Morrison Foerster’s Class Dismissed blog provides insights, recommendations, and timely reports on the latest defense news, developments, and trends in the most current class actions lawsuits and product liability issues that affect consumer-facing companies. Through Class Dismissed, attorneys from our nationally recognized Consumer Class Action and Products Liability practices offer a real-time assessment of the developments in matters that are shaping the industry. This blog examines the full spectrum of consumer-related class action and product liability lawsuits ranging from false advertising, privacy, consumer product safety, ADA, food misbranding, TCPA, environment, retail, and government actions as well as nationwide and multidistrict litigation class actions.<h2>ABOUT MORRISON FOERSTER</h2>Morrison Foerster is a leading global law firm that transforms complexity into advantage for its clients. Our clients include some of the largest financial institutions, banks, consulting and accounting firms, and Fortune 100, technology, and life sciences companies. Highlighting the firm’s commitment to client service, leadership in market-changing deals and impact litigation, and values-based culture, Morrison Foerster has been repeatedly recognized as one of the top 10 firms on The American Lawyer’s A-List. Year after year, the firm receives significant recognition from Chambers and The Legal 500 across their various guides, including Global, USA, Asia‑Pacific, Europe, UK, Latin America, and FinTech Legal. Our lawyers passionately care about delivering legal excellence while living our values. Morrison Foerster has a long-standing commitment to creating a culture that respects and celebrates differences, while providing an inclusive environment. The firm has achieved Mansfield Certification Plus since 2018 as a result of successfully reaching at least 30 percent women, communities of color, and LGBTQ+ lawyer representation in a notable number of current leadership roles and committees. The firm also has a long history of commitment to the community and society through providing pro bono legal services, including litigating for civil rights and civil liberties, improving public education and fostering the wellbeing of children, advocating for veterans, promoting international human rights, enforcing the right to asylum, and safeguarding the environment.

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Partner

Adam Hunt is a partner in the Litigation Department of Morrison Foerster’s New York office. His practice focuses on complex litigation, with an emphasis on class action and commercial litigation.

Adam Hunt

Alexandra Barlow is a partner in the Litigation Department of Morrison Foerster’s San Diego office.Alexandra litigates product liability matters involving medical devices, pharmaceuticals, consumer products, automobiles, and AI. Alexandra's litigation expertise spans the entire case life cycle in both state and federal courts. She handles all phases of discovery, including fact investigation and expert discovery. Alexandra has taken over twenty-five depositions, including experts, plaintiffs, treating physicians, and third-party witnesses. She drafts and argues motions of all types, including motions for summary judgment, motions to quash, and motions for preliminary injunction.Alexandra has significant trial experience. She has first-chaired a one-week jury trial and second-chaired a five‑week jury trial, both involving multiple claims and witnesses. She also has extensive experience in alternative dispute resolution, representing clients at mediations, mandatory settlement conferences, and early neutral evaluations.Alexandra enjoys tracking developments and keeping her clients updated on product liability and personal injury claims, frequently writing or presenting on emerging areas such as autonomous vehicles and smart devices. Alexandra’s experience also extends to professional liability, warranty claims, eminent domain, and construction law.Alexandra earned her J.D. from the University of San Diego School of Law. While in law school, the San Diego Law Review published her comment on the recovery of damages by plaintiffs in a persistent vegetative state, and she also served as a comment editor. She received her B.A. from the University of California, Los Angeles, where she majored in Political Science and minored in Spanish. A San Diego native, she attended a Spanish immersion school through the eighth grade. Alexandra is active in the San Diego community, advising students at a local college. She is also a member of several legal organizations in San Diego, including Lawyer’s Club, the Association of Business Trial Lawyers, and Wallace Inn of Court.

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Alexandra Barlow is a partner in the Litigation Department of Morrison Foerster’s San Diego office. Alexandra litigates product liability matters involving medical devices, pharmaceuticals, consumer products, automobiles, and AI. Alexandra’s litigation expertise spans the entire case life cycle in both state and federal courts. She handles all phases of discovery, including fact investigation and expert discovery. Alexandra has taken over twenty-five depositions, including experts, plaintiffs, treating physicians, and third-party witnesses. She drafts and argues motions of all types, including motions for summary judgment, motions to quash, and motions for preliminary injunction.

Alexandra Barlow is a partner in the Litigation Department of Morrison Foerster’s San Diego office. Alexandra litigates product liability matters involving medical devices, pharmaceuticals, automobiles, AI, and robotics. Alexandra's litigation expertise spans the entire case life cycle in both state and federal courts. She handles all phases of discovery, including fact investigation and expert discovery. Alexandra has taken over twenty-five depositions, including experts, plaintiffs, treating physicians, and third-party witnesses. She drafts and argues motions of all types, including motions for summary judgment, motions to quash, and motions for preliminary injunction.

