Stencel v. Lyft, Inc.

CourtDistrict Court, N.D. California
DecidedAugust 29, 2024
Docket3:24-cv-01535
StatusUnknown

This text of Stencel v. Lyft, Inc. (Stencel v. Lyft, 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
Stencel v. Lyft, Inc., (N.D. Cal. 2024).

Opinion

1 2 3 4 5 IN THE UNITED STATES DISTRICT COURT 6 FOR THE NORTHERN DISTRICT OF CALIFORNIA 7 8 MARIBETH STENCEL, Case No. 24-cv-01535-MMC

9 Plaintiff, ORDER GRANTING LYFT'S MOTION 10 v. TO DISMISS FIRST AMENDED COMPLAINT 11 LYFT, INC., Re: Dkt. No. 35 12 Defendant.

13 14 Before the Court is defendant Lyft, Inc.’s (“Lyft”) “Motion to Dismiss First Amended 15 Complaint,” filed July 19, 2024, pursuant to Rules 12(b)(6) and 9(b) of the Federal Rules 16 of Civil Procedure. Plaintiff Maribeth Stencel (“Stencel”) has filed opposition, to which Lyft 17 replied. Having read and considered the papers filed in support of and in opposition to the 18 motion, the Court VACATES the hearing scheduled for September 13, 2024, and rules as 19 follows. 20 BACKGROUND 21 Stencel, a resident of Arizona, alleges that on August 6, 2022, she was sexually 22 assaulted by her Lyft driver. (See First Amended Complaint (“FAC”) ¶¶ 9, 134–141, Doc. 23 No. 26.) Specifically, she alleges she “ordered a Lyft ride” during which she “began to feel 24 lightheaded,” and that thereafter, the “[d]river reached back to touch her hand” and 25 eventually “pulled into a commercial parking lot and lean[ed] his seat back.” (See id. ¶ 26 134–36.) She further alleges that she “woke up the next day half inside her doorway,” 27 with her “belongings . . . strewn across the front lawn,” her “knees and legs . . . scraped 1 thereafter “went to the hospital where a [sexual assault] exam was performed,” that she 2 subsequently “reported the incident” to the police and to Lyft, and that Lyft subsequently 3 “informed [her] that the Lyft driver had been suspended from the Lyft platform.” (See id. 4 ¶¶ 139–140.) 5 According to Stencel, Lyft “has known of the ongoing sexual assaults and rapes by 6 Lyft drivers upon Lyft passengers” for more than “eight years,” and has responded 7 “inadequate[ly]” by “continu[ing] to hire drivers without performing adequate background 8 checks,” by “allow[ing] culpable drivers to keep driving,” and by “fail[ing] to adopt and 9 implement reasonable monitoring procedures designed to ensure the safety of its 10 passengers.” (See id. ¶¶ 2–3.) 11 Based on the above allegations, Stencel asserts the following ten causes of action 12 against Lyft and 50 Doe defendants: (1) “Negligence (Including Negligent Hiring, 13 Retention, Supervision, and Entrustment),” (2) “Misrepresentation,” (3) “Negligent Failure 14 to Warn,” (4) “Negligent Infliction of Emotional Distress,” (5) “Common Carrier’s Non- 15 Delegable Duty to Provide Safe Transportation,” (6) “Other Non-Delegable Duties to 16 Provide Safe Transportation,” (7) “Vicarious Liability for Lyft Driver’s Torts (Employee, 17 Retained Control, Apparent Agency, Ratification, California Public Utilities Code),” (8) 18 “Breach of Contract,” (9) “Strict Product Liability (Failure to Warn and Design Defect),” 19 and (10) “Violation of Unfair Competition Law (Cal. Bus. & Prof. Code §V 17200 Et Seq.)” 20 (See id. 26:27–64:8.)1 21 LEGAL STANDARD 22 A. Failure to State a Claim 23 Dismissal under Rule 12(b)(6) of the Federal Rules of Civil Procedure "can be 24 based on the lack of a cognizable legal theory or the absence of sufficient facts alleged 25 26 1 In her opposition, Stencel “abjures her claims for misrepresentation (Claim 2) 27 and breach of contract (Claim 8), as well as claims arising from California’s