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  • SMITH vs AMERICAN HONDA MOTOR COMPANY, INC., et al. Unlimited Civil document preview
  • SMITH vs AMERICAN HONDA MOTOR COMPANY, INC., et al. Unlimited Civil document preview
  • SMITH vs AMERICAN HONDA MOTOR COMPANY, INC., et al. Unlimited Civil document preview
  • SMITH vs AMERICAN HONDA MOTOR COMPANY, INC., et al. Unlimited Civil document preview
  • SMITH vs AMERICAN HONDA MOTOR COMPANY, INC., et al. Unlimited Civil document preview
  • SMITH vs AMERICAN HONDA MOTOR COMPANY, INC., et al. Unlimited Civil document preview
  • SMITH vs AMERICAN HONDA MOTOR COMPANY, INC., et al. Unlimited Civil document preview
  • SMITH vs AMERICAN HONDA MOTOR COMPANY, INC., et al. Unlimited Civil document preview
						
                                

Preview

ELECTRONICALLY FILED rior Court of California county of Sacramento 03/22/2024 STRATEGIC LEGAL PRACTICES By: K. Lideros Deputy A PROFESSIONAL CORPORATION Tionna Carvalho (SBN 299010) tcarvalho@slpattorney.com Sanam Vaziri (SBN 177384) (emailservices@slpattorney.com) 1888 Century Park East, 19th Floor Los Angeles, CA 90067 Telephone: (310) 929-4900 Facsimile: (310) 943-3838 Attorneys for Plaintiff CHRISTINA SMITH SUPERIOR COURT OF THE STATE OF CALIFORNIA 10 FOR THE COUNTY OF SACRAMENTO 11 12 CHRISTINA SMITH, Case No.: 24CY005536 13 14 Plaintiff, Hon. Dept.: 15 vs. COMPLAINT FOR VIOLATION OF 16 AMERICAN HONDA MOTOR COMPANY. > STATUTORY OBLIGATIONS INC.; and DOES | through 10, inclusive, 17 mi Defendants. JURY TRIAL DEMANDED 18 19 20 21 22 23 24 25 26 27 28 COMPLAINT; JURY TRIAL DEMANDED Plaintiff alleges as follows: PARTIES 1 As used in this Complaint, the word "Plaintiff shall refer to Plaintiff, CHRISTINA SMITH. 2 Plaintiff is a resident of Sacramento County, California. 3 As used in this Complaint, the word "Defendant" shall refer to all Defendants named in this Complaint. 4 Defendant AMERICAN HONDA MOTOR COMPANY, INC. ("HONDA" or "Defendant") is a corporation organized and in existence under the laws of the State of 10 California and registered with the California Department of Corporations to conduct business 11 in California. At all times relevant herein, Defendant was engaged in the business of designing, 12 manufacturing, constructing, assembling, marketing, distributing, and selling automobiles and 13 other motor vehicles and motor vehicle components in Sacramento County, California. 14 5 Plaintiff is ignorant of the true names and capacities of the defendants sued 15 under the fictitious names DOES | to 10. They are sued pursuant to Code of Civil Procedure 16 section 474. When Plaintiff becomes aware of the true names and capacities of the Defendants 17 sued as DOES 1 to 10, Plaintiff will amend this Complaint to state their true names and 18 capacities. 19 FACTUAL BACKGROUND 20 6. On or about November 11, 2021, Plaintiff entered into a warranty contract with 21 Defendant, regarding a 2022 Honda Pilot, vehicle identification number 22 SFNYFSH53NB006284 ("Vehicle"), which was manufactured and or distributed by 23 Defendant. 7 24 The warranty contract contained various warranties, including but not limited 25 to the bumper-bumper warranty, powertrain warranty, emission warranty, etc. A true and 26 correct copy of the warranty contract is attached hereto as Exhibit A. The terms of the express 27 warranty are described in Exhibit A and are incorporated herein. 28 8 Pursuant to the Song-Beverly Consumer Warranty Act (the "Song-Beverly 1 COMPLAINT; JURY TRIAL DEMANDED Act") Civil Code sections 1790 et seq. the Subject Vehicle constitutes "consumer goods" used primarily for family or household purposes, and Plaintiff has used the vehicle primarily for those purposes. Plaintiff is a "buyer" of consumer goods under the Act. Defendant HONDA is "manufacturer" and/or "distributor" under the Act. 9 Plaintiff justifiably revokes acceptance of the Subject Vehicle under Civil Code, section 1794, et seq. by filing this Complaint and/or did so prior to filing the instant Complaint. 10. These causes of action arise out of the warranty obligations of Defendant in connection with a motor vehicle for which Defendant issued a written warranty. ll. Defects and nonconformities to warranty manifested themselves within the 10 applicable express warranty period, including but not limited to, sensing defects, transmission 11 defects, engine defects; among other defects and non-conformities. 12 12. Said defects/nonconformities substantially impair the use, value, or safety of the 13 Vehicle. 14 13. The value of the Vehicle is worthless and/or de minimis. 15 14. Under the Song-Beverly Act, Defendant HONDA had an affirmative duty to 16 promptly offer to repurchase or replace the Subject Vehicle at the time if failed to conform the 17 Subject Vehicle to the terms of the express warranty after a reasonable number of repair 18 attempts. ! 