She alleges that it would not be impracticable to calculate Zipcar's actual damages when a car is returned late, that Zipcar did not conduct a reasonable endeavor to estimate its actual damages, and that the late fees imposed bear no reasonable relation to Zipcar's actual damages. Bayol argues that Zipcar's late fee provision is presumptively illegal under section 1671(d) because it sets liquidated damages in a consumer contract. Bayol alleges that she has returned a Zipcar late, and has accordingly paid the late fees set out in the Membership Agreement.īayol brought this putative class action to challenge Zipcar's late fees under various California consumer protection statutes, including Civil Code section 1671(d), the Consumer Legal Remedies Act ("CLRA"), and the Unfair Competition Law ("UCL"). Under the Agreement, members must pay a fee of $50 per hour, up to $150, for returning a car late, in addition to the normal rental rate. In order to use Zipcar, Bayol entered into a standardized Membership Agreement setting out the terms of her rentals. Plaintiff Gabriela Bayol is a resident of Daly City, California and a member of Zipcar, a short-term car rental service. The Court has carefully considered the parties' arguments, and now DENIES Zipcar's motion, for the reasons set forth below. This matter came before the Court on January 26, 2015, on Zipcar's motion to dismiss the complaint. ORDER DENYING DEFENDANT'S MOTION TO DISMISS
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