Arora v. Buckhead Family Dentistry, Inc.
Arora v. Buckhead Family Dentistry, Inc.
Opinion of the Court
This matter is before the Court on Cigna Health and Life Insurance Company's renewed motion to dismiss, Dkt. 33, and the Court's Order to Show Cause why this case should not be transferred to the U.S. District Court for the Northern District of Georgia, Dkt. 37. For the reasons that follow, the Court will GRANT Cigna's motion to dismiss and will ORDER that the remainder of the action be transferred to the U.S. District Court for the Northern District of Georgia pursuant to
I. BACKGROUND
The Court recounted the facts giving rise to this dispute in its prior opinion, see *194Arora v. Buckhead Family Dentistry, Inc. ,
While living in Atlanta, Georgia in 2013, Plaintiff Sanjay Arora sought treatment for a cracked tooth from Dr. Travis Paige of Buckhead Family Dentistry. Dkt. 6 at 4-5 (Am. Compl. ¶ 15). Dr. Paige installed a permanent crown, which was manufactured by Global Dental Solutions LLC. Id. at 9 (Am. Compl. ¶ 48). The procedure was covered by Cigna Health and Life Insurance Company, Arora's dental insurance provider at the time. Id. at 4 (Am. Compl. ¶ 12). Soon afterwards, Arora began to experience intense discomfort and pain in the area surrounding the crown. Id. at 5-6 (Am. Compl. ¶¶ 22-24). The crown, it turned out, was not the "high noble metal crown" for which Arora and Cigna paid. Id. at 5, 7-8 (Am. Compl. ¶¶ 17, 36, 41). Instead, according to the invoice Global sent Buckhead Family Dentistry, Arora received a non-noble crown of lower quality. Id. at 8-9 (Am. Compl. ¶¶ 47-48).
Arora "demand[ed] a full refund" of his portion of the dentist's fee (presumably, his co-payment) from Cigna so that he could have the crown replaced. Id. at 7 (Am. Compl. ¶ 39). In a letter dated July 10, 2014, Cigna described the procedure at issue as receipt of a "high noble metal crown on tooth # 30." Id. at 8 (Am. Compl. ¶ 41). In addressing Arora's complaints, Cigna stated that it "investigate[s] and take[s] appropriate action on all quality of care concerns," id. at 7 (Am. Compl. ¶ 40), and acknowledged its "continuing effort to provide quality of care and service," id. at 9 (Am. Compl. ¶ 49). It declined, however, to refund to Arora the "applicable patient copay[.]" Id. (Am. Compl. ¶ 41). Meanwhile, Arora switched dentists and had the crown removed. Id. (Am. Compl. ¶ 45). He eventually moved to the District of Columbia. Id. at 3 (Am. Compl. ¶ 8).
Proceeding pro se , Arora brought this diversity action against (1) Dr. Paige and Buckhead Family Dentistry (collectively, "Buckhead"); (2) Global Dental Solutions, LLC, and Global's President, Brad Abramson (collectively, "Global"); and (3) Cigna. As relevant here, the amended complaint asserts claims for breach of fiduciary duty and negligent misrepresentation against Cigna, as well as a conspiracy claim against Cigna, Dr. Paige, and Buckhead. Id. at 20-23, 26-27 (Am. Compl. ¶¶ 115-36, 155-60).
Buckhead, Global, and Cigna each moved to dismiss, Dkt. 7; Dkt. 11; Dkt. 18; Dkt. 33, and Arora responded to all three motions,
Each defendant opposed transfer on the ground that Arora's claims lack merit and that transfer, therefore, would be futile. See Dkt. 38 at 2-3; Dkt. 39 at 2; Dkt. 40 at 4. Arora, concerned about potential statute of limitations difficulties, requested transfer. Dkt. 41 at 6-7. He also filed a purported proof of service indicating that he had served "Cigna's Legal Department" and "Cigna's Attorney o[f] Record." Dkt. 42 at 1. Because Cigna had previously requested that the Court consider the merits of its previously-filed motion to dismiss "if [Arora] file[d] proof of service," Dkt. 40 at 3, the Court asked Cigna to clarify whether it intended to contest service and, if not, whether the Court should treat its motion to dismiss as renewed, Minute Order (Aug. 10, 2017). Cigna, in response, waived any objection to service and renewed its earlier motion to dismiss for failure to state a claim. Dkt. 43 at 1-2. Arora filed a supplemental opposition. Dkt. 46.