19 15. Defendant HONDA has failed to either promptly replace the Subject Vehicle or 20 to promptly make restitution in accordance with the Song-Beverly Act. 21 22 ' "A manufacturer's duty to repurchase a vehicle does not depend on a consumer's request, but instead 23 ari as soon as the manufacturer fails to comply with the warranty within a reasonable time. (Krotin v. Porsche Ca North America, Inc. (1995) 38 Cal.App.4th 294, 301-302, 45 Cal.Rptr.2d 10.) Chrysler performed the bridge 24 operation on Santana's vehicle in August 2014 with 30,262 miles on the odometer—within the three-year, 36,000 mile warranty. The internal e-mails demonstrating Chrysler's awareness of the safety risks inherent in the bridge 25 operation were sent in September 2013, and thus Chrysler was well aware of the problem when it performed the bridge operation on Santana's vehicle. Thus, Chrysler's duty to repurchase or provide restitution arose prior to the 26 expiration of the three-year, 36,000 mile warranty. Moreover, although we do not have the actual five-year, 100,000 mile power train warranty in our record, Santana's expert testified that the no-start/stalling issues Santana 27 experienced were within the scope of the power train warranty, which was still active when Santana requested repurchase in approximately January 2016, at 44,467 miles. Thus the premise of Chrysler's argument—that 28 Santana's request for repurchase was outside the relevant warranty—is not only irrelevant, but wrong." Santana v. FCA US, LLC, 56 Cal. App. Sth 334, 270 Cal. Rptr. 3d 335 (2020). 2 COMPLAINT; JURY TRIAL DEMANDED 16. Under the Act, Plaintiff is entitled to reimbursement of the price paid for the vehicle less that amount directly attributable to use by Plaintiff prior to the first presentation to an authorized repair facility for a nonconformity. 17. Plaintiff is entitled to replacement or reimbursement pursuant to Civil Code, section 1794, et seq. 18. Plaintiff is entitled to recover any "cover" damages under Civil Code, section 1794, et seq. 19. Plaintiffis entitled to recover all incidental and consequential damages pursuant to Civil Code, section 1794 et seq. 10 20. Plaintiff suffered damages in a sum to be proven at trial in an amount that is not 11 less than $35,001.00. 12 21. Plaintiff is entitled to all incidental, consequential, and general damages 13 resulting from Defendants’ failure to comply with its obligations under the Song-Beverly Act. 14 TOLLING OF THE STATUTES OF LIMITATION 15 22. To the extent there are any statutes of limitation applicable to Plaintiff's 16 claims—including, without limitation, her express warranty, implied warranty, and fraudulent 17 omission claims—the running of the limitation periods has been tolled by, inter alia, the 18 following doctrines or rules: equitable tolling, the discovery rule, the fraudulent concealment 19 tule, equitable estoppel, the repair doctrine, and/or class action tolling (e.g., the American 20 Pipe rule), by the filing of Conti v. American Honda Motor Co., Inc, et al. (United States 21 District Court for the Central District of California, Case No. 2:19-cv-2160) on March 22, 22 2019. 23 23. Plaintiff discovered Defendant's wrongful conduct alleged herein shortly before 24 filing this Complaint as the Subject Vehicle continued to exhibit symptoms of defects 25 following Defendant's unsuccessful attempts to repair them. However, Defendant failed to 26 provide restitution pursuant to the Song-Beverly Consumer Warranty Act. 27 A. Class Action Tolling 28 24. Under the tolling rule articulated in Am. Pipe & Const. Co. v. Utah, 414 U.S. 3 COMPLAINT; JURY TRIAL DEMANDED 538, 94 S. Ct. 756, 38 L. Ed. 2d 713 (1974) (“American Pipe”), the filing of a class action lawsuit in federal court tolls the statute of limitations for the claims of unnamed class members until the class certification issue is resolved. In applying American Pipe tolling to California cases, the California Supreme Court summarized the tolling rule derived from American Pipe and stated that the statute of limitations is tolled from the time of commencement of the suit to the time of denial of certification for all purported members of the class. Jolly v. Eli Lilly & Co., 44 Cal.3d 1103, 1119 (1988). Tolling lasts from the day a class claim is asserted until the day the suit is conclusively not a class action. Falk v. Children's Hosp. Los Angeles, 237 Cal. App. 4th 1454, 1464 (2015). 10 25. The tolling of Plaintiff's individual statute of limitations encourages the 11 protection of efficiency and economy in litigation as promoted by the class action devise, so 12 that putative class members would not find it necessary to seek to intervene or to join 13 individually because of fear the class might never be certified or putative class members may 14 subsequently seek to request exclusion. 