Justia Internet Law Opinion Summaries

Articles Posted in US Court of Appeals for the Third Circuit
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News broke in 2012 that Google’s Doubleclick.net cookies were bypassing Safari and Internet Explorer privacy settings and tracking internet-user information. Google settled FTC and state attorneys general lawsuits, agreeing to cease the practice and to pay $39.5 million in fines, without admitting wrongdoing. Plaintiffs' claims were consolidated into a putative class action, alleging violations of federal privacy and fraud statutes, California unfair competition and privacy statutes, the California constitution’s right to privacy, and California’s privacy tort law. The Third Circuit affirmed the dismissal of all but the California constitutional and tort claims. The parties agreed to a settlement. The district court approved certification of an FRCP 23(b)(2) class and the settlement under FRCP 23(e). Under the settlement a cy pres award would be paid to organizations the defendant approved, primarily data privacy organizations that agree to use the funds to research and promote browser privacy. It also included class counsel’s fees and costs, and incentive awards for named class representatives. One objector argued that the cy pres money belongs to the class as compensation and challenged the choice of cy pres recipients because of their pre-existing relationships with Google and class counsel. The Third Circuit vacated, stating that the “cursory certification and fairness analysis were insufficient for us to review its order certifying the class and approving the settlement. The settlement agreement’s broad release of claims for money damages and its designation of cy pres recipients are particularly concerning.” View "In Re: Google Inc. Cookie Placement Consumer Privacy Litigation" on Justia Law

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Oberdorf walked her dog with a retractable leash. Unexpectedly, the dog lunged. The D-ring on the collar broke and the leash recoiled and hit Oberdorf’s face and eyeglasses, leaving Oberdorf permanently blind in her left eye. Oberdorf bought the collar on Amazon.com. She sued Amazon.com, including claims for strict products liability and negligence. The district court found that, under Pennsylvania law, Amazon was not liable for Oberdorf’s injuries. A third-party vendor, not Amazon itself, had listed the collar on Amazon’s online marketplace and shipped the collar directly to Oberdorf. The court found that Amazon was not a “seller” under Pennsylvania law and that Oberdorf’s claims were barred by the Communications Decency Act (CDA) because she sought to hold Amazon liable for its role as the online publisher of third-party content. The Third Circuit vacated and remanded. Amazon is a “seller” under section 402A of the Second Restatement of Torts and thus subject to the Pennsylvania strict products liability law. Amazon’s involvement in transactions extends beyond a mere editorial function; it plays a large role in the actual sales process. Oberdorf’s claims against Amazon are not barred by section 230 of the CDA except as they rely upon a “failure to warn” theory of liability. The court affirmed the dismissal under the CDA of the failure to warn claims. View "Oberdorf v. Amazon.com Inc" on Justia Law

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Defendants created a publicly searchable “Inmate Lookup Tool” into which they uploaded information about thousands of people who had been held or incarcerated at the Bucks County Correctional Facility since 1938. Taha filed suit, alleging that the County and Correctional Facility had publicly disseminated information on the internet in violation of the Pennsylvania Criminal History Record Information Act, 18 Pa. Cons. Stat. 9102, about his expunged 1998 arrest and incarceration. The district court granted Taha partial summary judgment on liability before certifying a punitive damages class of individuals about whom incarceration information had been disseminated online. The court then found that the only remaining question of fact was whether defendants had acted willfully in disseminating the information. After the court certified the class, the defendants filed an interlocutory appeal. The Third Circuit affirmed the class certification order, rejecting an argument that the district court erred in granting Taha partial summary judgment on liability before ruling on class certification. The court upheld conclusions that punitive damages can be imposed in a case in which the plaintiff does not recover compensatory damages, that punitive damages can be imposed on government agencies, and that the predominance requirement under FRCP 23(b)(3) was met so that a class could be certified. View "Taha v. County of Bucks" on Justia Law