Lewis v. Old Navy

Background

Regina Lewis, proceeding without a lawyer, sued Synchrony Bank and Old Navy under the Fair Credit Reporting Act. She alleged that she made a $159.58 payment to her Old Navy account on August 2, 2021, but that the payment was misapplied. She also alleged that a second $100 payment made that day was posted to her Pandora account. Lewis claimed that Synchrony agreed to refund interest and late fees and correct negative credit reporting, but did not refund or properly reapply the payments. She sought $259.58 in actual damages.

Motion and Legal Standard

The defendants moved to dismiss the Second Amended Complaint under Federal Rule of Civil Procedure 12(b). The court focused on Rule 12(b)(1), which allows dismissal when the court lacks subject-matter jurisdiction. The court explained that a plaintiff must have standing to sue. Standing requires a concrete and particularized injury, a connection between that injury and the challenged conduct, and a likelihood that a court decision can remedy the injury.

Court’s Analysis

The court held that Lewis had not alleged a concrete injury caused by a violation of the Fair Credit Reporting Act. Even assuming the defendants failed to post or refund the $259.58, the court found that the resulting harm did not flow from the defendants’ alleged failure to comply with the Act. Instead, Lewis was seeking repayment of the money, which the court found had no connection to the alleged credit-reporting violations.

Because Lewis had not shown the required injury, the court concluded that she lacked standing and that the court lacked jurisdiction over her claims. The court therefore dismissed the Second Amended Complaint without prejudice. It stated that Lewis could file a Third Amended Complaint if she had a good-faith basis to allege a sufficiently concrete injury. The court granted her until November 25, 2024, to do so. The defendants’ motion to dismiss was GRANTED, and the Clerk was directed to terminate the motion and mail Lewis a copy of the opinion.

Disposition

The defendants’ motion to dismiss the Second Amended Complaint was GRANTED. The Second Amended Complaint was dismissed without prejudice for lack of subject-matter jurisdiction based on the absence of standing. Judge Nelson S. Roman also permitted Lewis to file a Third Amended Complaint by November 25, 2024; the order stated that failing to do so could result in the remaining claims being dismissed with prejudice.