Bruce Vosburgh v. FCA US LLC
2:16-md-02744
E.D. Mich.Apr 18, 2017Background
- Multidistrict litigation (MDL No. 2744) consolidated claims over FCA US LLC vehicles (2012–2015 Chrysler 300, Dodge Charger, Jeep Grand Cherokee) equipped with a monostable electronic gearshift that returns to center and uses only indicator lights for gear position.
- Plaintiffs allege the shifter can fail to engage or remain in Park, or can move out of Park, producing rollaway incidents; NHTSA logged hundreds of complaints and opened an investigation.
- Plaintiffs in the FACMC seek only economic damages (overpayment, repair-related time costs, accelerated depreciation, diminished functionality) and equitable relief; personal-injury claims are in a separate complaint.
- FCA issued a voluntary recall and later offered a software "auto-park" retrofit; plaintiffs allege the fix was ineffective for a substantial number of vehicles and that negative publicity (including a high-profile death) depressed resale values.
- FCA moved to dismiss under Fed. R. Civ. P. 12(b)(1), arguing the FACMC fails to allege Article III injury-in-fact and that injunctive relief claims are preempted by the Motor Vehicle Safety Act (MVSA)/NHTSA recall process.
- The court heard the motion and denied dismissal, finding the FACMC adequately alleges concrete, particularized injuries and that preemption does not strip the court of jurisdiction.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Article III standing — injury in fact | Plaintiffs purchased defective vehicles, overpaid for safety they did not get, incurred time costs for failed repairs, and suffered diminished resale value. | FCA: plaintiffs allege only absence of an unbargained-for feature; alleged harms are speculative/attenuated and insufficiently concrete. | Court: FACMC pleads concrete, particularized economic injuries (overpayment, repair costs/time, depreciation); standing satisfied. |
| Injunctive relief / MVSA preemption | Plaintiffs seek equitable relief (e.g., buyback, repair) to remedy the defect; recall process does not foreclose private remedies. | FCA: NHTSA has exclusive authority over recalls; court intervention would conflict with federal scheme and is preempted. | Court: Preemption is a merits question, not a jurisdictional defect; MVSA saving clause and precedent permit common-law remedies; jurisdiction not defeated. |
Key Cases Cited
- Spokeo, Inc. v. Robins, 136 S. Ct. 1540 (2016) (Article III standing requires concrete and particularized injury)
- Lujan v. Defenders of Wildlife, 504 U.S. 555 (1992) (standing elements)
- Clapper v. Amnesty International USA, 133 S. Ct. 1138 (2013) (speculative chain of possibilities insufficient for imminence)
- In re Toyota Motor Corp., 790 F. Supp. 2d 1152 (C.D. Cal. 2011) (economic loss from defective vehicle confers standing)
- In re Whirlpool Corp. Front-Loading Washer Prod. Liab. Litig., 722 F.3d 838 (6th Cir. 2013) (injury at point of sale from failure-to-warn theory)
- Trollinger v. Tyson Foods, Inc., 370 F.3d 602 (6th Cir. 2004) (preemption generally addresses merits, not jurisdiction)
- Geier v. American Honda Motor Co., 529 U.S. 861 (2000) (MVSA preemption and saving clause interplay)