15 B Discovery Rule Tolling 16 26. Plaintiff had no way of knowing about Defendant’s deception with respect to 17 the defect until the defect manifested itself and Defendant was unable to repair it after a 18 reasonable number of repair attempts. 19 27. Within the time period of any applicable statutes of limitation, Plaintiff could 20 not have discovered through the exercise of reasonable diligence that Defendant were 21 concealing the defect and conduct complained of herein and concealing the companies’ true 22 position with respect to the defect. 23 28. Defendant was under a continuous duty to disclose to Plaintiff the true 24 character, quality, and nature of the Vehicles suffering from the defect, and the inevitable 25 repairs, costs, time, and monetary damage resulting from the defects. 26 29. Plaintiff did not discover, and did not know of, facts that would have caused a 27 reasonable person to suspect that Defendants had concealed information about the defect in 28 Defendants’ Vehicles prior to and at the time of sale and thereafter, which was discovered by 4 COMPLAINT; JURY TRIAL DEMANDED Plaintiff shortly prior to the filing of this Complaint. C. The Repair Doctrine 30. The statute of limitations is tolled by various unsuccessful attempts to repair the vehicle.! 31. Additionally, the limitations period for warranty claims is tolled against a defendant whenever that defendant claims that the defect is susceptible to repair and attempts to repair the defect.” 32. Here, Defendant (and its dealership) undertook to perform various repair measures. During the time in which Defendant represented to Plaintiff that the Subject Vehicle 10 was fixable and attempted to fix it, the warranty period may have thus been tolled. 11 D. Fraudulent Concealment Tolling (Estoppel) 12 33. Separately, the statute of limitations is equitably tolled due to Defendant’s 13 fraudulent conduct alleged herein.> 14 34. Defendant (and its agents, representatives, officers, directors, employees, 15 affiliates, and/or dealerships) concealed the defects, minimized the scope, cause, and dangers 16 of the defects with inadequate TSBs and/or Recalls, and refused to investigate, address, and 17 remedy the defects as it pertains. 18 35. By filing this Complaint, Plaintiff hereby revokes acceptance of the Subject 19 Vehicle yet again. 20 FIRST CAUSE OF ACTION 21 BY PLAINTIFF AGAINST DEFENDANT HONDA 22 VIOLATION OF SUBDIVISION (D) OF CIVIL CODE SECTION 1793.2 23 36. Plaintiff incorporates by reference the allegations contained in the paragraphs 24 set forth above. 25 37. Defendant and its representatives in this state have been unable to service or 26 repair the Vehicle to conform to the applicable express warranties after a reasonable number 27 of opportunities. Despite this fact, Defendant failed to promptly replace the Vehicle or make 28 restitution to Plaintiffas required by Civil Code section 1793.2, subdivision (d) and Civil Code 5 COMPLAINT; JURY TRIAL DEMANDED section 1793.1, subdivision (a)(2). 38. Plaintiff has been damaged by Defendant's failure to comply with its obligations pursuant to Civil Code section 1793.2, subdivision (d) and Civil Code section 1793.1, subdivision (a)(2), and therefore brings this cause of action pursuant to Civil Code section 1794. 39. Defendant's failure to comply with its obligations under Civil Code section 1793.2, subdivision (d) was willful, in that Defendant and its representative were aware that they were unable to service or repair the Vehicle to conform to the applicable express warranties after a reasonable number of repair attempts, yet Defendant failed and refused to 10 promptly replace the Vehicle or make restitution. Accordingly, Plaintiff is entitled to a civil 11 penalty of two times Plaintiff's actual damages pursuant to Civil Code section 1794, 12 subdivision (c). 13 40. Defendant does not maintain a qualified third-party dispute resolution process 14 which substantially complies with Civil Code section 1793.22. Accordingly, Plaintiff is 15 entitled to a civil penalty of two times Plaintiff's actual damages pursuant to Civil Code section 16 1794, subdivision (e). 17 41. Plaintiff seeks civil penalties pursuant to section 1794, subdivisions (c), and (e) 18 in the alternative and do not seek to cumulate civil penalties, as provided in Civil Code section 19 1794, subdivision (e). 20 SECOND CAUSE OF ACTION 21 BY PLAINTIFF AGAINST DEFENDANT HONDA 22 VIOLATION OF SUBDIVISION (B) OF CIVIL CODE SECTION 1793.2 23 42. Plaintiff incorporates by reference the allegations contained in the paragraphs 24 set forth above. 