YARBOROUGH v. TESLA, INC. Document 1: Document

Superior Court of California, County of Alameda
Case No. 23CV038165
Filed July 11, 2023

Complaint Filed by: LINDY Y YARBOROUGH (Plaintiff) As to: TESLA, INC. (Defendant)

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MFS Legal, Inc.
Neal F. Morrow III (SBN 295497)
Joseph D. Steward III (SBN 337385)
Michael J. Avila (SBN 337521)
5318 East 2nd Street #Long Beach, CA Tel: (562) 379-Email: lawclerk@calemonlawteam.com (contact)
eservice@calemonlawteam.com (documents)
Attorneys for Plaintiff
LINDY Y. YARBOROUGH

SUPERIOR COURT OF THE STATE OF CALIFORNIA

COUNTY OF ALAMEDA

LINDY Y. YARBOROUGH,

COMPLAINT FOR DAMAGES AND
INJUNCTIVE RELIEF
Plaintiff,

Case No.:
vs.
TESLA, INC., a corporation; and DOES through 10, inclusive,

Defendants.

(1) VIOLATION OF THE SONGBEVERLY CONSUMER WARRANTY
ACT BREACH OF EXPRESS
WARRANTY
(2) VIOLATION OF THE SONGBEVERLY CONSUMER WARRANTY
ACT BREACH OF IMPLIED
WARRANTY
(3) VIOLATION OF BUSINESS AND
PROFESSIONS CODE § (4) NEGLIGENT REPAIR

Plaintiff, LINDY Y. YARBOROUGH, an individual alleges as follows:
1. Plaintiff is an individual residing in the City of ELK GROVE, County of SACRAMENTO,
and the State of CALIFORNIA.
2.
Defendant TESLA, INC. is registered to do business in the State of CALIFORNIA.
3.
Defendant is and was a corporation, doing business in the State of California.
4.
Plaintiff does not know the true names and capacities, whether corporate, partnership,
associate, individual, or otherwise of Defendants issued herein as Does 1 through 10, inclusive,
under the provisions of section 474 of the California Code of Civil Procedure. Defendant Does PLAINTIFF’S COMPLAINT FOR DAMAGES AND INJUNCTIVE RELIEF
Page 2
through 10, inclusive, are in some manner responsible for the acts, occurrences and

transactions set forth herein, and are legally liable to Plaintiff. Plaintiff will seek leave to amend this

Complaint to set forth the true names and capacities of the fictitiously named Defendant together

with appropriate charging allegations when ascertained.

5.
All acts of corporate employees as alleged were authorized or ratified by an officer,
director or managing agent of the corporate employer.
6.
Each Defendant whether actually or fictitiously named herein, was the principal, agent

(actual or ostensible) or employee of each other Defendant and in acting as such principal or within

the course and scope of such employment or agency, took some part in the acts and omissions

hereinafter set forth by reason of which each Defendant is liable to Plaintiff for the relief prayed for

herein.

7.
On JULY 18, 2020, Plaintiff acquired a 2020 TESLA Y, VIN:
5YJYGDEE3LF008819 ("vehicle").

FIRST CAUSE OF ACTION

(VIOLATION OF THE SONG-BEVERLY CONSUMER WARRANTY ACT)

BREACH OF EXPRESS WARRANTIES

AGAINST ALL DEFENDANTS

8. Plaintiff incorporates herein by reference each and every allegation contained in the
preceding and succeeding paragraphs as though herein fully restated and realleged.

