LARRY PITT VS. TYRUS CHI, LLC (L-1974-15, ATLANTIC COUNTY AND STATEWIDE) ( 2018 )


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  •                         NOT FOR PUBLICATION WITHOUT THE
    APPROVAL OF THE APPELLATE DIVISION
    This opinion shall not "constitute precedent or be binding upon any court."
    Although it is posted on the internet, this opinion is binding only on the
    parties in the case and its use in other cases is limited. R. 1:36-3.
    SUPERIOR COURT OF NEW JERSEY
    APPELLATE DIVISION
    DOCKET NO. A-4538-16T3
    LARRY PITT,
    Plaintiff-Appellant,
    v.
    TYRUS CHI, LLC1,
    and MICHAEL P. O'CONNELL,
    Defendants-Respondents.
    _____________________________
    Argued July 31, 2018 - Decided August 16, 2018
    Before Judges Sabatino, Mayer, and Mawla.
    On appeal from Superior Court of New Jersey,
    Law Division, Atlantic County, Docket No.
    L-1974-15.
    Clark W. Pease argued the cause for appellant
    (Law Offices of Clark Pease, PC, attorneys;
    Clark W. Pease, of counsel and on the briefs;
    Paul N. De Petris, on the briefs).
    Elizabeth A. Weber argued the cause for
    respondents (Sweeney & Sheehan, PC, attorneys;
    Giacomo F. Gattuso, of counsel; Joseph M.
    Hauschildt, Jr., on the brief).
    1
    Improperly designated as Michael P. O'Connell, trading as
    Trixie's Café.
    PER CURIAM
    Plaintiff Larry Pitt appeals from a May 26, 2017                     order
    granting summary judgment in favor of defendants Tyrus Chi, LLC
    and Michael P. O'Connell.           We affirm.
    Plaintiff is the owner of a residential unit at a condominium
    complex located in Longport.          The condominium complex had a café,
    known as Trixie's Café, serving breakfast and lunch during the
    summer season.          O'Connell owned the café.            As a unit owner,
    plaintiff received a $300 debit card limited to dining at the
    café.    The condominium association, which managed the condominium
    complex, issued plaintiff's debit card.
    Plaintiff dined at the café many times. Prior to the incident
    that    is   the    subject   of   plaintiff's      complaint,   plaintiff   and
    O'Connell discussed the sufficiency of gratuity amounts left by
    plaintiff for the café's waitstaff.                While the parties admit to
    discussing         gratuities,     their       respective   memories   of    that
    discussion differ. The parties' conflicting recollections related
    to their discussion regarding gratuities has no bearing on our
    determination of the dispositive issues in this case.
    2                            A-4538-16T3
    The dispute here stemmed from an incident on July 25, 2015,
    while plaintiff dined with a female companion.2      At the end of the
    meal, the server presented a bill to plaintiff and advised him
    that a twenty percent gratuity, amounting to $4.20, had been added
    to the check.    Plaintiff was not told of the added gratuity prior
    to consuming his meal.     Consequently, he refused to pay the added
    gratuity.    A   dispute   ensued   between   plaintiff   and   O'Connell
    regarding the payment of the added gratuity.      O'Connell instructed
    plaintiff to leave the café.        Plaintiff declined to leave the
    café, and O'Connell telephoned the Longport police department.
    In O'Connell's call to the police department, he reported a
    customer in the café causing problems and refusing to leave.3
    O'Connell told the police dispatcher that plaintiff was hitting
    the table, was "about to blow his top," and was "pushing" his
    "wife."   O'Connell requested the police remove plaintiff from the
    café.   The police responded and plaintiff eventually left the café
    after paying his bill, without the disputed gratuity.           No charges
    2
    The female companion was misidentified as plaintiff's wife
    during a telephone call to police dispatch.
    3
    An audiotape of O'Connell's 911 call to the Longport police
    department and a surveillance videotape of the incident were
    provided to the motion judge, but were not included in the parties'
    appellate submissions.
    3                              A-4538-16T3
    were filed against plaintiff; however, the café banned plaintiff
    as   a    result   of   the   incident.4    Several    months    later,     the
    condominium association refunded the unused balance on plaintiff's
    café debit card, amounting to $103.5          Plaintiff did not cash the
    refund check.
    Plaintiff filed suit against defendants, alleging violations
    of the Consumer Fraud Act (CFA), N.J.S.A. 56:8-1 to -210, common
    law fraud, and defamation per se.           After completing discovery,
    defendants     moved    for   summary   judgment,   seeking     dismissal    of
    plaintiff's complaint in its entirety.
