Vizcarra v. Unilever United States, Inc.

District Court, N.D. California·Decided July 16, 2020·No. 4:20-cv-02777·Unknown

Opinion

LISA VIZCARRA, CASE NO. 4:20-cv-02777-YGR

Plaintiff, ORDER DENYING MOTION TO DISMISS AND GRANTING MOTION TO FILE A STATEMENT vs. OF RECENT DECISION Re: Dkt. Nos. 7, 20 Defendant.

Plaintiff Lisa Vizcarra brings this putative class action against defendant Unilever United States, Inc. (“Unilever”) for claims arising out of Unilever’s labeling and marketing of Breyers Natural Vanilla Ice Cream as containing vanilla flavor derived exclusively from the vanilla plant. Vizcarra alleges that the labeling and marketing for this product is false and misleading because laboratory testing of the ice cream revealed that its vanilla flavor primarily is derived from substances other than the vanilla plant. Pending before the Court is Unilever’s motion under Federal Rules of Civil Procedure 12(b)(6) and 12(b)(1) to dismiss Vizcarra’s claim for damages under the Consumer Legal Remedies Act (“CLRA”), her claim under the unlawful prong of California’s Unfair Competition Law (“UCL”), and her request for injunctive relief. Also pending is Unilever’s motion to file a statement of recent decision. Having carefully considered the pleadings and the parties’ briefs, and for the reasons set forth below, the Court GRANTS the motion to file a statement of recent decision and DENIES the motion to dismiss. Unilever sells Breyers Natural Vanilla Ice Cream in cartons that state “natural vanilla” on Docket. No. 1. The front of the carton depicts two vanilla beans and vanilla flowers and a scoop of the ice cream with noticeable vanilla-bean specks. Id. Vizcarra alleges that she interpreted this labeling and marketing as indicative that the ice cream’s vanilla flavor is derived from the vanilla plant and that she relied on this labeling and marketing when purchasing the ice cream. Id. The ice cream’s ingredient list states that the ice cream contains “natural flavor,” which Vizcarra alleges could be interpreted by a reasonable consumer as consistent with the ice cream’s vanilla flavor being derived from the vanilla plant. Id. ¶¶ 37, 46-47, 62. Laboratory testing performed on Breyers Natural Vanilla Ice Cream revealed that most of its vanilla flavor is derived from sources that are not the vanilla plant. Id. ¶ 29. Vizcarra alleges that the labeling used for Breyers Natural Vanilla Ice Cream does not comply with applicable food-labeling regulations, which require that the ice cream be labeled as “artificially flavored vanilla” in light of the near-absence of vanilla flavor in the ice cream that is actually derived from the vanilla plant. Id. ¶¶ 26, 43. Vizcarra alleges that she would not have purchased or paid more for Breyers Natural Vanilla Ice Cream had she realized that much, if not all, of its vanilla flavor comes from non- vanilla-plant sources. Id. ¶ 7. Vizcarra would purchase Breyers Natural Vanilla Ice Cream again in the future if the product reflected its labeling and marketing. Id. ¶ 12. In the complaint, Vizcarra asserts the following claims on her own behalf and on behalf of a proposed class of consumers in California who purchased Breyers Natural Vanilla Ice Cream for personal use from April 21, 2016, to the present: (1) claims under the unlawful, unfair, and fraudulent prongs of the UCL, Cal. Bus. & Prof. Code § 17200 et seq.; (2) a claim for false and misleading advertising in violation of California’s False Advertising Law (“FAL”), Cal. Bus. & Prof. Code § 17500 et seq.; and (3) a claim for violations of the CLRA, Cal. Civ. Code § 1750 et seq. Vizcarra seeks damages, restitution, and an injunction to stop Unilever’s allegedly false and misleading marketing practices with respect to Breyers Natural Vanilla Ice Cream, among other remedies. // A. Motion to dismiss under Rule 12(b)(6) Under Federal Rule of Civil Procedure 12(b)(6), an action may be dismissed for “failure to state a claim upon which relief can be granted.” Dismissal is appropriate where the complaint lacks a cognizable legal theory or sufficient facts to support a cognizable legal theory. Balistreri v. Pacifica Police Dep’t, 901 F.2d 696, 699 (9th Cir. 1990). The complaint must allege “more than labels and conclusions, and a formulaic recitation of the elements of a cause of action will not do.” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 555 (2007). When considering a motion to dismiss, a court must accept all material allegations in the complaint as true and construe them in the light most favorable to plaintiff. NL Indus., Inc. v. Kaplan, 792 F.2d 896, 898 (9th Cir. 1986). B. Motion to dismiss under Rule 12(b)(1) Under Rule 12(b)(1), a defendant may challenge the plaintiff’s jurisdictional allegations in one of two ways. A “facial” attack accepts the truth of the plaintiff’s allegations but asserts that they “are insufficient on their face to invoke federal jurisdiction.” Safe Air for Everyone v. Meyer, 373 F.3d 1035, 1039 (9th Cir. 2004). The district court resolves a facial attack as it would a motion to dismiss under Rule 12(b)(6), namely by determining whether the allegations are sufficient to invoke the court’s jurisdiction while accepting the plaintiff’s allegations as true and drawing all reasonable inferences in the plaintiff’s favor. Pride v. Correa, 719 F.3d 1130, 1133 (9th Cir. 2013). A “factual” attack, by contrast, contests the truth of the plaintiff’s factual allegations, usually by introducing evidence outside the pleadings. Safe Air for Everyone, 373 F.3d at 1039. “When the defendant raises a factual attack, the plaintiff must support her jurisdictional allegations with ‘competent proof’ . . . under the same evidentiary standard that governs in the summary judgment context.” Leite v. Crane Co., 749 F.3d 1117, 1122 (9th Cir. 2014) (citations omitted). “The plaintiff bears the burden of proving by a preponderance of the evidence that each of the requirements for subject-matter jurisdiction has been met.” Id. (citation omitted). “[I]f the existence of jurisdiction turns on disputed factual issues, the district court may resolve those federal court’s] limited jurisdiction[.]” Kokkonen v. Guardian Life Ins. Co. of America, 511 U.S. 375, 377 (1994) (citation omitted). Unilever moves to dismiss: (1) Vizcarra’s claim for damages under the CLRA with prejudice on the ground that the claim is barred because she failed to send Unilever a pre-lawsuit demand letter as required by California Civil Code section 1782(a); (2) Vizcarra’s unlawful-prong UCL claim to the extent that it is predicated on violations of the CLRA on the ground that Vizcarra’s CLRA claim for damages is subject to dismissal; and (3) Vizcarra’s request for injunctive relief on the ground that she lacks standing under Article III. The Court addresses each of these arguments in turn. A. Notice required by the CLRA California Civil Code section 1782(a) provides that, at least thirty days prior to commencing an action for damages under the CLRA, a consumer is required to (1) notify the

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Vizcarra v. Unilever United States, Inc., (N.D. Cal. 2020).

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