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LexisNexis® Mealey's™ California Section 17200 Legal News



Headline California Section 17200 Legal News from LexisNexis®



 



9th Circuit Vacates Ruling, Remands For Reconsideration Of Sanction
PASADENA, Calif. - After finding that a district court failed to consider certain factors when it imposed a sanction and excluded testimony in relation to an advertisement that products met military standards, the Ninth Circuit U.S. Court of Appeals on Dec. 14 vacated a court's dismissal of a plastics company's claims for violation of California's unfair competition law (UCL) and false advertising (Caltex Plastics Inc. v. Shannon Packaging Co., No. 15-55942, 9th Cir.; 2016 U.S. App. LEXIS 22204).



9th Circuit Finds Contractor Had No Payment Liability Under California Law
PASADENA, Calif. - The Ninth Circuit U.S. Court of Appeals on Jan. 3 affirmed a district court's decision to dismiss an environmental firm's claims related to a consulting contract for environmental work related to a proposed rail project, finding that a contractor was not liable under California law for certain payment obligations (Ultrasystems Environmental Inc. v. STV Inc., No. 15-55215, 9th Cir.; 2017 U.S. App. LEXIS 37).



Judge Finds Domino's Did Not Misappropriate Trade Secrets Or Violate UCL
SAN FRANCISCO - After finding that a wireless communications company failed to show the reasonable efforts necessary to maintain its claim for misappropriation of trade secrets and failed to plead facts to support its cause of action for violation of California's unfair competition law (UCL), a California federal judge on Jan. 6 granted a pizza franchise's motion to dismiss the claims against it (Prostar Wireless Group LLC v. Domino's Pizza Inc., No. 3:16-cv-05399, N.D. Calif.; 2017 U.S. Dist. LEXIS 2999).



Judge Finds California Law Provision In Facebook Terms Is Enforceable
SAN FRANCISCO - After finding that a California choice-of-law clause in Facebook Inc.'s terms of service is enforceable, a California federal judge on Jan. 9 granted the social media's company's motion to dismiss claims for violation of the New Jersey Truth-in-Consumer Contract, Warranty, and Notice Act (TCCWNA) (Jose Palomino, et al. v. Facebook Inc., No. 16-cv-04230, N.D. Calif.; 2017 U.S. Dist. LEXIS 2971).



Judge Finds No Facts To Support False Advertising Claims Against Ralph Lauren
SAN DIEGO - A California federal judge on Dec. 20 granted a clothing retailer's motion to dismiss a consumer's claims for violation of California's unfair competition law (UCL) and claims for false advertising in relation to its pricing, finding that she failed to allege facts to support her class action claims (Courtney Dennis v. Ralph Lauren Corporation, No. 16cv1056, S.D. Calif.; 2016 U.S. Dist. LEXIS 176856).



Judge Grants Stein Mart's Motion To Compel On 'Compare At' Claims
RIVERSIDE, Calif. - A California federal judge on Jan. 10 granted a retailer's motion to compel supplemental responses to certain discovery requests from a purchaser who asserts claims for violation of California's unfair competition law (UCL), false advertising and other claims related to its pricing (Marilyn Sperling v. Stein Mart Inc., et al., No. 15-1411, C.D. Calif.; 2017 U.S. Dist. LEXIS U.S. Dist. LEXIS 3668).



Judge Finds No Jurisdiction Over Rental-Related Claims Against Landlord
SACRAMENTO, Calif. - After finding that a tenant's single federal claim failed, a California federal judge on Jan. 3 dismissed claims for violation of California's unfair competition law (UCL) and the Rehabilitation Act against a landlord for lack of jurisdiction (Angelica Francis v. Accessible Space Inc., et al., No. 2:16-cv-1016, E.D. Calif.; 2017 U.S. Dist. LEXIS 425).



Judge Finds UCL Claims Against Wells Fargo Fail For Lack Of Standing
SAN FRANCISCO - After finding that two borrowers failed to adequately plead their claims for violation of California's unfair competition law (UCL) and negligence, a California federal judge on Jan. 10 granted a motion to dismiss filed by Wells Fargo Bank N.A. (Michelle A. Graham, et al. v. Wells Fargo Bank, N.A., No. 3:15-cv-04220. N.D. Calif.; 2017 U.S. Dist. LEXIS 3598).



