Shepherd v. Volkswagen Group of America, Inc.

CourtDistrict Court, N.D. Illinois
DecidedSeptember 26, 2025
Docket1:23-cv-16819
StatusUnknown

This text of Shepherd v. Volkswagen Group of America, Inc. (Shepherd v. Volkswagen Group of America, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Shepherd v. Volkswagen Group of America, Inc., (N.D. Ill. 2025).

Opinion

AH IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

TAYLOR SHEPHERD and GREGORY KOVTELIDAKIS, individually and as Parents and Next Friends of ISAIAH KOVTELIDAKIS, a minor No. 23-cv-16819

Plaintiffs, Judge Franklin U. Valderrama

v.

VOLKSWAGEN GROUP OF AMERICA, INC., BOSCH SECURITY SERVICES, INC., RANDSTAD NORTH AMERICA, and ERMITHE PETIT,

Defendants.

ORDER

Before the Court is Defendant Volkswagen Group of America, Inc.’s (Volkswagen) motion to dismiss [35]. Also before the Court is Defendant Bosch Security Systems, Inc.’s (Bosch) motion for joinder and to dismiss [40] and Defendant Randstad North America, Inc. and Ermithe Petit’s (collectively, Randstad) motion to dismiss [95]. Bosch and Randstad both join Volkswagen’s motion to dismiss and reply, and thus the Court only addresses the arguments made in Volkswagen’s motion. For the reasons that follow, Defendants’ motions [35] [40] [95] are denied.

This case stems from a carjacking, in which individuals attacked Plaintiff Taylor Shepherd (“Shepherd”) and fled in her Volkswagen Atlas. R. 71, Second Amended Complaint (SAC) ¶ 9. At the time, however, Shepherd’s two-year-old son was in the car. Id. During the emergency response, Plaintiffs allege that a Lake County Sheriff’s Deputy placed a call to Volkswagen, as it provided a subscription- based service known as Car-Net, which was capable of providing stolen vehicle location assistance to paid subscribers. Id. ¶ 11. However, Defendants’ representative did not provide law enforcement with the location data because Shepherd’s free trial period for Car-Net had expired. Id. ¶ 12. Plaintiffs sued Volkswagen, Bosch, and Randstad (collectively, Defendants) for negligence and intentional infliction of emotional distress. See generally, SAC. Defendants argue that the Court should dismiss Plaintiffs’ common-law negligence claims because Defendants did not owe Plaintiffs a legal duty pursuant to the Car-Net Terms of Service (TOS). R. 35, Mot. Dismiss, at 5. Defendants’ argument hinges on the Court’s consideration of the TOS, which Defendants attached to their motion to dismiss. Mot. Dismiss, Exh. A.

Generally, a court “cannot consider evidence outside the pleadings to decide a motion to dismiss without converting it into a motion for summary judgment.” Jackson v. Curry, 888 F.3d 259, 263 (7th Cir. 2018). There are exceptions to this general rule. One such exception is the doctrine of incorporation by reference. Adamas v. City of Indianapolis, 742 F.3d 720 (7th Cir. 2014). Under this narrow exception, a court may consider extraneous materials on a motion to dismiss “if they are referred to in the plaintiff’s complaint and are central to [the] claim.” Brownmark Films, LLC v. Comedy Partners, 682 F.3d 687, 690 (7th Cir. 2012) (cleaned up). While the SAC indeed references the TOS, the Court finds that it is not central to Plaintiffs’ complaint. As Plaintiffs correctly assert, the SAC does not allege any violation of the TOS nor does it seek to assert any contractual right contained in the TOS. Accordingly, the Court may not consider the TOS in resolving Defendants’ motion.

The Court now turns to whether Plaintiffs have sufficiently alleged a duty of care. Plaintiffs argue that, pursuant to the traditional duty analysis, they have alleged sufficient facts to impose an independent duty of reasonable care upon Defendants. R. 43, Resp., at 5. Under the traditional duty analysis, four factors are relevant to whether a duty exists: (1) the reasonable foreseeability of the plaintiff’s injury; (2) the reasonable likelihood of the injury; (3) the magnitude of the defendant’s burden of guarding against the injury; and (4) the consequences of placing that burden on the defendant. LaFever v. Kremlite Co., 706 N.E. 2d 441, 446 (Ill. 1998). “The existence of a duty turns in large part on considerations of public policy.” Marshall v. Burger King Corp., 856 N.E.2d 1048, 1057 (Ill. 2006). In reply, Defendants double-down and argue that any duty of care is determined by the TOS. R. 49, Reply, at 2–4. For the reasons already explained, this argument is a non- starter. And while Defendants focus on Plaintiffs’ lack of citations to authority in support of establishing an independent legal duty here, Defendants do not meaningfully engage in the traditional duty analysis. Id. at 5. The Court will not do that work for them. Russell v. Chism, 2017 WL 3478817, at *7 (N.D. Ill. Aug. 14, 2017) (“It is not the duty of the court to make parties' arguments for them.”). Accordingly, the Court denies Defendants’ motion to dismiss on this basis.

Defendants next argue that Plaintiffs’ negligence claims fail because “Illinois law requires plaintiffs’ distress to be tied to immediate physical injury or physical impact caused by the defendant.” Mot. Dismiss at 11–12 (citing Choi v. Chase Manhattan Mortg. Co., 63 F. Supp. 2d 874, 887-88 (N.D. Ill. 1999); In re Air Crash Disaster Near Chicago, Ill. on May 25, 1979, 507 F. Supp. 21, 23 (N.D. Ill. 1980); Gillman v. Burlington Northern R. Co., 878 F.2d 1020, 1023–24 (7th Cir. 1989). Plaintiffs correctly respond that the cases to which Defendants cite all involve claims for negligent infliction of emotional distress, which Plaintiffs do not plead. Resp. at 11–12. Defendants, for the first time in reply, argue that “Illinois follows the Restatement relative to negligence resulting in only emotional disturbances.” Reply at 8. Defendants then point to the Restatement (Second) of Torts § 436A, which provides that an actor is not liable for negligence if that negligence “results in emotional disturbance alone, without bodily harm . . . .” Restatement (Second) of Torts § 436A. Although the Court typically does not address arguments raised for the first time on reply, it will do so here for the sake of completeness. In citing to the Restatement, Defendants notably fail to address the commentary of § 436A that states “even long continued mental disturbance, as for example in the case of repeated hysterical attacks, or mental aberration, may be classified by the courts as illness, notwithstanding their mental character.” Id., cmt. c. (1965); see also Kingdom Auth. Int'l Ministries v. City of Rockford, 2017 WL 4405061, *17 (Ill. App. Ct. 2017) (“[M]ental illness and prolonged symptoms resulting from emotional distress, such as nausea and headaches, may satisfy the physical or bodily harm requirement in Illinois.”). Throughout their complaint, Plaintiffs allege “extreme and serious emotional and psychological injuries, which still impact [them] to this day.” See generally, SAC. Whether these psychological injuries indeed rise to the level of physical or bodily harm is a question for another day. Accordingly, the Court denies Defendants’ motion to dismiss Plaintiffs’ negligence claims.

Defendants, with the last arrow in their quiver, argue that Plaintiffs have failed to sufficiently allege intentional infliction of emotional distress (IIED).

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Marshall v. Burger King Corp.
856 N.E.2d 1048 (Illinois Supreme Court, 2006)
Jin Ok Choi v. Chase Manhattan Mortgage Co.
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Bluebook (online)
Shepherd v. Volkswagen Group of America, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/shepherd-v-volkswagen-group-of-america-inc-ilnd-2025.