Finnegan v. Wework Inc.

Background

Sean Matthew Finnegan, representing himself and proceeding without prepaying filing fees, sued WeWork, Inc. He invoked the False Claims Act, 31 U.S.C. § 3729, and 41 U.S.C. §§ 6503 and 6509, which concern certain government contracts.

Finnegan alleged that WeWork had breached contracts and agreements, harassed and stalked him, sexually harassed him, unlawfully evicted him, made up stories and lies, and terminated his employment. He also alleged that WeWork security guards threatened, abused, assisted, and harassed him. He claimed that WeWork’s actions caused catastrophic personal and professional damage and that he had been hospitalized numerous times. He sought damages and an injunction preventing WeWork from restricting his access to its locations.

Court’s analysis

Because Finnegan was proceeding without prepaying fees, the court screened the complaint under 28 U.S.C. § 1915(e)(2)(B). That law requires dismissal of a complaint that is frivolous, malicious, fails to state a claim on which relief can be granted, or seeks money from an immune defendant. The court also noted that it must dismiss a case when it lacks subject-matter jurisdiction.

The court dismissed Finnegan’s False Claims Act claims without prejudice. It explained that the False Claims Act allows a private person to sue on behalf of the United States in a type of case called a qui tam action, but a private person cannot bring such an action without a lawyer.

The court also dismissed Finnegan’s claims under 41 U.S.C. §§ 6503 and 6509 for failure to state a claim. Finnegan had not alleged facts showing that his dispute with WeWork involved a government contract. The court therefore dismissed the complaint in its entirety.

Disposition

The court granted Finnegan 30 days to file an amended complaint because it was not clear whether he intended to allege an unlawful employment action or an interaction with a WeWork security guard that violated federal law. The court concluded that amendment was not clearly futile. It directed the Clerk of Court not to enter judgment and to keep the matter open for 30 days while Finnegan had the opportunity to amend. The order stated that if he did not comply and could not show good cause for the failure, the complaint would be dismissed for failure to state a claim.

The court certified that any appeal would not be taken in good faith and denied permission to appeal without prepaying fees. The order did not decide the merits of any potential amended claims.