Category Archives: Consumer Litigation

Ninth Circuit keeps TCPA coverage for unsolicited text messages narrow

This week, inTrim v. Reward Zone USA LLC, the Ninth Circuit issued two separate opinions collectively affirming the dismissal of a claim brought under 47 U.S.C. § 227(b)(1)(A), based on the plaintiff’s receipt of unsolicited text messages. That statutory provision only applies to calls made using an “automatic telephone dialing system or an artificial or […]

Diversion of Resources Enough for UCL Standing, Holds California Supreme Court

In 2004, California amended its unfair competition law to eliminate associational standing–that is, membership organizations could no longer bring claims based on injuries to their members. Only claims based on injuries to the organizations themselves could serve as a basis for suit. Yesterday, in California Medical Association v. Aetna Health of California, the California Supreme […]

Second Circuit Rejects “Legal” v. “Fact” Standard for FCRA Inaccuracies

Section 1681e(b) of the Fair Credit Reporting Act (FCRA) requires credit reporting agencies to “follow reasonable procedures to assure maximum possible accuracy of the information” reported. In 2021, a district court held that a plaintiff cannot bring a claim for violating that provision when “the accuracy at issue requires a legal determination as to the […]

CAFA doesn’t displace MMWA jurisdictional requirements, 3rd Circuit holds

The Magnuson-Moss Warranty Act provides for federal district court jurisdiction in cases alleging violations of that statute except where (1) any one claim is less than $25, (2) the total amount in controversy is less than $50,000, or (3) it is a class action with less than 100 named plaintiffs. Several MMWA defendants have removed […]

New report on damages in consumer protection lawsuits

Good Jobs First reports that “[o]ver the past two decades, major companies have paid out over $25 billion in damages and settlements in class action and multi-district consumer protection lawsuits filed throughout the United States” concerning overcharging customers for goods and services or engaging in false advertising. Read the details here.

Court allows consumer to bring TCPA case concerning calls to number on Do-Not-Call registry

In a case under the Telephone Consumer Protection Act, the Ninth Circuit Court of Appeals held today that the owner and subscriber of a phone with a number listed on the Do-Not-Call Registry suffers an injury sufficient to confer standing when unsolicited telemarketing calls or texts are sent to the number in violation of the […]

11th Circuit holds FCRA does not provide cause of action for disagreement over fraudulent charges

Shelly Milgram’s employee opened, in Milgram’s name, a credit card with Chase and ran up tens of thousands of dollars in debt–then illegally accessed Milgram’s bank accounts and used them to partially pay off the monthly statements. When the scheme was discovered (with the employee later convicted of fraud), Milgram reported the fraud to Chase […]

7th Circuit Holds Time and Money to Send Debt Validation Request Supports Standing

Yvonne Mack received a debt collection notice, referring to a US Bank credit card she had held. She was uncertain that the debt amount was accurate, and thus a submitted a request for validation of the debt via certified mail. She received no response. She then received a second debt collection notice. Confused, she went […]

“How Jury Grievance Reports Whitewash Corporate Misconduct”

The Center for Justice and Democracy has issued a report titled “Nuclear Fizzle: How Jury Grievance Reports Whitewash Corporate Misconduct and Dehumanize Victims.” Here is the brief summary: “Corporate lobby groups are issuing reports criticizing juries when their large corporate members lose cases (which we call “jury grievance reports”). Their focus is on what they […]

Essential Oils unsupported health claims are beyond “puffery,” 2nd Circuit holds

“Essential oils” have become very popular over the past few years, in part due to confusion that, in this context, “essential” does not mean “indispensable or necessary,” but rather refers to the means by which they are derived from plants. An essential oil company called Young Living had marketed its products as being “therapeutic-grade,” and […]