Judge Ralph C. Hofer, Case Number: 24NNCV00205, Date: 2024-09-06 Tentative Ruling

Plaintiffs Jesus Argueta and Daisy Argueta allege that in February of 2021 plaintiff purchased a Chevrolet Trailblazer RS, which was warranted by defendant General Motors LLC (GM), with defendant providing an express warranty and an implied warranty, including an implied warranty of fitness.

Plaintiffs allege that the vehicle has suffered from nonconformity to warranties, including no start, water leak, brake system control module, park assist indicator light, brake system and other defects.

Plaintiffs allege that the defects and nonconformities to the warranty manifested themselves within the applicable warranty periods. Plaintiffs allege that plaintiffs delivered the vehicle to defendant’s authorized facilities for repair of these nonconformities on numerous occasions, but that defendant has been unable or has refused to conform the subject vehicle to the applicable warranties after a reasonable number of attempts.

Plaintiffs allege that notwithstanding plaintiffs’ entitlement to a repurchase under the Act and defendant’s knowledge of that entitlement through its internal repair, customer service, and warranty records, defendant has intentionally refused to comply with its obligations under the Act to repurchase the subject vehicle and make restitution.

The moving papers show that plaintiffs have served defendant with a series of deposition notices, beginning on April 8, 2024, and that defendant GM served written objections to the original notice, the First Amended Notice and the Second Amended Notice. [Sanchez Decl., paras. 5, 6, 8, 9, 11, 12; Exs. 1, 2, 4, 5, 7, 8].

“(a) If, after service of a deposition notice, a party to the action or an officer, director, managing agent, or employee of a party, or a person designated by an organization that is a party..., without having served a valid objection under Section 2025.410, fails to appear for examination, or to proceed with it, or to produce for inspection any document, electronically stored information, or tangible thing described in the deposition notice, the party giving the notice may move for an order compelling the deponent's attendance and testimony, and the production for inspection of any document, electronically stored information, or tangible thing described in the deposition notice.”

“If the deponent named is not a natural person, the deposition notice shall describe with reasonable particularity the matters on which examination is requested. In that event the deponent shall designate and produce at deposition those of its officers, directors, managing agents, employees, or agents who are most qualified to testify on its behalf as to those matters to the extent of any information known or reasonably available to the deponent.”

The moving papers sufficiently establish that defendant, a party to the action, for its person most qualified to testify, was served with deposition notices, and that the objections to those notices objected to the selected deposition dates, but defendant has failed since April of 2024 to provide mutually agreeable dates for the deposition, or to respond to reasonable meet and confer efforts, and have failed to appear for examinations as noticed. [Sanchez Decl., paras. 5-13, 20]. Plaintiffs accordingly are entitled to an order compelling defendant’s attendance and testimony.

(1) The motion shall set forth specific facts showing good cause justifying the production for inspection of any document, electronically stored information, or tangible thing described in the deposition notice.

(2) The motion shall be accompanied by a meet and confer declaration under Section 2016.040, or, when the deponent fails to attend the deposition and produce the documents, electronically stored information, or things described in the deposition notice, by a declaration stating that the petitioner has contacted the deponent to inquire about the nonappearance.”

The memorandum argues that there is good cause for production of the requested documents because they go to the essential elements of plaintiffs’ express and implied warranty and damages claim. Plaintiff argues that the document requests are straightforward, relevant to the claims in the case, are not overbroad in scope, and are not privileged or otherwise protected. Plaintiffs argue that the information sought is universally discoverable in lemon law cases, and the requests are consistent with this court’s pertinent standing order. The requests seek documents pertaining to the subject vehicle, and other documents which appear pertinent to the lawsuit.

Defendant in the opposition argues that this motion was not necessary as GM has already produced documents directly responsive to plaintiffs’ discovery requests and has agreed to produce a witness to testify about relevant topics concerning plaintiffs’ vehicle and will provide dates and produce documents at any PMQ deposition. It is not clear why defendant has not done so in the many months before this motion was filed, and in the time before opposition to the motion was due. The motion accordingly is granted. The deposition and production of documents also is ordered as requested. Any argument that documents have already been produced is rejected by the court, as plaintiffs are entitled to documents responsive to the current form of discovery.

Defendant also argues, despite its protestations of willingness to fulfill its discovery obligations, that plaintiff has failed to set forth specific fact showing good cause justifying their discovery requests. As discussed above, sufficient good cause has been established by the moving papers. Defendant also seems to argue, without citation to legal authority, that discovery in this matter should not include defendant’s policies and procedures. Discovery in this matter is not so limited.

