Judge: Michael Shultz, Case: 24CMCV00459, Date: 2024-06-06 Tentative Ruling

Case Number: 24CMCV00459    Hearing Date: June 6, 2024    Dept: A

24CMCV00459 Jose Guevara and Mark Guevara v. General Motors, LLC, et al.

Thursday, June 6, 2024, at 8:30 a.m.

 

[TENTATIVE] ORDER OVERRULING DEMURRER BY GENERAL MOTORS, LLC, TO PLAINTIFFS’ COMPLAINT

 

I.       BACKGROUND     

      The complaint alleges that Defendant, General Motors, LLC (“GM”), issued a written warranty to Plaintiffs in connection with their purchase of a 2022 Chevrolet Silverado, manufactured by GM. The vehicle exhibited defects that GM was unable to repair. GM allegedly failed to meet their obligations under the Song-Beverly Consumer Warranty Act (“SBA”). Plaintiffs allege three counts for violations of the Act, a fourth cause of action for violation of Business & Professions Code § 17200 (“UCL or Unfair Competition Law”) and a claim for negligent repair against Defendant, Carson Chevrolet, LLC.

II.     ARGUMENTS

      GM demurs to the fourth cause of action, contending that Plaintiffs did not allege any underlying statutory obligation to support a claim for violation of the UCL. GM timely served the demurrer on May 3, 2024. Plaintiffs did not file an opposition.

III.    LEGAL STANDARDS

      The bases for demurrer are limited by statute and may be sustained for reasons including failure to state facts sufficient to state a cause of action and uncertainty. (Code Civ. Proc., § 430.10.) A demurrer “tests the sufficiency of a complaint as a matter of law and raises only questions of law.” (Schmidt v. Foundation Health (1995) 35 Cal.App.4th 1702, 1706.) The court must assume the truth of (1) the properly pleaded factual allegations; (2) facts that can be reasonably inferred from those expressly pleaded; and (3) judicially noticed matters. (Blank v. Kirwan (1985) 39 Cal.3d 311, 318.) The court may not consider contentions, deductions, or conclusions of fact or law. (Moore v. Conliffe (1994) 7 Cal.4th 634, 638.)           

IV.   DISCUSSION

      The UCL claim alleged here is predicated on the underlying allegations for violation of the Act and is incorporated into the fourth cause of action. (Complaint, ¶ 49.) Plaintiffs also expressly allege that GM manufactured, marketed, and distributed a vehicle that was not fit for intended purposes, did not meet Plaintiffs’ reasonable expectations, and did not confer any benefit to Plaintiffs. (Complaint, ¶51-53.) Plaintiffs were allegedly required to overpay for the vehicle and received a quality of vehicle that was less than their reasonable expectations. (Complaint, ¶56.)

      Plaintiffs also allege that GM made false, deceptive, misleading, and unreasonable statements in their marketing materials which were likely to deceive members of the public. (Complaint, ¶ 58.) Plaintiffs allege that all the alleged misconduct constitutes unfair, unlawful, and fraudulent conduct.

      The claim is adequately “tethered” to unlawful, unfair, or fraudulent practices sufficient to support the claim for unfair competition.  (Gutierrez v. Carmax Auto Superstores California (2018) 19 Cal.App.5th 1234, 1265 ["Virtually any statute or regulation (federal or state) can serve as a predicate for a UCL unlawful practice cause of action."].) The underlying claims for violations of the Act meet this standard.

      The UCL is stated in the disjunctive; a plaintiff need only allege a claim that is unlawful, unfair, or fraudulent. Under Section 17200, a practice is prohibited as ‘unfair’ or ‘deceptive’ even if not ‘unlawful’ and vice versa.”(Cel-Tech Communications, Inc. v. Los Angeles Cellular Telephone Co. (1999) 20 Cal.4th 163, 180.)

      The UCL’s coverage is “sweeping, embracing” and includes anything that can be called a business practice that is also forbidden by law. (Id.) It covers injuries to consumers, and its major purpose is to preserve fair business competition. (Id.)

V.     CONCLUSION

      Based on the foregoing, the fourth cause of action adequately alleges a claim for violation of the UCL. Accordingly, the demurrer is OVERRULED. GM is ordered to answer within 10 days.