9. Plaintiff is a “buyer” as defined by Cal. Civ. Code § 1791(b).

10. The vehicle is a “consumer good” as defined by Cal. Civ. Code § 1791(a).

11. Defendant TESLA, INC. is a “warrantor” as contemplated by Ca. Civ. Code § 1795.

12. Defendant is a "manufacturer" and/or "distributor" under the Act.

13. Plaintiff’s acquisition of the Vehicle was a sale as defined by Cal. Civ. Code §1791(n).

14. Defendants violated the Song-Beverly Consumer Warranty Act by failing to conform

the Vehicle to the express written warranties within a reasonable number of repair attempts or

within the warranty periods, and by failing to promptly replace the vehicle or make restitution to

Plaintiff.
PLAINTIFF’S COMPLAINT FOR DAMAGES AND INJUNCTIVE RELIEF
Page 3
15. The defects, malfunctions, and nonconformities that were presented to Defendant’s

authorized repair facilities multiple times and substantially impair the use, value, and/or safety

of the Vehicle.
16. Pursuant to Cal. Civ. Code §1793.2(d), Defendants must refund the price of the Vehicle

to Plaintiff.

17. Pursuant to Cal. Civ. Code § 1794(a), Plaintiff is entitled to restitution.

18. As a direct and proximate result of said violations of the Song-Beverly Act, Plaintiff has

sustained and continues to sustain, actual, incidental, and consequential damages in the

approximate amount of the purchase price according to proof at trial.

19. The failure of Defendants to comply with the Song-Beverly Act was willful in that they

had actual knowledge of the Vehicle’s defects, malfunctions, and nonconformities, knew of its

legal duties under the warranty act, but repeatedly refused to make necessary repairs and/or

provide compensation to the plaintiff.
20. Pursuant to Cal. Civ. Code §1794(c), Plaintiff is entitled to a civil penalty of two times

the amount of Plaintiff’s actual damages.
21. Pursuant to Cal. Civ. Code §1794(d), Plaintiff is entitled to attorney’s fees and expenses

reasonably incurred in connection with this action.

SECOND CAUSE OF ACTION

BREACH OF IMPLIED WARRANTY (SONG BEVERLY)

AGAINST ALL DEFENDANTS

22. Plaintiff incorporates all preceding paragraphs as if set forth at length below.

23. Pursuant to Cal. Civ. Code §1792, the Vehicle was accompanied by each Defendants’

implied warranty that the goods are merchantable.
24. Pursuant to Cal. Civ. Code §1793, and because of the existence of the express warranty,

Defendants may not disclaim, limit, or modify the implied warranties provided by the Song-

Beverly – Act.

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PLAINTIFF’S COMPLAINT FOR DAMAGES AND INJUNCTIVE RELIEF
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25. Defendants breached the implied warranty of merchantability as stated in Cal. Civ. Code

§1791.1 and 1792 in the vehicle has malfunctions, and nonconformities render the Vehicle unfit

for the ordinary purposes for which it is used, and it would not pass without objection in the trade.

26. Pursuant to Cal. Civ. Code §1794(a), Plaintiff is entitled to restitution.

27. As a direct and proximate result of the breach of the implied warranty of merchantability,

Plaintiff has sustained and continues to sustain, actual, incidental, and consequential damages in

the approximate amount of the purchase price according to proof at trial.

28. As a direct and proximate result of said violations of the Song-Beverly Act, Plaintiff has
sustained and continues to sustain, actual, incidental, and consequential damages in the
approximate amount of the purchase price according to proof at trial.
29. Pursuant to Cal. Civ. Code §1794(d), Plaintiff is entitled to attorney’s fees and expenses
reasonably incurred in connection with this action.
30. Plaintiff is a "buyer" of consumer goods under the Act.

THIRD CAUSE OF ACTION

VIOLATION OF BUSINESS AND PROFESSIONS CODE SECTION
AGAINST ALL DEFENDANTS

31. Plaintiff incorporates all preceding paragraphs as if set forth at length below.

32. Plaintiff and Defendants are each “person[s]” as defined by California Business &

Professions Code § 17201. California Bus. & Prof. Code § 17204 authorizes a private

right of action on both an individual and representative basis.

33. “Unfair competition” is defined by Business and Professions Code Section § 17200 as

encompassing several types of business “wrongs,” many of which are at issue here:

(1) an “unlawful” business act or practice,

(2) an “unfair” business act or practice,

(3) a “fraudulent” business act or practice, and

(4) “unfair, deceptive, untrue or misleading advertising.”

