OPINION
I. BACKGROUND
In this consolidated putative class action, currently pending before the Court are the motions of defendant Electrolux Home Products, Inc. (“Electrolux”) to dismiss the
Electrolux has moved to dismiss most of plaintiffs’ claims on various bases. Electrolux’s main argument is that the New Jersey plaintiffs’ fraud and implied warranty claims are subsumed by the New Jersey Products Liability Act, N.J.S.A. 2A:58C-1, et seq., because those claims allege a defective product that has caused damage to other property. Electrolux also argues that the plaintiffs do not have standing to pursue claims for refrigerators that they did not purchase. Plaintiffs have opposed Electrolux’s motion. As to Electrolux’s main arguments, plaintiffs contend that their claims may proceed- because they are not product defect claims, and because the same defective ice accordance with the Federal Rules, maker is in numerous Electrolux refrigerator models.
For the reasons expressed below, Electrolux’s motions will be denied in part and granted in part, and plaintiffs’ motion to appoint interim class counsel will be denied without prejudice.
II. JURISDICTION
Plaintiffs assert that this Court has jurisdiction over this matter pursuant to 28 U.S.C. § 1332(d)(2), the Class Action Fairness Act (CAFA), which provides, in relevant part, that “district courts shall have original jurisdiction of any civil action in which the matter in controversy exceeds the sum or value of $5,000,000, exclusive of interest and costs, and is a class action in
III. ELECTROLUX’S MOTIONS TO DISMISS
A. STANDARD FOR MOTION TO DISMISS
When considering a motion to dismiss a complaint for failure to state a claim upon which relief can be granted pursuant to Federal Rule of Civil Procedure 12(b)(6), a court must accept all well-pleaded allegations in the complaint as true and view them in the light most favorable to the plaintiff. Evancho v. Fisher,
A district court, in weighing a motion to dismiss, asks “ ‘not whether a plaintiff will ultimately prevail but whether the claimant is entitled to offer evidence to support the claim.’ ” Bell Atlantic v. Twombly,
Following the Twombly/Iqbal standard, the Third Circuit has instructed a two-part analysis in reviewing a complaint under Rule 12(b)(6). First, the factual and legal elements of a claim should be separated; a district court must accept all of the complaint’s well-pleaded facts as true, but may disregard any legal conclusions. Fowler,
Finally, a court in reviewing a Rule 12(b)(6) motion must only consider the facts alleged in the pleadings, the documents attached thereto as exhibits, and matters of judicial notice. S. Cross Overseas Agencies, Inc. v. Kwong Shipping Grp. Ltd.,
B. ANALYSIS OF THE NEW JERSEY PLAINTIFFS’ COMPLAINT
1. Whether plaintiffs’ claims are subsumed under the NJPLA
Electrolux argues that all of the New Jersey plaintiffs’ claims — except for breach of express warranty — are subsumed under the NJPLA because the Act constitutes the exclusive remedy for claims arising out of a defective product under New Jersey law. Plaintiffs argue that their claims are not subsumed by the NJPLA because their claims are not product liability claims.
The NJPLA was enacted by the New Jersey Legislature in 1987 “based on an ‘urgent need for remedial legislation to establish clear rules with respect to certain matters relating to actions for damages for harm caused by products.’ ” Sinclair v. Merck & Co., Inc., 195. N.J. 51,
A product liability action is statutorily defined as “any claim or action brought by a claimant for harm caused by a product, irrespective of the theory underlying the claim, except actions for harm caused by breach of an express warranty.” N.J.S.A. 2A:58C-l(b)(3). The NJPLA further defines the type of “harm” caused by a product to include the following: “(a) physical damage to property, other than to the product itself; (b) personal physical illness, injury or death; (c) pain and suffering, mental anguish or emotional harm; and (d) any loss of consortium or services or other loss deriving from any type of harm described in subparagraphs (a) through (c) of this paragraph.” N.J.S.A. 2A:58C-l(b)(2) (emphasis added). Thus, what kind of “harm” a defective product causes is dispositive of whether the
In this case, plaintiffs allege that the defective ice makers failed to produce ice. They also allege that the ice makers leaked water into the refrigerators causing the electrical components to short out and malfunction, which caused the refrigerators to warm to unsafe temperatures. This alleged harm is physical damage to the product itself, and it is explicitly excluded from the NJPLA. Thus, these claims are not subsumed by the NJPLA and cannot be dismissed on that basis.