    The motion judge reviewed the written submissions and heard
    the arguments of counsel on May 26, 2017.             In an oral decision,
    the judge granted defendants' motion and dismissed plaintiff's
    complaint.      Among other things, the judge found plaintiff failed
    to demonstrate defendants committed any unlawful practice within
    the CFA.      The judge noted that a $4.20 tip was added to the café
    bill, but found no evidence the gratuity was mandatory because
    plaintiff never paid the tip and no charges were filed against
    4
    A written license agreement between the condominium association
    and the café allowed the café to refuse service to patrons for
    rude, abusive, and discourteous behavior.
    5
    Defendants did not issue the debit card to plaintiff and
    therefore had no control regarding the issuance of a refund for
    any balance on the card or the timing of a refund.
    4                             A-4538-16T3
    plaintiff.        The   judge     also    determined         plaintiff    "failed    to
    establish    an   ascertainable          loss   as    a     result   of   defendants'
    including a $4.20 gratuity on his bill."                        The judge further
    explained "[p]laintiff has not produced any expert testimony to
    quantify the damages he suffered by not being able to access the
    café" from July 25, 2015, through Labor Day 2015.
    Based on her review of the 911 call and the videotape, the
    motion judge deemed the exchange between plaintiff and O'Connell
    "a heated incident."        Because plaintiff was unable to demonstrate
    O'Connell's statement to the 911 police dispatcher denigrated his
    reputation, other than offering speculation and conjecture that
    the   condominium       complex    residents         were    gossiping     about    the
    incident, the judge dismissed the defamation claim.
    The motion judge also held truth was an absolute defense to
    plaintiff's defamation action.             Having heard the audiotape of the
    911 call and viewed the videotape of the incident, the judge
    determined that plaintiff had pushed his female companion's hand
    away while the companion attempted to persuade plaintiff to leave
    the café.    The judge also determined O'Connell told the police
    that plaintiff pushed his companion.                 Since O'Connell accurately
    reported plaintiff was "pushing" his "wife," the judge found
    plaintiff's defamation per se claim failed as a matter of law.
    5                                  A-4538-16T3
    Lastly, in dismissing plaintiff's common law fraud claim, the
    motion    judge     held      defendants    did     not      make    a     material
    misrepresentation because plaintiff was told by the café's staff
    that a gratuity had been added to his check.                 Nor did plaintiff
    proffer sufficient evidence of damages, because he never paid the
    gratuity.     Plaintiff also received a reimbursement check for the
    unused balance on his condominium debit card.                However, plaintiff
    elected not to cash the check.              Regarding plaintiff's alleged
    damages   based   on    his   inability    to    dine   at   the    café    because
    O'Connell banned him, the judge concluded plaintiff failed to
    quantify such damages.         We disagree.
    On   appeal,      plaintiff   argues     the   motion     judge     erred     in
    dismissing his complaint as a matter of law because there were
    genuine issues of material fact precluding summary judgment for
    defendants.
    We review a ruling on summary judgment de novo, applying the
    same standard governing the trial court.                     Davis v. Brickman
    Landscaping, Ltd., 
    219 N.J. 395
    , 405 (2014).              We consider "whether
    the competent evidential materials presented, when viewed in the
    light most favorable to the non-moving party, are sufficient to
    permit a rational factfinder to resolve the alleged disputed issue
    in favor of the non-moving party."              
    Id. at 406
    (quoting Brill v.
    Guardian Life Ins. Co. of Am., 
    142 N.J. 520
    , 540 (1995)).                          We
    6                                    A-4538-16T3
    analyze issues of law de novo and accord no deference to the trial
    judge's conclusions of law.     Nicholas v. Mynster, 
    213 N.J. 463
    ,
    478 (2013).
    To prevail on a CFA claim, a plaintiff must show: (1) the
    merchant engaged in an unlawful practice contrary to N.J.S.A.
    56:8-2; (2) plaintiff suffered an "ascertainable loss"; and (3)
    the loss was caused by the merchant's unlawful practice.         Lee v.
    Carter-Reed Co., LLC, 
    203 N.J. 496
    , 521 (2010); see also N.J.S.A.
    56:8-2.
    Having reviewed the record, even in a light most favorable
    to plaintiff, we agree with the motion judge that plaintiff failed
    to demonstrate an ascertainable loss to prevail on his CFA claim.6
    A plaintiff is required to provide specific proofs in support of
    an ascertainable loss, and subjective assertions of a loss are
    insufficient to sustain a CFA claim.      Thiedemann v. Mercedes-Benz
    USA, LLC, 
    183 N.J. 234
    , 252 (2005).        Plaintiff bears the burden
    of   establishing   he   suffered   an   ascertainable   loss   that    is
    quantifiable.   
    Id. at 248.
        A plaintiff cannot recover damages
    under the CFA where he or she is unable to show actual harm.           See
    6
    We recognize the parties disagree whether there was unlawful
    conduct on the part of defendants under the CFA. However, it is
    unnecessary to address that issue because even if plaintiff could
    prove unlawful conduct by particular defendants consistent with
    the CFA, plaintiff cannot establish he suffered an ascertainable
    loss.
