Opinion
Case No. 11-10108
05-31-2012
MARCIA M. AVIS, an individual and GERALDINE M. FOSNAUGH, an individual, Plaintiffs, v. DHAFIR DALALY, an individual, FIRST NATIONAL EXCHANGE CORP., INC., a Michigan Corporation, and FIRST INTERNATIONAL EXCHANGE GROUP, INC., a Michigan Corporation, Defendants.
HON. AVERN COHN
ORDER
DISMISSING WITHOUT PREJUDICE COUNTS II, III, V, VI, and VII
AND
DISMISSING COUNT IV
I.
This is a civil case. On May 1, 2012 and May 30, 2012, the Court held status conferences with the parties. This order memorializes the matters discussed at the conferences.
II.
The complaint (Doc. 1) contains seven (7) counts as follows:
Count I Violation of 18 U.S.C. § 1963(c)
Count II Claim and Delivery
Count III Reformation of Deeds, Land Contract, Mortgage and Assignment of Rents
Count IV Violation of the Truth in Lending Act Under 15 U.S.C. § 1535 and § 1640 for Rescission and Damages
Count V Violation of the Michigan Consumer Protection
Act, M.C.L. § 445.901
Count VI Fraud
Count VII Promissory Estoppel
Counts II, III, V, VI and VII are state-law claims. Although supplemental jurisdiction exists over state-law claims under 28 U.S.C. § 1367(a), the Court may decline to exercise supplemental jurisdiction if the state-law claim "substantially predominates over the claim or claims over which the district court has original jurisdiction," or if "there are other compelling reasons for declining jurisdiction." Id. § 1367(c)(2), (c)(4). Here, plaintiff's state-law claims substantially predominate over the federal claims over which the Court has original jurisdiction and would be more appropriately adjudicated by a state court. See § 1367(c) (1), (c)(4); Padilla v. City of Saginaw, 867 F. Supp. 1309, 1315 (E.D. Mich. 1994). Thus, the Court declines to exercise supplemental jurisdiction over plaintiff's state-law claims. Accordingly, Counts II, III, V, VI and VII are DISMISSED WITHOUT PREJUDICE. See 28 U.S.C. § 1367(c).
Count IV does not state a viable claim under 15 U.S.C. §§ 1535 and 1640. Accordingly, Count IV is DISMISSED. See Fed. R. Civ. P. 12(b)(6).
Count I, claiming a violation of 18 U.S.C. § 1963(c), is brought under the Racketeer Influenced and Corrupt Organizations Act (RICO), continues.
SO ORDERED.
______________________
AVERN COHN
UNITED STATES DISTRICT JUDGE
I hereby certify that a copy of the foregoing document was mailed to the attorneys of record on this date, May 31, 2012, by electronic and/or ordinary mail.
Julie Owens
Case Manager, (313) 234-5160