Sam Lauer, Individually and On Behalf of All Others Similarly Situated v. John Paul Mitchell Systems

CourtDistrict Court, N.D. Illinois
DecidedDecember 4, 2025
Docket1:25-cv-02438
StatusUnknown

This text of Sam Lauer, Individually and On Behalf of All Others Similarly Situated v. John Paul Mitchell Systems (Sam Lauer, Individually and On Behalf of All Others Similarly Situated v. John Paul Mitchell Systems) is published on Counsel Stack Legal Research, covering District Court, N.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sam Lauer, Individually and On Behalf of All Others Similarly Situated v. John Paul Mitchell Systems, (N.D. Ill. 2025).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION SAM LAUER, Individually and On ) Behalf of All Others Similarly Situated, ) ) No. 25 C 02438 Plaintiff, ) ) Judge John J. Tharp, Jr. v. ) ) JOHN PAUL MITCHELL SYSTEMS, ) ) Defendant. )

MEMORANDUM OPINION AND ORDER For the reasons set forth below, JPMS’s motion to dismiss [36] is granted in part and denied in part. The motion to stay discovery pending ruling on that motion [38] is denied as moot. Lauer is granted leave to amend, consistent with this opinion, by January 9, 2026. I. BACKGROUND John Paul Mitchell Systems (“JPMS”) is a California corporation that sells hair care products throughout the United States. Many of its products are labeled and advertised as “Made in the USA” without qualification. Per federal regulations, products may only be labeled as such if “all or virtually all ingredients or components of the product are made and sourced in the United States.” 16 C.F.R. § 323.2 (2025). Otherwise, the use of a “Made in the USA” label constitutes an unfair or deceptive practice under the Federal Trade Commission Act. Id. Between August 2024 and February 2025, plaintiff Sam Lauer purchased six products from the JPMS Tea Tree line that featured unqualified “Made in the USA” labels.1 He states that he

1 Specifically, Lauer purchased the Tea Tree Lavender Mint Moisturizing Shampoo, the Tee Tree Lavender Mint Moisturizing Conditioner, the Tea Tree Lemon Sage Thickening Shampoo, the Tea Tree Lemon Sage Thickening Conditioner, the Tea Tree Lemon Special “read, believed, and relied upon” the labels and that he “would not have purchased the Products but for the unqualified ‘Made in the USA’ claim.” SAC ¶¶ 66, 81. Lauer subsequently learned that the products contained what he believes to be foreign-sourced ingredients. Specifically, he asserts that tree oil—“the namesake and key ingredient” of the Tea Tree line—is endemic to Australia, and that jojoba seeds, which are used in some Tea Tree products, “are not produced in commercial

quantities in the United States.” Id. ¶¶ 50 & n. 9, 51 & n. 10. Lauer’s qualms are not limited to the six products he purchased. He claims that JPMS labels over 200 additional products (the “Class Products”) as “Made in the USA” despite the fact that they contain various foreign-sourced ingredients. See SAC Ex. A., ECF No. 32-1; SAC ¶¶ 51-56. According to Lauer, JPMS does so in order to “charge[] a premium” and “gain[] a competitive advantage” in the haircare market, leveraging the widespread consumer preference for American- made products. SAC ¶¶ 63-65. In July 2025, Lauer filed this class complaint (“the Complaint”) purporting to represent “all persons in Illinois who purchased one or more of the Class Products labeled ‘Made in the

USA’ or any derivative thereof on the product, packaging or product description, and that were made with or contained ingredients or components not grown or manufactured in the USA, within four years prior to the filing of this Complaint.” Id. ¶ 97.2 The Complaint seeks to hold JPMS liable

Invigorating Conditioner, and the Tea Tree Grooming Pomade. See Second Am. Compl. (“SAC”) ¶¶ 70-72, ECF No. 32. 2 The original complaint in this case was filed in March 2025 and was amended once as a matter of course. See First Am. Compl., ECF No. 5. That complaint included a California plaintiff who sought to represent a California class alongside Lauer’s Illinois class. Id. ¶ 105. JPMS moved to dismiss, asserting (among other things) lack of personal jurisdiction over the California claims. See Mot. to Dismiss First Am. Compl., ECF No. 24. In response, Lauer amended the complaint, dropping the California plaintiff. See SAC. This Second Amended Complaint is the operative on the basis of five theories: first, for violations of the Illinois Consumer Fraud and Deceptive Business Practices Act (ICFA); second, for violations of the Illinois Uniform Deceptive Trade Practices Act (UDTPA); and third, fourth, and fifth, for the common law torts of unjust enrichment, negligent misrepresentation, and intentional misrepresentation. Lauer seeks damages and injunctive relief as remedies.

