Herzog v. Super. Ct.

CourtCalifornia Court of Appeal
DecidedMay 16, 2024
DocketD082847
StatusPublished

This text of Herzog v. Super. Ct. (Herzog v. Super. Ct.) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Herzog v. Super. Ct., (Cal. Ct. App. 2024).

Opinion

Filed 5/16/24

CERTIFIED FOR PUBLICATION

COURT OF APPEAL, FOURTH APPELLATE DISTRICT

DIVISION ONE

STATE OF CALIFORNIA

LARA HERZOG et al., D082847

Petitioners,

v. (San Diego County Super. Ct. Nos. THE SUPERIOR COURT OF SAN 37-2022-00049800-CU-PL-CTL, DIEGO COUNTY, 37-2023-00012889-CU-PL-CTL, 37-2023-00014497-CU-PL-CTL, Respondent; 37-2023-00014471-CU-PL-CTL, 37-2022-00047846-CU-PL-CTL) DEXCOM, INC.,

Real Party in Interest.

*[And four other cases.]

ORIGINAL PROCEEDING on five consolidated petitions for writ of mandate. Relief granted.

 Moore v. Superior Court (No. D082867); Tsakiris v. Superior Court (No. D082868); Campbell Pierre v. Superior Court (No. D082869); Bottiglier v. Superior Court (No. D082978). Tosi Law, Timothy M. Clark and Min J. Koo (pro hac vice) for all Petitioners. No appearance for Respondent. Gordon Reese Scully Mansukhani, Kevin W. Alexander, Renata Ortiz Bloom; UB Greensfelder and Joshua A. Klarfeld (pro hac vice) for Real Party in Interest. INTRODUCTION Henry J. Hebert, Traci Moore, Aliya Campbell Pierre, Tiffanie Tsakiris, and Brenda Bottiglier are diabetic patients whose doctors prescribed the Dexcom G6 Continuous Glucose Monitoring System (Dexcom G6) to manage their diabetes. The Dexcom G6 allegedly malfunctioned and failed to alert each of them that their blood glucose level was either too low or too high, resulting in serious diabetic injuries; and in Hebert’s case, untimely death. Five separate products liability actions were then filed against the manufacturer, Dexcom, Inc. (Dexcom). In response to all five actions, Dexcom moved to compel arbitration. It asserted that each injured party entered a “clickwrap” agreement to arbitrate all disputes when they installed a mobile medical application called the “G6 App” on their personal smart devices to read their glucose levels and clicked the box next to, “I agree to Terms of Use.” Terms of Use was a hyperlink to a separate webpage with contractual terms, including an arbitration provision. Agreeing with Dexcom, the trial court granted Dexcom’s motions in all five cases. Plaintiffs⎯Moore, Pierre, Tsakiris, Bottiglier, and Hebert’s daughters, Lara Herzog and Melanie Samora⎯each petitioned this court for writ of mandate directing the trial court to vacate its orders compelling them to arbitrate. We consolidated the cases and issued an order directing Dexcom to show cause why the relief sought should not be granted. We now grant the

2 petitions and direct the trial court to vacate its orders granting Dexcom’s motions to compel arbitration and to enter new orders denying the motions. On our de novo review, we conclude the trial court erred. Although a clickwrap agreement⎯one in which an internet user accepts a website’s terms of use by clicking an “I agree” or “I accept” button, with a link to the agreement readily available⎯is generally enforceable, Dexcom’s G6 App clickwrap agreement is not. We find that Dexcom undid whatever notice it might have provided of the contractual terms by explicitly telling the user that clicking the box constituted authorization for Dexcom to collect and store the user’s sensitive, personal health information. For this reason, Dexcom cannot meet its burden of demonstrating that the same click constituted unambiguous acceptance of the Terms of Use, including the arbitration provision. Consequently, arbitration agreements were not formed with any of the plaintiffs. FACTUAL AND PROCEDURAL BACKGROUND I. Plaintiffs’ Lawsuits Plaintiffs alleged Dexcom marketed and sold the Dexcom G6 “as a potentially life-saving medical device capable of detecting and preventing hyperglycemic and hypoglycemic events by alerting users of near-dangerous blood glucose levels that may trigger such events.” The prescription medical device replaces fingerstick blood glucose testing and scanning to manage diabetes. It consists of a wearable subcutaneous sensor patch that continuously measures and monitors glucose levels in real time; a transmitter that wirelessly sends glucose information to the user’s display device; and the display device itself. It is designed to “literally ‘sound the alarm’ when a