25 43. Although Plaintiff presented the Vehicle to Defendant's representative in this 26 state, Defendant and its representative failed to commence the service or repairs within a 27 reasonable time and failed to service or repair the Vehicle to conform to the applicable 28 warranties within 30 days, in violation of Civil Code section 1793.2, subdivision (b). Plaintiff 6 COMPLAINT; JURY TRIAL DEMANDED did not extend the time for completion of repairs beyond the 30-day requirement. 44. Plaintiff has been damaged by Defendant's failure to comply with its obligations pursuant to Civil Code section 1793.2(b), and therefore brings this Cause of Action pursuant to Civil Code section 1794. 45. Plaintiff has rightfully rejected and/or justifiably revoked acceptance of the Vehicle and has exercised a right to cancel the purchase. By serving this Complaint, Plaintiff does so again. Accordingly, Plaintiff seeks the remedies provided in California Civil Code section 1794(b)(1), including the entire contract price. In the alternative, Plaintiff seeks the remedies set forth in California Civil Code section 1794(b)(2), including the diminution in 10 value of the Vehicle resulting from its defects. Plaintiff believes that, at the present time, the 11 Vehicle's value is de minimis. 12 46. Defendant's failure to comply with its obligations under Civil Code section 13 1793.2(b) was willful, in that Defendant and its representative were aware that they were 14 obligated to service or repair the Vehicle to conform to the applicable express warranties 15 within 30 days, yet they failed to do so. Accordingly, Plaintiff is entitled to a civil penalty of 16 two times Plaintiff's actual damages pursuant to Civil Code section 1794(c). 17 THIRD CAUSE OF ACTION 18 BY PLAINTIFF AGAINST DEFENDANT HONDA 19 VIOLATION OF SUBDIVISION (A)(3) OF CIVIL CODE SECTION 1793.2 20 47. Plaintiff incorporates by reference the allegations contained in paragraphs set 21 forth above. 22 48. In violation of Civil Code section 1793.2, subdivision (a)(3), Defendant failed 23 to make available to its authorized service and repair facilities sufficient service literature and 24 replacement parts to effect repairs during the express warranty period. Plaintiff has been 25 damaged by Defendant's failure to comply with its obligations pursuant to Civil Code section 26 1793.2(a)(3), and therefore brings this Cause of Action pursuant to Civil Code section 1794. 27 49. Defendant's failure to comply with its obligations under Civil Code section 28 1793.2, subdivision (a)(3) was willful, in that Defendant knew of its obligation to provide 7 COMPLAINT; JURY TRIAL DEMANDED literature and replacement parts sufficient to allow its repair facilities to effect repairs during the warranty period, yet Defendant failed to take any action to correct its failure to comply with the law. Accordingly, Plaintiff is entitled to a civil penalty of two times Plaintiff's actual damages pursuant to Civil Code section 1794(c). FOURTH CAUSE OF ACTION BY PLAINTIFF AGAINST DEFENDANT HONDA BREACH OF THE IMPLIED WARRANTY OF MERCHANTABILITY (CIV. CODE, § 1791.1; § 1794; § 1795.5) 50. Plaintiff incorporates by reference the allegations contained in the paragraphs 10 set forth above. 11 S51. Pursuant to Civil Code section 1792, the sale of the Vehicle was accompanied 12 by Defendant's implied warranty of merchantability. Pursuant to Civil Code section 1791.1, 13 the duration of the implied warranty is coextensive in duration with the duration of the express 14 written warranty provided by Defendant, except that the duration is not to exceed one-year. 15 §2. Pursuant to Civil Code section 1791.1 (a), the implied warranty of 16 merchantability means and includes that the Vehicle will comply with each of the following 17 requirements: (1) The Vehicle will pass without objection in the trade under the contract 18 description; (2) The Vehicle is fit for the ordinary purposes for which such goods are used; 19 (3) The Vehicle is adequately contained, packaged, and labeled; and (4) The Vehicle will 20 conform to the promises or affirmations of fact made on the container or label. 21 53. At the time of sale, the subject Vehicle contained one or more latent defect(s) 22 set forth above. The existence of the said defect(s) constitutes a breach of the implied warranty 23 because the Vehicle (1) does not pass without objection in the trade under the contract 24 description, (2) is not fit for the ordinary purposes for which such goods are used, (3) is not 25 adequately contained, packaged, and labelled, and (4) does not conform to the promises or 26 affirmations of fact made on the container or label. 