Wieser v. Mr. Cooper Group, Inc.

District Court, E.D. California·Decided May 27, 2025·No. 2:24-cv-01910·Unknown

Opinion

RUTH WIESER, No. 2:24-cv-01910-DJC-CSK

Plaintiff,

v. ORDER

MR. COOPER GROUP, INC., et al.,

Defendants.

Defendants have filed a Motion to Dismiss Plaintiff’s First Amended Complaint

in its entirety, arguing the claims are time-barred and insufficiently pled. Plaintiff has

failed to timely oppose or otherwise respond to Defendant’s Motion despite

numerous warnings from this Court that failure to comply with the Local Rules or this

Court’s orders could result in sanctions, including dismissal of this action. Plaintiff has

also failed to resp ond to an Order to Show Cause issued by this Court ordering Plaintiff to explain why this action should not be dismissed for failure to prosecute. Accordingly, given Plaintiff’s numerous failures to comply with this Court’s orders and the Local Rules, the Court finds that dismissal of this action is appropriate. Plaintiff’s First Amended Complaint shall be dismissed for Plaintiff’s failure to prosecute, Defendants’ Motion to Dismiss shall be denied as moot, and the Clerk of Court shall be directed to close this case.

Plaintiff Ruth Wieser filed this action on February 16, 2024, in state court,

alleging seven causes of action for (1) negligence, (2) negligent infliction of emotional

distress, (3) negligent misrepresentation, (4) intentional infliction of emotional distress,

(5) breach of contract, (6) breach of the implied duty of good faith and fair dealing,

and (7) wrongful death. (ECF No. 1-1.) Defendants Mr. Cooper Group, Inc. and Joey

Khalil removed the action to federal court on July 11, 2024, on the basis of diversity

jurisdiction, and moved to dismiss the claims. (ECF Nos. 1, 4.) Plaintiff failed to timely

oppose dismissal but sought the Court’s leave to file a belated opposition. (ECF No.

8.) The Court granted Plaintiff’s request, but admonished Plaintiff that a failure to

comply with the Local Rules could be grounds for sanctions. (ECF No. 10.) The Court

subsequently dismissed Plaintiff’s first through sixth claims on the basis that they were

untimely, and seventh claim on the basis that it was inadequately pled. (ECF No. 14.)

The Court granted Plaintiff 30 days to file an amended complaint. (Id.)

Plaintiff failed to file an amended complaint within 30 days. Accordingly, the

Court issued an Order to Show Cause on March 11, 2025, ordering Plaintiff to show

cause why the Court should not impose sanctions, including dismissal of the action,

for Plaintiff’s failure to comply with the Court’s orders. (ECF No. 15.) Plaintiff did not

respond to the Order to Show Cause but filed a First Amended Complaint seven days

thereafter. (ECF No. 16.) Accordingly, the Court discharged the Order to Show Cause

but warned Plaintiff that future failures to respond to the Court’s orders could result in

sanctions. (ECF No. 17.)

Defendants again moved to dismiss Plaintiff’s claims on April 1, 2025, arguing

Plaintiffs first through sixth claims were untimely and all the claims were insufficiently

pled. (ECF No. 19.) Plaintiff failed to timely oppose. Thus, the Court issued another

Order to Show Cause on May 15, 2025, ordering Plaintiff to show cause within seven

days “why the Court should not construe Plaintiff’s failure to file a timely opposition as

a non-opposition to Defendant’s motion and why this case should not be dismissed for failure to prosecute.” (ECF No. 22.) To date, Plaintiff has failed to respond to the

Court’s Order to Show Cause or otherwise oppose dismissal of her claims.

Under Federal Rule of Civil Procedure 41, a court may dismiss an action for

failure to prosecute or failure to comply with the Federal Rules of Civil Procedure, the

court’s local rules, or any order of the court. Fed. R. Civ. P. 41(b); see also Ferdik v.

Bonzelet, 963 F.2d 1258, 1260 (9th Cir. 1992) (“Pursuant to Federal Rule of Civil

Procedure 41(b), the district court may dismiss an action for failure to comply with any

order of the court.”); Henderson v. Duncan, 779 F.2d 1421, 1424 (9th Cir. 1986)

(dismissal for failure to prosecute and to comply with local rules). This Court’s Local

Rules are in accord. See E.D. Cal. L.R. 110 (“Failure of counsel or of a party to comply

with these Rules or with any order of the Court may be grounds for imposition by the

Court of any and all sanctions authorized by statute or Rule or within the inherent

power of the Court.”). A court may act on its own accord in exercising this authority as

district courts have inherent power to control their dockets. Hells Canyon Preservation

Council v. U.S. Forest Serv., 403 F.3d 683, 689 (9th Cir. 2005) (approving sua sponte

dismissals under Rule 41(b)); Thompson v. Housing Auth. of City of L.A., 782 F.2d 829,

831 (9th Cir. 1986).

In determining whether to dismiss an action, the Court must consider several

factors: (1) “the public’s interest in expeditious resolution of litigation”; (2) “the court’s

need to manage its docket”; (3) “the risk of prejudice to the defendants”; (4) “the

public policy favoring disposition of cases on their merits”; and (5) “the availability of

less drastic sanctions.” Carey v. King, 856 F.2d 1439, 1440 (9th Cir. 1988).

Applying the factors for involuntary dismissal, the Court finds this action should

be dismissed. Plaintiff has continually failed to diligently prosecute this action,

including by failing to timely oppose two motions to dismiss and failing to timely file

an amended complaint. The Court has admonished Plaintiff numerous times for these failures to no avail. (See ECF Nos. 10, 15, 17, 22.) Plaintiff’s lack of diligence is

particularly distressing given this Court’s extremely high caseload, as well as the high

caseload in the Eastern District of California generally. Thus, this Court finds that the

first and second factors—the public’s interest in expeditious resolution of litigation and

the Court’s need to manage its docket—weigh in favor of dismissal.

The third factor—prejudice to defendants—also weighs in favor of dismissal.

While this case is little more than a year old, Defendants have been prevented from

attempting to resolve this case on the merits by Plaintiff’s unreasonable delay in

prosecuting this action. Unreasonable delay is presumed to be prejudicial. See, e.g.,

Allen v. Bayer Corp. (In re: Phenylpropanolamine (PPA) Prods. Liab. Litig.), 460 F.3d

1217, 1227 (9th Cir. 2006).

The fifth factor—availability of less drastic sanctions—also favors dismissal. As

noted above, the Court has already pursued remedies less drastic than a

recommendation of dismissal. See Malone v. U.S. Postal Serv., 833 F.2d 128, 132 (9th

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