Sapan v. Safeway, Inc.

CourtDistrict Court, N.D. California
DecidedAugust 29, 2025
Docket4:24-cv-08804
StatusUnknown

This text of Sapan v. Safeway, Inc. (Sapan v. Safeway, 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
Sapan v. Safeway, Inc., (N.D. Cal. 2025).

Opinion

1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 7 JONATHAN SAPAN, Case No. 24-cv-08804-JST

8 Plaintiff, ORDER DENYING DEFENDANT’S 9 v. MOTION TO COMPEL ARBITRATION AND GRANTING 10 SAFEWAY, INC., DEFENDANT’S MOTION TO DISMISS 11 Defendant. Re: ECF No. 23

12 13 Before the Court is Defendant Safeway, Inc.’s motion to compel arbitration, or, in the 14 alternative, to dismiss. ECF No. 23. The Court will deny Safeway’s motion to compel arbitration 15 but grant Safeway’s motion to dismiss. 16 I. BACKGROUND 17 On December 6, 2024, Plaintiff Jonathan Sapan filed this class action, accusing Safeway of 18 violating the Telephone Consumer Protection Act of 1991, 47 U.S.C. § 227 et seq. (“TCPA”). 19 ECF No. 1. Sapan alleges that Safeway sent three texts to his residential phone number over the 20 course of almost two years—on December 8, 2020, June 24, 2021, and September 26, 2022—to 21 solicit its pharmacy goods and services. ECF No. 8 (“FAC”) ¶ 15.1 Sapan specifically alleges that 22 the December 8, 2020 text “was soliciting [f]lu [s]hots” and the June 24, 202[1] and September 23 26, 2022 texts were “advertising” and “soliciting” COVID shots.2 Id. ¶¶ 22–24. Sapan alleges 24 that these communications violated the TCPA, as his residential phone number has been registered 25 on the National Do Not Call Registry (“DNC Registry”) since June 16, 2006. Id. ¶ 20. Sapan 26 1 Paragraph 15 refers to the communications as “calls,” but subsequent paragraphs make clear that 27 the communications were text messages. See, e.g., id. ¶¶ 16–18. 1 further alleges that he “never gave S[afeway] or any other person, agent, employee or entity 2 associated with S[afeway] express written permission to text him” and does not “have an 3 established business relationship nor personal relationship with S[afeway] or any other person, 4 agent, employee or entity associated with S[afeway].” Id. ¶ 21. 5 II. JURISDICTION 6 Plaintiff’s claims arise under the TCPA, 47 U.S.C. § 227 et seq. The Court therefore has 7 federal question jurisdiction pursuant to 28 U.S.C. § 1331. 8 III. LEGAL STANDARD 9 A. Federal Arbitration Act 10 The Federal Arbitration Act (“FAA”) applies to written contracts “evidencing a transaction 11 involving commerce.” 9 U.S.C. § 2. The parties agree that the FAA governs the contract at issue 12 in this case. Under the FAA, arbitration agreements “shall be valid, irrevocable, and enforceable, 13 save upon such grounds as exist at law or in equity for the revocation of any contract.” Id. This 14 provision reflects “both a liberal federal policy favoring arbitration, and the fundamental principle 15 that arbitration is a matter of contract.” AT&T Mobility LLC v. Concepcion, 563 U.S. 333, 339 16 (2011) (quotation marks and citations omitted). 17 On a motion to compel arbitration, the Court’s role under the FAA is “limited to 18 determining (1) whether a valid agreement to arbitrate exists and, if it does, (2) whether the 19 agreement encompasses the dispute at issue.” Chiron Corp. v. Ortho Diagnostic Sys., Inc., 207 20 F.3d 1126, 1130 (9th Cir. 2000). In determining whether an arbitration agreement exists, “district 21 courts rely on the summary judgment standard of Rule 56 of the Federal Rules of Civil 22 Procedure.” Hansen v. LMB Mortg. Servs., Inc., 1 F.4th 667, 670 (9th Cir. 2021). Thus: 23 In considering a motion to compel arbitration which is opposed on the ground that no agreement to arbitrate was made, a district court 24 should give to the opposing party the benefit of all reasonable doubts and inferences that may arise. Only when there is no genuine 25 issue of material fact concerning the formation of an arbitration agreement should a court decide as a matter of law that the parties 26 did or did not enter into such an agreement. Concat LP v. Unilever, PLC, 350 F. Supp. 2d 796, 804 (N.D. Cal. 2004) (citations omitted) (cited 27 1 of material fact as to whether the parties formed an arbitration agreement, the court must proceed 2 without delay to a trial on arbitrability and hold any motion to compel arbitration in abeyance until 3 the factual issues have been resolved.” Hansen, 1 F.4th at 672. If a valid arbitration agreement 4 exists, “the party resisting arbitration bears the burden of proving that the claims at issue are 5 unsuitable for arbitration.” Green Tree Fin. Corp.-Ala. v. Randolph, 531 U.S. 79, 91 (2000). 6 If the court is “satisfied that the making of the agreement for arbitration or the failure to 7 comply therewith is not in issue, the court shall make an order directing the parties to proceed to 8 arbitration in accordance with the terms of the agreement.” 9 U.S.C. § 4. Where the claims 9 alleged in a complaint are subject to arbitration, the Court “shall on application of one of the 10 parties stay the trial of the action until such arbitration has been had in accordance with the terms 11 of the agreement, providing the applicant for the stay is not in default in proceeding with such 12 arbitration.” Id. § 3. “[N]otwithstanding the language of § 3, a district court may either stay the 13 action or dismiss it outright when . . . all of the claims raised in the action are subject to 14 arbitration.” Johnmohammadi v. Bloomingdale’s, Inc., 755 F.3d 1072, 1074 (9th Cir. 2014). 15 B. Federal Rule of Civil Procedure 12(b)(6) 16 To survive a motion to dismiss under Federal Rule of Civil Procedure 12(b)(6), a 17 complaint must contain “a short and plain statement of the claim showing that the pleader is 18 entitled to relief.” Fed. R. Civ. P. 8(a)(2). Dismissal “is appropriate only where the complaint 19 lacks a cognizable legal theory or sufficient facts to support a cognizable legal theory.” 20 Mendiondo v. Centinela Hosp. Med. Ctr., 521 F.3d 1097, 1104 (9th Cir. 2008). “[A] complaint 21 must contain sufficient factual matter, accepted as true, to ‘state a claim to relief that is plausible 22 on its face.’” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009) (quoting Bell Atl. Corp. v. Twombly, 23 550 U.S. 544, 570 (2007)). Factual allegations need not be detailed, but the facts must be “enough 24 to raise a right to relief above the speculative level.” Twombly, 550 U.S. at 555. 25 “A claim has facial plausibility when the plaintiff pleads factual content that allows the 26 court to draw the reasonable inference that the defendant is liable for the misconduct alleged.” 27 Ashcroft, 556 U.S. at 678. While this standard is not “akin to a ‘probability requirement’ . . . it 1 Twombly, 550 U.S. at 556).

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