Valdovinos

FACTS AND PROCEDURAL BACKGROUND

I. Facts

A. Plaintiff buys a 2014 Kia Optima On May 10, 2014, Luis Valdovinos (plaintiff) purchased a new 2014 Kia Optima with just 19 miles on it. The sales contract listed the “Total Sale Price” as $30,127, which included (1) $299 for an “(Optional) Theft Deterrence Device” paid to a third-party company called Security Etch, and (2) $2,298 for an “(Optional) Service Contract” paid to a third- party company called American Financial. Plaintiff made a down

3 payment of $8,000 in cash and received a $2,000 “Manufacturer’s Rebate”; he financed the remaining balance of $19,171. Plaintiff purchased the vehicle from Kia of Cerritos, which is a franchise Kia dealership not owned by Kia Motors America, Inc. (Kia).2 Kia is a distributor of Kia vehicles. Plaintiff’s Optima had a basic warranty that expired after five years or 60,000 miles, and a drive train warranty that expired after 10 years or 100,000 miles. B. Plaintiff starts having problems with his Optima 1. August 5, 2014 visit In early August 2014, plaintiff had his Optima towed to Kia of Cerritos, and reported that the vehicle would not “go into reverse [gear] intermittently.” The…