Ford Rangers and F-150S False Fuel Mileage Calculation Complaint
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Case 2:20-cv-12272-LJM-RSW ECF No. 1 filed 08/21/20 PageID.1 Page 1 of 160 UNITED STATES DISTRICT COURT EASTERN DISTRICT OF MICHIGAN SOUTHERN DIVISION RONALD CEREMELLO, RANDALL Case No. MAINGOT, GEORGE ANDREW RAYNE, ROBERT LOVELL, and SAMUEL HUFFMAN, individually and on JURY TRIAL DEMANDED behalf of all others similarly situated, Plaintiffs, v. FORD MOTOR COMPANY, a Delaware corporation Defendant. CLASS ACTION COMPLAINT AND DEMAND FOR JURY TRIAL Case 2:20-cv-12272-LJM-RSW ECF No. 1 filed 08/21/20 PageID.2 Page 2 of 160 TABLE OF CONTENTS Page INTRODUCTION ........................................................................................ 1 JURISDICTION ........................................................................................... 8 VENUE ......................................................................................................... 9 PARTIES .................................................................................................... 10 Plaintiffs ........................................................................................... 10 1. Arizona Plaintiff ..................................................................... 10 2. Florida Plaintiffs .................................................................... 11 3. Hawaii Plaintiff ...................................................................... 13 4. Massachusetts Plaintiff .......................................................... 15 5. Oregon Plaintiff ...................................................................... 17 Defendant ......................................................................................... 19 1. Ford Motor Company ............................................................ 19 FACTUAL ALLEGATIONS ..................................................................... 20 Coastdown testing ............................................................................ 20 The coastdown results are used to create fuel economy information posted on vehicles’ windows and used in advertising. ....................................................................................... 22 Ford admits improper coastdown testing on the 2019 Ranger............................................................................................... 28 CAFE standards provide manufacturers with credits for low emissions. ......................................................................................... 31 Criminal investigation ...................................................................... 37 Mechanism of coastdown cheating .................................................. 38 F-150 and Ranger test results ........................................................... 42 - i - Case 2:20-cv-12272-LJM-RSW ECF No. 1 filed 08/21/20 PageID.3 Page 3 of 160 Ford’s History of Cheating ............................................................... 52 Ford advertising for the Ranger emphasizes fuel economy. ............ 53 Ford promotes the F-150 as best in class for fuel economy or publishes MPG estimates to beat its competition. ........................... 54 Economic harm ................................................................................. 63 TOLLING OF THE STATUTE OF LIMITATIONS ................................ 63 Discovery rule tolling ....................................................................... 63 Fraudulent concealment tolling ........................................................ 64 Estoppel ............................................................................................ 64 CLASS DEFINITIONS .............................................................................. 65 CLASS ALLEGATIONS ........................................................................... 70 Claims brought on behalf of the Arizona Subclass .......................... 70 COUNT 1 VIOLATION OF THE ARIZONA CONSUMER FRAUD ACT (ARIZONA REV. STAT. § 44-1521 ET SEQ.) ................................ 70 COUNT 2 BREACH OF CONTRACT (BASED ON ARIZONA LAW) .......... 74 COUNT 3 BREACH OF EXPRESS WARRANTY (ARIZ. REV. STAT. § 47-2313, ET SEQ.) ................................................................................... 75 COUNT 4 FRAUDULENT CONCEALMENT (BASED ON ARIZONA LAW) .......................................................................................................... 78 COUNT 5 .............................................................................................................. 84 NEGLIGENT MISREPRESENTATION ............................................................. 84 COUNT 6 UNJUST ENRICHMENT ................................................................... 85 Claims Brought on Behalf of the Florida Subclass .......................... 