In addition, as recognized in the moving papers, this matter is subject to the Addendum to Case Management Conference Order (Song-Beverly Litigation) (Order) applicable to Song-Beverly Litigation, now posted and available on the Los Angeles Superior Court website in connection with this Department, Glendale Courthouse, Department D. The Order was signed and entered by the Court on January 24, 2023 and was revised, signed and entered on January 11, 2024

Pursuant to that Order, “any formal discovery propounded and currently pending or outstanding by a party in this matter prior to the date of this CMC Order is stayed pending further order of the Court.”

The Order sets forth the following provision concerning discovery in Song-Beverly matters which appear to address the discovery disputes raised by the current motion. With respect to depositions, the Order provides:

4. Deposition: Within the time limits allowed by law. Defendant may depose plaintiff, and plaintiff may depose the person most knowledgeable (PMK) as to up to 5 categories of information, plus a deposition of the PMK as to why the subject vehicle was not repurchased, in addition to depositions of any experts identified by the parties, after a formal demand and exchange of expert witness information, per CCP § 2034. Parties shall meet and confer as to whether there is a need to take any additional depositions. Any additional depositions may only be noticed and taken by stipulation and/or court order (via motion upon showing of good cause).

If a deponent resides out of state, the deposition may be taken by video conference or telephone. The parties will not be required to travel to California, and the attorneys will not be required to travel out of state.”

“Production of Documents: Within 60 days of service of this Order both plaintiff and defendant shall provide copies of the following documents, which are in their respective possession, custody and/or control, to the opposing side(s):

a. Purchase or lease contracts concerning the subject vehicle, including any associated documents reflecting OEM or aftermarket equipment installed at the dealership, ELWs or service contracts, and any other writings signed by the plaintiff at the point of sale.

f. Warranty Policy and Procedure Manual or similar policies or claim-handling procedures published by Defendant from the date the subject vehicle was purchased or leased to the date the lawsuit was filed.

g. Defendant’s written statements of policy and/or procedures used to evaluate customer requests for repurchase or replacement pursuant to “Lemon Law” claims, including ones brought under the Song-Beverly Consumer Warranty Act, from the date the subject vehicle was purchased or leased to the date the lawsuit was filed.

h. A list of or compilation of customer complaints in defendant’s electronically stored information database that are substantially similar to the alleged defects claimed by plaintiff, in vehicles purchased in California for the same year, make and model of the subject vehicle. A substantially similar customer complaint would be the same nature of reported symptom, malfunction, dashboard indicator light, or other manifestation of a repair problem as the description listed in any work order or repair order for the subject vehicle, other than routine or scheduled maintenance items. The list provided by defendant may be in the chart or spreadsheet format, and shall include the VIN, date of repair visit, dealership or other reporting location, and text of the other customers’ reported complaint, but shall not include the other customers’ names, addresses, phone numbers, e-mail addresses, or other personal identifying information.

If a party believes any of this information should be subject to a protective order, that party shall serve and file a proposed protective order within 5 days of this Order and the parties shall meet and confer as to agreeable language for the same. The default will be the standard Protective Order provided by the LASC in its website.

The parties are also directed to the Notice to All Counsel Re: Lemon Law Cases for Department D, entitled Customary Rulings Re Document Requests (Song Beverly Litigation) (Notice). That Notice provides:

“When the court is faced with a discovery dispute in a Song-Beverly case, the court will usually order that the plaintiff and defendant provide copies of the following documents, which are in their respective possession, custody and/or control, to the opposing side:

1. Defendant shall produce the “Warranty Policy and Procedure Manual” published by Defendant and provided to its authorized repair facilities, within the State of California, for the period of [date of purchase] to present.

2. Defendant shall produce any internal analysis or investigation regarding defects alleged in plaintiff's complaint in vehicles for the same year, make and model of the subject vehicle. This includes Recall Notices and Technical Service Bulletins. Defendant is not required to do a search of emails.

3. Defendant shall produce any customer complaints relating to defects alleged in plaintiff’s complaint in vehicles purchased in California for the same year, make and model of the subject vehicle.

4. Defendant shall produce all documents evidencing policies and procedures used to evaluate customer requests for repurchase pursuant to the Song-Beverly Consumer Warranty Act, for the period of [date of purchase] to present.

