-1.) The Court finds the Complaint fails to state a claim and should be dismissed with leave to amend. A. Defendant’s

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