Plaintiffs also allege, however, that the defective ice makers and resulting leaks caused food to spoil and caused damage to flooring, walls and other personal property beyond the refrigerator itself. Electrolux argues that these damages show “physical damage to property, other than to the product itself,” which makes plaintiffs’ claims be explicitly subsumed by the NJPLA.
Electrolux’s attempt to transform plaintiffs’ claims into product defect tort claims is unavailing. Even though spoiled food and damage to floors, walls, and other property do not strictly constitute harm to the refrigerator itself, they are consequential, anticipated economic losses resulting from the defect in the refrigerator. As such, they are not subsumed by the NJPLA.
The New Jersey courts have explained, “The Product Liability Act and common law tort actions do not apply to damage caused to the product itself, or to consequential but purely economic losses caused to the consumer because of a defective product.” Ford Motor Credit Company, LLC v. Mendola,
As comprehensive as the Products Liability Act is and appears to be, its essential focus is creating a cause of action for harm caused by defective products. The Act’s definition of harm so as to exclude damage a defective product does to itself is not merely the Legislature’s embrace of the economic loss rule, but a recognition that the Act’s goal is to serve as a vehicle for tort recoveries. Simply put, the Act is not concerned with providing a consumer with a remedy for a defective product per se; it is concerned with providing a remedy for the harm or the damage that a defective product causes to people or to property.
Dean v. Barrett Homes, Inc.,
Consequently, because plaintiffs’ claims are not the type contemplated by the NJPLA, they are not subsumed by the Act, and cannot be dismissed on that basis.
Defendants argue that plaintiffs cannot maintain their putative class action for ice maker defects in all of Electrolux’s refrigerator models because plaintiffs lack standing to bring claims for refrigerator models they did not purchase. Plaintiffs argue that their claims may proceed at this motion to dismiss stage because they have pleaded defects in certain Electrolux refrigerator model numbers which they believe all contain the same ice maker.
Article III of the Constitution restricts the “judicial power” of the United States to the resolution of cases and controversies. See Valley Forge Christian Coll. v. Ams. United for Separation of Church & State, Inc.,
To satisfy the irreducible constitutional minimum of standing, a plaintiff must have suffered an injury-in-fact, which is an invasion of a legally protected interest that is (a) concrete and particularized and (b)- actual or imminent, not conjectural or hypothetical. Lujan v. Defenders of Wildlife,
Plaintiffs clearly have standing to bring claims for the refrigerator models they purchased. Whether plaintiffs have standing to represent a class action for other Electrolux model numbers is an issue that is not yet ripe. As the Supreme Court has instructed, class certification issues are “logically antecedent to the existence of Article III issues,” and it is appropriate to reach the class action issues first, since the standing issues would not exist but for the class action certification. Amchem Prods. v. Windsor,
3. Breach of Express Warranty Claims
Electrolux has moved to dismiss plaintiffs’ express warranty claims because the claims in the complaint do not adequately plead that Electrolux breached the express warranty. Plaintiffs contest Electrolux’s interpretation of their breach of express warranty claims.
The express warranty
Your appliance is covered by a one year limited warranty. For one year from your original date of purchase, Electrolux will pay all costs for repairing or replacing any parts of this appliance that prove to be defective in materials or workmanship when such appliance is installed, used, and maintained in accordance with the provided instructions....
CUSTOMER’S SOLE AND EXCLUSIVE REMEDY UNDER THIS LIMITED WARRANTY SHALL BE PRODUCT REPAIR OR REPLACEMENT AS PROVIDED HEREIN. CLAIMS BASED ON IMPLIED WARRANTIES, INCLUDING WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, ARE LIMITED TO ONE YEAR OR THE SHORTEST PERIOD ALLOWED BY LAW, BUT NOT LESS THAN ONE YEAR. ELECTROLUX SHALL NOT BE LIABLE FOR CONSEQUENTIAL OR INCIDENTAL DAMAGES SUCH AS PROPERTY DAMAGE AND INCIDENTAL EXPENSES RESULTING FROM ANY BREACH OF THIS WRITTEN LIMITED WARRANTY OR ANY IMPLIED WARRANTY.