Federal Judge Dismisses UCL Claim Against MERS For Failure To Amend
SAN FRANCISCO - After finding that a borrower failed to amend her claims for violation of California's unfair competition law (UCL) and declaratory relief, a California federal judge on Jan. 3 granted a motion to dismiss a second amended complaint against lenders in relation to a mortgage (Modesta Jacinto v. Ditech Financial LLC, et al., No. 16-cv-02815, N.D. Calif.; 2017 U.S. Dist. LEXIS 1012).



Judge Allows Deutsche Bank To Amend Claims Related To Default Notices
SAN DIEGO - A California federal judge on Jan. 5 granted a bank's request to assert counterclaims against borrowers and to add various counterdefendants to an action in which property owners assert claims for violation of California's unfair competition law (UCL), the Truth in Lending Act (TILA) and other causes of action, finding that amendment would not prejudice the claimants (Rick J. Hinrichsen, et al. v. Quality Loan Service Corporation, et al., No. 16cv0690, S.D. Calif.; 2017 U.S. Dist. LEXIS 1670).



Magistrate Recommends Dismissal Of Foreclosure-Related Claims Against Loan Servicer
SACRAMENTO, Calif. - After finding no evidence to support a borrower's claims for wrongful foreclosure and violation of California's unfair competition law (UCL), a California federal magistrate judge on Dec. 22 recommended that his claims against a loan servicer be dismissed without leave to amend (Timothy Mulgrew Jr. v. Green Tree Servicing LLC, et al., No. 2:14cv2998, E.D. Calif.; 2016 U.S. Dist. LEXIS 177715).



Federal Judge Transfers Employee's Class Claims Against Food Group
SAN FRANCISCO - A California federal judge on Jan. 6 granted a request by several companies to transfer an employee's class claims for violation of California's unfair competition law (UCL) and other causes of action related to alleged employment violations, finding that transfer to another federal court was appropriate because various factors, including the convenience of witnesses, weighed in favor of the transfer (Jorge Perez v. Performance Food Group Inc., et al., No. 15-cv-02390, N.D. Calif.; 2017 U.S. Dist. LEXIS 2319).



Tesla Owner Claims Model X Vehicles Automatically Accelerate
SANTA ANA, Calif. - An owner of a 2016 Model X filed a class complaint on Dec. 30 against Tesla Motors Inc., accusing the company of making faulty vehicles after he and his son were injured when his vehicle allegedly accelerated on its own while he was pulling into his garage (Ji Chang Son, et al. v. Tesla Motors, Inc., No. 16-2282, C.D. Calif.).



California High Court Reverses Remand Of Class Action For Recalculation Of APRs
LOS ANGELES - The California Supreme Court on Dec. 15 partially reversed a judgment by a court of appeal to the extent it directed the trial court to hold further proceedings on a class's claims under the Rees-Levering Motor Vehicle Sales and Finance Act, but affirmed a decision that a dealership's practice of backdating contracts did not violate the Automobile Sales Finance Act (ASFA) (Raceway Ford Cases, Nos. E054517, E056595, Calif. App., 4th Dist., Div. 2; 2014 Cal. App. LEXIS 842).



Court Rejects Appeal Of New Trial For Mercedes On Defect Claim
LOS ANGELES - A California appellate court on Dec. 13 found that a trial court did not err when it granted a motion filed by Mercedes-Benz USA Inc. for a new trial in relation to a jury verdict issued in favor of the purchaser of an allegedly defective vehicle, finding that she failed to unequivocally prove that she qualified for a revocation remedy under the Song-Beverly Act (Wassan Benny v. Sonic Santa Monica M., Inc., et al., No. B265677, Calif. App., 2nd Dist., Div. 8).



9th Circuit Finds Company Did Not Falsely Advertise Specification
PASADENA, Calif. - The Ninth Circuit U.S. Court of Appeals on Dec. 13 found that a corporation that makes plastics failed to show that a company falsely advertised that its product met a military specification, affirming dismissal of its claims for violation of California's unfair competition law (UCL) and false advertising (Caltex Plastics v. Elkay Plastics Company Inc., No. 15-55331, 9th Cir.; 2016 U.S. App. LEXIS 22134).