Alexandra Barlow

<div class="videoWrapper"><iframe frameborder="0" class="sticky-video" allowfullscreen="1" title="Meet Penny Preovolos, Litigation Partner" src="https://www.youtube-nocookie.com/embed/hv7hYn-Bl7c?rel=0&showinfo=0;vq=hd1080" title="iframe"></iframe></div>Penelope has served as lead counsel in major consumer class actions and antitrust cases for more than 35 years, successfully representing high-profile defendants in antitrust, consumer fraud, and product defect matters. Her clients span a range of industries, including consumer electronics, technology, retail, publishing, food and beverage, cosmetics, and household products. According to Chambers USA, Penelope has a “great reputation for antitrust and product liability work” and is a “superb all-around antitrust lawyer.”Penelope was named the 2019 Antitrust Lawyer of the Year by the Antitrust, UCL, and Privacy Section of the California Lawyers Association. She was co-chair of MoFo’s antitrust practice for 14 years. She has served as chair of the Antitrust and Trade Regulation Section of the State Bar of California and as a member of the Ninth Circuit Advisory Committee on Local Rules and Operations. She is an editor of and frequent contributor to Morrison & Foerster’s <a href="https://classdismissed.mofo.com/">Class Dismissed blog</a>, as well as a frequent speaker about class action and antitrust issues.More About PenelopePenelope clerked for the Honorable Charles M. Merrill, United States Court of Appeals for the Ninth Circuit. She graduated cum laude from Harvard Law School, where she was executive editor of the Harvard Civil Rights – Civil Liberties Law Review. Penelope was a member of Phi Beta Kappa at the University of California, Berkeley. She was awarded the University Medal, the highest undergraduate honor at the university, as well as the English Departmental Citation (awarded to the outstanding graduate in that department).

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Senior Counsel

Penelope has served as lead counsel in major consumer class actions and antitrust cases for more than 35 years, successfully representing high-profile defendants in antitrust, consumer fraud, and product defect matters. Her clients span a range of industries, including consumer electronics, technology, retail, publishing, food and beverage, cosmetics, and household products.

Penelope A. Preovolos

Zak is an associate in the Litigation Department in Morrison Foerster’s New York office.Zak’s practice focuses on class actions, commercial litigation, white collar defense, government investigations, and antitrust litigation and counseling. He has represented clients before federal and state courts in complex commercial matters, as well as in arbitration tribunals.Zak received his J.D. from New York University School of Law in 2018, where he was inducted into the Order of the Barristers. During law school, Zak also served as the Marden executive editor for the NYU Law Moot Court Board. In 2013, Zak received his B.A. and M.A. in political science from Yale University, receiving honors in his major and the Ellsworth Prize for Best Senior Essay in the Social Sciences.

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Associate

Zak Newman

Mitchell A. Hokanson is an associate in the Litigation Department of Morrison Foerster’s San Diego office.Mitchell’s practice focuses on commercial litigation and consumer class actions. He has extensive experience with civil litigation, including managing day-to-day strategy, propounding and responding to discovery, taking and defending depositions, and engaging in motion practice. He also has experience providing regulatory advice to clients, including pro bono partners and multinational corporations. Mitchell maintains an active pro bono practice.After law school, Mitchell worked as a judicial clerk for Justice Susan M. Carney of the Alaska Supreme Court, where he drafted bench memoranda and opinions on a wide range of state and federal law topics. Prior to joining MoFo, Mitchell worked for another international law firm, where he was a member of the Complex Civil Litigation practice group, in Los Angeles, California.Mitchell received his J.D. from Columbia Law School, where he was honored as a James Kent Scholar and Harlan Fiske Stone Scholar. While in law school he was the senior executive editor of the Columbia Journal of Environmental Law and worked as a judicial intern for Judge Sandra S. Ikuta of the United States Court of Appeals for the Ninth Circuit and Judge George B. Daniels of the United States District Court, Southern District of New York. Prior to that, Mitchell earned his B.A. from Stanford University.