Plaintiffs claim that even though Electrolux attempted to repair their refrigerators diming their first year of ownership, the repairs either did not correct the prob
Electrolux argues that its express warranty does not provide a guarantee that plaintiffs were purchasing a product free from defects. Relatedly, Electrolux further argues that any defects that manifested for the first time after the one-year express warranty period cannot constitute a breach of the express warranty. Electrolux also contends that the repairs that fixed the problems until at least the expiration of the one-year period satisfy the terms of the express warranty.
It is true that an express warranty with a limited time period does not mean that a seller is promising a defect-free product. See Herbstman v. Eastman Kodak Co.,
Plaintiffs, however, may proceed on their breach of express warranty claims that allege that Electrolux did not “repair or replace” their refrigerators during the one-year express warranty period. Whether Electrolux met the terms of the express warranty by providing “repairs,” but not actually fixing the alleged defects, cannot be determined at this motion to dismiss stage, where plaintiffs’ claims must be accepted as true.
3. Breach of implied warranty claim
Plaintiffs allege that Electrolux has violated the implied warranty of merchantability and implied warranty of fitness for a particular purpose by selling them defective refrigerators. New Jersey law provides that merchantable goods must be fit for the ordinary purposes for which such goods are used. N.J.S.A. 12A:2-314. New Jersey law also provides, “Where the seller at the time of contracting has reason to know any particular purpose for which the goods are required and that the buyer is relying on the seller’s skill or judgment to select or furnish suitable goods, there is ... an implied warranty that the goods shall be fit for such purpose.” N.J.S.A. 12A:2-314.
These two warranties “protect buyers from loss where the goods purchased are below commercial standards or are unfit for the buyer’s purpose.” Crozier v. Johnson & Johnson Consumer Companies, Inc.,
Plaintiffs allege that Electrolux sold them refrigerators that did not produce ice properly, and they purchased those particular refrigerators for their purported ice making capabilities. Plaintiffs further allege that not only did they not receive the refrigerators they purchased for the specific purpose of ice making,
4. Fraud and negligent misrepresentation claims
Plaintiffs claim that Electrolux’s alleged conduct — that it deceptively and fraudulently sold refrigerators with defective ice makers — has violated the New Jersey Consumer Fraud Act and has constituted fraudulent concealment and negligent misrepresentation. Electrolux argues that these fraud-based claims seek to expand the express limited warranty to improperly require Electrolux to guarantee that the refrigerators will work forever, and, thus, the fraud claims must be dismissed,
a. New Jersey’s Consumer Fraud Act
A recent New Jersey case summarizes the law of the Consumer Fraud Act:
The Consumer Fraud Act (CFA), N.J.S.A. 56:8-1 to -181, provides a private cause of action to consumers who are victimized by fraudulent practices in the marketplace. The CFA is intended to be applied broadly in order to accomplish its remedial purpose, and therefore is to be construed liberally in the consumer’s favor.
The elements of a CFA claim are: (1) an unlawful practice, (2) an ascertainable loss, and (3) a causal relationship between the unlawful conduct and the ascertainable loss. A consumer who can prove these elements is entitled to legal and/or equitable relief, treble damages, and reasonable attorneys’ fees.
The CFA defines an unlawful practice as:
any: unconscionable commercial practice, deception, fraud,.false pretense, false promise, misrepresentation, or the knowing, concealment, suppression, or omission of any material fact with intent that others rely upon such concealment, suppression^] or omission, in connection with the sale or advertisement of any merchandise or real estate, or with ■ the subsequent performance of such person as aforesaid, whether or not any person has in fact been misled,_ deceived[,] or damaged thereby.
N.J.S.A. 56:8-2.
Such practices can be divided into three general categories: affirmative acts, knowing omissions, and regulatory violations. A person who makes an affirmative misrepresentation is liable even in the absence of knowledge of the falsity of the misrepresentation, negligence, or the intent to deceive. Although intent is not an essential element for violations based on affirmative acts, where a plaintiff seeks to recover based upon a defendant’s omission, the plaintiffmust show that the defendant acted with knowledge, and intent is an essential element of the fraud. The.capacity to mislead is the prime ingredient of all types of consumer fraud.
