A lawsuit filed by auto supplier CDH Detroit against Coda Automotive

1. {YB:00072242.DOCX }
UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF MICHIGAN
CDH DETROIT, INC., a Michigan
Corporation,
Plaintiff,
v.
CODA AUTOMOTIVE, INC., a Delaware
Corporation,
Defendant.
Michael M. Jacob (P15391)
Jeffrey D. Wilson (P56376)
Young Basile Hanlon & MacFarlane, PC
3001 W. Big Beaver Road, Suite 624
Troy, MI 48084
Phone: (248) 649-3333
Email: jacob@youngbasile.com
wilson@youngbasile.com
Attorneys for CDH Detroit, Inc.
COMPLAINT
Plaintiff, CDH Detroit, Inc., for its Complaint against Defendant, Coda Automotive, Inc.,
hereby states as follows:
THE PARTIES
PLAINTIFF
1. CDH Detroit, Inc. is a Corporation organized and existing under the laws of the State of
Michigan with its principal place of business in the State of Michigan.
DEFENDANT
2. Coda Automotive, Inc. is a corporation organized and existing under the laws of the State
of Delaware with its principal place of business in the State of California.
2:13-cv-11880-BAF-LJM Doc # 1 Filed 04/26/13 Pg 1 of 4 Pg ID 1

2. {YB:00072242.DOCX } 2
JURISDICTION
3. Jurisdiction is proper in this Court based upon diversity of citizenship pursuant to 28
USC §1332(a)(1), as the case involves a controversy between citizens of different states.
4. The matter in controversy exceeds the sum or value of $75,000.00 exclusive of interest
and costs.
VENUE
5. Venue is proper in the Eastern District of Michigan pursuant to 28 USC §1391 as a
substantial part of the events giving rise to the claim occurred in Oakland County, Michigan
located in the Eastern District of Michigan.
6. Venue is also proper in the Eastern District of Michigan pursuant to Section 17 of the
Settlement Agreement, under which the cause of action herein arises, which states that, “[t]he
Parties agree that all disputes and matters arising under, in connection with, or incident to this
Agreement shall be litigated, if at all, in and before a court located in Oakland County, Michigan,
to the exclusion of the courts of any other state or country, or, if otherwise appropriate, in the
United States District Court for the Eastern District of Michigan.” Exhibit A.
GENERAL ALLEGATIONS
7. On or about March 4, 2013, Plaintiff and Defendant executed a Settlement Agreement
purporting to resolve their dispute over the non-payment of outstanding invoices owed by
Defendant to the Plaintiff, without resort to mediation, arbitration or the courts. Exhibit A.
8. Pursuant to the Settlement Agreement, Defendant agreed to pay Plaintiff the sum total of
Three Hundred Thirty Eight Thousand Two Hundred Thirty Four Dollars ($338,234.00) in
2:13-cv-11880-BAF-LJM Doc # 1 Filed 04/26/13 Pg 2 of 4 Pg ID 2

3. {YB:00072242.DOCX } 3
monthly installments of Twenty Eight Thousand One Hundred Eighty Six Dollars ($28,186.00)
beginning April 15, 2013 and ending March 15, 2014.1
Exhibit A.
9. Defendant failed to pay its first installment on or before April 15, 2013, and further failed
to cure its default within Five (5) business days after Plaintiff gave notice of default via email to
Defendant’s representative under the Settlement Agreement. Exhibit B.
10. In accordance with Section 3 of the Settlement Agreement, the entire Three Hundred
Thirty Eight Thousand Two Hundred Thirty Four Dollars ($338,234.00), less any payments
made pursuant to the Settlement Agreement, thus became immediately due and payable.2
Exhibit
A.
BREACH OF CONTRACT
11. Plaintiff hereby re-alleges and restates paragraphs 8 through 11 of the General
Allegations as if the same were restated verbatim herein.
12. Defendant defaulted and breached the Settlement Agreement by failing to pay its first
installment in conformity with the Settlement Agreement, and by failing to cure its breach within
Five (5) business days after being given notice of default by email.
13. As a direct and proximate result of Defendant’s breach of the Settlement Agreement,
Plaintiff has been damaged in the amount of Three Hundred Thirty Eight Thousand Two
Hundred Thirty Four Dollars ($338,234.00), plus interest.
WHEREFORE, Plaintiff requests that this Honorable Court enter Judgment in its
favor and against Defendant in the amount of Three Hundred Thirty Eight Thousand Two
1
The final (March 15, 2014) installment payment was to be $28,188.00 so that the sum total would be fully paid on
or before that date.
2
No payments under the Settlement Agreement have been received by Plaintiff.
2:13-cv-11880-BAF-LJM Doc # 1 Filed 04/26/13 Pg 3 of 4 Pg ID 3

4. {YB:00072242.DOCX } 4
Hundred Thirty Four Dollars ($338,234.00), plus interest, attorney fees, and other damages as
allowed by law.
Respectfully submitted,
By: /s/ Michael M. Jacob
Michael M. Jacob (P15391)
Jeffrey D. Wilson (P56376)
Young Basile Hanlon & MacFarlane, PC
3001 W. Big Beaver Road, Suite 624
Troy, MI 48084
Telephone: (248) 649-3333
Dated: April 26, 2013 Attorney for RLE International, Inc. &
RTECH Services, LLC
2:13-cv-11880-BAF-LJM Doc # 1 Filed 04/26/13 Pg 4 of 4 Pg ID 4