Judge Enters Default Ruling, Awards Investor $1.07M In Damages
LOS ANGELES - After finding that an investor adequately pleaded that financial advisers deliberately made misrepresentations and concealed information about the risks associated with investments, a California federal judge on Dec. 9 entered a default ruling in her favor for $1,070,972.88 (Julie Marshall v. Platinum Global Advisors, LLC, et al., No. 16-672, C.D. Calif.; 2016 U.S. Dist. LEXIS 171588.)



Judge Finds UCL Claims Against Diamond Importer Are Preempted Under CUTSA
SAN FRANCISCO - A California federal judge on Nov. 22 dismissed counterclaims for violation of California's unfair competition law (UCL) and misappropriation of trade secrets in relation to an Indian diamond importer's use of a confidential customer list, finding that the claims were displaced under California's Uniform Trade Secrets Act (CUTSA) (Kapu Gems, et al. v. Diamond Imports Inc., et al., No. 15-cv-03531, N.D. Calif.; 2016 U.S. Dist. LEXIS 162128).



Judge Dismisses UCL Claim In Dispute Over Technology For Taxi Payments
SAN FRANCISCO - A California federal judge on Dec. 6 granted a technology company's motion to dismiss a counterclaim asserted by the maker of a mobile application that allows for credit card payments to taxicab drivers, finding no facts to support its claim for violation of California's unfair competition law (UCL) (Creative Mobile Technologies LLC v. Flywheel Software Inc., No. 16-cv-02560, N.D. Calif.; 2016 U.S. Dist. LEXIS 168569).



Judge Refuses To Dismiss UCL Claim Against Condo Owner For Discrimination
SAN DIEGO - After finding that the residents of a condominium complex alleged facts to support violations of California's unfair competition law (UCL), a California federal judge on Dec. 12 refused to dismiss the UCL claim, but granted the motion as to a request for punitive damages (Melody Chapman, et al. v. The Bluffs of Fox Run Homeowners Association, No. 16-cv-489, S.D. Calif.; 2016 U.S. Dist. LEXIS 171537).



9th Circuit Affirms Dismissal Of UCL And Antitrust Claims Against Bank
PASADENA, Calif. - The Ninth Circuit U.S. Court of Appeals on Dec. 14 affirmed a court's dismissal of claims for violation of California's unfair competition law (UCL) and for violation of the Sherman Act against several banks, finding that some of a borrower's claims could not be based on vicarious liability and that she lacked standing (Helen Galope v. Deutsche Bank National Trust Company, as Trustee under Pooling and Servicing Agreement dated as of May 1, 2007 Securitized Asset Backed Receivables LLC Trust 2007-BR4, No. 15-55246, 9th Cir.; 2016 U.S. App. LEXIS 22210).



9th Circuit Finds No Support For Borrower's UCL And Negligence Claims
SAN FRANCISCO - The Ninth Circuit U.S. Court of Appeals on Nov. 23 affirmed a district court's decision to dismiss claims for negligence and violation of California's unfair competition law (UCL), finding that a borrower's claims related to the transfer of his mortgage lacked legal or factual support (George M. Kramer v. Quality Loan Servicing Corporation, et al., No. 14-15973, 9th Cir.; 2016 U.S. App. LEXIS 21096).



California Court Finds Borrower Lacked Standing To Challenge Foreclosure
LOS ANGELES - After finding that a borrower failed to show that he had standing to challenge the foreclosure of a property, a California court on Dec. 12 affirmed a trial court's decision to grant a demurrer in favor of Citibank N.A. (Marc I. Rosenthal v. Citibank N.A., et al., No. B263465, Calif. App., 2nd Dist., Div. 7; 2016 Cal. App. Unpub. LEXIS 8947).