Regarding “unconscionable commercial practice,” the Court has recognized that the Legislature must have intended that substantial aggravating circumstances be present in addition to a mere breach of contract or breach of warranty, since any breach of warranty or contract is unfair to the non-breaching party. The Court also noted that proof of an unconscionable commercial practice is not necessary to establish a violation of the CFA. Rather, the [CFA] specifies the conduct that will amount to an unlawful practice in the disjunctive, and includes “deception, fraud, false pretense, false promise, misrepresentation, or the knowing, concealment, suppression, or omission of any material fact with intent that others rely upon such concealment, suppression^] or omission,” N.J.S.A. 56:8-2. Proof of any one of those acts or omissions is sufficient to establish unlawful conduct under the CFA.
Causation under the CFA requires demonstration that the consumer suffered an ascertainable loss “as a result of’ the unlawful practice. The CFA does not require a showing of “reliance” to prove causation. Nor does the unlawful conduct need to be the sole cause of the harm.
Pope v. Craftsman Builders, Inc.,
Plaintiffs have adequately pleaded a CFA claim: (1) Electrolux knowingly sold refrigerators that (a) would not live up to its representations, and (b) would not be replaced and could not be properly repaired within the warranty period, (2) plaintiffs spent $2000-$3000 on a defective refrigerator, and (3) there is a causal relationship between the Electrolux’s conduct and .plaintiffs’ loss.
These allegations also demonstrate the “substantial aggravating circumstances” that permit their claims to proceed under the CFA rather than for simply a breach of warranty action. It does not appear from the Court’s reading of plaintiffs’ complaint that success on their CFA claims would, as Electrolux argues, require Electrolux to warrant that its refrigerators will last forever. Plaintiffs’ CFA claims are much narrower. Plaintiffs contend that no length of warranty — one day or one hundred years — would protect consumers from being fraudulently induced to buy a defective refrigerator that Electrolux knowingly cannot repair, and refuses to replace. At this motion to dismiss stage, these allegations are sufficient to go forward.
b. Fraudulent concealment
For the same reasons as plaintiffs’ CFA claims, plaintiffs’ common law fraud claims may proceed. In New Jersey, a cause of action for common law fraud has five elements: (1) a material misrepresentation of a presently existing or past fact;
Electrolux argues that plaintiffs have not met the heightened pleading standards required for fraud claims. Electrolux contends that plaintiffs’ recitation of complaints posted by consumers on the Internet, and Electrolux’s responses to those complaints, do not properly evidence Electrolux’s knowledge of the alleged defects. Electrolux also argues that its advertising “puffery,” such as “ice at your fingertips,” cannot qualify as material misrepresentations.
Even though it is true that elements of fraudulent concealment must be pled under the heightened standards of Fed.R.Civ.P. 9(b), Arcand v. Brother Intern. Corp.,
Moreover, even though advertising “puffery” does not usually amount to an actionable misrepresentation, see Rodio v. Smith,
c. Negligent misrepresentation
Based on the same allegations, plaintiffs also assert claims for negligent misrepresentation. In New Jersey, negligent misrepresentation is (1) an incorrect statement, (2) negligently made and (3) justifiably relied on, and (4) may be the basis for recovery of damages for economic loss sustained as a consequence of that reliance. Kaufman v. i-Stat Corp.,
C. ANALYSIS OF NEW YORK PLAINTIFF’S COMPLAINT
Plaintiff Irma Lederer asserts claims essentially identical in substance to the New Jersey plaintiffs, but she brings her claims pursuant to New York law. Electrolux has moved to dismiss Lederer’s claims based on, for the most part, the same arguments as its motion to dismiss the New Jersey plaintiffs’ claims. Each of Lederer’s claims will be addressed in turn.
1., N.Y. General Business Law (GBL) § 349
Similar to the New Jersey plaintiffs’ CFA claims, Lederer has brought a consumer protection claim pursuant to N.Y. General Business Law (GBL) § 349. Electrolux argues that Lederer has not stated a claim for a GBL § 349 violation, and she cannot seek injunctive relief under this statute. Both arguments are unavailing.
To state a cause of action under GBL § 349, a plaintiff “must, at the threshold, charge conduct that is consumer oriented — the conduct need not be repeti
As detailed above with regard to the New Jersey plaintiffs’ fraud and CFA claims, Lederer’s essentially identical allegations regarding her refrigerator defects properly allege a GBL § 349 violation. Additionally, in response to Electrolux’s argument that Lederer cannot pursue injunctive relief under GBL § 349, that statutes allows “any person who has been injured by reason of any violation of this section,” to “bring an action in his own name to enjoin such unlawful act or practice, an action to recover his actual damages or fifty dollars, whichever is greater, or both such actions.” GBL § 349(h). Thus, Lederer’s GBL § 349 claim may proceed.
