Litigation

On April 17, 2025, the Supreme Court issued its opinion in Cunningham v. Cornell University, No. 23-1007, 604 U.S. ___ (2025), a case addressing the pleading standard for prohibited-transaction claims under § 406(a) of the Employee Retirement Income Security Act of 1974 (ERISA).  Section 406(a) proscribes certain transactions between plans and “parties in interest” absent a statutory exemption enumerated under ERISA § 408.  The core question on appeal was whether plaintiffs must allege, as an element of a prohibited-transaction claim under § 406(a), that an exemption under § 408 does not render the challenged transaction lawful.

In a decision that is expected to have wide-ranging implications, the Court held that exemptions under § 408 provide affirmative defenses to liability under § 406(a).  Consequently, plaintiffs need not allege that any of the exemptions set forth in § 408 are unavailable to state a plausible claim for relief.  Rather, the burden falls on plan fiduciary defendants to plead and prove that an exemption under § 408 nullifies a plaintiff’s claim.Continue Reading A Closer Look:  Supreme Court Rejects Heightened Pleading Standard for Prohibited-Transaction Claims under ERISA § 406(a)

Lawsuits targeting businesses’ use of website tools under the California Invasion of Privacy Act (“CIPA”) increasingly are filed by so-called “tester” plaintiffs.  These plaintiffs seek out websites to “test” for potential CIPA violations and then file lawsuits seeking damages for those alleged violations.  A California federal court recently confirmed that…

Continue Reading “Tester” Plaintiff Who “Actively Seeks Out Privacy Violations” Lacks Standing to Pursue CIPA Claim

An Illinois federal court recently rejected efforts to bring a consumer class action against the parent company of Fiji brand water over allegations that its plastic water bottles contained microplastics.  In doing so, the court added its voice to the growing body of case law about microplastics and offered a window into how to attack similar types of contamination allegations.

In Daly et al. v. The Wonderful Company, LLC, 2025 WL 672913 (N.D. Ill. Mar. 3, 2025) plaintiffs alleged that Fiji’s claim that its water is “natural artesian water” are deceptive because the product bottles contain microplastics.  Id. at *1.  Plaintiffs brought claims under five state consumer protection laws and sought to represent a class of consumers allegedly harmed by microplastics in the bottles.  Id.  The company moved to dismiss the complaint, arguing (among other things) that plaintiffs had not plausibly alleged that the Fiji Water bottles actually contained microplastics and that plaintiffs lacked standing to pursue injunctive relief.  Id. at *2, *6.  Because plaintiffs failed to allege that the water bottles contained microplastics, TWG argued that they could not identify any deceptive statement giving rise to their claims.  Id. at *6.    

On March 3, the court agreed and dismissed plaintiffs’ complaint for two reasons.Continue Reading Illinois Federal Court Rejects Fiji Water Microplastics Case

The Ninth Circuit recently reversed an $800,000 attorney fee award in a data breach class action because the award accounted for too large a portion of the total value of the settlement. In re California Pizza Kitchen Data Breach Litig., — F.4th —, 2025 WL 583419 (9th Cir. Feb. 24, 2025).Continue Reading Ninth Circuit Shoots Down Fee Award in Data Breach Class Action

The Illinois Supreme Court recently ruled that the named plaintiff in a putative data breach class action lacked standing to pursue her claims given that her private personal information had not actually been misused by a third party.Continue Reading Illinois Supreme Court Rules That Plaintiff Lacks Standing to Bring Putative Data Breach Class Action

In TransUnion LLC v. Ramirez, the Supreme Court held that “every class member must have Article III standing in order to recover individual damages.”  594 U.S. 413, 427, 431 (2021) (cleaned up).  Post-TransUnion, courts have grappled with that guidance, especially as to whether a class that contains uninjured class members may permissibly be certified.  As set forth in our recent post, the Supreme Court has granted certiorari in Laboratory Corporation of America Holdings v. Davis to address a circuit split on that issue.Continue Reading Fourth Circuit Concludes TransUnion Demands Evidence of Injury for All Class Members

The U.S. District Court for the Southern District of Florida recently dismissed an antitrust class action brought by yacht sellers against yacht brokers, brokerage trade associations, and multiple listing services for preowned yachts.  In Ya Mon Expeditions LLC v. International Yacht Brokers Association Inc., 1:24-cv-20805, the yacht sellers alleged that yacht brokers conspired through trade associations to fix uniform brokerage commissions on preowned yacht sales and exclude from yacht listing services sellers who were not represented by licensed brokers.Continue Reading Court Takes Wind Out of the Sails of Yacht Sellers’ Antitrust Suit

On January 24, the Supreme Court granted certiorari in Laboratory Corporation of America Holdings v. Davis to address a long-unsettled issue central to class-action litigation: “Whether a federal court may certify a class action pursuant to Federal Rule of Civil Procedure 23(b)(3) when some members of the proposed class lack any Article III injury.”Continue Reading Supreme Court to Decide If Presence of Uninjured Class Members Defeats Class Certification

A Pennsylvania court recently dismissed a wiretapping complaint filed against a trio of defendants for lack of Article III standing, lack of personal jurisdiction, and failure to state a claim in Ingrao v. Addshoppers, Inc., 2024 WL 4892514 (E.D. Pa. Nov. 25, 2024).

The two plaintiffs in this case…

Continue Reading Pennsylvania Court Dismisses A Trio of Defendants in Website Wiretapping Suit Challenging Email Marketing Program

Dozens of lawsuits have started challenging businesses’ use of website tools to collect IP addresses under the “pen register” and “trap and trace device” provision of the California Invasion of Privacy Act (“CIPA”).  As we reported last month, a California court dismissed one of these lawsuits because of a…

Continue Reading Another California Court Holds CIPA’s Pen Register Provision Does Not Prohibit the Collection of IP Addresses