WILLIAM C. LEE, District Judge.
This matter is before the Court on the Partial Motion to Dismiss Count Two of Plaintiff's Complaint (and brief in support) filed by Defendant Bridgepoint Education (DE 13 and 14). Plaintiff Chassandra Jones filed a response brief in opposition (DE 16) and Bridgepoint filed a reply brief (DE 18).
Chassandra Jones filed her Complaint on September 21, 2016 (DE 1), asserting two claims against Bridgepoint. Count I alleges a claim under the Telephone Consumer Protection Act, 47 U.S.C. § 227. Complaint, pp. 5-6. More specifically, Jones alleges in Count I that Bridgepoint violated § 227(b)(1)(iii) of the TCPA, which prohibits solicitors from calling people "on their cellular phone using an automatic telephone dialing system (`ATDS') without their consent." Id., p. 5. Jones alleges that representatives of Bridgepoint did just that on numerous occasions even though she repeatedly asked them to stop. In Count II of her Complaint, Jones asserts that Bridgepoint violated the Indiana Deceptive Consumer Sales Act, "I.C. 24-5-0.5-35-3(a) and (b)(19) by engaging in an unfair, abusive and deceptive practice through its systematic solicitation of Plaintiff." Id., p. 6. It is this second count that Bridgepoint is asking the Court to dismiss (the motion does not challenge Count I-the federal TCPA claim). Bridgepoint argues that Jones fails to state a cognizable claim under the IDCSA and that the claim must be dismissed under Federal Rule 12(b)(6). Defendant's Brief, generally.
Rule 12(b)(6) allows a defendant to move to dismiss a complaint that fails to "state a claim upon which relief can be granted." Fed.R.Civ.P. 12(b)(6). When deciding a motion to dismiss under Rule 12(b)(6), the court accepts as true all factual allegations in the complaint and draws all inferences in favor of the plaintiff. Bielanski v. County of Kane, 550 F.3d 632, 633 (7th Cir. 2008). The complaint must contain a "short and plain statement of the claim showing that the pleader is entitled to relief." Fed.R.Civ.P. 8(a)(2). In Bell Atlantic Corp. v. Twombly, the Supreme Court explained that the complaint must allege facts that are "enough to raise a right to relief above the speculative level." Twombly, 550 U.S. 544, 555 (2007). Stated differently, the complaint must include "enough facts to state a claim to relief that is plausible on its face." Hecker v. Deere & Co., 556 F.3d 575, 580 (7th Cir. 2009) (internal citation and quotation marks omitted). To be facially plausible, the complaint must allow "the court to draw the reasonable inference that the defendant is liable for the misconduct alleged." Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009) (citing Twombly, 550 U.S. at 556).
Bridgepoint does not deny (at least for present purposes) that its representatives made calls to Jones for the purpose of selling its online education programs.
The recent cases cited by Bridgepoint in its two notices of supplemental authority are on point and illustrate why Jones' state law IDCSA claim must be dismissed. First, the applicable law, which was summarized by the district court in Davis v. Contactability.com:
Davis v. Contactability.com, LLC, 2017 WL 413290, at *2-3 (S.D. Ind. Jan. 31, 2017). The court then examined Davis' complaint and held as follows:
Id. at *3. The result was the same in Eha v. Bridgepoint Education, Inc., the case cited in Bridgepoint's second notice of supplemental authority, in which the court held as follows:
Eha v. Bridgepoint Education, Inc., 1:17-CV-96 (S.D. Ind. May 3, 2017), p. 3.
Bridgepoint is correct that Jones' IDCSA claim fails for the same reasons discussed in Davis and Eha, at least as it is currently presented in her Complaint. Jones makes the following relevant statements and assertions:
1) "Starting in approximately November 2015, Plaintiff started receiving phone calls from Defendant to her cellular phone[,]" that "continued . . . throughout 2016." Complaint, pp. 2-3.
2) Bridgepoint was "attempting to solicit [Jones] to attend Ashford[,]" even though she told them "that she was not interested . . . as she was already pursuing her degree in criminal justice through Ivy Tech Community College of Indiana." Id., p. 3.
3) Despite Jones' repeated requests to be removed from Bridgepoint's call list, "Defendant continued regularly calling Plaintiff's cellular phone for the purpose of soliciting her to further her education through Ashford." Id.
4) Jones changed her cell phone number but the calls continued on her new cellular phone line. Id.
