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Economic Loss Doctrine

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Court of Appeal (Cal.) Explains Economic Loss Rule in Lemon Law Case

by Scott J. Hyman |

In Dhital v. Nissan N. Am., Inc., No. A162817, 2022 Cal. App. LEXIS 887, at *11-22 (Ct. App. Oct. 26, 2022), the California Court of Appeal found that the economic loss rule did not bar a fraudulent inducement claim so long as the claim was completely separate and apart from the Song-Beverly warranty claim. As noted, the trial court sustained… Read More

District Court (Cal.) Allows Data Breach Class Action to Proceed

by Scott J. Hyman |

In Stasi v. Inmediata Health Grp. Corp., No. 19cv2353 JM (LL), 2020 U.S. Dist. LEXIS 217097 (S.D. Cal. Nov. 19, 2020), Judge Miller allowed a data security breach class action to proceed.  The basis of the class action was as follows: According to Plaintiffs' FAC,1 Inmediata provides billing and health record software and service solutions to healthcare providers. (FAC ¶¶… Read More

District Court (Oh.) Says Data Breach Case Can Proceed on Negligence Theory Proceeding on Duty to Predict Criminal Act

by Scott J. Hyman |

In In re Sonic Corp. Customer Data Sec. Breach Litig., No. 1:17-md-2807, 2020 U.S. Dist. LEXIS 114891 (N.D. Ohio July 1, 2020), Judge Gwin allowed a negligence claim to stand in a data breach case against Sonic.  The facts were as follows. Sonic restaurants are largely franchisee-owned. Sonic Defendants only directly own about 6% of Sonic restaurants. However, Sonic exerts… Read More

District Court (Cal.) Allows Data Breach Claim to Proceed

by Scott J. Hyman |

In In re Solara Med. Supplies, LLC Customer Data Sec. Breach Litig., No. 3:19-cv-2284-H-KSC, 2020 U.S. Dist. LEXIS 80736 (S.D. Cal. May 7, 2020), Judge Huff allowed a data breach claim to proceed. The facts were as follows: On November 13, 2019, Solara Medical Supplies, LLC ("Solara") notified its customers of a security incident that may have compromised the information… Read More