Wallace v. Chrysler Credit Corp.

743 F. Supp. 1228, 12 U.C.C. Rep. Serv. 2d (West) 1173, 1990 U.S. Dist. LEXIS 9899, 1990 WL 109226
CourtDistrict Court, W.D. Virginia
DecidedJuly 27, 1990
Docket89-0069-B
StatusPublished
Cited by21 cases

This text of 743 F. Supp. 1228 (Wallace v. Chrysler Credit Corp.) is published on Counsel Stack Legal Research, covering District Court, W.D. Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wallace v. Chrysler Credit Corp., 743 F. Supp. 1228, 12 U.C.C. Rep. Serv. 2d (West) 1173, 1990 U.S. Dist. LEXIS 9899, 1990 WL 109226 (W.D. Va. 1990).

Opinion

MEMORANDUM OPINION

GLEN M. WILLIAMS, Senior District Judge.

The plaintiff filed a complaint seeking damages arising from the defendants’ actions in repossessing his Dodge truck, in which Chrysler had a security interest. The case is before the court on defendants’ motion to dismiss pursuant to Fed.R.Civ. Proc. 8 and 12(b)(6).

The complaint states that the plaintiff is a resident of Virginia; that the defendant King is a resident of Tennessee; and that the defendant Chrysler Credit Corporation is organized and exists under the laws of Delaware; and that the amount in controversy exceeds $10,000. The complaint alleges that on April 13, 1988 the defendant Ralph King, 1 a deputy sheriff *1230 for Sullivan County, Tennessee, followed plaintiff Primmel Wallace to Big Stone Gap, Virginia, where Wallace was staying with his daughter, and, at approximately 2 o’clock in the morning, “breached the peace by entering the truck owned by the plaintiff, starting the truck, racing the motor of the truck, [and] barrelling out of the lot and down the street.” Wallace and his daughter did not know what was happening and were in fear. When Wallace and his daughter approached King “to discuss what [he] had done,” 2 King “very hatefully and gritting his teeth pointed his finger at Wallace and his daughter and said, ‘Listen here, don’t start with me, I will throw you in jail so fast it will make your head spin.’ ” He stated that he was a deputy sheriff “and had full authority to back up his threat.” The complaint alleges that King acted willfully, intentionally and wantonly, and deprived Wallace of his property without due process. Jurisdiction was claimed under 18 U.S.C. § 1332, 42 U.S.C. § 1983, and 28 U.S.C. § 1434. 3

Count I of the complaint recites the plaintiff’s allegations, but seeks no specific relief. Count II alleges that the defendants breached the peace in violation of Va.Code Ann. § 8.9-503 4 “which damaged plaintiff’s property and caused plaintiff personal injury.” Count III alleges that King’s actions were “intentional, wilful and wanton and in reckless disregard of the rights of the plaintiff,” and that as a result of these actions Wallace “was injured and suffered emotional distress and deprivation of personal property and rights.”

Defendant Chrysler Credit Corporation has filed a motion for dismissal under Fed. R.Civ.P. 8 and 12(b)(6), for failure to state a claim upon which relief may be granted, and because the complaint is so vague and ambiguous as to the relief sought against Chrysler that it cannot frame a responsive pleading. Defendant Ralph King has moved to dismiss on the grounds that the court lacks subject matter jurisdiction, pursuant to Fed.R.Civ.P. 12(b)(1); that venue is improper under Fed.R.Civ.P. 12(b)(3); and that the complaint fails to state a claim upon which relief can be granted under 12(b)(6).

The court believes that it has proper jurisdiction over the subject matter: there is complete diversity of citizenship between the parties, and, as will be developed further, Count III of the complaint essentially alleges a violation of 42 U.S.C. § 1983. Venue is correct under 28 U.S.C. § 1391, which provides that venue is proper in the judicial district in which the claim arose. Although it is true that defendant King is not a resident of the Western District of Virginia, the claim arose from his alleged actions in this district.

In support of its motion to dismiss under Rule 8, Chrysler states that the plaintiff is *1231 seeking damages only from King and the relief sought from it is “indiscernible.” In the alternative, Chrysler asks that the plaintiff be required to clarify the basis of its claim and specify the relief it is seeking.

*1230 Unless otherwise agreed a secured party has on default a right to take possession of the collateral. In taking possession a secured party may proceed without judicial process if this can be done without breach of the peace or may proceed by action....

*1231 The relief the plaintiff has asked for is set out under the heading of “Damages” at the end of his complaint. They are:

1. Loss of personal property (vehicle and personal property in it);
2. Loss of wages;
3. Emotional injury and distress;
4. Legal fees and expenses.

The complaint goes on to ask that the court “enjoin and invalidate” the sale of Wallace’s Dodge truck “as being a breach of the peace and a violation of due process,” or in the alternative award to him the fair market value as damages; award $50,000 in damages against King; “and other and further relief as this Court may deem appropriate.”

At oral argument, plaintiffs counsel explained that he was making the due process claim only against the deputy, while the breach of the peace claim, with emotional distress resulting, sounded against both defendants. With that understanding, the court does not believe that a dismissal under Rule 8 is warranted.

The issues for the court to decide on the remaining 12(b)(6) motions, then, are (1) whether defendants breached the peace in repossessing plaintiffs truck; and (2) whether King’s actions violated any of plaintiff’s due process rights.

I. BREACH OF PEACE

The plaintiff admits in his complaint that he had missed two payments on the truck. The Virginia Uniform Commercial Code, Va.Code Ann. § 8.9-503, states that upon default a secured party may repossess the collateral without judicial process “if this can be done without breach of the peace.”

A. Origins

The origins of the self-help remedy for creditors as embodied in today’s law go back to the Dark Ages. Self-help was tolerated because legal institutions were too weak to prevent it. Mikolajczyk, Breach of Peace and Section 9-503 of the Uniform Commercial Code, 82 Dick.L.Rev. 351, 351 (1977-78) (citing 2 F. Pollock & F. Maitland, The History of English Law, 547 (2d. ed. 1909)).

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Bluebook (online)
743 F. Supp. 1228, 12 U.C.C. Rep. Serv. 2d (West) 1173, 1990 U.S. Dist. LEXIS 9899, 1990 WL 109226, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wallace-v-chrysler-credit-corp-vawd-1990.