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ARTICLE · 15 MAY 2014

LinkedIn Consumer Class Action Survives Motion To Dismiss

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It appears that California’s consumer-friendly Unfair Competition Law encompasses claims made regarding website privacy policies.

United StatesLitigation, Mediation & Arbitration

It appears that California's consumer-friendly Unfair Competition Law, Cal. Bus & Prof. Code §17200 et seq. ("UCL"), encompasses claims made regarding website privacy policies. In In re LinkedIn User Privacy Litigation, No. 5:12-cv-0388-EJD, a Northern District of California court denied LinkedIn's motion to dismiss a putative class action concerning LinkedIn's allegedly misleading privacy policy statement and held that putative plaintiffs had adequately alleged causation and injury under the UCL.

This case arises from a data security breach in which hackers stole usernames and passwords from LinkedIn. In other cases, plaintiffs have attempted to establish injury by alleging that the theft of login information increased the likelihood of identity theft. Rather than use this nebulous theory, the lead plaintiff in In re LinkedIn is claiming that her injury stemmed from payment for LinkedIn premium service in reliance on LinkedIn's statement that her information "will

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