JPMS moves to dismiss the Complaint on several grounds. As a threshold matter, it argues that Lauer lacks Article III standing to raise claims related to the over two-hundred Class Products he did not purchase and that this Court lacks personal jurisdiction over the defendant with respect to those claims. JPMS also argues that Lauer lacks Article III standing to seek injunctive relief and that he has failed to state any claim under Illinois law. 3 This Court concludes that Article III does not bar Lauer from raising claims related to products he did not personally purchase as putative class representative. However, it also finds that he fails to meet the pleading requirements of Federal Rule of Procedure 9(b) in several respects. Lauer is granted leave to amend to address those deficiencies by January 9, 2026. As for remedies,

the Court finds that Lauer lacks Article III standing to seek injunctive relief.

complaint, which JPMS moves to dismiss. See Mot. to Dismiss Second Am. Compl. (“Mot.”), ECF No. 37. 3 JPMS advocates dismissal of the negligent misrepresentation claim in particular because Illinois law bars such claims where, as here, damages are purely economic. Mot. 12 (citing Moorman Mfg. Co. v. Nat’l Tank Co., 435 N.E.2nd 443 (Ill. 1982)). Lauer does not address this argument in his response. Accordingly, this Court finds that Lauer has waived the argument and dismisses that claim with prejudice. See Williams v. REP Corp., 302 F.3d 660, 667 (7th Cir. 2002) (holding that a party’s failure to address an issue in its reply brief constitutes waiver). II. DISCUSSION A. Standing Because subject matter jurisdiction goes to the heart of a court’s ability to adjudicate a dispute, this Court begins by considering JPMS’s Article III challenges. In the face of a Rule 12(b)(1) motion, the plaintiff bears the burden of establishing subject matter jurisdiction. Ctr. for

Dermatology & Skin Cancer, Ltd. v. Burwell, 770 F.3d 586, 588-89 (7th Cir. 2014). When determining whether a plaintiff has done so, courts must “accept as true all well-pleaded factual allegations, and draw reasonable inferences in favor of the plaintiff.” Ezekiel v. Michel, 66 F.3d 894, 897 (7th Cir. 1995). 1. Unpurchased Products JPMS argues that Lauer lacks Article III standing to raise claims regarding the Class Products he did not personally purchase. As the parties recognize, courts in this district have not adopted a uniform approach to this issue. Some courts hold that class representatives always lack Article III standing to assert claims related to products they did not buy. See, e.g., Raya v. Mead

Johnson Nutrition Co., 758 F. Supp. 3d 819, 829 (N.D. Ill. 2024); Gibson v. Albertsons Companies, Inc., No. 22 CV 642, 754 F.Supp.3d 793, 803, (N.D. Ill. Oct. 17, 2024). Others hold that Article III standing exists so long as the unpurchased products are “substantially similar” to the products purchased by the class representative. See, e.g., Daly v. FitLife Brands, Inc., No. 22 C 00762, 2023 WL 6388112, at *6 (N.D. Ill. Sept. 29, 2023); Ulrich v. Probalance, Inc., No. 16 C 10488, 2017 WL 3581183, at *6 (N.D. Ill. Aug. 18, 2017).

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

Related

Su Yeun Kim v. Carter's Inc.
598 F.3d 362 (Seventh Circuit, 2010)
O'Shea v. Littleton
414 U.S. 488 (Supreme Court, 1974)
Schlesinger v. Reservists Committee to Stop the War
418 U.S. 208 (Supreme Court, 1974)
Warth v. Seldin
422 U.S. 490 (Supreme Court, 1975)
City of Los Angeles v. Lyons
461 U.S. 95 (Supreme Court, 1983)
Cleary v. Philip Morris Inc.
656 F.3d 511 (Seventh Circuit, 2011)
Wigod v. Wells Fargo Bank, N.A.
673 F.3d 547 (Seventh Circuit, 2012)
Daniel M. Williams v. Rep Corporation and Rep France
302 F.3d 660 (Seventh Circuit, 2002)
Delvin C. Payton v. County of Kane
308 F.3d 673 (Seventh Circuit, 2002)
Clapper v. Amnesty International USA
133 S. Ct. 1138 (Supreme Court, 2013)
Charles Hester Enterprises, Inc. v. Illinois Founders Insurance
484 N.E.2d 349 (Appellate Court of Illinois, 1985)
Patrick Camasta v. Jos. A. Bank Clothiers, Inc.
761 F.3d 732 (Seventh Circuit, 2014)

Cite This Page — Counsel Stack

Bluebook (online)
Sam Lauer, Individually and On Behalf of All Others Similarly Situated v. John Paul Mitchell Systems, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sam-lauer-individually-and-on-behalf-of-all-others-similarly-situated-v-ilnd-2025.