Federal Judge Allows Borrower To Amend Claims Against Loan Servicer
SAN FRANCISCO - A California federal judge on Dec. 5 dismissed claims for wrongful foreclosure and violations of the California civil code against two mortgage-related entities but granted a borrower leave to file a second amended complaint against one lender in relation to the foreclosure of her property (Sadie S. Shaw v. Ocwen Loan Servicing LLC, et al., No. 15-cv-01755, N.D. Calif.; 2016 U.S. Dist. LEXIS 167720).



Judge Finds Company Failed To Show Competitor Controls Energy Drink Market
LOS ANGELES - A California federal judge on Oct. 26 ruled that a beverage company's claims for violation of California's unfair competition law (UCL) and other claims against a competitor in relation to the sale of energy drinks in the Military Resale System should be dismissed, finding nothing to support a decision that it was controlling the market and that the allegations contained inconsistencies (Hip Hop Beverage Corp. v. Monster Energy Company, et al., No. 2:16-CV-1421, C.D. Calif.; 2016 U.S. Dist. LEXIS 167077).



Judge Enters Default Ruling On Claims For Illegal Broadcast
SAN JOSE, Calif. - After the owners of a restaurant where a televised event was allegedly illegally broadcast failed to respond to claims for violation of California's unfair competition law (UCL) and other claims, a California federal judge on Nov. 28 entered a default ruling in favor of a production company (J&J Sports Productions Inc. v. Manuel Gonzalez, et al., No. 5:16-cv-02284, N.D. Calif.; 2016 U.S. Dist. LEXIS 163717).



Judge Finds Employment Claims Are Not Arbitrable, Agreement Is Unenforceable
SAN FRANCISCO - Considering the recent ruling in Morris v. Ernst & Young (834 F.3d 975 [9th. Cir. 2016]), a California federal judge on Nov. 16 found that a class action waiver in an employment-related arbitration agreement was unenforceable under the National Labor Relations Act (NLRA) (Ravi Whitworth v. Solarcity Corp., No. 16-cv-01540-JSC, N.D. Calif.; 2016 U.S. Dist. LEXIS 158903).



Court Affirms Dismissal Of Employment Claims Against Youth Services
SAN DIEGO - A California court on Nov. 14 affirmed a trial court's decision that San Diego Youth Services (SDYS) did not wrongfully terminate an employee's position and dismissed her claims for violation of the California Labor Code and the state's unfair competition law (UCL), finding that the record on appeal was incomplete (Diane Daniels v. San Diego Youth Services, No. D069401, Calif. App., 4th Dist., Div. 1; 2016 Cal. App. Unpub. LEXIS 8367).



Summary Judgment For Purina Is Granted In Alleged Toxic Pet Food Case
SAN FRANCISCO - A California federal judge on Nov. 17 granted a summary judgment motion filed by Nestle Purina Petcare Co. and ordered the file closed in a proposed class complaint accusing the pet food maker of using toxic substances in its Beneful brand dog food (Frank Lucido v. Nestle Purina Petcare Co., et al., No. 15-569, N.D. Calif.; 2016 U.S. Dist. LEXIS 159569).



Judge Dismisses Suit Over Jeans 'Made In' Labeling, Allows Plaintiff To Amend
SAN DIEGO - A California federal judge on Dec. 6 granted a motion to dismiss a class complaint accusing a jeans manufacturer of falsely advertising its jeans as "Made in the U.S.A." when components come from other countries but gave the plaintiff more than a month to file an amended complaint containing additional information (Coni Hass, et al. v. Citizens of Humanity, LLC, et al., No. 14-1404, S.D. Calif.; 2016 U.S. Dist. LEXIS 168618).



Candy Worker's 2 Individual Wage Claims Reinstated, Class Claims Rejected
SAN DIEGO - A candy company former employee who filed a wage and hour class complaint against her former employer may proceed only with two of her individual claims, the Fourth District California Court of Appeal, Division I, ruled Dec. 9, upholding summary judgment for the employer on the other remaining causes of action, including the class claims (Pamela Silva v. See's Candy Shops, Inc., No. D068136, Calif. App., 4th Dist., Div. 1; 2016 Cal. App. Unpub. LEXIS 8895).



