Stevenson v. Waiakea, Inc.

CourtDistrict Court, S.D. Ohio
DecidedJune 2, 2025
Docket3:24-cv-00294
StatusUnknown

This text of Stevenson v. Waiakea, Inc. (Stevenson v. Waiakea, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Stevenson v. Waiakea, Inc., (S.D. Ohio 2025).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF OHIO WESTERN DIVISION AT DAYTON COURTNEY STEVENSON, : et a/., on behalf of themselves and others similarly situated Case No. 3:24-cv-294 Plaintiff, Judge Walter H. Rice

V. Mag. Judge Caroline H. Gentry SAM'S WEST, INC., ef a/., Defendants.

DECISION AND ENTRY SUSTAINING MOTION TO DISMISS AND MOTION TO STRIKE CLASS ALLEGATIONS OF DEFENDANT SAM'S WEST, INC. (“SAM’S CLUB”) (DOC. #17) AND SUSTAINING IN PART AND OVERRULING IN PART MOTION TO DISMISS AND MOTION TO STRIKE CLASS ALEGATIONS OF DEFENDANTS WAIAKEA BOTTLING INC. AND WAIAKEA, INC. (“WAIAKEA DEFENDANTS”) (DOC. #18); CLASS ALLEGATIONS IN THE ORIGINAL COMPLAINT OF PLAINTIFFS COURTNEY AND ROBERT STEVENSON (DOC. #1) ARE STRICKEN, AND CLAIMS ONE AND TWO ARE DISMISSED, BOTH WITHOUT PREJUDICE TO REFILING WITHIN TWENTY-EIGHT (28) DAYS OF ENTRY; FAILURE TO SET FORTH PLAUSIBLE CLAIMS OR CLASS ALLEGATIONS WILL RESULT IN DISIMISSAL WITH PREJUDICE OF CLAIMS ONE AND TWO AGAINST ALL DEFENDANTS AND DISMISSAL OF SAM’S CLUB FROM THE CAPTIONED CASE ENTIRELY; CLAIM THREE SHALL PROCEED TO DISCOVERY BY PLAINTIFFS IN THEIR INDIVIDUAL CAPACITIES AS AGAINST THE WAIAKEA DEFENDANTS

Before the Court are the Motions to Dismiss and to Strike Class Allegations of Defendants Sam’s West, Inc. (“Sam's Club”) (Doc. #17) and Waiakea Bottling, Inc. and Waiakea, Inc. (collectively, “Waiakea Defendants”). (Doc. #18). For the

reasons set forth below, Sam’s Club’s Motion is SUSTAINED and the Waiakea Defendants’ Motion is SUSTAINED IN PART AND OVERRULED IN PART. 1. Factual Background and Procedural History As Defendants’ Motions arise under Rule 12(b)(6), the Court accepts as true all well-pleaded factual allegations. Ashcroft v. /qbal, 556 U.S. 662, 678 (2009). The Waiakea Defendants sell a product called “Hawaiian Volcanic Water,” which

was the subject of a voluntary recall in late 2023. (Complaint, Doc. #1, PAGEID 3, □ 15). The water and Waiakea Defendants’ bottling processes were subject to investigation by the United States Food and Drug Administration (“FDA”) in 2023 and 2024, culminating with the FDA issuing a warning letter to the Waiakea Defendants on August 13, 2024. (/d. at PAGEID 3-4, Jf 18-19). The FDA also concluded that the Waiakea Defendants had violated federal regulations with

respect to their water bottling and quality control procedures. (/a. at PAGEID 4, □ 21). Plaintiffs ordered Hawaii Volcanic Water through Defendant Sam’s Club’s website, and Sam’s Club shipped the water to their house. (Doc. #1, PAGEID 5, □ 23). In November 2023, Plaintiffs drank water that they believed to be contaminated with mold, “visible floating particles[,] or bacteria.” (/d. at J] 24- 25). “Since drinking the contaminated water,” Plaintiffs claim that they “have developed a persistent cough and other, more serious symptoms. Mrs. Stevenson experienced heart palpitations and an increased heart rate. She had to

go to the emergency room to be examined.” (/d. at | 26). They have also suffered

significant mental and emotional distress. (/d. at PAGEID 5, 6, {I] 28, 30). Mrs.

