Mealey's California Section 17200 : Mealey's : Legal News & Analysis

Mealey's California Section 17200

August 09, 2024
Man Says OpenAI Illegally Transcribed, Trained AI On YouTube Videos

SAN FRANCISCO — OpenAI Inc. and related entities violated the California unfair competition law (UCL) by covertly transcribing millions of videos hosted on the popular YouTube site for use in training ChatGPT artificial intelligence despite lacking consent to do so, video creators allege in a class action filed in California federal court.
August 09, 2024
Class Suit Filed Against Delta Over CrowdStrike Crash Causing Flight Cancellations

ATLANTA — Delta Air Lines passengers whose flights were canceled as a result of an automatic update to CrowdStrike’s cybersecurity software that caused computers, including those used by Delta, to crash filed a putative class action suit in a Georgia federal court, asserting that Delta violated its policies to provide flight refunds, hotel accommodations and related expenses when flights were canceled by breaching its contract with customers, resulting in them spending additional funds for alternative transportation methods.
August 09, 2024
Judge Denies Roblox’s Bid To Arbitrate Couple’s ‘Child Exploitation’ Claims

SAN FRANCISCO — A California federal judge on Aug. 8 denied online video game developer Roblox Corp.’s motion to compel arbitration of putative class claims that it violates California’s unfair competition law (UCL) and other laws by intentionally addicting children to its online game, which requires purchases of in-game currency to play, writing that Roblox did not show that the parents who filed the suit ever read or consented to its arbitration agreement.
August 08, 2024
Impacted Air Travelers Sue CrowdStrike For Causing ‘Catastrophic’ Outage

AUSTIN, Texas — A group of airplane travelers filed a putative class complaint in Texas federal court against tech company CrowdStrike Inc. accusing it of harming them by failing to properly test its cybersecurity software before issuing an update that allegedly caused 8.5 million computers and devices to go offline, including at airports, delaying their flights in violation of California’s unfair competition law (UCL) and other laws.
August 06, 2024
Applebee’s Accused Of Charging Online Customers Hidden Fees In Putative Class Suit

SAN FRANCISCO — A customer filed a putative class action complaint in the U.S. District Court for the Northern District of California accusing Applebee’s Restaurants LLC and its parent company of violating California’s unfair competition law (UCL) and other laws by charging delivery order customers a “carefully concealed” 11% service fee.
August 06, 2024
Elon Musk Takes 2nd Swing At Suing OpenAI Founders With Contract, UCL Action

SAN FRANCISCO — Former OpenAI Inc. founder Elon Musk on Aug. 5 once again sued the company’s various entities, alleging in a 15-count complaint filed this time in federal court that the company and founders Samuel Altman and Gregory Brockman performed a long-con by selling him on the creation of a safer artificial intelligence only to abandon those principles when associating with Microsoft Corp. The lawsuit reiterates and adds to the violations alleged in the five-count state court action he filed in March, including a claim for violation of the California unfair competition law (UCL).
August 02, 2024
JPMDL Denies Request To Centralize Cases Alleging Benzene In Acne Products

WASHINGTON, D.C. — The U.S. Judicial Panel on Multidistrict Litigation (JPMDL) on Aug. 1 declined to centralize cases that allege that users of benzoyl peroxide (BPO) products for the treatment of acne vulgaris, including creams, washes, scrubs and bars, were inadequately warned about the presence of benzene after finding that many allegations will be specific to the individual defendants.
August 02, 2024
Judge Dismisses Suit Accusing Air Purifier Makers Of False Germ-Killing Claims

SAN FRANCISCO — A California federal judge dismissed consumers’ putative class claims that air purifier makers violated California consumer protection laws by misleadingly marketing their products as capable of killing airborne pathogens during the COVID-19 pandemic, finding that the consumers’ theory of deception was based on marketing claims the defendants did not make.
August 01, 2024
Judge: Republicans’ UCL Suit Viable Against Google, But Fails On Merits

SACRAMENTO, Calif. — A California federal judge in a mixed ruling on July 31 found that Google LLC cannot claim immunity as an online publisher from claims that it violated California’s unfair competition law (UCL) by diverting Republican National Committee (RNC) fundraising emails to users’ spam folders but granted Google’s motion to dismiss on the merits.
July 31, 2024
Authors’ UCL Claim Dismissed From ChatGPT Copyright Case

SAN FRANCISCO — A California federal judge on July 30 granted a motion by OpenAI Inc. and affiliates to dismiss authors’ claims that they violated California’s unfair competition law (UCL) by training artificial intelligence on copyrighted material after finding the claim preempted by federal copyright law.
July 31, 2024
Inventor Of ‘Flamin’ Hot’ Cheetos Accuses PepsiCo Of Defamation, Discrimination

RANCHO CUCAMONGA, Calif. — A former PepsiCo Inc. executive who says he invented the ‘Flamin Hot’ variety of Cheetos snacks filed a complaint in California state court accusing his former employers at PepsiCo and FritoLay Inc. of violating California employment law and the unfair competition law (UCL) and defamation for allegedly casting doubt on his claimed inventorship after promoting his story for decades.
July 30, 2024
Judge Rejects ‘Unconscionable’ Arbitration Of Class Suit Against Gaming Company

SAN FRANCISCO — A California federal judge denied a gaming company and its co-founders’ motion to compel arbitration of putative class claims against them for violating California’s unfair competition law (UCL) and other laws by falsely advertising their mobile games as offering live competition, finding that the arbitration agreement contained provisions that would likely cause “years” of delay.
July 29, 2024
Disability Claimant’s Suit Fails; Policy Rider Clearly Stated Terms, Judge Says