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Mitchell Hokanson

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Software Gains New Status as a Product Under Strict Liability Law

MAHA Commission Publishes Report to Highlight Childhood Chronic Disease Drivers

Tenth Circuit Denies Challenge to CPSC Rule Regulating High-Powered Magnets

Ousted CPSC Democrats Fight Back Against President Trump

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LinkedIN

The fate of the FTC’s long-awaited final “Click-to-Cancel” rule has become tangled in uncertainty as it faces numerous lawsuits and the new incoming presidential administration.In October, the FTC published its Final Rule requiring sellers to make it as easy to cancel a recurring subscription as it was to sign up (read our <a href="https://www.mofo.com/resources/insights/241107-the-ftc-issues-final-rule-on-click-to-cancel" target="_blank">client alert</a> breaking down the key requirements of the Final Rule). The Final Rule was passed against an ever-growing patchwork of state laws governing subscriptions, which has posed significant compliance challenges for companies offering automatic renewal contracts in the U.S. While sellers are expected comply with the majority of the Final Rule’s requirements by May 14, 2025, legal challenges to the Final Rule may delay this compliance date, and political challenges may defeat the Final Rule altogether.Read the full <a href="https://www.mofo.com/resources/insights/250109-the-ftc-s-final-click-to-cancel-rule" target="_blank">client alert</a>.

Unilever USA Inc.

Waymo LLC v. Uber Technologies Inc. et al.

Phoenix Technologies, Ltd. v. VMware, Inc.

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Camila Tapernoux is an associate in the Litigation Department of Morrison Foerster’s San Francisco office. Her practice focuses on complex litigation with an emphasis on class action and commercial 

Camila A. Tapernoux

Camila Tapernoux

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Carson Martinez is an associate in the Litigation Department of Morrison Foerster’s Boston office.