2. Breach of Express Warranty
Lederer’s alleged malfunction of the ice maker in her refrigerator occurred within the one-year limit of the Electrolux express warranty, and Lederer contends that Electrolux breached that warranty by not repairing or replacing her refrigerator. Electrolux does not seek dismissal of that claim, but rather it seeks the dismissal of Lederer’s contention within her breach of express warranty count that Electrolux “warranted that all of the refrigerators that had ice makers were free from defects.”
In opposition, Lederer argues that because the advertising materials represented that “you’ll always have ... ice,” Electrolux created an express warranty as to future performance. As such, Lederer argues that any class member’s claim for the breach of this express warranty of future performance should be deemed not to accrue until the defect is discovered, even if it falls outside the one-year window.
With regard to Lederer’s argument about the creation of a warranty as to future performance and the accrual of a breach of that warranty, the Court will make no finding at this time. Any ruling on this argument would be inappropriately advisory, as it would only apply to an undefined, unknown, uncertified class.
With regard to Lederer’s claim that Electrolux created a “free from defects” warranty, that claims fails, as such a promise conflicts with the express language of the limited warranty, which provides, “For one year from your original date of purchase, Electrolux will pay all costs for repairing or replacing any parts of this appliance that prove to be defective in materials or workmanship when such appliance is installed, used, and maintained in accordance with the provided instructions .... ” See, e.g., Oscar v. BMW of North America, LLC,
Consequently, Lederer may proceed on her breach of express warranty claim, but not for a “free from defects” warranty claim, and not for a express warranty of future performance claim.
3. Breach of implied warranty
Electrolux has moved to dismiss Lederer’s breach of implied warranty claims because of her lack of privity with Electrolux. Under New York law,
privity is generally required to recover economic losses pursuant to a cause of action for breach of implied warranty. More specifically, privity of contract with the manufacturer is required to recover for economic loss due to property damage allegedly caused by a breach of implied warranty. Only when a plaintiff alleges personal injury resulting from the breach of implied warranty is the privity requirement lifted.
Prue v. Fiber Composites, LLC,
Here, Lederer claims in her complaint that she purchased her refrigerator from a retail store, and not directly from Electrolux. In response to Electrolux’s motion to dismiss, Lederer argues it is premature to dismiss her breach of implied warranty claim because it does not show that she does not have privity.
It is plaintiffs burden to affirmatively plead a viable claim and for a breach of implied warranty claim under New York law that requires an allegation of privity or
4. Fraud and negligent misrepresentation claims
For the same reasons expressed with regard to the New Jersey plaintiffs’ fraud and negligent misrepresentation claims, Lederer’s claims for fraud and negligent misrepresentation may proceed. Abu Dhabi Commercial Bank v. Morgan Stanley & Co. Inc.,
5. Unjust enrichment claim
Lederer has asserted a claim for unjust enrichment, and Electrolux has moved to dismiss it, arguing that it cannot be maintained where there is a valid, enforceable express warranty. Lederer argues that she should be permitted to maintain both a count for breach of express warranty and a count for unjust enrichment until it is determined whether the express warranty is valid.
Under New York law, a claim for unjust enrichment requires a showing that the defendant was enriched at the plaintiffs expense, and it would be against equity and good conscience to permit the defendant “to retain what is ought to be recovered.” Bristol Village, Inc. v. Louisiana-Pacific Corp.,
One of Lederer’s claims is that the express warranty was fraudulent from its inception due to the known defect of the ice maker. Because there is dispute as to the validity of the express warranty and there are claims of fraud, Lederer is permitted to maintain an alternate basis for recovery at this motion to dismiss stage. See Ox v. Union Cent. Life Ins. Co.,
6. Breach of good faith and fair dealing
Lederer has also advanced a claim for breach of good faith and fair dealing, claiming that Electrolux deprived her of
Under New York law, “a covenant of good faith and fair dealing is implicit in all contracts during the course of contract performance.” Tractebel Energy Mkag., Inc. v. AEP Power Mktg., Inc.,
In order to state a cause of action for breach of the implied covenant of good faith and fair dealing, “the plaintiff must allege facts which tend to show that the defendant sought to prevent performance of the contract or to withhold its benefits from the plaintiff.” Dweck Law Firm, L.L.P. v. Mann,
IV. PLAINTIFFS’ MOTION TO APPOINT LEAD COUNSEL
The two law firms that represent the four plaintiffs have moved for their appointment as interim class counsel pursuant to Federal Civil Procedure Rule 23(g)(3). Rule 23(g)(3) provides that the “court may designate interim class counsel to act on behalf of the putative class before determining whether to certify the action as a class action.’’ The Manual for Complex Litigation provides further guidance:
Whether to appoint interim class counsel during the period before class certification is decided.
