X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

MEMORANDUM & ORDER In this putative class action, Plaintiff East 18th Management Corporation brings this action against Defendant CSC Service Works, Inc. alleging breach of the lease agreements entered into between the parties (Compl. (Dkt. 1).) Before the court is Defendant’s motion to dismiss for lack of subject matter jurisdiction pursuant to Federal Rule of Civil Procedure 12(b)(1), failure to state a claim upon which relief can be granted pursuant to Federal Rule of Civil Procedure 12(b)(6), or, in the alternative, to strike nationwide class allegations and inapplicable remedies pursuant to Federal Rules of Civil Procedure (12)(f) and 23(c)(1)(a). (See Def. Mot. to Dismiss (“Mot.”) (Dkt. 19).) For the reasons stated below, Defendant’s motion is GRANTED.I. BACKGROUNDThe court takes the following statement of facts largely from Plaintiff’s complaint, the well-pleaded allegations of which the court generally accepts as true for purposes of Defendants’ motion to dismiss. N.Y. Pet Welfare Ass’n v. City of New York, 850 F.3d 79, 86 (2d Cir. 2017).A. Defendant’s BusinessDefendant is the largest provider of coin-operated laundry machines to commercial and residential buildings in the United States. (Compl. 10.) Since its formation in 2013, Defendant has acquired “Mac-Gray Corporation (one of the nation’s largest laundry service providers operating in 44 states), Sparkle Solutions Corporation (Canada’s third largest laundry route operator), Continental Laundry Systems (Pittsburgh’s largest laundry route operator), Laundryland Route, Inc. (one of the largest laundry facility operators in the Midwest), and other entities.” (Id.

11-12.)Through its regular course of business, Defendant and its acquired companies have “entered into long-term, standardized lease agreements with multi-unit residential buildings, commercial entities, colleges, and universities.” (Id. 13.) Pursuant to these agreements, Defendant is granted exclusive use and possession of a laundry room and is permitted to place laundry equipment in such room. (Id.) In exchange, Defendant pays these entities an agreed-upon percentage of amounts collected from its laundry services after deducting any refunds paid to the building occupants and any taxes, fees, or other charges imposed on its equipment or laundry services. (Id.

 
Reprints & Licensing
Mentioned in a Law.com story?

License our industry-leading legal content to extend your thought leadership and build your brand.

More From ALM

With this subscription you will receive unlimited access to high quality, online, on-demand premium content from well-respected faculty in the legal industry. This is perfect for attorneys licensed in multiple jurisdictions or for attorneys that have fulfilled their CLE requirement but need to access resourceful information for their practice areas.
View Now
Our Team Account subscription service is for legal teams of four or more attorneys. Each attorney is granted unlimited access to high quality, on-demand premium content from well-respected faculty in the legal industry along with administrative access to easily manage CLE for the entire team.
View Now
Gain access to some of the most knowledgeable and experienced attorneys with our 2 bundle options! Our Compliance bundles are curated by CLE Counselors and include current legal topics and challenges within the industry. Our second option allows you to build your bundle and strategically select the content that pertains to your needs. Both options are priced the same.
View Now
December 02, 2024 - December 03, 2024
Scottsdale, AZ

Join the industry's top owners, investors, developers, brokers and financiers for the real estate healthcare event of the year!


Learn More
December 11, 2024
Las Vegas, NV

This event shines a spotlight on how individuals and firms are changing the investment advisory industry where it matters most.


Learn More
February 24, 2025 - February 26, 2025
Las Vegas, NV

This conference aims to help insurers and litigators better manage complex claims and litigation.


Learn More

We are seeking two attorneys with a minimum of two to three years of experience to join our prominent and thriving education law practice in...


Apply Now ›

Description: Fox Rothschild has an opening in the New York office for a Real Estate Litigation Associate with three to six years of commerci...


Apply Now ›

Downtown NY property and casualty defense law firm seeks a Litigation Associate with 3+ years' experience to become a part of our team! You ...


Apply Now ›