unfair- 1 under a cognizable legal theory." See Balistreri v. Pacifica Police Dep't, 901 F.2d 696, 2 699 (9th Cir. 1990). Rule 8(a)(2), however, "requires only 'a short and plain statement of 3 the claim showing that the pleader is entitled to relief.'" See Bell Atlantic Corp. v. 4 Twombly, 550 U.S. 544, 555 (2007) (quoting Fed. R. Civ. P. 8(a)(2)). Consequently, "a 5 complaint attacked by a Rule 12(b)(6) motion to dismiss does not need detailed factual 6 allegations." See id. Nonetheless, "a plaintiff's obligation to provide the grounds of his 7 entitlement to relief requires more than . . . a formulaic recitation of the elements of a 8 cause of action." See id. (internal quotation, citation, and alteration omitted). 9 In analyzing a motion to dismiss, a district court must accept as true all material 10 allegations in the complaint and construe them in the light most favorable to the 11 nonmoving party. See NL Indus., Inc. v. Kaplan, 792 F.2d 896, 898 (9th Cir. 1986). "To 12 survive a motion to dismiss," however, "a complaint must contain sufficient factual 13 material, accepted as true, to 'state a claim to relief that is plausible on its face.'" Ashcroft 14 v. Iqbal, 556 U.S. 662, 678 (2009) (quoting Twombly, 550 U.S. at 570). "Factual 15 allegations must be enough to raise a right to relief above the speculative level," 16 Twombly, 550 U.S. at 555, and courts "are not bound to accept as true a legal conclusion 17 couched as a factual allegation," see Iqbal, 556 U.S. at 678 (internal quotation and 18 citation omitted). 19 B. Pleading Fraud with Particularity 20 Rule 9(b) requires a plaintiff to “state with particularity the circumstances 21 constituting fraud,” see Fed. R. Civ. P. 9(b), specifically, the “who, what, when, where, 22 and how of the misconduct charged,” see Vess v. Ciba-Geigy Corp. USA, 317 F.3d 1097, 23 1106 (9th Cir. 2003) (internal quotation and citation omitted), and applies to claims based 24 on “misrepresentations” as well as “omissions,” see GlenFed Inc. Sec. Litig., 52 F.3d 25 1541, at 1543, 1548 (9th Cir. 1994). 26 C. Choice of Law 27 A district court sitting in diversity over state-law claims applies the forum state’s 1 Klaxon Co. v. Stentor Elec. Mfg. Co., 313 U.S. 487 (1941). California uses a “three-step 2 governmental interest analysis” to determine which jurisdiction’s law applies. See 3 Washington Mutual Bank, FA v. Superior Court, 24 Cal. 4th 906, 919–920 (2001) 4 (internal quotation and citation omitted). First, “the foreign law proponent must identify the 5 applicable rule of law in each potentially concerned state and must show it materially 6 differs from the law of California.” See id. Second, if the laws differ, the Court must 7 “determine what interest, if any, each state has in having its own law applied to the case.” 8 See id. at 920. Third, where both states have an interest in applying their own law, the 9 Court must “select the law of the state whose interests would be ‘more impaired’ if its law 10 were not applied.” See id. Where, however, neither party shows the laws of the two 11 jurisdictions materially differ, California law applies. See Textron Inc. v. Travelers 12 Casualty & Surety Co., 45 Cal.App.5th 733, 755 (2020). 13 DISCUSSION 14 By the instant motion, Lyft seeks an order dismissing Stencel’s claims alleging 15 common-carrier liability (Claim 5), vicarious liability (Claim 7), and negligent hiring, 16 retention and supervision (Claim 1) for failure to state a claim. (See Def.’s Mot. to Dismiss 17 Pl.’s First Am. Compl. (“Def.’s Mot.”) at 4:17–18, 10:19–20.) 18 A.

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