3 near-dangerous glucose level is detected” so the diabetic patient is provided “at least a 20-minute advance warning and window to avoid a potential hyperglycemic or hypoglycemic event.” Hebert, Moore, Pierre, Tsakiris and Bottiglier each purchased and used the Dexcom G6 as prescribed by their medical provider. But for each, the Dexcom G6 allegedly malfunctioned: it failed to alert them of dangerous glucose levels or stopped transmitting glucose readings, depriving them of the “ ‘golden window’ of time to intervene and prevent a potentially life- threatening medical condition.” As a result, Moore, Pierre, Tsakiris and Bottiglier allegedly suffered serious diabetic injuries, some requiring hospitalization. In Hebert’s case, the Dexcom G6’s malfunction allegedly caused his untimely death. Moore, Pierre, Tsakiris and Bottiglier sued Dexcom to recover damages for their injuries, asserting various causes of actions for products liability (the Moore, Pierre, Tsakiris, and Bottiglier cases). In addition to a survival cause of action on behalf of their father’s estate, Herzog and Samora, Hebert’s daughters, also asserted a wrongful death cause of action against Dexcom in their individual capacity (the Herzog case). II. Dexcom’s Motions to Compel Arbitration In all five cases, Dexcom responded to the operative complaint by moving to compel arbitration and to stay the action pending completion of arbitration. Dexcom’s motions were virtually identical in each case. Their essential premise was that Hebert, Moore, Pierre, Tsakiris, and Bottiglier had used the G6 App and had entered an arbitration agreement with Dexcom during the process required to install the G6 App.

4 As its sole evidence of the purported arbitration agreements, Dexcom submitted a declaration from its senior manager of data privacy, Eric Lovell. Lovell’s declaration was also identical in every case, with one exception we later discuss. Consistent with the plaintiffs’ complaints, Lovell explained the Dexcom G6 consisted of three components: a sensor, a transmitter, and a display device. According to a graphic in the Dexcom G6 “User Guide” (included in plaintiffs’ complaints), the components look like this:

A diabetic person could use the Dexcom receiver as her display device, without installing the G6 App. Or she could elect to use the G6 App to view her glucose data on “a compatible personal mobile device, such as an iPhone.” Lovell explained the process that is required to use the G6 App on a personal mobile device. “Upon initial launch of the G6 App, the G6 App displays a series of startup screens, known as the startup wizard” (which he sometimes called the “setup wizard”), “to have the user configure the device.” The user is required to log in to a Dexcom account to use the G6 App, and if the user does not already have a Dexcom account, the G6 App will require new users to create a Dexcom account. “The setup wizard will then display a set of legal agreements from the web in a webview. The webview 5 communicates to the G6 App when the user hits ‘Submit.’ ” According to Lovell, “The user cannot complete the setup process and use the G6 App without completing all of the aforementioned steps, including the acceptance of Dexcom’s Terms of Use.” Attached as Exhibit D to Lovell’s declaration was a “screenshot depicting the setup wizard steps” he just explained. It looked like this:

In the initial screen on the left, under the words “Your Dexcom Account,” a user is prompted to enter a “Username” and “Password,” and to click on a “Login” button. As we previously mentioned, Lovell explained a user would need to create a Dexcom account if one did not exist, in order to proceed past this initial screen.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Allied-Bruce Terminix Cos., Inc. v. Dobson
513 U.S. 265 (Supreme Court, 1995)
Buckeye Check Cashing, Inc. v. Cardegna
546 U.S. 440 (Supreme Court, 2006)
Pinnacle Museum Tower Ass'n v. Pinnacle Market Development (US), LLC
282 P.3d 1217 (California Supreme Court, 2012)
Avery v. Integrated Healthcare Holdings CA4/3
218 Cal. App. 4th 50 (California Court of Appeal, 2013)
People v. Williams
948 P.2d 429 (California Supreme Court, 1998)
Waller v. Truck Insurance Exchange, Inc.
900 P.2d 619 (California Supreme Court, 1995)
Gonzalez v. Commission on Judicial Performance
657 P.2d 372 (California Supreme Court, 1983)
Rosenthal v. Great Western Financial Securities Corp.
926 P.2d 1061 (California Supreme Court, 1996)
Steven v. Fidelity & Casualty Co.
377 P.2d 284 (California Supreme Court, 1962)
Moncharsh v. Heily & Blase
832 P.2d 899 (California Supreme Court, 1992)
Stephenson v. Drever
947 P.2d 1301 (California Supreme Court, 1997)
Broughton v. Cigna Healthplans
988 P.2d 67 (California Supreme Court, 1999)
Victoria v. Superior Court
710 P.2d 833 (California Supreme Court, 1985)
Madden v. Kaiser Foundation Hospitals
552 P.2d 1178 (California Supreme Court, 1976)
United States v. Sutcliffe
505 F.3d 944 (Ninth Circuit, 2007)
Mosby v. Superior Court
43 Cal. App. 3d 219 (California Court of Appeal, 1974)
Wheeler v. St. Joseph Hospital
63 Cal. App. 3d 345 (California Court of Appeal, 1976)
Russell v. Union Oil Co.
7 Cal. App. 3d 110 (California Court of Appeal, 1970)
Irwin v. Pacific Southwest Airlines
133 Cal. App. 3d 709 (California Court of Appeal, 1982)
Atlas Plastering, Inc. v. Superior Court
72 Cal. App. 3d 63 (California Court of Appeal, 1977)

Cite This Page — Counsel Stack

Bluebook (online)
Herzog v. Super. Ct., Counsel Stack Legal Research, https://law.counselstack.com/opinion/herzog-v-super-ct-calctapp-2024.