II. LEGAL STANDARD
To survive a motion to dismiss under Rule 12(b)(6), a complaint "must contain sufficient factual matter, accepted as true, to 'state a claim to relief that is plausible on its face.' " Iqbal ,
III. ANALYSIS
A. Cigna's Motion To Dismiss
1. Choice of Law
Because Arora has brought a diversity action, the Court "must apply the choice-of-law rules of the forum state-here, the District of Columbia." In re APA Assessment Fee Litig. ,
*196Applying these factors, Cigna argues that "the substantive law of Georgia applies" because "the alleged injury, the alleged conduct that caused the injury, and the relationship between the parties all occurred in Georgia." Dkt. 33 at 12. Arora has not raised any objection to the application of Georgia law. The Court agrees with Cigna that the substantive law of Georgia governs this action because, by any measure, Georgia has "the most significant relationship" to the dispute. In addition to the considerations Cigna has identified, both Buckhead and Global are based in Atlanta, Georgia. Dkt. 6 at 3 (Am. Compl. ¶¶ 9, 11). The only conceivable basis for applying D.C. substantive law is the fact that Arora eventually moved to the District of Columbia. See
2. Breach of Fiduciary Duty Claim
The amended complaint alleges that Cigna breached its fiduciary duty to Arora because Cigna (1) "knew or should have known that Arora was (fraudulently) charged for a higher quality, more expensive crown," (2) "failed to do additional due diligence on [Buckhead] even after Cigna became aware of ... fraud and overbilling by [Buckhead]," and (3) "continued to include [Buckhead] in Cigna's vetted and approved network of dentists." Dkt. 6 at 20 (Am. Compl. ¶¶ 117-19). Cigna, in turn, contends that these allegations fail as a matter of law because, under Georgia law, "[i]t is well settled that there is no fiduciary relationship between the insured and the insurer or the insurer's agent." Dkt. 33 at 13 (quoting Nash v. Ohio Nat'l Life Ins. Co. ,
Arora counters with two arguments, neither of which is persuasive. First, he maintains that an insurance company owes a fiduciary duty to an insured when the insured has "retain[ed] [the] insurance company as part of an employer[-]sponsored plan governed" by the Employee Retirement Income Security Act of 1974 ("ERISA") and the insurer "exercises discretion" in administering the plan. Dkt. 24 at 17. But the amended complaint does not allege that Arora's dental insurance plan was subject to ERISA. See Dkt. 6 at 4 (Am. Compl. ¶ 12) (asserting only that Cigna "was Arora's dental insurance carrier in 2012 and 2014"). And, if the plan did fall within ERISA's scope, Arora's state law claim for breach of fiduciary duty might well be preempted. See
Second, Arora asserts that Cigna created a "self-imposed fiduciary duty," Dkt. 24 at 10, because its website states that it "do[es] what is right for ... customers,"
*197See Fed. R. Civ. P. 12(d). For both of these reasons, the Court can discern no basis to deviate from Georgia's rule that "[g]enerally, no fiduciary relationship exists between an insured and his or her insurer." Willis ,
Accordingly, the Court will dismiss Arora's breach of fiduciary duty claim against Cigna.
3. Negligent Misrepresentation Claim
To state a claim for negligent misrepresentation under Georgia law, Arora must allege (1) that Cigna negligently (and foreseeably) supplied him with false information; (2) that he reasonably relied upon that false information; and (3) that as a proximate result of that reliance, he sustained an economic injury. See Hardaway Co. v. Parsons, Brinckerhoff, Quade & Douglas, Inc. ,
Cigna argues that the amended complaint fails on each element of negligent misrepresentation. According to Cigna: (1) Arora's "claims regarding Cigna's knowledge of [Buckhead's] activities" are unsubstantiated and conclusory; (2) Arora fails to state "why [his] reliance was justified;" and (3) any allegations concerning Cigna's conduct after Arora's injury "could not have contributed to [that] injury." Dkt. 33 at 14-16. Arora, for his part, does not join issue with any of these contentions but, instead, merely asserts-in a conclusory fashion-that "Cigna neglected and failed to properly audit [Buckhead] and disclose pertinent, accurate, and critical information related to Arora's quality of health care." Dkt. 24 at 18; see Dkt. 46 (same).
Although the Court does not agree with all of Cigna's contentions, it does agree that the complaint lacks sufficient "factual content [to] allow[ ] the [C]ourt to draw the reasonable inference that [Cigna] is liable for the misconduct alleged." Iqbal ,
The Court will, accordingly, dismiss Arora's claim for negligent misrepresentation for failure to state a claim.
4. Conspiracy Claim
Finally, Arora alleges that Cigna, Dr. Paige, and Buckhead Family Dentistry conspired to commit fraud. A conspiracy "is a combination of two or more persons to accomplish an unlawful end." Dyer v. Honea ,
Arora accuses Cigna, Dr. Paige, and Buckhead Family Dentistry of conspiring "to conceal [the] fraudulent substitution" of the "higher quality crown" that Arora was "promised" with a "lower quality crown." Dkt. 6 at 27 (Am. Compl. ¶ 157). According to the amended complaint, Cigna "knew or should have known" of the substitution yet "intentional[ly]" concealed it in two ways. Id. at 27 (Am. Compl. ¶¶ 157-58). First, Cigna "document[ed]" that he received a higher-quality crown in connection with his claim for a refund. Id. at 7-8 (Am. Compl. ¶¶ 39-41); see Dkt. 24 at 19 ("Cigna ... confirmed that [Arora] was invoiced for a [h]igher [q]uality [c]rown ...."). Second, Cigna knew of Buckhead's fraudulent substitution but "continued" to represent that Dr. Paige and Buckhead Family Dentistry were "qualified and duly vetted dental professionals" by including them on its "list of approved" dentists. Dkt. 24 at 18.
