Smith v. Mail Boxes, Etc. USA, Inc.

MEMORANDUM AND ORDER

Defendants move to stay this action pending the resolution of the Judicial Panel on Multidistrict Litigation’s determination whether to transfer this action to a multidistrict litigation proceeding pending in the Southern District of New York. Plaintiff Wayne Smith opposes a stay and moves to remand this case to Sacramento County Superior Court.

I. Factual and Procedural Background

On February 10, 2000, plaintiff brought this action as a purported class action lawsuit in Sacramento County Superior Court against Mail Boxes Etc. USA, Inc., asserting various consumer protection claims under state law on behalf of California residents who purchased “excess value” insurance coverage when shipping packages through the defendant. On November 13, 2001, plaintiff filed a Second Amended Complaint, asserting state law claims against the following defendants: Mail Boxes Etc. USA, Inc. and its corporate successors-in-interest, BSG Holdings, Inc. and BSG Holdings Subsidiary, Inc.; Mail Boxes Etc., Inc. (“New MBE”), a subsidiary of United Parcel Service, Inc. (“UPS”); and Wesley Davis and Sonya Davis, dba MBE # 1614. Plaintiff also expanded the proposed California…