27 54. Plaintiff has been damaged by Defendant's failure to comply with its obligations 28 under the implied warranty, and therefore brings this Cause of Action pursuant to Civil Code 8 COMPLAINT; JURY TRIAL DEMANDED section 1794. FIFTH CAUSE OF ACTION BY PLAINTIFF AGAINST DEFENDANT HONDA FRAUDULENT INDUCEMENT —- CONCEALMENT 55. Plaintiff incorporates by reference the allegations contained in the paragraphs set forth above. The Sensing Defect 56. Defendant designed, manufactured, tested, warranted, advertised, distributed, sold, and leased 2022 Honda Pilot vehicles ("HONDA Vehicles"), including the Subject 10 Vehicle, which contain a defective computerized driver-assisting safety system, which includes 11 adaptive cruise control (which operates automatically to maintain a set distance from a vehicle 12 ahead), lane departure warnings and steering inputs, and autonomous braking (meant to avoid 13 front-end collisions by detecting vehicle speed and the speed of other vehicles and objects on the 14 road—and can automatically deploy the brakes to avoid a front-end collision). HONDA calls 15 this computerized driver-assisting safety system, "HONDA Sensing." HONDA Sensing relies 16 on a radar sensor (near the lower front bumper), an interior camera (near the rearview mirror), 17 along with computers and other technology. The autonomous braking system within HONDA 18 Sensing is called Collision Mitigation Braking System (or CMBS).” 19 57. The HONDA Sensing system suffers from a defect that causes the various 20 subsystems within it to malfunction dangerously while the vehicles are driven. This defect 21 impedes the systems' ability to reliably and accurately detect and appropriately respond to 22 23 ? Honda describes the Honda Sensing system as inclusive of the following subsystems: 1) Adaptive 24 Cruise Control (ACC) with Low Speed Follow (LSF)*: Helps maintain a constant vehicle speed and a set following interval behind a vehicle detected ahead of yours and, if the detected vehicle comes to a stop, can 25 decelerate and stop your vehicle. *if equipped 2) Lane Keeping Assist System (LKAS): Provides steering input to help keep the vehicle in the middle of a detected lane and provides tactile and visual alerts if the vehicle is 26 detected drifting out of its lane. 3) Road Departure Mitigation (RDM) System: Alerts and helps to assist you when the system detects a possibility of your vehicle unintentionally crossing over detected lane markings and/or 27 leaving the roadway altogether. 4) Collision Mitigation Braking System (CMBS): Can assist you when there is a possibility of your vehicle colliding with a vehicle or a pedestrian detected in front of yours. (see, 28 https://owners.honda.com/utility/download?path=/static/pdfs/2018/Accord%20 Sedan/2018_ACCORD_4D_CMBS.pdf.) 9 COMPLAINT; JURY TRIAL DEMANDED conditions on the roadway, causing malfunctions of the adaptive cruise control, the lane- departure system, and — most severely — the CMBS (the Collision Mitigation Braking System). Hereafter, this defect is referred to as the "Sensing Defect". 58. As a result of the Sensing Defect, HONDA Vehicles brake abruptly even though there is nothing around that risks a collision, warning lights display without explanation, brakes deploy seemingly randomly, and parts of the system like adaptive cruise control malfunction. These malfunctions pose a safety risk because the vehicle may abruptly and without warning halt in traffic, and trailing vehicles have to slam on the brakes or swerve dangerously out of their lanes to avoid a crash. Additionally, the speed of the vehicle may abruptly change and warnings 10 may distract the driver. All of these malfunctions result in an increased risk of accident, injury, 11 and liability to third parties. 12 59. However, HONDA's response has been that no repairs are available. 13 Defendant's Knowledge of and Failure to Disclose the Sensing Defect 14 60. All acts of corporate employees as alleged herein were authorized or ratified by 15 an officer, director, or managing agent of the corporate employer. 16 61. HONDA knew of the Sensing Defect prior to sale of the Subject Vehicle to 17 Plaintiff, based on pre-production and post-production testing, numerous customer complaints, 18 warranty claims data compiled from HONDA's network of dealers, testing conducted by 19 HONDA in response to these complaints, as well as warranty repair and part replacements data 20 received by HONDA from HONDA's network of dealers, amongst other sources of internal 21 information. 22 62. Despite HONDA's awareness of the Sensing Defect, it has not found a solution 23 for it. Instead, HONDA simply replaces defective parts with equally defective parts or performs 24 ineffective software updates that do not fix the defect, thereby leaving consumers, and those they 25 share the road with, exposed to the safety risks attendant to the Sensing Defect (described above). 