Yahoo Data Breach Lawsuits Consolidated In California Federal Court
SAN JOSE, Calif. - Five putative class actions against Yahoo! Inc. related to a data breach the internet giant announced in September were consolidated in the U.S. District Court for the Northern District of California by the U.S. Judicial Panel on Multidistrict Litigation (JPMDL) in a Dec. 7 transfer order (In re: Yahoo! Inc. Customer Data Security Breach Litigation, No. 5:16-md-02752, N.D. Calif.).



9th Circuit Reverses Certification Of Class Related To Defect Claims
PASADENA, Calif. - The Ninth Circuit U.S. Court of Appeals on Oct. 24 reversed a trial court's decision certifying a class of purchasers and owners of a replacement regulator for vehicles made by Chrysler Group LLC, finding that the class representative failed to meet the federal requirements for class certification (Steve Doyle v. Chrysler Group LLC, No. 15-55107, 9th Cir.; 2016 U.S. App. LEXIS 19159).



Court Affirms Dismissal Of Illegal Lending Claims For Lack Of Jurisdiction
SAN FRANCISCO - A California appeals court on Oct. 14 affirmed a trial court's ruling to dismiss a consumer's claims for violation of California's unfair competition law (UCL) and claims related to unconscionable lending, finding that she failed to show that the defendants had any connection to California (Kathrine Rosas v. Charles Hallinan, et al., No. A139936, Calif. App., 1st Dist., Div. 3; 2016 Cal. App. Unpub. LEXIS 7726).



California Court Reverses Order Granting New Trial Over Alleged BMW Defect
SAN DIEGO - A California court on Nov. 7 reversed a judgment granting a motion for a new trial filed by the purchaser of a vehicle on his claims for violation of California's unfair competition law (UCL), the False Advertising Law (FAL) and others that was issued against a dealer services company, finding that it was entitled to a defense verdict as the onetime holder of a retail installment contract (Michael Z. Tun v. Wells Fargo Dealer Services Inc., No. D070447, Calif. App., 4th Dist., Div. 1; 2016 Cal. App. LEXIS 958).



Judge Allows UCL And CLRA Claims Against Whirlpool To Proceed
SAN JOSE, Calif. - A California federal judge on Nov. 1 granted a motion filed by the maker of a refrigerator to dismiss claims against it relating to an alleged defect that causes leaking, but allowed a consumer's claims for violation of California's unfair competition law (UCL) and other state laws to proceed (Julie Corzine v. Whirlpool Corporation, No. 15-cv-05764, N.D. Calif.; 2016 U.S. Dist. LEXIS 152138).



Judge Says Claims Against Employer Are Not Preempted By Trade Secrets Law
SAN FRANCISCO - After finding that a company's counterclaims for breach of a duty of loyalty and violation of California's unfair competition law (UCL) were not preempted by the California Uniform Trade Secrets Act (CUTSA), a California federal judge on Nov. 4 denied a former dispatcher's motion to dismiss the claims (Obie Banawis-Olila v. World Courier Ground Inc., et al., No. 16-cv-00982, N.D. Calif.; 2016 U.S. Dist. LEXIS 153608).



Consumer Appeals Ruling That Use Of Oil Does Not Violate Federal Law
SAN DIEGO - A purchaser of microwaveable sandwiches that contain hydrogenated oil (PHO) food products on Nov. 9 appealed a decision to the Ninth Circuit U.S. Court of Appeals in which a California federal judge dismissed her claims for violation of California's unfair competition law (UCL) and various other claims against the sandwich maker (Shavonda Hawkins, on behalf of herself and all other similarly situated v. AdvancePierre Foods Inc., No. 15-cv-2309, S.D. Calif.; 2016 U.S. Dist. LEXIS 155809).



Judge Refuses To Remand Former Red Cross Worker's Discrimination Claims
LOS ANGELES - After finding that a former Red Cross employee's claims for violation of California's unfair competition law (UCL), fraud and other claims against her former employer did not arise under California's workers' compensation law, a California federal judge on Nov. 4 denied her ex parte application to remand the case to a state court (Xochitl Nisbet v. American National Red Cross, et al., No. 16-7342, C.D. Calif.; 2016 U.S. Dist. LEXIS 153626).