Carson Martinez

The FTC’s Final “Click-to-Cancel” Rule Faces Legal and Political Hurdles

Interest in the “right-to-repair” movement continues to grow, as a number of states propose new legislation in this realm for consumer electronics, with five states successfully enacting such laws. But these laws are not uniform; they focus on different right-to-repair principles, protect different classes of consumers, and exempt products from different industries. Affected businesses must stay abreast of the intricacies of each jurisdiction’s law, including its scope, applicability, and enforcement mechanism, to avoid potential penalties for noncompliance.As we previously reported in our August 25, 2023 <a href="https://classdismissed.mofo.com/topics/right-to-repair-laws-coming-soon-to-a-state-near-you" target="_blank">blog post</a>, three states—New York, Minnesota, and California—passed consumer electronics-focused right-to-repair laws last year. In 2024, Colorado and Oregon followed suit, although Colorado expanded the scope to agricultural equipment and powered wheelchairs. In addition, more than a dozen states have considered or are considering right to repair bills for digital electronic equipment.Oregon’s right to repair law is the first to ban “parts pairing”—i.e., using software to identify component parts with a unique identifier—to prevent the installation or functioning of a replacement part, inhibit or reduce the functionality or performance of a replacement part, or display false or misleading alerts regarding unidentified parts. Colorado’s law and the Repair Association’s 2024 version of the “<a href="https://docs.google.com/document/d/1P7Cq2QOU4gzrgJh6JzSDv4tccDu38x7n1k-noEfIuP4/edit?tab=t.0" target="_blank">Model State Digital Electronics Right to Repair Act</a>” (the Model Act) also explicitly prohibit parts pairing.Below is an updated chart that compares and contrasts each law’s main features:<div data-reactroot=""><img class="rich-text-embed-image" alt="Right to repair chart" src="https://media2.mofo.com/v3/images/blt5775cc69c999c255/blt7a0f382d96bc5d29/677333c8f3e7d99f46865ce6/241227-graphic.PNG?format=auto&amp;quality=60"/></div>Looking AheadAs right-to-repair legislation for digital electronic equipment continues to spread across the United States, manufacturers should take a proactive approach by developing compliance strategies and determining whether those measures are sufficient for each state’s law. Morrison Foerster’s products liability team remains available to assist with understanding the potential impact of these laws on your operations and legal strategies.<hr class="divider"><a href="#_ftnref1" target="_self">[1]</a> A violation of the Digital Fair Repair Act is a deceptive trade practice, and “[a]ll remedies, penalties, and authority granted to the attorney general under section 8.31 are available to the attorney general to enforce this section.” Minn. Stat. § 325E.72, Subd. 4 (2023).<a href="#_ftnref2" target="_self">[2]</a> Colorado’s bill addresses neither an enforcement mechanism nor a civil penalties scheme, but the fiscal note for the bill suggests that a violation of the state’s right-to-repair law for digital electronic equipment is a deceptive trade practice. Brendan Fung, HB 24-1121 Final Fiscal Note, Colorado General Assembly (June 24, 2024), https://leg.colorado.gov/sites/default/files/documents/2024A/bills/fn/2024a_hb1121_f1.pdf. Under the Colorado Consumer Protection Act, any person who engages in a deceptive trade practice may be subject to a civil penalty of up to $20,000 for each violation. Colo. Rev. Stat. § 6-1-112(1)(b) (2023).<a href="#_ftnref3" target="_self">[3]</a> The Repair Association’s 2024 version of the Right to Repair Legislative Template adds the following provision regarding security-related features: “Nothing in this section shall be construed to require a manufacturer to make available special documentation, tools, and parts that would disable or override anti-theft security measures set by the owner of the product without the owner’s authorization.” Comparing the 2023 and 2024 Right to Repair Legislative Templates, Right to Repair Legislation, <a href="https://www.repair.org/legislation" target="_blank">https://www.repair.org/legislation</a> (last visited Nov. 4, 2024).<a href="#_ftnref4" target="_self">[4]</a> No, unless “the individual components may pose a heightened safety risk if installed improperly.” N.Y. Gen. Bus. Law § 399-nn(3)(i) (McKinney 2023).<a href="#_ftnref5" target="_self">[5]</a> The MN Act is silent on this topic. Like California’s Act, Minnesota defines “part” to include “any replacement part or assembly of parts[.]” Minn. Stat. § 325E.72, Subd. 2(p) (2023).<a href="#_ftnref6" target="_self">[6]</a> The CA Act is silent on this topic. However, the CA Assembly on Privacy and Consumer Protection’s 06/23/23 Analysis stated that “the bill’s definition of ‘part’ includes an ‘assembly of parts.’ [So] if it would be hazardous for a product owner or repairperson to handle a specific component, the manufacturer can provide the component as part of a safer-to-handle assembly.” Jesse Gabriel, SB-244 Bill Analysis, CA Assembly Committee on Privacy and Consumer Protection (June 21, 2023).<a href="#_ftnref7" target="_self">[7]</a> No, “except as necessary to provide documentation, parts, and tools on fair and reasonable terms.” Minn. Stat. § 325E.72, Subd. 5(a) (2023).<a href="#_ftnref8" target="_self">[8]</a> No, “[e]xcept as necessary to comply with this section.” Cal. Pub. Res. Code § 42488.2(c) (2023).<a href="#_ftnref9" target="_self">[9]</a> No, “except as necessary to provide, on fair and reasonable terms, any documentation, tool, part or other device or implement used to diagnose, maintain, repair or update consumer electronic equipment.” S.B. 1596, 82nd Leg. Assemb., 2024 Reg. Sess. (Or. 2024).<a href="#_ftnref10" target="_self">[10]</a> No, “except that a manufacturer shall not refuse to make available to an independent repair provider or owner any documentation, part, embedded software, embedded software for agricultural equipment, firmware, tool, or, with owner authorization, data necessary to provide services on grounds that the documentation, part, embedded software, embedded software for agricultural equipment, firmware, tool, or, with owner authorization, data itself is a trade secret.” H.B. 1121, 74th Gen. Assemb., 2024 Reg. Sess. (Colo. 2024).<a href="#_ftnref11" target="_self">[11]</a> No, “except as necessary to provide documentation, parts, and tools on fair and reasonable terms.” Minn. Stat. § 325E.72, Subd. 5(a) (2023).<a href="#_ftnref12" target="_self">[12]</a> No, “[e]xcept as necessary to comply with this section.” Cal. Pub. Res. Code § 42488.2(c) (2023).<a href="#_ftnref13" target="_self">[13]</a> No, “except as necessary to provide, on fair and reasonable terms, any documentation, tool, part or other device or implement used to diagnose, maintain, repair or update consumer electronic equipment.” S.B. 1596, 82nd Leg. Assemb., 2024 Reg. Sess. (Or. 2024).<a href="#_ftnref14" target="_self">[14]</a> No, “unless such licensing is necessary for providing services[.]” H.B. 1121, 74th Gen. Assemb., 2024 Reg. Sess. (Colo. 2024).<a href="#_ftnref15" target="_self">[15]</a> Yes, except the following is not prohibited: “(I) The use of parts pairing to enable digital electronic equipment to record, catalog, and display information related to repairs done on that digital electronic equipment; or (II) A manufacturer’s use of parts pairing for standalone biometric components used for authentication purposes in digital electronic equipment, which components are not bundled in commonly replaced parts, such as a device’s screen, keyboard, ports, or battery.” H.B. 1121, 74th Gen. Assemb., 2024 Reg. Sess. (Colo. 2024).

Right-to-Repair Laws: The Trend Continues

Fertility Center Litigation

Fitbit

MicroPort

Leading Healthcare, Pharmaceutical, and Medical Device Company

Lethal Injection Matters – Major Pharmaceutical Company

Pain Pump Matters – Large Pharmaceutical Company

Major Technology Company

Leading Chemical Company

Security Device Company

In re Air Crash Near Peixoto de Azevedo, Brazil

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Co-Chair, Litigation Department

Erin Bosman is the global co-chair of Morrison Foerster’s litigation department. Erin is also the founder and co-head of the Artificial Intelligence group and former chair of the Complex Litigation + Advisement practice group. Clients value her business strategy, seeking her comprehensive counsel throughout the product life cycle, especially in high-stakes litigation and product recalls.

