Lawsuit alleging Audi brake system defect partially survives dismissal
January 14, 2021
January 14, 2021
A putative class action regarding allegedly defective brake systems has partially survived a motion to dismiss.
The named plaintiffs, Valeria Mercado and Andrea Kristy Anne Holmes, on behalf of herself and others similarly situated, filed a Third Amended Complaint against Defendant Volkswagen Group of America, Inc., d/b/a Audi of America, Inc. (“Audi”), alleging Audi Q7 vehicles for model years 2015-2018 have defective braking systems, which result in a high-pitched noise when the brakes are used. Plaintiffs alleged the noise occurs when the brakes are used while a vehicle is travelling at a range of speeds and in a variety of driving conditions. They allege Audi has “long known” about the noise issue through reports from dealerships, testing and warranty data, complaint data, and sales of replacement parts, but has not disclosed this defect.
In December 2019, Audi filed a partial motion to dismiss certain claims in that complaint. After briefing on the motion, the District Court held a hearing on March 2, 2020. The Court granted Audi’s motion to dismiss the claims for negligence, product liability; and violation of the Song-Beverly Warranty Act as advanced by Holmes. The Court denied Audi’s motion to dismiss claims for violation of the Consumer Legal Remedies Act (CLRA) and California’s Unfair Competition Law. Plaintiffs subsequently filed a fourth amended class action complaint, to which Audi filed a Motion for Partial Dismissal. Plaintiff filed a notice they did not oppose Defendant’s motion, leaving the following remaining claims:
- Plaintiff Holmes’s claims against Defendant, individually and on behalf of a Class and sub-Class of all other similarly situated California purchasers of the Vehicles, for violations of the CLRA and UCL, based on unlawful and unfair conduct, and failure to disclose.
- Plaintiff Mercado’s claims against Defendant, individually and on behalf of a Class and sub-Class of all other similarly situated California purchasers of the Vehicles, for violations of California’s Song-Beverly Consumer Warranty Act.
The case is Valeria Mercado v. Audi of America, LLC, et al, No. 5:18-cv-02388, in the U.S. District Court for the Central District of California.
The Court’s Order is below: