Robinson v. Avis Rent a Car System, Inc.

22 P.3d 818
CourtCourt of Appeals of Washington
DecidedMay 7, 2001
Docket46106-1-I
StatusPublished
Cited by41 cases

This text of 22 P.3d 818 (Robinson v. Avis Rent a Car System, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Robinson v. Avis Rent a Car System, Inc., 22 P.3d 818 (Wash. Ct. App. 2001).

Opinion

22 P.3d 818 (2001)
106 Wash.App. 104

Thomas ROBINSON; Carlene Kiel; and Jessica Trupin, individually and on behalf of all others similarly situated, Appellants,
v.
AVIS RENT A CAR SYSTEM, INC.; National Car Rental System, Inc.; and Alamo Rent-A-Car, Inc., Respondents.

No. 46106-1-I.

Court of Appeals of Washington, Division 1.

May 7, 2001.

*820 Spencer Hall, Arthur Cary Claflin, Kathleen Cullen Van Olst, Hall Zanzig Widell PLLC, Seattle, for Appellants Thomas Robinson/Carlene Kiel, Jessica Trupin.

Susan Elizabeth Lewis Barnes, Seattle, Gail E. Lees, Chad S. Hummel, Gibson Dunn & Crutcher LLP, Los Angeles, CA, for Respondent Avis Rent A Car System.

Kelly Patrick Corr, Rachel McCall, Guy Paul Michelson, Seattle, Jonathan Edward Mansfield, San Francisco, CA, Michael Dennis McKay, Seattle, for Respondents National Car Rental System, Alamo Rent-A Car.

Douglas Dunbar Walsh, Office of the Attorney General, Assistant Attorney General, Tacoma, for Amicus Curiae, State of WA/Attorney General.

*819 COX, J.

At issue is whether respondent car rental companies violated the Consumer Protection Act (CPA) by their practice of "unbundling" concession fee charges from car rental rates when quoting prices to consumers renting cars at the Seattle-Tacoma Airport. We hold that the challenged practices are not exempt from the CPA. We further hold that these private plaintiffs failed to establish that the challenged practices are either unfair or deceptive. They also failed to show a causal link between the practices and claimed injury. Thus, they failed to establish essential elements of their claim. Accordingly, we affirm the summary judgment dismissing their action.

*821 Avis Rent A Car system, Inc. (Avis), National Car Rental System, Inc. (National), and Alamo Rent-A-Car, Inc. (Alamo) (collectively "the car rental companies"), each lease space at the Seattle-Tacoma Airport from the Port of Seattle. Each space includes counter/office space and car storage areas. The terms and conditions of each lease are contained in each "Full Service Rental Car Agreement and Concession Agreement" (Concession Agreement) that the companies executed. The agreements require each car rental company to pay a fixed monthly rent plus a "concession fee" of 10 percent of its gross monthly revenues derived from airport operations.

Paragraph 5b of each Concession Agreement states: "[c]oncessionaire shall not separately add to customer billing any additional fees, such as `per trip fees', `concession fees', `rents' or any other airport charge."[1] Accordingly, the car rental companies did not initially separately charge their airport customers an airport concession fee.

In March 1998, the Port informed the car rental companies that it would no longer enforce paragraph 5b of the Concession Agreement to the extent that it prohibits the car rental companies from separately charging its customers the 10 percent concession fee. Shortly thereafter, the car rental companies began separately charging the concession fee in addition to the basic rental rate to its airport customers. The parties refer to this practice of separating the basic car rental rate from the 10 percent concession fee charged to customers as "unbundling."

Following the unbundling of the concession fee from the basic rental rate, Thomas Robinson, Carlene Kiel, and Jessica Trupin (collectively referred to as "consumers") each rented cars from one or more of the car rental companies at their respective airport locations. Each consumer obtained quotations of charges by telephone using toll free numbers provided by the relevant companies. Counsel agreed during oral argument of this case that the sole means by which these consumers obtained quotations was by telephone. Each consumer paid a concession fee in addition to the basic rental rate when they rented cars.

Robinson, Kiel, and Trupin commenced this action against the car rental companies on behalf of themselves and all similarly situated consumers. They sought class certification. They alleged that "billing a separate [airport concession fee] in addition to the quoted rental rate for a car" is unfair and deceptive. They also claimed that "stating or implying that the airport charge imposed by [the car rental companies] is a tax or other charge imposed on consumers by the Port of Seattle" is an unfair and deceptive practice. The trial court granted the car rental companies' motion for summary judgment, and did not reach plaintiffs' motion to certify their case as a class action.

The consumers appeal only the dismissal of their CPA claim. We granted the motion of the Washington State Attorney General to file an amicus curiae brief.[2]

Exemption

We first consider the car rental companies' claim that the practices challenged here are exempt under RCW 19.86.170.[3] Specifically, they claim that the Port is a "regulatory body" and "permits" such practices. Thus, according to the car rental companies, the challenged practices are exempt from the CPA. We disagree.

We may affirm an order granting summary judgment if there are no genuine issues of material fact and the moving party is entitled to judgment as a matter of law.[4] We consider all facts and reasonable inferences *822 in the light most favorable to the nonmoving party.[5] We review questions of law de novo.[6]

The moving party bears the initial burden of showing the absence of a genuine issue of material fact.[7] Once met, the burden shifts to the party with the burden of proof at trial to make a showing sufficient to establish the existence of an element essential to that party's case.[8] If the claimant fails to meet that burden, the trial court should grant the motion because there can be no genuine issue of material fact given that a complete failure of proof concerning an essential element of the nonmoving party's case necessarily renders all other facts immaterial.[9]

Here, there is no disputed issue of fact concerning exemption. The Port of Seattle decided not to enforce the portion of its Concession Agreement with each of the car rental companies that governed unbundling. Thus, for purposes of summary judgment, the legal question is whether the companies are entitled to a judgment as a matter of law because the challenged practices are exempt. We resolve that question by reviewing the exemption portion of the CPA.

RCW 19.86.170 provides in part that:

Nothing in this chapter shall apply to actions or transactions otherwise permitted, prohibited or regulated under laws administered by the insurance commissioner of this state, the Washington utilities and transportation commission, the federal power commission or actions or transactions permitted by any other regulatory body or officer acting under statutory authority of this state ... [.][10]

RCW 19.86.920 expressly states that courts should liberally construe the CPA so that "its beneficial purposes may be served." In order to serve those beneficial purposes, we must narrowly construe the scope of the exemption provisions of the CPA.[11]

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Bluebook (online)
22 P.3d 818, Counsel Stack Legal Research, https://law.counselstack.com/opinion/robinson-v-avis-rent-a-car-system-inc-washctapp-2001.