Erin M. Bosman

Erin Bosman is the Global Co-Chair of Morrison Foerster’s Litigation Department. Erin is also the founder and co-head of the Artificial Intelligence Group and former chair of the Complex Litigation + Advisement Practice Group. Clients value her business strategy, seeking her comprehensive counsel throughout the product life cycle, especially in high-stakes litigation and product recalls.

Erin Bosman

An orthopedic implant company

A children&rsquo;s monthly subscription service product

A fertility company

A major technology company

A smart fitness equipment company

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Julie Park provides analytic and strategic counsel for issues in product life cycle, product liability and defective products, consumer class actions, and more.

Julie Park

Julie Park | Product Liability Lawyer

Julie Park protects her clients’ products no matter what kind of product issue they face—whether it is planning for new product development, recalling an existing product, or defending clients against product liability or consumer class actions. Drawing on her deep technical and legal expertise, Julie counsels clients on consumer product safety regulation and pharmaceutical and medical device preemption while also managing complex and multijurisdictional litigation both in state and federal court.

Julie Y. Park

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Taylor Halby is an associate in the Litigation Department of Morrison Foerster’s San Diego office.

Taylor A. Halby

Taylor Halby

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Right-to-Repair Laws: The Trend Continues

Consumer Product Safety Enforcement To Heat Up Under Biden Administration

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Consumer Products

Product Liability

Consumer products businesses should know that “right to repair” laws are here to stay. Frustrated with restrictions on repairing consumer electronics, advocacy organizations spearheaded a grassroots “right to repair” movement that is gaining traction. Publicly endorsed by the <a href="https://www.whitehouse.gov/briefing-room/presidential-actions/2021/07/09/executive-order-on-promoting-competition-in-the-american-economy/" target="_blank" dir="ltr">White House</a> and the <a href="https://www.ftc.gov/system/files/documents/reports/nixing-fix-ftc-report-congress-repair-restrictions/nixing_the_fix_report_final_5521_630pm-508_002.pdf" target="_blank">Federal Trade Commission</a>, the “right to repair” movement presses manufacturers to give everyone access to the same repair resources that before had only been available to manufacturers and licensed repair vendors. Thus, affected businesses need to become familiar with new regulatory obligations in a growing number of jurisdictions.BackgroundNew York was the trailblazer in this space, enacting the first “right to repair” law in the U.S.: the <a href="https://www.nysenate.gov/legislation/bills/2023/S1320" target="_blank">New York Digital Fair Repair Act</a>, which was signed into law on March 3, 2023. Next year, the <a href="https://www.revisor.mn.gov/laws/2023/0/Session+Law/Chapter/57/" target="_blank">Minnesota Digital Fair Repair Act</a> will go into effect, and the <a href="https://leginfo.legislature.ca.gov/faces/billCompareClient.xhtml?bill_id=202320240SB244&showamends=false" target="_blank">California Right to Repair Act</a> will likely follow suit later in 2024. Several more bills are on the road to enactment, with at least 22 state legislatures currently considering “right to repair” bills.Behind many of these bills is the Repair Association, a trade organization that developed the “<a href="https://www.repair.org/legislation" target="_blank">Right to Repair & Fair Repair Legislative Template</a>” (the Model Act). The Model Act reflects the policy objectives of the “right to repair” movement:<ul><li dir="ltr">Ensure that owners and unaffiliated repair vendors have access to the same resources available to the manufacturer or licensed repair vendors;</li><li dir="ltr">Allow owners to service their products at the repair vendor of their choice;</li><li dir="ltr">Legalize the unlocking, adapting, and modifying of any part (including software); and</li><li dir="ltr">Require implementation of “design for repair” principles in product design practices.</li></ul>Generally, “right to repair” laws require manufacturers to make repair parts, tools, and documentation publicly available if they are also available to the manufacturers and licensed repair vendors. Manufacturers must make these resources available on “fair and reasonable terms” and can do so directly to consumers or through affiliated repair vendors. However, each jurisdiction’s law has its own features and scope. This article compares and contrasts some of each law’s main features and presents key takeaways for affected businesses.Key TermsOriginal Equipment Manufacturers (OEMs): Most often, OEMs are businesses that engage in selling or leasing digital electronic equipment that they manufacture or that is manufactured on their behalf. These are covered entities and individuals.Digital Electronic Equipment (DEE): This refers to covered products, largely targeting personal electronics like cell phones, tablets, and computers. Many consumer products that rely on “embedded digital electronics” may also qualify. Each jurisdiction uniquely exempts or includes certain equipment, although some products like video game consoles are routinely exempted.Authorized Repair Providers (ARPs): These are repair vendors that previously had exclusive access to repair resources. An ARP can be the OEM itself or a repair vendor that is directly affiliated with or licensed by the OEM.Independent Repair Providers (IRPs): This term is used broadly and refers to anyone making repairs that is not considered an ARP. Essentially, an individual or business that conducts repairs on DEE and is not affiliated with or licensed by the OEM.Comparison Chart<table dir="ltr" id="_ftnref5"><colgroup data-width='726'><col style="width:41.32231404958678%"><col style="width:15.013774104683195%"><col style="width:13.911845730027547%"><col style="width:14.18732782369146%"><col style="width:15.564738292011018%"></colgroup><tbody dir="ltr" id="_ftnref5"><tr><td> </td><td>NY</td><td>MN</td><td>CA</td><td>Model</td></tr><tr><td>When does the law go into effect?