OPINION AND ORDER Plaintiff Rose Leaf Cleaning Inc. (“Plaintiff,” or “Rose Leaf”) brings this action against Sonder Hospitality USA Inc. (“Defendant,” or “Sonder”) for breach of contract, breach of the implied covenant of good faith and fair dealing, fraud in the inducement, and tortious interference. See ECF No. 28 (Am. Compl.). Before the Court is Defendant’s motion to dismiss the Amended Complaint pursuant to Federal Rule of Civil Procedure 12(b)(6). See ECF No. 42. For the reasons set forth below, Defendant’s motion is GRANTED, and the Amended Complaint is DISMISSED without prejudice. I. BACKGROUND A. Factual Background1 Rose Leaf “is a New York corporation that…provide[s] staffed housekeeping services to commercial enterprises.” Am. Compl. 11. At all times relevant to this matter, Stephen Rosenblatt (“Rosenblatt”) managed Rose Leaf, while Michael Fishman (“Fishman”) functioned as its Chief Executive Officer and Chief Operating Officer. Id. 14. Sonder is a “venture capital-backed hospitality startup….[that] leases apartments and converts them into furnished, short-term rentals.” Id.
15-16. In 2019, Rose Leaf began providing services to Sonder pursuant to a written service agreement dated March 4, 2019. Id. 20. Thereafter, “[b]etween March of 2019 and March of 2020, the parties jointly experienced significant growth in their business relationship based on the excellent service of Rose Leaf.” Id. 25. “By way of example, Rose Leaf went from providing services for six units in 2019 to over 120-150 units daily in March of 2020.” Id. 26. Rose Leaf alleges that, “[b]ecause of [its] consistently excellent performance, the parties agreed that Rose Leaf’s rate would increase 7 percent.” Id. 27. In March 2020, however, “[d]ue to the impact of COVID-19 on business, Sonder requested rate reductions and added staffing requests from Rose Leaf that altered the terms of the original service agreement.” Id. 29. Rose Leaf “agreed to a reduction by 7 percent in its rate for Sonder.” Id. 30. On April 7, 2020, the parties executed the Housekeeping Services Agreement (the “2020 Agreement”), which amended their original agreement. Id. 21. The 2020 Agreement was to expire on December 31, 2021. Id. Rose Leaf alleges that, on numerous occasions beginning in 2021, Sonder’s representatives — namely, Senior Program Manager of Housekeeping Myron Washington (“Washington”), General Manager Greg Klein (“Klein”), Senior Operations Manager Michael Keith (“Keith”), and Michael Lidh (“Lidh”) — made numerous “misrepresentations of present fact” to Rosenblatt and Fishman. Id.
