Judge: Michael Shultz, Case: 22CMCV00224, Date: 2023-08-22 Tentative Ruling

Case Number: 22CMCV00224    Hearing Date: August 22, 2023    Dept: A

22CMCV00224 Zachary Jay Woody, II v. General Motors, LLC

Tuesday, August 22, 2023 at 8:30 a.m.

 

[TENTATIVE] ORDER GRANTING PLAINTIFF’S MOTION TO COMPEL THE DEPOSITION OF DEFENDANT’S PERSON MOST QUALIFIED AND PRODUCE DOCUMENTS, and REQUEST FOR SANCTIONS

 

I.        BACKGROUND

The complaint alleges that Plaintiff purchased a 2021 Chevrolet Corvette made and distributed by Defendant. The vehicle suffered from widespread defects that Defendant failed to repair within a reasonable number of attempts in violation of the Song-Beverly Consumer Warranty Act.

II.      ARGUMENTS

Plaintiff requests an order to compel Defendant to produce its person most qualified (“PMQ”) to testify on the categories identified in Plaintiff’s Notice of Deposition and Demand to Produce Documents served on August 24, 2022. Defendant objected twice with boilerplate objections and subsequently agreed to produce a witness knowledgeable about limited categories of inquiry. Plaintiff withdraws Category 4. The Court should impose sanctions.

In opposition, Defendant states it agreed to produce a witness on all categories pertinent to Plaintiff’s vehicle. Many of the categories identified in the notice are irrelevant and/or overbroad. Plaintiff did not meet and confer in good faith.

Plaintiff argues in reply that Plaintiff has been attempting to schedule the deposition for an entire year.

III.    DISCUSSION

      If a party fails to appear for a deposition after service of a deposition notice, without having served a valid objection, the party giving notice may move for an order compelling the deponent’s attendance and testimony, and the production for inspection of any document or tangible thing described in the notice. (Code Civ. Proc., § 2025.450.) The moving party must show good cause for the deposition and attempt to meet and confer. (Id.)

      Plaintiff has been attempting to take Defendant’s PMQ deposition since August 24, 2022. The parties have met and conferred without success, which resulted in Plaintiff’s withdrawal of Category 4. Plaintiff agreed to the limitations demanded by Defendant of the remaining categories to facilitate the deposition’s setting, but Defendant maintains its objections and intends to limit the testimony to “relevant and non-privileged” aspects. (Sep. Stmt. .pdf p. 8:4-5) Defendant otherwise refuses to produce a witness. (See Defendant’s Sep. Stmt. in Opposition.)

      Defendant offers no substantive or persuasive argument for failing to produce its witness even after Plaintiff agreed to the limited categories. Defendant has not supported its contention that it is entitled to unilaterally limit Plaintiff’s inquiries without moving for a protective order.

      As the Court has previously expressed in the same lemon law motions involving General Motors, to prevail on a claim for violation of the Song-Beverly Consumer Warranty Act (“the Act”) Plaintiff’s burden is to establish that “(1) the vehicle had a nonconformity covered by the express warranty that substantially impaired the use, value or safety of the vehicle (the nonconformity element); (2) the vehicle was presented to an authorized representative of the manufacturer of the vehicle for repair (the presentation element); and (3) the manufacturer or his representative did not repair the nonconformity after a reasonable number of repair attempts (the failure to repair element). " (Oregel v. American Isuzu Motors, Inc. (2001) 90 Cal.App.4th 1094, 1101.)

      All categories remaining at issue request the production of a witness knowledge about the vehicle at issue, Plaintiff’s communications regarding the vehicle, the determination of whether the vehicle qualified for repurchase or replacement, Plaintiff’s complaints of warranty nonconformity and a person knowledgeable about Plaintiff’s vehicle. These categories of inquiry are relevant, not vague, or ambiguous, or overbroad.

      To the extent Defendant objects to testimony concerning confidentiality, trade secret, attorney-client privilege, work product, or any other privilege, Defendant’s remedy is to object to the question, not limit testimony as it deems appropriate.

      None of the objections made to all the remaining topics of inquiry and 22 categories of requested documents have merit. Plaintiff is entitled to documents relating to warranty and vehicle repurchase policies, procedures, and practices including warranty and procedure manuals provided to authorized repair facilities. Defendant objects to the request because Plaintiff did not limit it to the subject vehicle at issue. However, the scope of documents extending to vehicles of the same make and model (“other vehicle evidence”) is relevant because Plaintiff must establish Defendant’s knowledge of the power train defect in the same vehicle as stated previously. The Act requires the manufacturer to designate service and repair facilities throughout the state which enable the manufacturer to become aware of every failed repair attempt.  (Krotin v. Porsche Cars North America, Inc. (1995) 38 Cal.App.4th 294, Donlen v. Ford Motor Co. (2013) 217 Cal.App.4th 138, 154 [Testimony about a defective transmission installed in plaintiff’s truck and other trucks and what the manufacturer did to notify dealers and technicians about problems with this transmission model was “certainly probative and not unduly prejudicial."].)

      Defendant’s repurchase policies and procedures are equally relevant to Plaintiff’s burden of establishing Defendant’s non-compliance with its obligations under the Act to reasonably attempt to repair the vehicle. (Oregel at 1101.) This is relevant to the recovery of civil penalties if the buyer can show that “the manufacturer's failure to comply was willful. The penalty is important ‘as a deterrent to deliberate violations. Without such a provision, a seller or manufacturer who knew the consumer was entitled to a refund or replacement might nevertheless be tempted to refuse compliance in the hope the consumer would not persist, secure in the knowledge its liability was limited to refund or replacement.’” (Jensen v. BMW of North America, Inc. (1995) 35 Cal.App.4th 112, 136.)