If the lawyer who filed the suit is likely to be the only lawyer seeking appointment as class counsel, appointing interim class counsel may be unnecessary. If, however, there are a number of overlapping, duplicative, or competing suits pending in other courts, and some or all of those suits may be consolidated, a number of lawyers may compete for class counsel appointment. In such cases, designation of interim counsel clarifies responsibility for protecting the interests of the class during precertification activities, such as making and responding to motions, conducting any necessary discovery, moving for class certification, and negotiating settlement. In cases involving overlapping, duplicative, or competing suits in other federal courts or in state courts, the lawyers may stipulate to the appointment of a lead interim counsel and a steering committee to act for the proposed class. Such a stipulation leaves the court withthe tasks of determining that the chosen counsel is adequate to serve as interim class counsel and making a formal order of appointment. Absent a stipulation, the court may need to select interim class counsel from lawyers competing for the role and formally designate the lawyer selected.
Manual for Complex Litigation, Fourth, § 21.11, at 246 (Federal Judicial Center 2004).
Because no other attorneys have made their appearance on behalf of other plaintiffs, and because the two consolidated cases are being prosecuted by the same counsel, the Court does not find it necessary -to appoint interim class counsel at this time. Should the concerns described by the Manual for Complex Litigation arise, counsel may renew their motion.
V. CONCLUSION
To summarize, all of the New Jersey plaintiffs’ claims may proceed, and all of the New York plaintiffs claims may proceed, except for her “free from defects” warranty claim, her express warranty of future performance claim, and her breach of implied warranty claim. The Court recognizes that plaintiffs have pleaded alternative bases for recovery, but having adequately asserted their allegations under those alternative theories, they are permitted to proceed to discovery on those claims. See Fed.R.Civ.P. 8(d)(2) (“A party may set out 2 or more statements of a claim or defense alternatively or hypothetically, either in a single count or defense or in separate ones. If a party makes alternative statements, the pleading is sufficient if any one of them is sufficient.”); Caputo v. Nice-Pak Products, Inc.,
Further, with regard to plaintiffs’ motion to appoint interim counsel, it shall be denied without prejudice at this time. An Order consistent with this Opinion will be entered.
Notes
. One pending motion to dismiss seeks the dismissal of the complaint of a fifth plaintiff. (See Docket No. 21.) That plaintiff's complaint was dismissed by stipulation of the parties after the motion was filed.
. Plaintiff Irma Lederer’s case was transferred by consent of the parties from the Southern District of New York to this Court, and consolidated with the New Jersey plaintiffs’ case. Lederer's case alleges similar allegations as the New Jersey plaintiffs, but her case is premised on New York law. The Court must therefore analyze Lederer's complaint separately from the New Jersey plaintiffs' complaint.
. Plaintiff Mariusz Kuzian also claims that the electronic display on the front of his refrigerator stopped functioning. It is unclear whether he is claiming a separate defect, or that the malfunction of the electronic display was the result of the leaking ice maker. The Court’ reads plaintiffs' complaint as alleging claims relating only to the allegedly defective ice maker. Should plaintiffs wish to amend their complaint to articulate other bases for their claims, they should do so in accordance with the Federal Rules.
. Another jurisdictional requirement under CAFA is that the proposed class contains at least 100 members. 28 U.S.C. § 1332(d)(6). Plaintiff claims that the proposed class will have more than 100 members.
. To give a hypothetical example of the distinction, the NJPLA would most likely subsume a claim for damages relating to a plaintiff's electrocution by the electrical shorts caused by the faulty ice maker.
