Google sells apps on its Play Store that allow users to make in-app purchases, typically the buying of “currency” for use in app-based games. This putative class action alleged that the games were aimed at minor children and allowed them to make in-app purchases unobstructed for a period of 30 minutes after a password was entered. As a result, minors were able to make one click, large-dollar-amount purchases without parental authorization. Prior to the filing of the ... Keep Reading »
Privacy & Technology Class Action Articles
The latest class action developments and trends in the privacy and technology industry, including news, key cases, and strategies.
Data Breach Class Actions: Don’t Overlook Standing Defense Just Because Plaintiff Alleges Identity Theft
A New Jersey federal district court recently dismissed the putative class action claims of four plaintiffs against a health care defendant following the theft of two password-protected laptops allegedly containing personal information of more than 839,000 individuals. Three of the plaintiffs did not allege that they suffered identity theft, and thus failed to allege an injury in fact as required for standing under Article III of the United States Constitution. The fourth ... Keep Reading »
Certification of Minor Class Could Have Major Impact on Facebook
Plaintiffs, two minors who used their parents' money to make purchases on Facebook without parental consent, brought a putative class action against the company, alleging its policy of representing purchases as non-refundable violates California law holding that contracts entered into by minors are void or voidable. Through their guardians, plaintiffs sought to certify a class of Facebook users who were minors during a four year period, along with a subclass of those who ... Keep Reading »
Target Reaches Preliminary Settlement in Consumer Data Breach Class Action
Last week, a Minnesota federal district court granted a motion for preliminary approval of a settlement of putative consumer class action claims against Target in the wake of a data breach at the retailer over the 2013 holiday shopping season. The settlement will provide a fund of up to $10 million to be distributed through a claims process to class members who suffered identity theft as a result of the breach. The final approval hearing is set for November 10, ... Keep Reading »
Threat of Identity Theft is Not Enough: Another Data Breach Class Action Dismissed for Lack of Standing
Hewing to prior Third Circuit precedent in Reilly v. Ceridian and the Supreme Court's precedent in Clapper v. Amnesty International, the Middle District of Pennsylvania recently joined the majority of federal district courts in dismissing putative data breach class actions for lack of standing where the named plaintiffs fail to allege identity theft. Although standing is a requirement in any case, it is particularly relevant in the data breach context, where actual ... Keep Reading »
GCs facing more bet-the-company and higher exposure class actions
Across industries, companies spent $2 billion on class action lawsuits in 2014, slightly less than the $2.1 billion they spent in 2013. This year, spending is expected to return to 2013 levels. Companies’ class action dockets increased on average by one new case in 2014, bringing the average number of class actions managed to five. This total is expected to remain constant in 2015, as the number of new matters is likely to be offset by those resolved. As before, ... Keep Reading »
Fifth Circuit Affirms Certification of Electronic Funds Transfer Act Class
In a case similar to its late-2014 decision in Mabary v. Home Town Bank, N.A., 771 F.3d 820 (5th Cir. 2014), the Fifth Circuit recently affirmed certification of a class of consumers who were charged a fee for using an automated teller machine (“ATM “) that allegedly lacked a fee notice on its exterior, in violation of the Electronic Funds Transfer Act (“EFTA”), 15 U.S.C. § 1693b(d)(3) (2011). See Frey v. First Nat. Bank Southwest, No. 13–10375, --- F. App’x ---, 2015 ... Keep Reading »
District Court for the District of Columbia Finds CAFA Jurisdiction Exists; Denies Remand For Lack of Local Controversy
The U.S. District Court for the District of Columbia denied a motion to remand an action removed pursuant to the Class Action Fairness Act (CAFA), where the plaintiff failed to show CAFA’s local controversy exception applied. Plaintiff sued a Washington, D.C. health club and several others for allegedly fraudulently taking out lines of credit against customers and billing against them without the customers’ knowledge or consent. The Plaintiff conceded minimal ... Keep Reading »
No Harm, No Standing: Texas Federal Court Dismisses Data Breach Class Action
Dismissing a class action based on a data breach, the Southern District of Texas added to the growing number of decisions that find an alleged risk of future identity theft due to a data breach is not an injury that creates standing to bring federal claims. The plaintiff, Beverly Peters, a former St. Joseph patient, brought a class action lawsuit against the medical provider after receiving notification that her personal information and protected health information had ... Keep Reading »
Northern District of California Adopts Flexible Approach To Analyzing Pre-Certification Standing Issues
The United States District Court for the Northern District of California partially granted and partially denied a motion to dismiss based on the standing of 18 named plaintiffs from 13 different states seeking class certification under the consumer protection and privacy laws of 48 states arising from plaintiffs’ purchases of numerous cell phone models. Plaintiffs sued the software developer of a cell phone network diagnostic tool and numerous mobile device ... Keep Reading »
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