    7                            A-4538-16T3
    Dabush v. Mercedez-Benz USA, LLC, 
    378 N.J. Super. 105
    , 116 (App.
    Div. 2005).     Moreover, a plaintiff must be able to demonstrate the
    amount    of   the   ascertainable   loss   to   a   reasonable   degree    of
    certainty.     
    Ibid. Here, plaintiff never
    paid the $4.20 gratuity added to his
    July 25, 2015 café check and thus suffered no loss in that regard.
    Plaintiff's contention that the delay in refunding the unused
    amount    on   his   condominium-issued     debit    card   constitutes     an
    ascertainable loss fails to support a claim under the CFA.                 The
    condominium association, not defendants, issued the debit card and
    it decided whether and when to issue a refund to plaintiff.
    Defendants had no control as to the amount or timing of the issued
    refund.    Moreover, plaintiff elected not to cash the refund check
    for the unused amount on his debit card.
    Plaintiff's claim that he was unable to dine at the café
    after July 25, 2015, because he was banned by O'Connell, causing
    him to suffer an ascertainable loss, is similarly without basis.
    The café had the absolute right under its license agreement with
    the condominium association to refuse to service patrons who were
    abusive, disruptive, or discourteous to café staff.           Plaintiff was
    banned from the café as a result of the incident on July 25, 2015.
    Plaintiff failed to present any competent evidence in support of
    his claimed loss attributable to being banned from the café.
    8                               A-4538-16T3
    We next review plaintiff's common law fraud claim. To prevail
    on a claim for common law fraud, a plaintiff must prove: "(1) a
    material misrepresentation of a presently existing or past fact;
    (2) knowledge or belief by the defendant of its falsity; (3) an
    intention that the other person rely on it; (4) reasonable reliance
    thereon by the other person; and (5) resulting damages."                   Gennari
    v. Weichert Co. Realtors, 
    148 N.J. 582
    , 610 (1997).
    In this case, the café check expressly included a $4.20
    gratuity on plaintiff's bill.         The server informed plaintiff that
    a gratuity had been added to the bill.               Thus, defendants made no
    misrepresentation concerning the gratuity.
    Even if the inclusion of the gratuity on plaintiff's café
    bill could be deemed a misrepresentation, plaintiff is unable to
    prove the other elements required to sustain his common law fraud
    claim.    Plaintiff never paid the $4.20 gratuity, or any gratuity,
    that     day,    and   therefore   did       not   "rely"   on    the    purported
    misrepresentation.          Because   plaintiff       never      paid   the     added
    gratuity on the July 25, 2015 bill, he suffered no damages.                     Since
    plaintiff failed to satisfy the elements to prove common law fraud,
    summary judgment on that claim was proper.
    We next examine plaintiff's defamation per se claim.                          To
    prevail on a defamation claim, a plaintiff must prove damages and
    that   the      allegedly   defamatory   statement      was:     (1)    false;     (2)
    9                                    A-4538-16T3
    communicated        to   a   third    party;      and    (3)    tends   to    lower     the
    plaintiff's reputation in the community or deter others from
    associating with plaintiff.              W.J.A. v. D.A., 
    210 N.J. 229
    , 238
    (2012).      Defamation per se requires a finding that the statement
    clearly denigrates a person's reputation such that the court alone
    may determine the statement is defamatory without the need to
    submit the issue to a jury.             Biondi v. Nassimos, 
    300 N.J. Super. 148
    , 152-53 (App. Div. 1997).                Truth is an absolute defense to a
    defamation action and defeats such an action "even when a statement
    is not perfectly accurate."                  G.D. v. Kenny, 
    205 N.J. 275
    , 293
    (2011).
    Here, plaintiff admitted he had pushed his companion's hand
    when she attempted to persuade him to leave the café.                         The motion
    judge, who viewed the videotape of the incident, observed plaintiff
    pushing his companion's hand. At no time during the call to police
    dispatch     did    O'Connell        claim    plaintiff        assaulted     his    female
    companion or anyone else in the café.                   O'Connell truthfully stated
    plaintiff was "pushing" his companion.
    Nor does the record reflect that O'Connell's statement in the
    911   call     to    the     police     denigrated        plaintiff's        reputation.
    Plaintiff offered no competent evidence in support of his claim
    that residents of the condominium complex considered his status
    10                                    A-4538-16T3
    in the community diminished or declined to associate with him as
    a result of the incident in the café.
    Based on the summary judgment record, there were no material
    disputed facts that precluded the entry of summary judgment in
    favor of defendants as to plaintiff's claims.        We discern no basis
    to   reject   the   judge's   sound   application   of   the   law   to   the
    undisputed facts in dismissing plaintiff's complaint.
    Affirmed.
    11                             A-4538-16T3