26 63. Examples of some of the complaints about the defective sensing systems in 27 HONDA Vehicles posted on the National Highway Transportation Safety Administration 28 include: 10 COMPLAINT; JURY TRIAL DEMANDED "2017 Honda CR-V: Driving my 2017 CRV EX home from work. Stopped at red light, foot on brake pedal. When the traffic signal turned green, I took my foot off the brake pedal, and a message came up on the dashboard screen "brake system failure". The engine was still running. I turned onto a side street and tried to depress the brake pedal, but it was frozen and the vehicle would not stop. I pulled into a parking lot and put the vehicle in 'park', and called the dealership where I leased the vehicle. The sales rep suggested I turn off the engine and restart it. I did that and all systems seemed to function properly. I later took my CRV back to the dealer, and they did a diagnostic check but found no definitive problem. The technician could only say the computer indicated something had occurred but could say what, or why, or whether it might occur again. The service advisor said they could not find a problem, and everything seemed ok, and "have a nice day!" Now I am anxious when I drive wondering if, or when, the brake system might fail again. Is it just my CRY, or has this issue been reported by anyone else? This issue, should it occur again while driving in traffic, could result in a serious crash situation. (NHTSA ID 10959870, Report Date: 10 March 9, 2017) 11 2017 Honda CR-V: Collision mitigation system is malfunctioning when driving 12 over metal plates: during construction, metal plates were put on the road where I work. They do not stick out, area flush with the street, and are about 4 feet 13 wide. Every time I get close to drive straight over them (at probably 20-25 MPH), my car slams onto the brakes and comes to a complete stop. If anybody 14 were behind me, they would rearend me. A colleague of mine bought the same 15 car and has exactly the same problem. I had my car checked out at a Honda dealer and they told me everything is working properly. The system cannot be 16 turned off permanently, so I have to turn it off manually every time | start the car. This is very dangerous, as somebody will get hurt soon if somebody is 17 behind me and there is no reason I would come to such an abrupt stop. (NHTSA ID 10985566, Report Date: May 14, 2017) 18 19 2019 Honda CR-V: The automatic vehicle braking system applied urgent brakes on its own when no other car was in front, nor was any other obstacle in front of 20 our car. This is a huge concern because, the system applying automatic brakes could have resulted in a collision. (NHTSA ID 112098532, Report Filed: June 21 30, 2019) 22 2018 Honda Accord: Three times during the first 1500 miles the collision 23 mitigation braking system has failed, disabling that feature and adaptive cruise control, displaying a large diagnostic on the electronic dashboard and telling 24 me to see my dealer. In all cases I was driving in normal traffic on northern California freeways at cruising speed (twice on 101, once on 80). The first two 25 failures occurred during daytime, the third at night. the weather in all cases was normal (no rain, snow, mud, ...) When I visited the dealer after the first two 26 occurrences (when the car is turned off and then back on the condition clears) 27 the dealer found no diagnostic codes or other problems. then the problem occurred a third time. The dealer and Honda corporate say they have no idea 28 how to fix it because of the absence of diagnostic codes. (NHTSA ID 11080670, Report Date: March 21, 2018) ll COMPLAINT; JURY TRIAL DEMANDED 2020 Honda Accord: I was driving on the highway on a sunny day with no other cars around me, and nothing in front of me. I was driving approximately 55mph, and all of a sudden the collision mitigation braking system engaged and almost brought the car to a full stop. The braking system engaged for approximately 4 seconds, my foot remained on the gas because I was startled and could not understand what was happening, and had no time to react. The automatic braking system then released, and the car kept driving. (NHTSA ID 11321362, Report Filed: April 17, 2020)" Defendant Concealed the Sensing Defect 64. While Defendant has been fully aware of the Sensing Defect affecting the Subject Vehicle, Defendant and its agents concealed the existence and nature of the Defect from 10 Plaintiff at the time of purchase (and/or lease), repair, and thereafter. Specifically, Defendant 11 failed to disclose or concealed at and after the time of purchase or repair: 12 a. any and all known material defects or material nonconformity of the Subject 13 Vehicle, including the Sensing Defect; 14 that the Subject Vehicle, including its sensing system, was not in good 15 working order, was defective, and was not fit for the intended purposes; 16 that the Subject Vehicle and its sensing system was defective, despite the fact 17 that Defendant knew of such defects prior to release, at least as early as 2015; 18 19 and 20 that Defendant further learned of the widespread problems plaguing 21 consumers of vehicles equipped with the sensing system through alarming 22 failure rates, customer complaints, as well as through other internal sources, 23 as early as 2015. 