Consumer Litigation & Enforcement

The threat of individual consumer and class action lawsuits requires businesses to be keenly aware when their actions may result in claims affecting groups of individuals. Stradling lawyers have been defending these types of cases for more than three decades, and participated in the drafting of California’s Rules of Court regarding the proper administration of class cases in California Superior Courts.

Unless defended properly with the correct strategy, plaintiffs often use the class action vehicle to pressure companies into monetary settlements by threatening to make the litigation unnecessarily time consuming and expensive to defend. Stradling litigators work to dismiss the claims or severely limit their scope soon after a suit is filed to save our clients time and money.

We are exceptionally adept at contesting class certification by identifying separate distinct legal and factual issues among the claimant and other threshold defenses. We have an exceptional track record of obtaining dismissals of putative class actions. That is, we win cases at the motion to certify stage. Overlapping or copycat suits are managed through motions for federal multi-jurisdictional consolidation or deference to previously filed actions.

When settlement appears to be in the best interest of the client, our attorneys bring finely honed negotiating skills to the table to obtain the best result. Most class action suits do not reach the trial stage, but when they do, our attorneys present a convincing case crafted to obtain a directed verdict or successful post-trial appeal.

Regulation & Enforcement

For consumer-facing companies navigating rapidly evolving government and regulatory enforcement imperatives, we strike the right balance between business objectives and enforcement risk. If enforcement actions or inquiries do arise, we have experience representing clients before the Federal Trade Commission, Consumer Financial Protection Bureau, and in single or multistate regulatory enforcement actions by state attorneys general.

For novel consumer-based interactive technologies and digital platforms, our attorneys can help shape the narrative around how new laws and regulations will be applied to ensure innovation is encouraged rather than penalized.

Health & Wellness Company Secures Key Victory In Consumer Class Action

Fashion & Apparel Company Defends Auto-Renewal Class Action

Skincare Company Defends Consumer Class Action

Financial Services Company Defends Consumer Class Action

Large Retailer Defends Enforcement Action Regarding "Made in the USA" Claims

Skincare Company Negotiates Favorable Settlement in FTC Enforcement Action

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What You Need to Know About the INFORM Consumers Act

On June 27, 2023, the Integrity, Notification, and Fairness in Online Retail Marketplaces for Consumers Act (the “INFORM Consumers Act” or the “Act”) went into effect. The INFORM Consumers Act applies to online marketplaces – broadly defined to include “consumer-directed” platforms that “facilitate or enable third party sellers to engage in the sale, purchase, payment, storage shipping or delivery of a consumer product” – and requires them to collect, verify, and make available to buyers certain identification information for “high-volume third party sellers” on their platforms (i.e., sellers with more than 200 transactions and $5,000 in revenues in a 12 month period). The Federal Trade Commission (“FTC”) is responsible for enforcing the INFORM Consumers Act, and state attorneys general are provided with the right to bring civil actions against online marktplaces whose noncompliance with the Act affects residents of their states.

The “Dark Side” of Your Website Could Work Against You

Many e-commerce sites are still relying on “dark patterns,” and data privacy regulators have had enough.

Collins Quoted in Law360 on FTC's Meta Platforms Trial

Shareholder Shawn Collins was featured in the article “FTC’s Meta VR Choice: Try, Try Again?” published by Law360 discussing the Federal Trade Commission’s choice to consider whether to continue its in-house trial against Meta Platforms Inc. after a federal judge refused to temporarily block Meta's acquisition of a virtual reality fitness app maker. If the FTC proceeds with the trial, it would be the first time in over 30 years that the agency has done so after losing an injunction bid. Collins remarked, "I have no doubt that the FTC will be on the lookout," said Collins. "It's not a matter of if. It's a matter of when."