5) That "[o]n or around September 13, 2016, Plaintiff received a call from a male representative of Defendant named Jacob" who promised to remove Jones' name from the company's call list but, according to Jones, never did so. Id., p. 4.
6) That "Defendant engaged in unfair, abusive and deceptive behavior in its transactions with Plaintiff. Through systematic harassment, Defendant used an ATDS to relentlessly contact Plaintiff. . . . Placing numerous calls within a short window was abusive to Plaintiff. Defendant intended to harass Plaintiff into submission by causing her phone to ring repeatedly. In violating the TCPA, Defendant engaged in illegal behavior during its solicitation towards Plaintiff. Defendant intended that Plaintiff rely on its illegal behavior." Id., p. 7.
These factual assertions are insufficient to state a claim under the IDCSA for two reasons. First, Jones' factual assertions, like those presented by the plaintiffs in Davis and Eha, constitute a complaint for harassing phone calls in violation of the TCPA but not a deceptive or fraudulent act in violation of the IDCSA. Just like Davis and Eha, Jones fails to even allege the "who, what, where, and when of the alleged fraud." She does not state any facts at all that demonstrate that she expressly relied, to her detriment, on any statements or representations made by Bridgepoint's phone solicitors. Not only that, but the only such assertion she makes in that regard is assumptive and conclusory. She claims that Bridgepoint "intended to harass Plaintiff into submission . . ." and "engaged in illegal behavior during its solicitation[s.]" (italics added). Jones cannot base a claim on her subjective belief about Bridgepoint's intent or her conclusory statement that its conduct was illegal. A plaintiff asserting a claim for an incurable deceptive act under the IDCSA must present facts to show what the fraudulent or deceptive act was, when and how it was committed, and how plaintiff relied on said deceptive act to her detriment. Jones' Complaint does none of that and must be dismissed as a result. See Lyons v. Leatt Corp., 2015 WL 7016469, at *4 (N.D. Ind. Nov. 10, 2015) ("Because an incurable deceptive act requires an intent to defraud, the Plaintiff must satisfy the heightened pleading requirements of Federal Rule of Civil Procedure 9(b)."); Jasper v. Abbott Labs, Inc., 834 F.Supp.2d 766, 773 (N.D. Ill. 2011) ("Without actual written notice . . . [plaintiff] may only recover . . . for an incurable deceptive act, which requires that she satisfy Rule 9(b)'s heightened pleading standard."). In the context of Rule 12(b)(6), Jones' allegations regarding her IDCSA claim fail "to raise a right to relief above the speculative level." Twombly, 550 U.S. at 555.
One final point. In both the Davis case and the Eha case the courts dismissed the plaintiffs' state law claim without prejudice and afforded the plaintiffs 14 days to file an amended complaint; if no amended complaint was forthcoming, the state law claim would be dismissed with prejudice. See Davis, 2017 WL 413290, at *3; Eha, p. 3. In Davis, the plaintiff did amend her complaint to re-plead her claim under the IDCSA, but the case settled a few days later. In Eha, the plaintiff did not attempt to amend her complaint and that case remains pending only on the plaintiff's federal TCPA claim. The Court also notes that in both Davis and Eha, the plaintiffs were represented by the same attorneys representing Jones in this case (and Bridgepoint's counsel defended the Davis case). This Court will do likewise and afford Jones an opportunity to amend her Complaint to state a claim under the IDCSA. If she chooses not to do so within 14 days of the date of this Opinion and Order her state claim will be dismissed with prejudice without further notice and this case will proceed only on Jones' federal TCPA claim. Lyons v. Leatt Corp., 2015 WL 7016469, at *4 (citing Foster v. DeLuca, 545 F.3d 582, 584 (7th Cir. 2008) ("District courts routinely do not terminate a case at the same time that they grant a motion to dismiss; rather, they generally dismiss claims without prejudice and give the plaintiff at least one opportunity to amend her complaint."); Barry Aviation Inc. v. Land O'Lakes Mun. Airport Comm'n, 377 F.3d 682, 687 (7th Cir. 2004) (stating that the general rule is that "the district court should grant leave to amend after granting a motion to dismiss")).
For the reasons discussed above, the Partial Motion to Dismiss Count Two of Plaintiff's Complaint filed by Defendant Bridgepoint Education, Inc. (DE 13) is