. In Dean v. Barrett Homes, Inc.,
Even though the court in Dean did not need to determine whether the "integrated product doctrine” was recognized in New Jersey in reaching its decision, it found that the stucco system was "affixed to the exterior walls to create a moisture barrier, much like exterior vinyl siding. As such, it did not become an integral part of the structure itself, but was at all times distinct from the house. It remained, therefore, a separate product for purposes of our analysis.” Id. at 775. The Dean court also noted that the Third Circuit originally used the integrated product doctrine in a case arising under Pennsylvania law, but that New Jersey federal courts have employed that theory when called upon to apply New Jersey law as well, citing Int’l Flavors & Fragrances, Inc. v. McCormick & Co., Inc.,
In contrast to stucco system separate from a house, in this case the ice maker is an integral part of the refrigerator — it cannot operate separate from or independent of the refrigerator. Thus, the consequential damages caused by the faulty ice makers to the food, floor and walls cannot be parsed out as separate tort claims and subsumed by the NJPLA.
. Plaintiffs' complaint lists several refrigerator model numbers that they believe contain the same ice maker. At least some discovery will be required prior to a motion for class certification in order to determine the proper scope of the proposed class and whether these plaintiffs have standing to pursue claims on behalf of others.
. Plaintiffs did not attached the express warranty to their complaint, but they quote from portions of it. Electrolux has attached the entire express warranty to its motion to dismiss. The Court may consider it. See Pension Benefit Guar. Corp. v. White Consol. Indus., Inc.,
. Duquesne relied upon Abraham v. Volkswagen of America, Inc.,
[Vlirtually all product failures discovered in automobiles after expiration of the warranty can be attributed to a “latent defect” that existed at the time of sale or during the term of the warranty. All parts will wear out sooner or later and thus have a limited effective life. Manufacturers always have knowledge regarding the effective life of particular parts and the likelihood of their failing within a particular period of time. Such knowledge is easily demonstrated by the fact that manufacturers must predict rates of failure of particular parts in order to price warranties and thus can always be said to “know” that many parts will fail after the warranty period has expired. A rule that would make failure of a part actionable based on such "knowledge” would render meaningless time/mileage limitations in warranty coverage.
Abraham,
. Electrolux argues that because Kuzian’s ice maker was repaired and then at some point past the one-year mark stopped working again, that allegation demonstrates that Electrolux honored its warranty by making his ice maker operational. The Court does not con
. Plaintiffs do not plead a specific count alleging that the warranty was unconscionable. If they did assert such a claim, it would have to be pled in the alternative to their breach of warranty count, as a party cannot be held to have breached a warranty that has been deemed invalid due to unconscionability. It appears from plaintiffs’' opposition brief, however, that' for purchasers of Electrolux refrigerators who experienced ice maker defects beyond the one-year warranty period, plaintiffs wish to assert a claim for unconscionable warranty' — i.e., Electrolux knew that the one year warranty was grossly inadequate to resolve the ice maker defects. See Gotthelf v. Toyota Motor Sales, U.S.A., Inc.,
. Electrolux argues that there is no special purpose of a refrigerator with an ice maker, as ice makers are standard features of almost all refrigerators. Plaintiffs contend that they bought these particular refrigerators because of their special ice making capabilities. Accepting plaintiffs’ contentions as true, this is sufficient to survive Electrolux's motion to dismiss.
. The “[djeliberate suppression of a material fact that should be disclosed” is viewed as "equivalent to a material misrepresentation (i.e., an affirmative misrepresentation),” which will support a common law fraud action. New Jersey Econ. Dev. Auth. v. Pavonia Restaurant, Inc.,
. Lederer sites Randy Knitwear, Inc. v. American Cyanamid Co.,
. If counsel were to renew their motion, it would be analyzed under the same standard as the appointment of class counsel. See Fed. R.Civ.P. 23(g)(2)(B) ("If morq than one adequate applicant seeks appointment as class counsel, the court must appoint the applicant best able to represent the interests of the class.”); Fed.R.Civ.P. 23(g)(1)(A) ("In appointing counsel, the court must consider: (i) the work counsel has done in identifying or investigating potential claims in the action; (ii) counsel’s experience in handling class actions, other complex litigation, and claims of the type asserted in the action; (iii) counsel’s knowledge of the applicable law; and (iv) the resources counsel will commit to representing the class.”).
