Riva v. Pepsico, Inc.

82 F. Supp. 3d 1045, 2015 U.S. Dist. LEXIS 26494, 2015 WL 993350
CourtDistrict Court, N.D. California
DecidedMarch 4, 2015
DocketNo. C-14-2020 EMC; Lead Member Case C-14-0478 EMC
StatusPublished
Cited by4 cases

This text of 82 F. Supp. 3d 1045 (Riva v. Pepsico, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Riva v. Pepsico, Inc., 82 F. Supp. 3d 1045, 2015 U.S. Dist. LEXIS 26494, 2015 WL 993350 (N.D. Cal. 2015).

Opinion

ORDER GRANTING DEFENDANT’S MOTION TO DISMISS

(Docket No. 52)

EDWARD M. CHEN, United States District Judge

Pending before the Court is Defendant Pepsico, Inc.’s (“Pepsi’s”) Motion to Dis[1049]*1049miss the Amended Complaint of Plaintiffs Riva and Ardagna (collectively “Riva Plaintiffs”). Docket No. 52 (“Motion”). The operative complaint is the First Amended Complaint. Docket No. 51.

I. FACTUAL & PROCEDURAL BACKGROUND

Nine putative class actions were filed against Pepsi. In general, each action originally alleged that certain Pepsi products contain a carcinogen, 4-methylimida-zole (“4-MeI”), at levels that were unhealthy, because, among other things, they exceeded the levels which triggered warning labels under California Proposition 65.

Following a contested application, the Court appointed the attorneys for Plaintiffs Hall and Ree as interim lead counsel for consolidated class actions. Sciortino ECF, Docket No. 65. Interim lead counsel subsequently elected not to allege any personal injury or medical mo'nitoring claims in their consolidated amended complaint. The Court severed the Riva case from the consolidated actions to allow Plaintiffs Riva and Ardagna an opportunity to plead a personal injury claim seeking medical monitoring in their own amended complaint independent of the consolidated complaint. Sciortino ECF, Docket No. 75.

According to a study cited in the First Amended Complaint (“FAC”), 4-MeI is “used in the manufacture of pharmaceuticals, photographic chemicals, dyes and pigments, cleaning and agricultural chemicals, and rubber.” Docket No. 53-2 at 7.1 Four-Mel has “been identified as a byproduct of fermentation in foods and has been detected in mainstream and sides-tream tobacco smoke.” Id. The 4-MeI compound is generated during the cara-melization process of caramel colors, a col- or additive used in a wide range of foods and beverages, including beer and some soft drinks, because of its color, flavor, and [1050]*1050other properties. Docket No. 53-3; see also FAC ¶ 9.

Plaintiffs Riva and Ardagna allege that Pepsi’s Diet Pepsi and Pepsi One beverages contained 4-MeI at levels that caused them to experience an “increased risk of cancer,” specifically bronchioloalveolar cancer. FAC ¶ 1. To support the claim of the increased risk of bronchioloalveolar cancer, the Riva Plaintiffs cite to a report by the National Toxicology Program that found that high levels of exposure to 4-Mel resulted in increased incidences of alveolar/bronchial neoplasms in mice. Id. ¶11.

According to the FAC, the compound 4-Mel appears on the list of known carcinogens that require disclosure at certain levels under Proposition 65. FAC ¶ 1. Proposition 65 calls for disclosure of the presence of 4-MeI at levels above 29 micrograms per day. Id. ¶ 15. Testing by Consumer Reports in December of 2013 revealed that Diet Pepsi sold in California contained an average of 30.5 micrograms of 4-MeI per can. Id. ¶ 16. Pepsi One sold in California contained an average of 43.5 micrograms of 4-MeI per can. Id. ¶ 18. A toxicologist at the Consumer Reports Food Safety & Sustainability Center has opined that there is no “safe level” of 4-MeI, and that the threshold should be “more like 3 mierograms/day.” Id. ¶ 15.

Mr. Riva contends that he “drank Pepsi One 2 to 3 times each and every week” (id. ¶ 3), and Ms. Ardagna alleges that she “consumed 3 to 4 cans of Diet Pepsi per day, or nearly 30 cans of Diet Pepsi per week” (id. ¶ 4). The Riva Plaintiffs seek to represent a class of California consumers who purchased Diet Pepsi or Pepsi One during the four-year period from February 13, 2010 to the filing of the original complaint. Id. ¶ 32.

The Riva Plaintiffs assert three claims: negligence, strict liability based on defective design, and strict liability based on failure to warn. Id. ¶¶ 41-59. The Riva Plaintiffs seek medical monitoring as a remedy for all three claims; specifically, they seek an order requiring Pepsi to establish a “fund from which those individual class members can seek monetary recovery for the costs of actual or anticipated medical monitoring expenses incurred by them.” Id. at 19.2 The Riva Plaintiffs in particular allege that outcomes in bron-chioloalveolar cancer show a clinically significant benefit from early evaluation, detection, and diagnosis. Id. ¶ 45.

The Riva Plaintiffs do not seek to certify a class for the entire action, nor do they seek certification of the damages portion of their case. Instead, the Riva Plaintiffs contemplate a two-step process. First, they seek to certify certain liability issues and issues pertaining to remedies, such as whether medical monitoring is warranted, and what monitoring is “medically and legally justified,” under Federal Rule of Civil Procedure 23(c)(4). Id. ¶ 1. Second, following resolution of those discrete class issues, the Riva Plaintiffs envision that class members would “individually litigate their damages” from the fund created through the class process. Id. at ¶ 2. According to the Riva Plaintiffs, litigation of damages at that point would include proof that those individuals ingested Pepsi One or Diet Pepsi “at or above the threshold quantities” that justify medical monitoring. Id.

Pepsi has moved to dismiss the Riva Plaintiffs’ FAC, arguing that the Riva Plaintiffs lack standing or otherwise have failed to allege actual harm, have failed to allege sufficient factual support for the cancer screenings they seek, and have not [1051]*1051adequately pled their class allegations, including ascertainability of the class, commonality and predominance, and superiority of class adjudication. For the reasons discussed herein and on the record at the hearing, the Court GRANTS Pepsi’s Motion. Because the currently-pled facts cannot plausibly state a claim and the Riva Plaintiffs have failed to identify any realistic plan to cure the deficiencies in the FAC, the Court grants Pepsi’s Motion with prejudice.

II. DISCUSSION

A. Legal Standard

A complaint must contain “a short and plain statement of the claim showing that the pleader is entitled to relief’ in order to provide “fair notice of what the claim is and the grounds upon which it rests. Bell Atl. Corp. v. Twombly, 550 U.S. 544, 555, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007); Fed. R. Civ. P. 8(a)(2). To survive a motion to dismiss under Rule 12(b)(6), a complaint need not contain “detailed factual allegations,” but it must “contain sufficient factual matter, accepted as true, to ‘state a claim to relief that is plausible on its face.’ ” Ashcroft v. Iqbal, 556 U.S. 662, 678, 129 S.Ct. 1937, 173 L.Ed.2d 868 (2009) (quoting Twombly, 550 U.S. at 570, 127 S.Ct. 1955). In other words, “[tjhreadbare recitals of the elements of a cause of action, supported by mere conclusory statements, do not suffice.” Id.

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Cite This Page — Counsel Stack

Bluebook (online)
82 F. Supp. 3d 1045, 2015 U.S. Dist. LEXIS 26494, 2015 WL 993350, Counsel Stack Legal Research, https://law.counselstack.com/opinion/riva-v-pepsico-inc-cand-2015.