Steven Draeger v. Transamerica Life Insurance Company

I. INTRODUCTION AND BACKGROUND

The Court previously set out the factual and procedural background of this case in its March 23, 2020 order. See Dkt. 29 (“MTD Order’). For that reason, the Court only sets forth those facts necessary to resolve Transamerica’s motion to dismiss. Plaintiffs Steven and Dara Draeger filed this action against defendant Transamerica Life Insurance Company (“Transamerica”) on July 19, 2019, challenging Transamerica’s Monthly Deduction Rate (“MDR”) increases. Dkt. 1. On March 23, 2020, the Court granted in part and denied in part Transamerica’s motion to dismiss plaintiffs’ first amended complaint. See MTD Order. The Court denied Transamerica’s motion to dismiss plaintiffs’ claims for breach of contract, intentional misrepresentation and concealment, negligent misrepresentation, and violation of California’s Unfair Competition Law (“UCL”). See Id. at 21. The Court dismissed, however, plaintiffs’ claim for tortious breach of the implied covenant of good faith and fair dealing without prejudice. Id. at 6-8. The Court explained that in other cases challenging Transamerica’s MDR increases, Court has previously…