Orozco v. Ford Motor Company
- Kang
- 3:23-cv-03673
- U.S. District Court · Northern District of California
- 3
In Orozco v. Ford Motor Company, Judge Kang granted Orozco’s request for judgment under Rule 68 after he accepted Ford’s $145,000 offer.
Luis Orozco and Ford Motor Company. The order entered judgment for Orozco under Ford’s accepted Rule 68 offer, including the offer’s $145,000 payment and vehicle-surrender terms, and terminated the case from the court’s docket.
What happened
Orozco v. Ford Motor Company began with Luis Orozco’s claims under California’s Song-Beverly Consumer Warranty Act, along with claims involving an implied warranty and alleged fraudulent concealment. Ford removed the case to federal court, and the parties agreed to proceed before a magistrate judge.
Ford offered to pay Orozco $145,000 for the vehicle in exchange for surrendering it and settling his claims. The offer also allowed Orozco to seek reasonable costs, expenses, and attorneys’ fees if the parties could not resolve those issues. Orozco accepted the offer in writing.
Judge Peter H. Kang granted Orozco’s request to enter judgment under Federal Rule of Civil Procedure 68. The court directed the clerk to enter judgment for Orozco under the accepted offer, canceled the scheduled status conference, and directed the clerk to terminate the case from the docket.
The detailed version
- Orozco v. Ford Motor Company · No. 3:23-cv-03673
- Kang
- Mar. 12, 2024
Background
Luis Orozco sued Ford Motor Company in California state court on December 28, 2022. The opinion says he asserted claims under the Song-Beverly Consumer Warranty Act, as well as claims for breach of the implied warranty of merchantability and fraudulent inducement by concealment. Ford removed the case to federal court under federal diversity-jurisdiction and removal statutes. The parties consented to proceed before a magistrate judge for all purposes, including entry of final judgment.
Rule 68 Offer and Acceptance
On January 25, 2024, Ford served Orozco with an offer of judgment under Federal Rule of Civil Procedure 68. The summarized terms required Orozco to surrender the vehicle to Ford, required Ford to pay Orozco $145,000 for the vehicle to settle all of his claims, and allowed Orozco to seek reasonable costs, expenses, and attorneys’ fees through a properly noticed motion if the parties could not resolve those issues.
Orozco accepted the offer in writing on February 8, 2024. He then requested entry of judgment. The court noted that Ford did not file an opposition and found that Ford had complied with the requirements for making the offer and that Orozco had complied with the requirements for accepting it.
Ruling and Disposition
Judge Peter H. Kang granted Orozco’s request for entry of judgment under Rule 68. The court directed the clerk to enter judgment in Orozco’s favor and against Ford under the accepted offer dated January 25, 2024. The court also vacated the March 15, 2024 status conference and directed the clerk to terminate the case from the court’s docket. The opinion does not separately decide the underlying warranty or fraud claims on their merits; judgment was entered under the parties’ accepted offer.
Read the full 3-page opinion on CourtListener, the free public archive maintained by the Free Law Project.