24 65. To this day, Defendant still has not notified Plaintiff that the Vehicle suffers from 25 a systemic, latent safety defect that causes the sensing system to malfunction. 26 66. HONDA's New Vehicle Limited Warranty requires it to "repair or replace any 27 part that is defective in material or workmanship under normal use." But as countless consumers 28 12 COMPLAINT; JURY TRIAL DEMANDED have reported, HONDA has been unable to repair these defects despite being given numerous opportunities. In violation of this express warranty, and as evidenced by the many complaints or repeat sensing system failures, Defendant either does nothing or merely replaces a defective part with another defective part or performs ineffective software updates. 67. Defendant concealed, and continues to conceal, the fact that the HONDA Vehicles, including the Subject Vehicle, contain the defective sensing systems, for which they have no effective fix. Defendant also continues to conceal the fact that the software updates and replacement components it provides in an false attempt to repair the defect are equally defective. Therefore, Plaintiff did not discover and could not have discovered this defect through 10 reasonable diligence. 11 68. As a result of Defendant's concealment, inaction and silence, Plaintiff was 12 entirely unaware that Plaintiff purchased, and continued to drive, an unsafe and unreliable 13 vehicle. As Defendant knows, a reasonable person would consider the Sending Defect a 14 material fact and would not purchase or lease a vehicle equipped with a defective sensing 15 system, or would pay substantially less for the vehicle, if said defect was disclosed in advance. 16 69. Plaintiff is a reasonable consumer who interacted with sales representatives, 17 considered Defendant's advertisement, and/or other marketing materials concerning the 18 HONDA Vehicles prior to purchasing the Subject Vehicle. Had HONDA revealed the Sensing 19 Defect, Plaintiff would have been aware of it and would not have purchased the Subject 20 Vehicle. 21 Fraudulent Inducement — Concealment Elements Are Met 22 70. Defendant committed fraud by allowing the Subject Vehicle to be sold to 23 Plaintiff without disclosing that the Subject Vehicle and its sensing system was defective and 24 susceptible to malfunction of the computerized driver-assisting safety system ("sensing 25 system"), which includes adaptive cruise control (which operates automatically to maintain a set 26 distance from a vehicle ahead), lane departure warnings and steering inputs, and autonomous 27 braking (meant to avoid front-end collisions by detecting vehicle speed and the speed of other 28 vehicles and objects on the road—and can automatically deploy the brakes to avoid a front-end 13 COMPLAINT; JURY TRIAL DEMANDED collision). As a result of the Sensing Defect, the various subsystems within the sensing system malfunction dangerously while the vehicles are driven. This defect impedes the systems' ability to reliably and accurately detect and appropriately respond to conditions on the roadway, causing malfunctions of the adaptive cruise control, the lane-departure system, and — most severely — the CMBS (the Collision Mitigation Braking System). Further, as a result of the Sensing Defect, HONDA Vehicles brake abruptly even though there is nothing around that risks a collision, warning lights display without explanation, brakes deploy seemingly randomly, and parts of the system like adaptive cruise control malfunction. These malfunctions pose a safety risk because the vehicle may abruptly and without warning halt in traffic, and trailing vehicles have to slam 10 on the brakes or swerve dangerously out of their lanes to avoid a crash. Additionally, the speed 11 of the vehicle may abruptly change and warnings may distract the driver. All of these 12 malfunctions result in an increased risk of accident, injury, and liability to third parties. 13 71. Additionally, because the sensing system may fail or malfunction at any time, 14 thereby startling the driver and putting the passengers' safety at risk, the defect makes HONDA 15 Vehicles, including the Subject Vehicle, unfit for the use for which they were intended in that 16 they cannot be relied upon as a safe and reliable means of transport. 