Stevenson notified the Waiakea Defendants about the contaminated water; the

Waiakea Defendants “attempted to downplay the seriousness of her concerns, but [they] did admit that some of [their] shipments of bottled water were contaminated from ‘biofilm found on a pipe surface.’” (/a. at PAGEID 5, § 29). Plaintiffs filed suit on November 8, 2024, alleging negligence against Sam’s Club and the Waiakea Defendants (Claim One, Doc. #1, PAGEID 8-10, {If 40-46), strict liability against Sam’s Club and the Waiakea Defendants (Claim Two, /d. at

PAGEID 10, 9] 47-51), and breach of implied warranties of merchantability and fitness for particular purpose against the Waiakea Defendants only. (Claim Three, id. at PAGEID 11, 9 52-60, citing OHIO REV. CoDE 8§ 1302.27, 1302.28). Plaintiffs set

forth a purported Plaintiff class of:

a. For Counts | and Il, all Ohio residents who purchased or otherwise received Waiakea water from Sam’s Club and drank Waiakea’s contaminated water in 2023 or 2024. b. For Count Ill, all Ohio residents who consumed Waiakea’s contaminated water in 2023 or 2024. (/d. at PAGEID 6, | 32). On January 10, 2025, both Sam’s Club (Doc. #17) and the Waiakea Defendants (Doc. #18) moved to dismiss and to strike the Complaint’s class allegations. (Doc. #1, PAGEID 6-8, {{] 31-39). Both Sam’s Club and the Waiakea Defendants argue that Claim One, common law negligence, has been abrogated by the Ohio Products Liability Act (“OPLA”), OHIO REV. CODE 2307.71 et seq. (Doc.

#17, PAGEID 52, § 1; Doc. #18, PAGEID 63, ¥ 2). All Defendants further assert that

the class allegations should be stricken because Plaintiffs have set forth impermissible “fail-safe” classes. (Doc. #17, PAGEID 52-53, {] 3; Doc. #18, PAGEID

63, 7 3). Additionally, Sam’s Club argues that Claim Two, strict liability, is also abrogated by OPLA, and Plaintiffs have not plausibly alleged facts that would hold

Sam’s Club, as a seller, strictly liable (a. at PAGEID 52, {| 2), and the Waiakea Defendants claim that Plaintiffs “have sued both Waiakea Bottling[,] Inc. and Waiakea, Inc., but the Complaint merely lumps these two entities together without

ever distinguishing between them or describing their respective roles (if any). Because this fails to meet Rule 8 standards, the Complaint should be dismissed.” (Doc. #18, PAGEID 64). In a combined memorandum contra, Plaintiffs argue that they alleged joint wrongdoing by the Waiakea Defendants, and in instances like this, where Waiakea, Inc. is the parent company of Waiakea Bottling, such joint allegations are

sufficient to put both Waiakea Defendants on notice of the (identical) nature of the

claims against them. (Memo. in Opp., Doc. #24, PAGEID 94-95, quoting Shah v.

Fortive Corp., No. 2:22-cv-312, 2024 WL 3226108, at *5-6 (S.D. Ohio June 27, 2024) (Hopkins, J.); Gordon v. B. Braun Med. Inc., No. 1:19-cv-121, 2020 WL 1491378, *11

(S.D. Ohio Mar. 27, 2020) (Black, J.); Nissan N. Am., Inc. v. Cont’! Auto. Sys., Inc., No. 3:19-cv-396, 2019 WL 4820477, *4 (M.D. Tenn. Oct. 1, 2019); citing /go v. Sun Life Assur. Co. of Canada, 652 F. Supp. 3d 929, 934-35 (S.D. Ohio 2023) (Black, J.)). Plaintiffs further claim that the basis for Claim One is the Ohio Pure Food and

Drug Law (“OPFD”), OHIO REV. CODE 3715.01 ef seq., and that this Court has refused to dismiss OPFD claims even when a common-law negligence claim would necessarily be preempted by OPLA. (/d. at PAGEID 96, citing Qashqeesh v.

Monster Beverage Corp., No. 2:20-cv-3776, 2020 WL 6544246, at *2 (S.D. Ohio Nov. 6, 2020) (Morrison, J.); Donley v. Pinnacle Foods Grp., LLC, No. 2:09-cv-540, 2010 WL 1031914, *2-3 (S.D. Ohio Mar. 17, 2010) (Abel, Mag. J.)). Plaintiffs assert that, because both Claims One and Two are statutorily-based, they not are abrogated by OPLA and should be allowed to proceed. (/a. at PAGEID 96-97). Plaintiffs further claim that they adequately pleaded causes of action against Sam’s Club, asserting that the OPFD and its negligence per se standard applies to sellers as well as manufacturers. Thus, they argue, Sam’s Club decision

to sell Hawaiian Volcanic Water renders it strictly liable for any defects in the

water. (Doc. #24, PAGEID 97-98, quoting Don/ey, 2010 WL 1031914, *2, 3; citing OHIO REV. CODE § 3715.01(A)(2)(a)). Moreover, Plaintiffs claim that they “adequately pleaded a basis for ‘negligence’ liability of Sam’s Club as the supplier by alleging that Sam’s Club continued to sell contaminated water even after the recall.” (/d. at PAGEID 98, citing Doc. #1, PAGEID 9, { 45).

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