The court notes that the Order provides for PMK depositions for up to 5 categories of information, plus a deposition of the PMK as to why the subject vehicle was not repurchased. The Second Amended Notice of Deposition designates seven matters on which the PMQ is to be examined, but two of them appear to be directed to the repurchase or replacement issue. [See Ex. 7, Ex. A, Matters Nos. 1, 6. The court finds this showing in conformity with the Order. Therefore, the defendant is ordered to appear and testify as noticed.

With respect to the documents requested, the production is to be made and the deposition conducted in accordance with the Order and Notice. If there is some further dispute concerning the production of documents or the conduct of the deposition, the parties must comply with the Order and Notice, and meet and confer in good faith concerning any outstanding discovery in light of the Order and Notice, and, if necessary, pursue a further motion which must be accompanied by a separate statement reflecting the then current status of any discovery disputes, including in that separate statement as to each request and response any applicable language of the Order and Notice.

Defendant also appears to argue that plaintiff’s discovery here implicates trade secret and propriety information of GM. The court finds this argument spurious, as the court notes that the file in this matter shows that before the filing of the motion to compel, and before the assertion of this argument in the opposition, the parties filed a Stipulation and Protective Order—Confidential Designation Only, which was signed by the parties, and then signed by the court and filed as its order on June 3, 2024. This protective order eliminates any general objection that trade secret or proprietary or confidential information is being sought. The motion is granted.

“If a motion under subdivision (a) is granted, the court shall impose a monetary sanction under Chapter 7 (commencing with Section 2023.010) in favor of the party who noticed the deposition and against the deponent or the party with whom the deponent is affiliated, unless the court finds that the one subject to the sanction acted with substantial justification or that other circumstances make the imposition of the sanction unjust.”

CCP § 2023.010 (d) provides that misuse of the discovery process includes, “Failing to respond or to submit to an authorized method of discovery.” CCP § 2023.030(a) authorizes the imposition of monetary sanctions against a party and its attorney for misuse of the discovery process.

“The court may award sanctions under the Discovery Act in favor of a party who files a motion to compel discovery, even though no opposition to the motion was filed, or opposition to the motion was withdrawn, or the requested discovery was provided to the moving party after the motion was filed.”

Defendant has failed to show how defendant was substantially justified in delaying many months in providing a date for the PMQ deposition, and in failing to meet and confer to comply with the court’s Order. Defendant in opposition argues that the request for sanctions is groundless, as plaintiffs’ motion is baseless, which it clearly is not, because it is being granted. Defendant also argues that GM has agreed to provide a PMQ deposition, and it is simply a matter of working with the witness to provide dates. There is no explanation why this task could not have been completed in the many months since the deposition was first noticed in April of 2024, which would have avoided the need to bring this motion. Sanctions are awarded.

Defendant General Motors LLC is ordered to designate and produce witness(es) to appear for deposition and to give testimony on a mutually convenient date and time as to the matters requested in Plaintiffs Jesus Argueta and Daisy Argueta’s Second Amended Notice of Deposition of Defendant General Motors, LLC’s Person(s) Most Qualified, with Production of Documents served on May 21, 2024, no later than October 4, 2024. Good cause appearing, the deponent(s) is (are) also ordered to produce for inspection at the deposition any and all materials described in the subject notice which are consistent with this Court’s Standing Order Re Discovery (Song-Beverly Litigation), signed and entered by the Court on January 24, 2023 as revised, signed and entered on January 11, 2024, as well as materials which are consistent with this Court’s Notice to All Counsel Re: Lemon Law Cases for Department D, Customary Rulings Re Document Requests (Song Beverly Litigation).

Monetary sanctions requested by moving party: Utilizing a lodestar approach, and in view of the totality of the circumstances, the Court finds that the total and reasonable amount of attorney’s fees and costs incurred for the work performed in connection with the pending motion is $3,000.00 (8.0 hours @ $375 per hour) [8 hours requested] [Amount Requested $3,000], which sum is to be awarded in favor of plaintiffs Jesus Argueta and Daisy Argueta and against defendant General Motors LLC, payable within 30 days. CCP §§ 2025.450 (g)(1), 2023.010 (d) and 2023.030 (a).

Plaintiffs Jesus Argueta and Daisy Argueta’s Evidentiary Objections to the Declaration of Cameron Major are NOT RULED UPON BY THE COURT, as the subject declaration testimony is irrelevant to the Court’s determination of this motion.

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