17 72. Indeed, Plaintiff alleges that prior to the sale of the Subject Vehicle to Plaintiff, 18 Defendant knew that the Vehicle and its sensing system suffered from an inherent defect, was 19 defective, would fail prematurely, and was not suitable for its intended use. 20 23. HONDA was under a duty to Plaintiff to disclose the defective nature of the 21 Vehicle and its sensing system, its safety consequences and/or the associated repair costs 22 because: 23 a. Plaintiff is informed, believes, and thereon alleges that HONDA 24 acquired its knowledge of the Sensing Defect and its potential 25 consequences prior to Plaintiff acquiring the Vehicle, through 26 sources not available to consumers such as Plaintiff, including but 27 not limited to pre-production testing data, early consumer complaints 28 about the Sensing Defect made directly to HONDA and its network 14 COMPLAINT; JURY TRIAL DEMANDED of dealers, aggregate warranty data compiled from HONDA's network of dealers, testing conducted by HONDA in response to these complaints, as well as warranty repair and part replacements data received by HONDA from HONDA's network of dealers, amongst other sources of internal information; HONDA was in a superior position from various internal sources to know (or should have known) the true state of facts about the material defects of the sensing systems contained in HONDA Vehicles; and 10 Plaintiff could not reasonably have been expected to learn or 11 discover of the Vehicle's Sensing Defect and its potential 12 consequences until well after Plaintiff purchased the Vehicle. 13 74. In failing to disclose the defects in the Vehicle's sensing system, HONDA has 14 knowingly and intentionally concealed material facts and breached its duty not to do so. 15 75. The facts concealed or not disclosed by HONDA to Plaintiff are material in that 16 a reasonable person would have considered them to be important in deciding whether or not to 17 purchase the Vehicle. Had Plaintiff known that the Vehicle and its sensing system were 18 defective prior to or at the time of sale, he would not have purchased the Vehicle. 19 76. Plaintiff is a reasonable consumer who interacted with HONDA's sales 20 representatives and reviewed materials disseminated by HONDA concerning HONDA 21 Vehicles prior to purchasing the Subject Vehicle. Had Defendant disclosed the Sensing Defect, 22 a safety hazard, to its sales representatives and/or the consumer public, Plaintiff would have 23 been aware of it and would not have purchased the Subject Vehicle. 24 77. As a result of Defendant's misconduct, Plaintiff has suffered and will continue 25 to suffer actual damages. Plaintiff was harmed by purchasing a vehicle that Plaintiff would 26 not have leased and/or purchased had Plaintiff known the true facts about the Sensing Defect. 27 Furthermore, Plaintiff unknowingly exposed themselves to the risk of liability, accident and/or 28 injury as a result of Defendant's fraudulent concealment of the Sensing Defect. 15 COMPLAINT; JURY TRIAL DEMANDED PRAYER PLAINTIFF PRAYS for judgment against Defendant as follows: For general, special and actual damages according to proof; For restitution; For any consequential and incidental damages; For diminution in value; For punitive damages; For a civil penalty in the amount of two times Plaintiff's actual damages pursuant to Civil Code section 1794, subdivision (c) or (e); 10 g For prejudgment interest at the legal rate; 11 For costs of the suit and Plaintiff's reasonable attorneys’ fees pursuant to 12 Civil Code section 1794, subdivision (d); and 13 For such other relief as the Court may deem proper. 14 DEMAND FOR JURY TRIAL 15 Plaintiff hereby demands a jury trial on all causes of action asserted herein. 16 Dated: March 18, 2024 STRATEGIC LEGAL PRACTICES, APC 17 ( tor BY: 18 “TIONNA CARVALHO 19 Attorneys for Plaintiff CHRISTINA SMITH 20 21 22 23 24 25 26 27 28 16 COMPLAINT; JURY TRIAL DEMANDED Exhibit A In the United States: American Honda Motor Co., Inc. Honda Automobile Customer Service Mail Stop CHI-5 1919 Torrance Boulevard Torrance, CA 90501-2746 (800) 999-1009 In Puerto Rico and the U.S. Virgin Islands: Vortex Motor Corp. Bella International PO. Box 190816 San Juan, Puerto Rico 00919-0816 (787) 620-7546 These warranties are given by (Q) HONDA Table of Contents Introduction Customer Satisfaction Some Repairs May Be Covered Beyond the Limited Warranty. A Quick Reference to Warranty Coverages... Your Warranties in Detail General Warranty Provisions. New Vehicle Limited Warranty . Powertrain Limited Warranty. Federal Emissions Warranties 1 Federal Emissions System Coverage 17 California Emissions Warranties ..... 18 California Emissions System Coverage 26 Hybrid Powertrain Limited Warranty 27 High Voltage Battery Capacity Limited Warranty 28 Tires 29 Seat Belt Limited Warranty 30 Rust Perforation Limited Warranty 31 Accessory Limited Warranty... 32 Replacement/Remanufactured Parts Limited Warranty 34 Replacement 12-Volt Battery Limited Warranty. 35 Replacement Exhaust Components Lifetime Limited Warranty. 36 Your Responsibility Operation and Maintenance of Your Honda 37 How to Get Warranty Service... 39 Warranty Coverage Outside the United States 39 Limitations and Disclaimers..