</td><td>Dec. 28, 2023</td><td>July 1, 2024</td><td>Jan. 1, 2024(Proposed)</td><td>N/A</td></tr><tr><td>What are the penalties?</td><td>Up to $500 per violation.</td><td>Up to $25k, injunctive relief, and attorneys’ fees. <a href="#_ftn1" target="_self">[1]</a></td><td>$1k–$5k per day.</td><td>Mirror state’s deceptive trade practices act.</td></tr><tr><td>Is there a written notice requirement for IRPs?</td><td>Yes.</td><td>No.</td><td>Yes.</td><td>No.</td></tr><tr><td>Are there exceptions for security-related features?</td><td>Yes.</td><td>Yes.</td><td>Yes.</td><td>No.</td></tr><tr id="_ftnref1"><td>Can an OEM provide pre-assembled parts instead of individual components?</td><td>No, unless safety issues. <a href="#_ftn2" target="_self">[2]</a></td><td>Not addressed. <a href="#_ftn3" target="_self">[3]</a></td><td id="_ftnref1">Not addressed.<a href="#_ftn4" target="_self">[4]</a></td><td>Not addressed.</td></tr><tr><td>Do repair resources need to be available for modifying DEE?</td><td>No.</td><td>No.</td><td>Not addressed.</td><td>Not addressed.</td></tr><tr id="_ftnref3"><td>Is an OEM required to divulge any trade secrets?</td><td>No.</td><td id="_ftnref2">No, with limited exceptions.<a href="#_ftn5" target="_self">[5]</a></td><td id="_ftnref3">No, with limited exceptions.<a href="#_ftn6" target="_self">[6]</a></td><td>No.</td></tr><tr id="_ftnref5"><td>Is an OEM required to license any intellectual property?</td><td>No.</td><td id="_ftnref4">No, with limited exceptions.<a href="#_ftn7" target="_self">[7]</a></td><td id="_ftnref5">No, with limited exceptions.<a href="#_ftn8" target="_self">[8]</a></td><td>Not addressed.</td></tr><tr dir="ltr"><td>Is an OEM or ARP liable for damage that occurs due to repairs performed by an IRP?</td><td>No.</td><td>No.</td><td>No.</td><td dir="ltr">No.</td></tr></tbody></table>Key Takeaways“Right to repair” laws will soon go into effect, expanding quickly into more U.S. jurisdictions. While they share many similarities, these laws can vary significantly in scope. Currently the Model Act is the broadest and offers the fewest exceptions for manufacturers, presenting significant implications for a business’s intellectual property portfolio, trade secrets, and product security features.Businesses should verify whether their products are considered DEE and fall under the scope of these laws, what compliance measures are necessary, and if those compliance measures satisfy requirements in all applicable jurisdictions. The most challenging determination is likely whether individual products are considered covered DEE in each jurisdiction. The statutory definitions are vague, with no available precedent to help determine whether products not explicitly addressed qualify.Overall, taking a proactive approach will help businesses reduce the risk of encountering unexpected “right to repair” enforcement actions. There is still time to develop effective and cost-efficient compliance strategies before these laws go into effect. Morrison Foerster’s products liability team is ready to assist in these efforts and will provide updates as future legislation and enforcement actions develop.Julie Harrison, a summer associate in Morrison Foerster’s San Diego office, contributed to this alert.<a href="#_ftnref1" target="_self">[1] </a>A violation of the Digital Fair Repair Act is a deceptive trade practice, and “[a]ll remedies, penalties, and authority granted to the attorney general under section 8.31 are available to the attorney general to enforce this section.” Minn. Stat. § 325E.72, Subd. 4 (2023).<a href="#_ftnref2" target="_self">[2]</a> No, unless “the individual components may pose a heightened safety risk if installed improperly.” N.Y. Gen. Bus. Law § 399-nn(3)(i) (McKinney 2023).<a href="#_ftnref3" target="_self">[3]</a> The MN Act is silent on this topic. Like California’s Act, Minnesota defines “part” to include “any replacement part or assembly of parts[.]” Minn. Stat. § 325E.72, Subd. 2(p) (2023).<a href="#_ftnref4" target="_self">[4]</a> The CA Act is silent on this topic. However, the CA Assembly on Privacy and Consumer Protection’s 06/23/23 Analysis stated that “the bill’s definition of ‘part’ includes an ‘assembly of parts.’ [So] if it would be hazardous for a product owner or repairperson to handle a specific component, the manufacturer can provide the component as part of a safer-to-handle assembly.” Jesse Gabriel, SB-244 Bill Analysis, CA Assembly Committee on Privacy and Consumer Protection (June 21, 2023).<a href="#_ftnref5" target="_self">[5]</a> No, “except as necessary to provide documentation, parts, and tools on fair and reasonable terms.” Minn. Chap. Law 57 Sec. 11 Subd. 5(a) (2023).<a href="#_ftnref6" target="_self">[6]</a> No, “except as necessary to comply with this section.” S.B 244, Leg. 42488.2 (c), 2023-2024 Reg. Sess. (Cal. 2023).<a href="#_ftnref7" target="_self">[7] </a>No, “except as necessary to provide documentation, parts, and tools on fair and reasonable terms.” Minn. Chap. Law 57 Sec. 11 Subd. 5(a) (2023).<a href="#_ftnref8" target="_self">[8]</a> No, “except as necessary to comply with this section.” S.B 244, Leg. 42488.2 (c), 2023-2024 Reg. Sess. (Cal. 2023).

