Publications
Article

Increased Wave of Consumer Class Actions Targets Consumer Websites

Bloomberg BNA Product Safety and Liability Reporter

Businesses affected by a new wave of consumer class actions targeting the Terms of Use of websites should pay close attention to a case currently pending in the District of New Jersey. Braden v. TTI Floor North America, Inc., 3:16-cv-00743 (D.N.J. February 10, 2016), is one of several actions in which plaintiffs are seeking millions of dollars in damages, attorneys’ fees, and other costs based upon a relatively obscure 1981 New Jersey statute known as the Truth in Consumer Contract, Warranty and Notice Act, N.J.S.A. § § 56:12-14, et seq. (‘‘TCCWNA’’).

The Complaint in Braden alleges that the defendant markets and sells various floor care products through its website, www.hoover.com, and that the rights of those (including the plaintiffs) who purchase such products are governed by the website’s ‘‘Terms and Conditions.’’ Among other things, the plaintiffs allege that the Terms and Conditions contain unlawful provisions which deprive the plaintiffs of a remedy for the defendant’s tortious acts; absolve the defendant of liability for the manufacture or sale of unsafe products; and relieve the defendant of any responsibility to protect consumers from ‘‘third-party criminal hackers.’’ According to the Complaint, these violations give rise to a cause of action under the TCCWNA.

To read the full article, please click here.

“Increased Wave of Consumer Class Actions Targets Consumer Websites,” by Ana Tagvoryan and John Wixted was published in Bloomberg BNA Product Safety and Liability Reporter™ on August 22, 2016.

Reproduced with permission from Product Safety & Liability Reporter, 44 PSLR 892, 8/22/16. Copyright ©2016 by The Bureau of National Affairs, Inc. (800-372-1033) http://www.bna.com.