34. The definitions in § 17200 are drafted in the disjunctive, meaning that each of these
“wrongs” operates independently from the others.
PLAINTIFF’S COMPLAINT FOR DAMAGES AND INJUNCTIVE RELIEF
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35. Plaintiff has no speedy adequate remedy at law and damages would not adequately
compensate her for the ongoing wrongs committed by Defendants.
36. By and through Defendant’s conduct alleged in further detail above and herein,

Defendants engaged in conduct which constitutes (a) unlawful and (b) unfair business

practices prohibited by Bus. & Prof. Code § 17200 et seq.
“UNLAWFUL” PRONG

37. As a result of Defendants’ acts and practices described herein, Defendants have violated

California’s Unfair Competition Law, Business & Professions Code §§ 17200 et seq.,

which provides a cause of action for an “unlawful” business act or practice perpetrated on

members of the California public.

38. Plaintiff alleges that Cal. Bus. & Prof. Code §§ 17200 et seq. prohibits the “unlawful”

Defendant conduct described previously and in greater detail herein throughout the

complaint and that Plaintiff has suffered injury in fact as a result of Defendants’

“unlawful” conduct.

Specifically, Defendant TESLA, INC. intentionally placed the Subject Vehicle, with

defective components, into the stream of commerce. They knew the components and the

Subject Vehicle suffered from defects which substantially affected the vehicle’s value and

safety, including issues with body alignment, latches on parts that keep the vehicle sealed

from the elements and persons who may try to enter the vehicle, faulty windows, and other

various issues. The issues that affected the Subject Vehicle were extensive and

Manufacturer knew these defects existed and intentionally sold defective vehicles to the

general public.

Defendant was well aware of the highly defective components in this Subject Vehicle.

Defendant intentionally failed to properly diagnose the issues in the Subject Vehicle.

Defendant installed remanufactured and or reconditioned components, that were not of the

same quality as the OEM components. Defendant also installed components, which it knew

were defective and would not correct the mechanical issues exhibited in the Subject Vehicle.
PLAINTIFF’S COMPLAINT FOR DAMAGES AND INJUNCTIVE RELIEF
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Defendant performed negligent repairs because they knew the Manufacturer was unlikely to

reimburse them for multiple repairs due to the same underlying issue.

39. Defendants have other reasonably available alternatives to further its legitimate business
interest, other than the conduct described above.
40. Plaintiff reserves the right to allege other violations of law, which constitute other

unlawful business practices or acts, as such conduct is ongoing and continues to this date.

“UNFAIR” PRONG

41. Defendants’ actions and representations constitute an “unfair” business act or practice
under § 17200 in that Defendant’s conduct is substantially injurious to consumers, offends

public policy, and is immoral, unethical, oppressive, and unscrupulous as the gravity of

the conduct outweighs any alleged benefits attributable to such conduct. Without

limitation, it is an unfair business act or practice for Defendants to knowingly or

negligently:

(1) fail to provide repair facilities to service vehicles to conform to the express

warranties reasonably close to where Plaintiff’s vehicle is sold;

(2) provide their authorized repair facilities service and repair literature to allow

them to conform the vehicles to the express warranties;

(3) inform consumers of their warranty rights on their repair orders;

(4) pay their authorized repair facilities for work done under the express warranty;

(5) Trying to coerce Plaintiff and other members of the public to sign

confidentiality clauses.

42. At a date presently unknown to Plaintiff, within four years of the filing of this action, and

as set forth above, Defendants have committed acts of unfair competition as defined by

Cal. Bus. & Prof. Code §§ 17200 et seq., as alleged further detail above and herein.

43. Plaintiff could not have reasonably avoided the injury suffered herein. Plaintiff reserves

the right to allege further conduct that constitutes other unfair business acts or practices.