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Right to Repair Laws: Coming Soon to a State Near You

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Consumer products businesses should know that “right to repair” laws are here to stay. Frustrated with restrictions on repairing consumer electronics, advocacy organizations spearheaded a grassroots “right to repair” movement that is gaining traction.

Right to Repair Laws: Coming Soon to a State Near You

Meta recently agreed to settle one of the longest-running data privacy lawsuits in the United States.<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftn1">[1]</a>  The lawsuit challenged the company’s use of cookies to track users, including after they have logged out of their Facebook accounts.  The significance of In re Facebook, Inc. Internet Tracking Litigation, however, is not so much the decade-long litigation in the Ninth Circuit as the proposed settlement, which would require Facebook to “sequester and delete” all user data that was allegedly collected unlawfully during the class period.<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftn2">[2]</a>  This form of non-monetary relief seems unprecedented in private privacy class actions in the U.S.  If approved, such relief could be adopted in future actions alleging unlawful data collection.  In this article, we explore some of the corresponding implications.Although novel in U.S. private privacy class cases, the “sequester and delete” requirement is not without recent precedent in regulatory enforcement actions.  The Federal Trade Commission recently announced a settlement requiring a weight loss company to delete not only the unlawfully collected data, but also any algorithms or other work product derived from that data.<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftn3">[3]</a>  This was not the first time that deletion was part of a settlement involving the FTC: in January 2021, the same was required in a settlement between the FTC and a photo app.<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftn4">[4]</a>  Other varieties of private class action have long resulted in similar relief; for example, under the Fair Debt Collection Practices Act, a debt collector that fails to verify an individual’s debts can be required to contact credit reporting agencies and have the debt deleted from the individual’s credit report.Retaining the subject data following a data privacy lawsuit settlement can have ongoing liability risk with respect to the ongoing use of that data and, as is true in most jurisdictions, it is difficult, if not impossible, to enforce a release covering future liability.  But once the subject data is destroyed, there is no longer a risk of future liability stemming from the use of that data.  For this reason, deletion can be a preventative measure that reduces the likelihood of exposure to future liability.  By the same token, deletion is one way for the defendant to add value to the settlement without incurring additional out-of-pocket costs.Requiring deletion pursuant to a settlement agreement would also provide plaintiffs with a form of relief that may not have been available at trial.  Privacy class actions usually involve statutory claims, in which case the relief sought and granted is limited to what is provided for in the statute (often statutory damages), or claims in contract and tort law. The relief in those cases is also usually monetary relief and/or an injunction to prevent the defendant from continuing the allegedly unlawful act<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftn5">[5]</a> or from disseminating—but not keeping—the inappropriately collected information.<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftn6">[6]</a>  An agreement that the defendant will not benefit from the data that has already been taken, however, has not been a common remedy either sought or granted in trial courts.Overall, including deletion as part of a class action settlement concerning unlawful data collection may be trending in the U.S. and for good reason: it may reduce risks and costs to defendants, add value to the settlement, and provide plaintiffs with meaningful forms of relief.Morrison & Foerster law clerk Sophie Barnett contributed to the writing of this post.<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftnref1">[1]</a> Motion for Certification of Settlement Class and Preliminary Approval of Class Action Settlement, In re Facebook Internet Tracking Litigation, No. 5:20-MD-2314-EJD (N. D. Cal.), Dkt. No. 232.<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftnref2">[2]</a> Id. at 12.<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftnref3">[3]</a> Federal Trade Commission, FTC Takes Action Against Company Formerly Known as Weight Watchers for Illegally Collecting Kids’ Sensitive Health Data (March 4, 2022), <a href="https://www.ftc.gov/news-events/press-releases/2022/03/ftc-takes-action-against-company-formerly-known-weight-watchers">https://www.ftc.gov/news-events/press-releases/2022/03/ftc-takes-action-against-company-formerly-known-weight-watchers</a>.<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftnref4">[4]</a> Federal Trade Commission, FTC Finalizes Settlement with Photo App Developer Related to Misuse of Facial Recognition Technology (May 7, 2021), <a href="https://www.ftc.gov/news-events/press-releases/2021/05/ftc-finalizes-settlement-photo-app-developer-related-misuse">https://www.ftc.gov/news-events/press-releases/2021/05/ftc-finalizes-settlement-photo-app-developer-related-misuse</a>.<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftnref5">[5]</a> See, e.g., Wolfson v. Lewis, 924 F. Supp. 1413, 1435 (E.D. Pa. 1996).<a href="file:///C:/Users/TLW9/AppData/Local/Microsoft/Windows/INetCache/Content.Outlook/A4F48JTY/FINAL%20(Barnett)%20Class%20Dismissed%20Blog%20(003).DOCX#_ftnref6">[6]</a> See, e.g., Michaels v. Internet Ent. Grp., Inc., 5 F. Supp. 2d 823, 842 (C.D. Cal. 1998).

