Sellers v. Bleacher Report, Inc.

CourtDistrict Court, N.D. California
DecidedJuly 28, 2023
Docket3:23-cv-00368
StatusUnknown

This text of Sellers v. Bleacher Report, Inc. (Sellers v. Bleacher Report, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sellers v. Bleacher Report, Inc., (N.D. Cal. 2023).

Opinion

1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 7 JABARI SELLERS, Case No. 23-cv-00368-SI

8 Plaintiff, ORDER RE MOTION TO DISMISS 9 v. AND/OR STRIKE; MOTION TO STAY DISCOVERY 10 BLEACHER REPORT, INC., Re: Dkt. Nos. 22, 25 11 Defendant.

12 13 Before the Court are defendant’s motion to dismiss and/or strike the complaint and motion 14 to stay discovery pending resolution of the motion to dismiss, both of which were argued on July 15 25, 2023. For the reasons discussed below, the motion to dismiss and/or strike is DENIED except 16 that any claims based on live streaming video are dismissed. The motion to stay discovery is 17 DENIED as moot. 18 19 BACKGROUND 20 Plaintiff brings a putative class action alleging that defendant Bleacher Report, Inc. 21 violated the Video Privacy Protection Act, 18 U.S.C. § 2710 (the “VPPA”), by knowingly 22 disclosing its digital subscribers’ video viewing information with Meta Platforms, Inc. 23 (“Facebook”). Complaint, Dkt. No. 1. With some exceptions, the VPPA provides for damages 24 when “[a] video tape service provider . . . knowingly discloses, to any person, personally 25 identifiable information concerning any consumer of such provider.” 18 U.S.C. § 2710(b)(1). 26 Plaintiff alleges the following facts, which are taken as true for the purposes of a Motion to 27 Dismiss. 1 publishes content about sports and sports culture. Compl. ¶ 13. The website’s content includes 2 articles and videos. Id. ¶¶ 13, 50. Bleacherreport.com can also be accessed through a mobile App. 3 Id. ¶ 25. Among the content published by Bleacherreport.com is an online newsletter users can 4 subscribe to. Id. ¶ 20. 5 Bleacherreport.com employs the Facebook pixel, a tool that tracks consumers’ actions on 6 websites and reports those actions to Facebook. Id. ¶¶ 40–41. The pixel allows Facebook to build 7 detailed profiles about users, which it uses to facilitate targeted advertisements. Id. ¶ 41. When a 8 Bleacherreport.com digital subscriber watches video media on the website, the Facebook pixel 9 sends Facebook information about the viewer including their identity, the video content name, the 10 video URL, and the user’s Facebook ID (“FID”). Id. The information shared is not anonymized; 11 it is “tied to unique identifiers that track specific Facebook users.” Id. ¶ 48. Plaintiff contends that 12 the defendant knowingly discloses personal viewing information through the pixel. Id. ¶¶ 46. 13 To subscribe to the online newsletter, users provide personal information including their 14 first and last name, email address, phone number, and IP address, and must press a conspicuous 15 green button marked “Continue.” Id. ¶¶ 20, 26. Below the green “Continue” button, there is 16 smaller gray font with purple links instructing users, “By selecting ‘Continue,’ you agree to the 17 terms and conditions of the Bleacher Report Terms of Use and Privacy Policy.” Id. Plaintiff 18 alleges that this instruction is nonbinding “because it is an unenforceable browserwrap agreement” 19 and because the text directing users to the Terms of Use ad Privacy Policy are “deemphasized by 20 the overall design of the webpage.” Id. ¶¶ 21–22. Plaintiff contends that there is no “separate 21 legal document that notifies Defendant’s subscribers that it will record their Personal Viewing 22 Information” and share that information with third parties. Id. ¶ 24. 23 Plaintiff acknowledges that Bleacher Report’s Privacy Policy states that it collects 24 “different types of information” about users including personal information such as name, phone 25 number, postal address, email address, and payment information; technical information such as 26 device identifier and IP address; and usage information, including content the user has been shown 27 or clicked on. Id. ¶ 31. The Privacy Policy also states it may combine that information with 1 Report may share information with third parties but notes that it will “provide [users] with an 2 opportunity to opt out of such uses.” Id. ¶ 33. However, this section of the Privacy Policy is not 3 “separate from any form setting forth other legal obligations of the consumer.” Id. ¶ 33. A section 4 of the Privacy Policy called “Your Choices and Controls” purports to obtain consent to disclose 5 personally identifiable information forever. Id. ¶ 36. 6 Plaintiff claims that defendant does not provide a clear and conspicuous opportunity for 7 subscribers to withdraw from information disclosures. Id. ¶ 37. The website does provide a link 8 “[b]uried in a section of the Privacy Policy” allowing users to opt out from three types of 9 advertising but does not clearly explain the scope of the opt out. Id. Plaintiff contends that the 10 Privacy Policy does not meet the requirements of the VPPA. 11 Plaintiff has been a digital subscriber of Bleacherreport.com since 2007 and has had a 12 Facebook account since 2005. Id. ¶¶ 56. He contends that he never consented to 13 Bleacherreport.com providing his personal viewing information to Facebook and was never given 14 notice that it does so or an opportunity to opt out. Id. ¶ 58. Nonetheless, defendant knowingly 15 provided his and other users’ personal viewing information to Facebook. Id. 16 Bleacher Report moves to dismiss, arguing that plaintiff failed to plausibly allege that 17 Bleacher Report violated the VPPA and, in the alternative, plaintiff agreed to a class action waiver 18 so his class allegations should be dismissed. Motion, Dkt. No. 22. Plaintiff opposes. Opposition, 19 Dkt. No. 44. A hearing was held on July 25, 2023. 20 21 LEGAL STANDARD 22 Under Federal Rule of Civil Procedure 12(b)(6), a district court must dismiss a complaint 23 if it fails to state a claim upon which relief can be granted. To survive a Rule 12(b)(6) motion to 24 dismiss, the plaintiff must allege “enough facts to state a claim to relief that is plausible on its 25 face.” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007). This “facial plausibility” standard 26 requires the plaintiff to allege facts that add up to “more than a sheer possibility that a defendant 27 has acted unlawfully.” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009). While courts do not require 1 relief above the speculative level.” Twombly, 550 U.S. at 555, 570. 2 In deciding whether to grant a motion to dismiss, the Court must assume the plaintiff's 3 allegations are true and must draw all reasonable inferences in his favor. See Usher v. City of Los 4 Angeles, 828 F.2d 556, 561 (9th Cir. 1987). However, the Court is not required to accept as true 5 “allegations that are merely conclusory, unwarranted deductions of fact, or unreasonable 6 inferences.” In re Gilead Scis. Sec. Litig., 536 F.3d 1049, 1055 (9th Cir. 2008). 7 Dismissal can be granted with or without leave to amend. Leave to amend should be 8 granted unless the court “determines that the pleading could not possibly be cured by the 9 allegation of other facts.” Lopez v. Smith, 203 F.3d 1122, 1127 (9th Cir. 2000) (quoting Doe v. 10 United States, 58 F.3d 494, 497 (9th Cir. 1995)). 11 12 DISCUSSION 13 I.

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