Such conduct is ongoing and continues to this date, as Defendants continue to violate the

provisions of the Song-Beverly Act.
PLAINTIFF’S COMPLAINT FOR DAMAGES AND INJUNCTIVE RELIEF
Page 7 “FRAUDULENT” PRONG

44. California Business & Professions Code § 17200 prohibits any “fraudulent ... business act

or practice.” In order to prevail under the “fraudulent” prong of the UCL, a consumer must

allege that the fraudulent business practice was likely to deceive members of the public.

45. The test for “fraud” as contemplated by California Business and Professions Code §
is whether the public is likely to be deceived. Unlike common law fraud, a §
violation can be established even if no one was actually deceived, relied upon the

fraudulent practice, or sustained any damage.

46. Here, consumers are likely to be deceived by the acts described above in this complaint.
47. California consumers, including Plaintiff, were never informed of their rights pursuant to
the Song-Beverly Acts standards.
48. In addition, Defendants’ oral misrepresentations also deceived Plaintiff to believe that
Plaintiff would receive a benefit by purchasing a Vehicle from them under warranty.
49. Despite the passage of time, Plaintiff has received no such benefit from the warranty of the
vehicle.

50. Plaintiff is entitled to injunctive relief to bring Defendants in conformity with the law.

51. Plaintiff is further entitled to preliminary relief to enforce Defendants compliance with its

legal obligations during the pendency of the within action as Plaintiff has both no adequate

remedy at law, has and continues to suffer irreparable injury, and damages would be

completely inadequate.

FOURTH CAUSE OF ACTION

Negligent Repair

(Against Defendant )

52. Plaintiff incorporates all preceding paragraphs as if set forth at length below.

53. Plaintiff delivered the Subject Vehicle to Defendant for repair on numerous occasions.

54. Defendant owed a duty to Plaintiff to use ordinary care and skill in storage, preparation,

and repair of the Subject Vehicle in accordance with industry standards.
PLAINTIFF’S COMPLAINT FOR DAMAGES AND INJUNCTIVE RELIEF
Page 8 55. Defendant -breached its duty to Plaintiff to use ordinary care and skill by failing to

properly store, prepare and repair of the Subject Vehicle in accordance with industry

standards.
56. Defendant 's negligence and its breach of the duties owed to Plaintiff was a proximate

cause of Plaintiff’s damages.

WHEREFORE, PLAINTIFF PRAYS FOR RELIEF AS FOLLOWS:

(1)
A declaration that the sales contract is rescinded;

(2)
A declaration that Defendants have been given a reasonable number of repair
attempts and/or days to conform the Vehicle to the warranty;

(3)
Actual damages of $60,177.78 according to proof;

(4)
Consequential and incidental damages according to proof;

(5)
Restitution of all consideration given by Plaintiff and or paid out toward the
Vehicle;

(6)

Civil Penalties under the Song-Beverly Act in the amount of two times actual
damages;

(8)
Reasonable attorney’s fees according to statute and contract;

(9)
Prejudgment interest at the highest maximum legal rate;

(10)
A temporary restraining order and/or preliminary injunction;

(11)
Costs and expenses reasonably incurred in connection with this action;

(12)
An order requiring Defendants to account for all monies that they have received

as a result of the acts and practices found to constitute unfair competition

pursuant to Cal. Bus. & Prof. Code §§ 17200 et.seq.;
(13)

An order requiring Defendants to abstain from any further acts and practices

found to constitute unfair competition pursuant to Cal. Bus. & Prof. Code

§§17200 et. seq.;

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PLAINTIFF’S COMPLAINT FOR DAMAGES AND INJUNCTIVE RELIEF
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(14)
Such other relief as the Court deems just and proper.

DATED: July 11,
MFS Legal, Inc.

______________________________________
Michael J. Avila
Attorney for Plaintiff
PLAINTIFF’S COMPLAINT FOR DAMAGES AND INJUNCTIVE RELIEF
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