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Jessica’s practice focuses on complex civil litigation, with an emphasis on class action, financial services litigation and enforcement, and commercial disputes. Recent representative matters include the defense of a leading marketplace lender in a putative nationwide class action under state usury laws; a major consumer products company in multidistrict antitrust litigation; a

Jessica Kaufman

Jessica’s practice focuses on complex civil litigation, with an emphasis on class action, financial services litigation and enforcement, and commercial disputes. Recent representative matters include the defense of a leading marketplace lender in a putative nationwide class action under state usury laws; a major consumer products company in multidistrict antitrust litigation; a professional services firm in a malpractice action; a lingerie company facing consumer protection claims, including claims of false advertising; and financial institutions facing claims under the federal and state contract and antitrust laws, RICO Act, Right to Financial Privacy Act, Fair Debt Collection Practices Act, and state unfair and deceptive practices statutes. She also regularly advises and represents clients in complex commercial disputes.What do you like best about your work? Our work is our role as problem solvers. As litigators, we help clients address immediate problems. But when we know our clients and their businesses well, our clients also turn to us for longer term advice, to help identify issues before they arise, and think about how to do things better.What do you enjoy doing in your free time? I try to work with my hands. I started learning wheel-thrown pottery last year and enjoy forcing my family and friends to accept impractically shaped mugs, not just at Christmas, but — lucky for them — all year long.How do you see your practice changing in the next few years? I see my practice including more state AG enforcement work in the years ahead. The regulatory environment for our financial services clients is poised to change dramatically at the federal level; active AGs in New York and California will see that as an opportunity to fill the void.

Adam Hunt is a partner in the Litigation Department of Morrison Foerster’s New York office. His practice focuses on complex litigation, with an emphasis on class action and commercial litigation.

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Deleting the Data: A Future Trend in Data Privacy Settlements?

Deleting the Data: A Future Trend in Data Privacy Settlements?

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Meta recently agreed to settle one of the longest-running data privacy lawsuits in the United States.[1]  The lawsuit challenged the company’s use of cookies to

Privacy

As subscription models have gained exponential traction, legislatures are clamoring to ensure that their auto-renewal laws keep up with novel consumer protection issues. Several states have introduced or revised their auto-renewal laws, and the Federal Trade Commission has affirmed its commitment to enforce against unlawful offers. Perhaps most notably, California—already a leader in state auto-renewal laws—has significantly amended its law, with the amendments taking effect on July 1, 2022. Other new state requirements took effect on January 1, 2022.To learn more, <a href="https://www.mofo.com/resources/insights/220113-recent-auto-renewal-law-changes.html">read our client alert</a>.