Again, Arora fails to allege any specific facts that would permit the Court "to draw the reasonable inference that" Cigna made any intentional or negligent misrepresentations to him, which he relied upon to his detriment. He fails to allege any facts even suggesting that Cigna had reason to believe that Dr. Paige and Buckhead Family Dentistry would provide him with an inferior-quality crown, while charging him and Cigna for a more expensive crown. He fails to allege any facts even suggesting that Cigna later became aware of any such wrongdoing and took steps to mislead him about it. And, he fails to allege any facts even suggesting that Cigna was operating in cahoots with Dr. Paige and Buckhead Family Dentistry or that it helped to perpetrate or to conceal their purported misconduct.
Arora's failure to allege any facts that would support the inference that Cigna conspired with others to defraud him must also be understood in light of Rule 9(b), which requires that a party alleging fraud "must state with particularity the circumstances constituting fraud." Fed. R. Civ. P. 9(b). A claim alleging conspiracy to commit fraud-no less than a claim alleging fraud alone-implicates the heightened pleading standards of Rule 9(b). See Geier v. Conway, Homer & Chin-Caplan, P.C. ,
The Court will, therefore, dismiss Arora's conspiracy claim against Cigna under Rules 12(b)(6) and 9(b).
B. Transfer
The Court previously determined that it lacked personal jurisdiction over Global, Abramson, Buckhead, and Dr. Paige and directed that the parties address whether this action should be transferred to the U.S. District Court for the Northern District of Georgia pursuant to
In enacting
*199confused about the proper forum for review" and file suit in the wrong place. Am. Beef Packers, Inc. v. ICC ,
Whenever a civil action is filed in a court ... and that court finds that there is a want of jurisdiction, the court shall, if it is in the interest of justice, transfer such action ... to any other such court in which the action ... could have been brought at the time it was filed ....
The Court has already concluded that it lacks personal jurisdiction over Global, Abramson, Buckhead, and Dr. Paige. See Arora ,
"When a plaintiff invokes federal-court jurisdiction, the plaintiff's amount-in-controversy allegation is accepted if made in good faith." Dart Cherokee Basin Operating Co. v. Owens , --- U.S. ----,
Finally, the Court concludes that transfer to the Northern District of Georgia would serve the interest of justice. As a pro se plaintiff, Arora is precisely the type of litigant Congress aimed to assist in enacting § 1631. Courts have concluded that transfer is warranted when "the original action was misfiled by a pro se plaintiff." Janvey ,
Defendants focus their argument against transfer on the principal exception to this final point: where a case plainly lacks merit, transfer would do little to assist the plaintiff and would impose unnecessary burdens on the defendants. As the Court of Appeals for the Seventh Circuit has put it, "there is no reason to raise false hopes and waste judicial resources by transferring a case that is clearly doomed." Phillips v. Seiter ,
Defendants have failed to meet that burden-or, indeed, to show that Arora is unlikely to prevail. Although a number of his claims are questionable, at base he alleges that he received negligent dental care and that he was fraudulently charged for a more expensive crown than he actually received. There is nothing novel about either claim, and the Court cannot conclude based on what is now before it whether Arora is likely to prevail. The interests of justice would be served, however, by providing him with the opportunity to try.
The Court will, accordingly, order that the case be transferred to the U.S. District Court for the Northern District of Georgia, where the remaining defendants will be free to raise their defenses.
CONCLUSION
For the foregoing reasons, it is hereby ORDERED that Cigna's renewed motion to dismiss, Dkt. 33, is GRANTED ; and it is further
ORDERED that Cigna is DISMISSED as a defendant in this action; and it is further
ORDERED that Cigna's motion to rule on its renewed motion to dismiss, Dkt. 45, is DENIED as moot; and it is further
ORDERED that this case be TRANSFERRED to the U.S. District Court for the Northern District of Georgia pursuant to
SO ORDERED .
After Arora filed his opposition to Cigna's motion, Cigna submitted a corrected motion to dismiss and reply, Dkt. 33; Dkt. 34, making non-substantive edits. See Dkt. 28 at 3.
For the same reason, the Court will not consider the additional evidence attached to Arora's opposition. See Dkt. 24 at 22-53.
Reference
- Full Case Name
- Sanjay ARORA v. BUCKHEAD FAMILY DENTISTRY, INC.
- Cited By
- 3 cases
- Status
- Published