Judge Allows Truck Driver's UCL Claims Against Employer To Proceed
LOS ANGELES - A California federal judge on Nov. 8 refused to dismiss a former truck driver's claims for violation of California's unfair competition law (UCL) and Labor Code in relation to allegedly unpaid wages, finding that her employer's arguments on the inapplicability of California law could not be decided at the present stage of the case (Melody Montgomery v. New Prime Inc., No. 16-2131, C.D. Calif.; 2016 U.S. Dist. LEXIS 155861).



Federal Judge Remands Wrongful Termination Case Against CVS To State Court
LOS ANGELES - After finding that a pharmacy employee's claims for violation of California's unfair competition law (UCL) and Labor Code were not preempted by the Labor Management Relations Act (LMRA), a California federal judge on Oct. 31 remanded the case to a state court (Schirrelle Robertson v. CVS Pharmacy Inc., et al., No. 16-7533, C.D. Calif.; 2016 U.S. Dist. LEXIS 150665).



Court Finds Appointment Of Referee Was Not A Settlement Of Claims
LOS ANGELES - A California appeals court on Nov. 8 affirmed a trial court's decision to dismiss a borrower's claims for violation of California's unfair competition law (UCL) and wrongful foreclosure, finding no evidence to support a ruling that the trial court treated his agreement to appoint a referee as a settlement of his claims (Kurt Miller v. Maria Macias, No. B269891, Calif. App., 2nd Dist., Div. 8; 2016 Cal. App. Unpub. LEXIS 8035).



Judge Finds UCL And RICO Claims Against Attorney Must Be Dismissed
LOS ANGELES - A California federal judge on Nov. 7 found that an attorney never represented several defendants in a criminal action and had no duty to them, dismissing their claims for violation of California's unfair competition law (UCL) and the Racketeer Influenced and Corrupt Organizations Act (Yijin Lu, et al. v. Deng, et al., No. 2:16-cv-07283, C.D. Calif.; 2016 U.S. Dist. LEXIS 154395).



Court Affirms Order Compelling Credit Card Late Fee Claims To Arbitration
SAN DIEGO - A California appeals court on Oct. 20 affirmed a trial court's decision to compel claims for violation of California's unfair competition law (UCL) and other causes of action asserted against a retailer and a bank to arbitration, finding that all of the claims related to a credit card agreement that contained a valid arbitration clause (James Miceli v. Staples Inc., et al., No. D070224, Calif. App., 4th Dist., Div. 1; 2016 Cal. App. Unpub. LEXIS 7675).



California Court Finds It Lacks Jurisdiction Over Claim Related To Stolen Photo
SAN DIEGO - A California court on Nov. 4 affirmed a decision to grant a motion filed by wireless phone companies and others to quash claims against them for negligence and violation of California's unfair competition law (UCL) in relation to an allegedly stolen photograph that was uploaded online, finding that the court lacked jurisdiction over the defendants (Strasner v. Touchstone Wireless Repair and Logistics, LP, et al., No. D068865, Calif. App., 4th Dist., Div. 1).



Class Claims Insurer Misrepresents Quality Of Replacement Plans
LOS ANGELES - Anthem Blue Cross promises Patient Protection and Affordable Care Act (ACA) exchange customers re-enrollment in a similar plans when cancellations occur, while in reality providing far inferior plans with no out-of-network coverage, according to a class action lawsuit filed Oct. 31 in California court, alleging violation of the state unfair competition law (UCL) (Paul Simon, et al. v. Blue Cross of California, d/b/a Anthem Blue Cross; and DOES 1-100, inclusive, No. BC639205, Calif. Super., Los Angeles Co.).



California Federal Judge Transfers Contract Breach Class Suit To Virginia
SAN FRANCISCO - A California federal judge on Oct. 25 agreed to transfer a breach of contract class complaint to Virginia, finding that the contract's forum-selection clause "does not contravene any anti-waiver provision of California's UCL [unfair competition law] or the strong public policy of California" (Run Them Sweet, LLC v. CPA Global Limited, et al., No. 16-3662, N.D. Calif.; 2016 U.S. Dist. LEXIS 147803).