SAUNDRA BROWN ARMSTRONG, District Judge.
The parties are presently before the Court on Defendant Attune Food, Inc.'s ("Attune") motion to dismiss the first amended complaint ("FAC"). Dkt. 25. Plaintiffs Mary Swearingen and Robert Figy (collectively, "Plaintiffs") oppose the motion. Dkt. 30. Having read and considered the papers filed in connection with this matter and being fully informed, the Court hereby GRANTS Attune's motion, for the reasons stated below. The Court, in its discretion, finds these matters suitable for resolution without oral argument.
Plaintiffs bring the instant putative consumer class action against Attune alleging various claims predicated on Attune's unlawful sale of "misbranded" food products. Attune is a food manufacturer that uses the term "Organic Evaporated Cane Juice" or "Evaporated Cane Juice" or "Cane Juice Evaporated" ("ECJ") on the label of its food products, including its Dark Chocolate Probiotic Bar, Milk Chocolate Crisp Probiotic Bar, Mint Chocolate Probiotic Bar, Erewhon Cocoa Crispy Brown Rice Cereal, Erewhon Strawberry Crisp Cereal, and Uncle Sam's Strawberry Cereal. Plaintiffs allege that Attune's use of the term ECJ on the label of its food products violates Food and Drug Administration ("FDA") regulations because ECJ is not the "common or usual name"
Plaintiffs assert that Attune's "misbranding" of its food products violates numerous federal regulations and California statutes, including, among others, California's Unfair Competition Law, the Consumers Legal Remedies Act, and California's Sherman Law which adopts, incorporates, and is, in all relevant aspects, identical to the federal Food Drug & Cosmetic Act and the regulations adopted pursuant to that Act. Plaintiffs also assert that Attune's conduct is contrary to FDA policy and guidance. According to Plaintiffs, Attune unlawfully deprived consumers of the money they paid to purchase Attune's "illegal" misbranded food products while simultaneously exposing them to potential legal risk by virtue of their possession of such products.
Pursuant to Rule 201 of the Federal Rules of Evidence, Attune requests the Court take judicial notice of the FDA-issued "Notice; reopening of comment period; request for comments, data, and information" for the draft guidance for industry entitled "Ingredients Declared as Evaporated Cane Juice" ("2014 FDA Notice"). Dkt. 32. This document is located in the Federal Register at 79 Fed. Reg. 12507-12508.
Under Rule 201, "[t]he court may judicially notice a fact that is not subject to reasonable dispute because it: (1) is generally known within the trial court's territorial jurisdiction; or (2) can be accurately and readily determined from sources whose accuracy cannot reasonably be questioned." Fed.R.Evid. 201(b). Courts make take judicial notice of undisputed matters of public record.
In the instant motion, Attune moves to dismiss the FAC on various grounds, including the primary jurisdiction doctrine. Attune contends that dismissal is appropriate under this doctrine because Congress has vested the FDA with the authority to interpret and enforce food labeling regulations and the FDA has yet to establish a final rule with respect to whether ECJ may be properly used on food labels. According to Attune, dismissal is particularly appropriate where, as here, the FDA has initiated, but not concluded, a process to consider the propriety of use of the term ECJ on food labels.
"The primary jurisdiction doctrine allows courts to stay proceedings or to dismiss a complaint without prejudice pending the resolution of an issue within the special competence of an administrative agency."
"Although the question is a matter for the court's discretion, courts in considering the issue have traditionally employed such factors as (1) the need to resolve an issue that (2) has been placed by Congress within the jurisdiction of an administrative body having regulatory authority (3) pursuant to a statute that subjects an industry or activity to a comprehensive regulatory authority that (4) requires expertise or uniformity in administration."
Primary jurisdiction may be invoked when an agency is addressing an issue through formal rulemaking procedures, as well as through adjudicative procedures.
In response to the instant motion, Plaintiffs contend that the primary jurisdiction doctrine does not apply because the FDA has consistently considered the use of the term ECJ to be unlawful and the FDA has never indicated that it is considering changing its position. Plaintiffs also argue that the FDA's 2009 draft guidance regarding "Ingredients Declared as Evaporated Cane Juice" does not permit the use of the term ECJ and nothing in the draft guidance suggests or implies that the FDA would ever permit the use of the term ECJ. Further, although Plaintiffs acknowledge that the FDA recently reopened the comment period for draft guidance on the use of the term ECJ and do not dispute that the FDA seeks comments, data and information on issues that directly relate to the substance of their claims, they nevertheless argue that dismissal of this action is inappropriate under the primary jurisdiction doctrine because it is unclear when or if the FDA will conclusively resolve this issue. The Court disagrees.
On March 5, 2014, the FDA issued a notice in the Federal Register (i.e., the 2014 FDA Notice) reopening the comment period for draft guidance on the use of the term ECJ, requesting comments, data, and information from the public.
79 Fed. Reg. 12507. It further states that "[a]fter reviewing the comments received, [the FDA] intends to revise the draft guidance, if appropriate, and issue it in final form. . . ."
Following the FDA's issuance of this notice, several courts within this district have dismissed or stayed similar suits under the primary jurisdiction doctrine.
For the reasons stated above, IT IS HEREBY ORDERED THAT:
1. Attune's motion to dismiss is GRANTED without prejudice.
2. The Clerk shall close the file and terminate all pending matters.