      To establish this violation, the jury can consider whether “(1) the manufacturer knew the vehicle had not been repaired within a reasonable period or after a reasonable number of attempts, and (2) whether the manufacturer had a written policy on the requirement to repair or replace. (Id. at pp. 185-186.)” (Jensen at 136.)

      Defendant has not established that compliance with the document request will be unreasonably burdensome and oppressive.  Defendant’s remedy is to move for a protective order, not refuse to respond or unilaterally impose limitations on Plaintiff’s discovery. To support an objection of oppression, there must be some showing by the opposing party either of an intent to create an unreasonable burden or that the ultimate effect of the burden is incommensurate with the result sought. (West Pico Furniture Co. v. Superior Court (1961) 56 Cal.2d 407, 417.) Oppression must not be equated with burden; “[t]he objection based upon burden must be sustained by evidence showing the quantum of work required, … .” (Id.)Defendant has not met its burden.

Defendant refuses to produce documents that it determines constitutes trade secret or proprietary information or is protected by the attorney-client privilege.  Defendant is required to provide a privilege log of all the documents at issue and the specific objection so that the court can determine whether any privilege applies. (Code Civ. Proc., § 2031.240 subp. (b).) The privilege log must contain clear descriptions of the documents as set forth in the statute.

Documents related to technical service bulletins and recalls associated with the subject vehicle, policies and procedures and training manuals for handling customer complaints provided to employees, communications with authorized repair dealership about the subject vehicle are all relevant to establish Defendant’s knowledge of the defects, and whether it failed to comply with the Act. These categories are also relevant to the recovery of civil penalties if the buyer can show that “the manufacturer's failure to comply was willful. The penalty is important ‘as a deterrent to deliberate violations. Without such a provision, a seller or manufacturer who knew the consumer was entitled to a refund or replacement might nevertheless be tempted to refuse compliance in the hope the consumer would not persist, secure in the knowledge its liability was limited to refund or replacement.’” (Jensen v. BMW of North America, Inc. (1995) 35 Cal.App.4th 112, 136.)

To establish this violation, the jury can consider whether “(1) the manufacturer knew the vehicle had not been repaired within a reasonable period or after a reasonable number of attempts, and (2) whether the manufacturer had a written policy on the requirement to repair or replace. (Id. at pp. 185-186.)” (Jensen at 136.) Accordingly, the investigative documents are relevant and discoverable on the issue of knowledge.

Documents concerning internal analysis or investigation of the defect in vehicles of the same year, make, and model is also relevant to establish Defendant’s awareness of the defect and whether it was unable to service the vehicle to conform to express warranties after a reasonable number of attempts.

Defendant objects to the extent Plaintiff asks Defendant to respond on behalf of some other entity. The response infers that Defendant limited its production to documents in its possession only. However, the statute requires production of documents that are in the possession, custody, or control of that party. Defendant is also required to provide contact information of any organization believed to have possession, custody, or control. (Code Civ. Proc., § 2031.230.)  Defendant’s response is improperly limiting.

To the extent that Defendant refers Plaintiff to documents previously produced, the response is improper.  Plaintiff is entitled to a complete response in the form required by statute. It is not proper to answer “by stating, ‘see my deposition,’ ‘see my pleading,’ or ‘see the financial statement.’ Indeed, if a question does require the responding party to make reference to a pleading or document, the pleading or document should be identified and summarized so the answer is fully responsive to the question.” (Deyo v. Kilbourne, (1978) 84 Cal. App. 3d 771, 783-784.)

Finally, Defendant’s request that the Court deny the document request until Defendant can move for a protective order is DENIED. The statute requires that a request for a protective order be made “promptly.” (Code Civ. Proc. § 2031.060.) Defendant has delayed responding for one year.

      Plaintiff is entitled to an award of sanctions. The Court’s file reflects that this is the 10th motion to compel General Motors to either designate a person most qualified for deposition or produce documents in response to a request in lemon law cases. It is inconceivable that Defendant continues to be bewildered by terms adequately and repeatedly defined by a plaintiff in identical or substantially identical discovery, or that Defendant continues to assert that “other vehicle evidence” is irrelevant; the parties are well versed on the Court’s position on the same issues. Defendant repeatedly and improperly fails to serve a privilege log, maintains objections without any supporting evidence, and repeatedly contends that Plaintiff is not entitled to the same or substantially the same documents or deposition testimony that have been established as relevant and discoverable. This conduct unnecessarily burdens the Court and Plaintiff.

IV.    CONCLUSION

      Based on the foregoing, Plaintiff’s motion is GRANTED. Defendant is ordered to produce a witness or witnesses qualified to testify on the topics identified (except Category 4) in Plaintiff’s Notice of Deposition and to comply with the Demand to Produce Documents at Deposition within 10 days without limitation or condition. The Court finds that an hourly rate of $450 per hour is a reasonable rate for preparing burdensome discovery motions of this kind. The Court finds that five hours to prepare the motion and reply, and to appear at the hearing is reasonable. Therefore, the Court imposes sanctions of $2,250 plus $61.65 in costs against Defendant, General Motors, LLC, and its counsel, Erskine Law Group, APC, jointly and severally, who have not demonstrated substantial justification for its conduct. (Code Civ. Proc., § 2025.480 (j).)