Companies that maintain an online presence typically include “terms of use” to govern the public’s access to their websites and limit potential liability. In what is swiftly becoming the class action “flavor of the day,” aggressive plaintiffs’ lawyers are filing complaints alleging that such website terms of use violate an obscure New Jersey consumer protection statute, the Truth-in-Consumer Contract, Notice and Warranty Act (“TCCWNA”). In the first few months of 2016, more than twenty-five companies have been sued in TCCWNA class actions challenging their websites’ terms of use—including clothing retailers (Saks Fifth Avenue, J. Crew, Victoria’s Secret), automobile manufacturers (Ferrari and Nissan North America), tax preparation services (Jackson Hewitt Tax Service and Intuit, the maker of TurboTax), and purveyors of consumer goods (Hoover, Toys R Us, and Bed Bath and Beyond). Many more companies have received demand letters from plaintiff’s lawyers seeking nuisance value settlements as the price of avoiding litigation.


This post sponsored by Liquid Claims Securities Class Action Services

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