85 COUNT 7 VIOLATIONS OF THE FLORIDA UNFAIR AND DECEPTIVE TRADE PRACTICES ACT (FLA. STAT. § 501.201 ET SEQ.) ..................................................................................................... 85 COUNT 8 BREACH OF CONTRACT (BASED ON FLORIDA LAW) .......... 89 - ii - Case 2:20-cv-12272-LJM-RSW ECF No. 1 filed 08/21/20 PageID.4 Page 4 of 160 COUNT 9 BREACH OF EXPRESS WARRANTY (FLA. STAT. § 672.313) ...................................................................................................... 91 COUNT 10 FRAUDULENT CONCEALMENT (BASED ON FLORIDA LAW) .......................................................................................................... 93 COUNT 11 ............................................................................................................ 99 NEGLIGENT MISREPRESENTATION ............................................................. 99 COUNT 12 UNJUST ENRICHMENT ............................................................... 100 Claims brought on behalf of the Hawaii Subclass ......................... 101 COUNT 13 VIOLATION OF THE HAWAII ACT § 480-2(A) (HAW. REV. STAT. § 480 ET SEQ.) ................................................................... 101 COUNT 14 BREACH OF CONTRACT (BASED ON HAWAII LAW) ......... 105 COUNT 15 BREACH OF EXPRESS WARRANTY (HI REV. STAT. §§ 490:2-313 & 490:2A-519) ........................................................................ 106 COUNT 16 FRAUDULENT CONCEALMENT (BASED ON HAWAII LAW) ........................................................................................................ 109 COUNT 17 .......................................................................................................... 115 NEGLIGENT MISREPRESENTATION ........................................................... 115 COUNT 18 UNJUST ENRICHMENT ............................................................... 115 Claims brought on behalf of the Massachusetts Subclass ............. 116 COUNT 19 VIOLATION OF THE MASSACHUSETTS GENERAL LAW CHAPTER 93(A) (MASS. GEN. LAWS CH. 93A, § 1, ET SEQ.) ................................................................................................... 116 COUNT 20 BREACH OF CONTRACT (BASED ON MASSACHUSETTS LAW) ..................................................................... 120 COUNT 21 BREACH OF EXPRESS WARRANTY (MASS. GEN. LAWS CH. 106, § 2-313) ......................................................................... 122 COUNT 22 FRAUDULENT CONCEALMENT (BASED ON MASSACHUSETTS LAW) ..................................................................... 126 COUNT 23 .......................................................................................................... 132 - iii - Case 2:20-cv-12272-LJM-RSW ECF No. 1 filed 08/21/20 PageID.5 Page 5 of 160 NEGLIGENT MISREPRESENTATION ........................................................... 132 COUNT 24 UNJUST ENRICHMENT ............................................................... 132 Claims Brought on Behalf of the Oregon Subclass ....................... 133 COUNT 25 VIOLATION OF THE OREGON UNLAWFUL TRADE PRACTICES ACT (OR. REV. STAT. § 646.605 ET SEQ.) ................... 133 COUNT 26 BREACH OF CONTRACT (BASED ON OREGON LAW) ....... 137 COUNT 27 BREACH OF EXPRESS WARRANTY (OR. REV. STAT. § 72.3130) .................................................................................................... 139 COUNT 28 FRAUDULENT CONCEALMENT (BASED ON OREGON LAW) ........................................................................................................ 142 COUNT 29 .......................................................................................................... 147 NEGLIGENT MISREPRESENTATION ........................................................... 147 COUNT 30 UNJUST ENRICHMENT ............................................................... 148 Claims Brought on Behalf of the Nationwide Class ...................... 149 COUNT 31 VIOLATION OF THE MAGNUSSON-MOSS WARRANTY ACT (15 U.S.C. §§ 2301 ET SEQ.) ................................. 149 COUNT 32 FRAUD ........................................................................................... 152 REQUEST FOR RELIEF ................................................................................... 153 DEMAND FOR JURY TRIAL .......................................................................... 155 - iv - Case 2:20-cv-12272-LJM-RSW ECF No. 1 filed 08/21/20 PageID.6 Page 6 of 160 The allegations herein are based on Plaintiffs Ronald Ceremello, Randall Maingot, George Andrew Rayne, Robert Lovel, and Samuel Huffman’s (“Plaintiffs”) personal knowledge and allege the following based upon the investigation of counsel, the review of scientific papers, and the proprietary investigation of experts. INTRODUCTION