LOS ANGELES — A California federal judge granted a disability insurer’s motion for summary judgment and dismissed a breach of contract and bad faith suit filed against a disability income insurer after determining that the insurer’s termination of cost-of-living benefits was proper pursuant to the terms of the policy rider and its termination provision.
July 26, 2024
Consumer Asks Court To Approve Settlement Removing ‘Natural’ From ChapStick Label

SAN FRANCISCO — A California woman filed a motion in California federal court for approval of a settlement of class claims against GlaxoSmithKline Consumer Healthcare Holdings (US) LLC (GSK) and Pfizer Inc. for deceptively labeling certain ChapStick products, writing that the defendants have agreed to remove the phrase “100% Natural” from the product’s label and for her attorneys to receive roughly $500,000.
July 26, 2024
Class Suit Says ‘Refueling Difficulties’ Make Toyota Hydrogen Battery Cars ‘Unsafe’

LOS ANGELES — A group of consumers filed a putative class action complaint in California federal court contending that their Toyota-brand Mirai-model cars powered by hydrogen fuel cells are so difficult to refuel that the cars are “unsafe, unreliable and inoperable” and seeking damages for misleading marketing in violation of California’s unfair competition law (UCL).
July 25, 2024
Judge Partly Dismisses Hip Replacement Patient’s Suit Over Defective Implant

SAN FRANCISCO — A California federal judge granted in part and denied in part a motion to dismiss filed by several companies involved in the manufacture and sale of a prosthetic hip replacement who are accused of causing a patient injuries and lost wages after his implant began releasing toxic metals into his body, finding that the patient’s claims, including for violation of California’s unfair competition law (UCL), are not preempted by federal authority.
July 25, 2024
Magistrate Judge Denies Bid To Stay Discovery In UCL Suit Against Vape Sellers

SAN DIEGO — A California federal magistrate judge on July 24 denied a group of online e-cigarette retailers’ ex parte motion to stay discovery in a lawsuit brought against them along with several Chinese e-cigarette manufacturers by e-cigarette maker NJOY LLC, an Altria Group Inc. subsidiary, for allegedly violating California’s unfair competition law (UCL) and federal cigarette regulations by illegally selling “Elf Bar”-brand flavored disposable vapes (FDVs).
July 25, 2024
Hospice Files Defamation Suit Against Anonymous Google Reviewers

LOS ANGELES — Alleging that it is being targeted by a business competitor who has “coordinated” the posting of “fake” negative reviews online, a hospice filed a lawsuit in California state court asserting claims against 1,000 John Does who posted the negative reviews for defamation and violation of California’s unfair competition law (UCL).
July 24, 2024
Judge Dismisses Putative Class Suit Against Google For Health Care Data Collection

SAN FRANCISCO — A California federal judge dismissed a consolidated class action complaint in which 12 anonymous plaintiffs accused Google LLC of violating of federal privacy statutes and California’s unfair competition law (UCL) by providing source code for “pixel tracking” of their private health care data, writing that the plaintiffs’ “vague” claims do not establish that Google intended to collect or did in fact receive their data.
July 23, 2024
Splenda Maker Must Face Class Suit For Improper Diabetes Claims, Judge Says

SAN FRANCISCO — A California federal judge largely denied an artificial sweetener company’s motion to dismiss a putative class action against it brought by plaintiffs who claim that it violated California’s unfair competition law (UCL) and other laws by misleadingly marketing its products containing sucralose as beneficial for diabetics.
July 19, 2024
California Supreme Court Says UCL Suit Against Insurer Not Time-Barred

SAN FRANCISCO — The California Supreme Court on July 18 reversed an appellate panel’s affirmance of the dismissal as time-barred of an insured’s lawsuit against her property insurer for failure to properly investigate a claim, finding that the panel should have applied the four-year statute of limitations under California’s unfair competition law (UCL) to her UCL claim for injunctive relief.
July 19, 2024
9th Circuit Sends ‘Plant-Based’ Baby Wipes Class Suit Back To District Court

PASADENA, Calif. — A Ninth Circuit U.S. Court of Appeals panel reversed in part and affirmed in part the dismissal of a consumer’s putative class claims against a baby wipes company for violating California’s unfair competition law (UCL) and other laws by labeling its products “plant-based,” finding that some of the challenged products were labeled in a way that was likely to mislead consumers.
July 18, 2024
Panel Remands For Discovery Cost Calculations In Dispute Between Gamer And Twitch

SAN FRANCISCO — A California appellate court on July 17 reversed a lower court’s order denying an online gamer’s motion to tax or strike Twitch Interactive’s electronic discovery costs in the gamer’s breach of contract suit against Twitch for suspending his Twitch account, finding that remand is required for a correct determination of Twitch’s discovery costs.
July 18, 2024
Judge Says Some Claims Valid In Class Case Over PFAS In Cookware

AUSTIN, Texas — A federal judge in Texas has ruled that plaintiffs lack standing to pursue injunctive relief in a per- and polyfluoroalkyl substances (PFAS) case against a maker of cookware, but the judge said that the plaintiffs allege sufficient facts to “nudge them over the plausibility line” as to the general safety and toxicity of a chemical similar to PFAS and determined that it would be premature to dismiss the claims under the economic loss rule.
July 17, 2024
Judge Won’t Freeze Assets Of Electronics Company Accused Of Faking Online Reviews

SAN JOSE, Calif. — A California federal judge on July 16 denied a consumer’s motion for a preliminary injunction freezing more than $5 million of a Chinese manufacturer-owned company’s assets pending the outcome of his lawsuit accusing it of violating California’s unfair competition law (UCL) and other statutes for allegedly faking reviews on Amazon.com to sell shoddy electronics, finding insufficient evidence of damages.