Horton v. GameStop Corp.
Horton v. GameStop Corp.
Opinion of the Court
On May 29, 2018, Plaintiff Robert Jeremy Horton, on behalf of himself and those similarly situated, sued GameStop Corp., alleging that GameStop was unlawfully selling his personal reading information to third-party marketing, list-rental, and data-mining companies between May 29, 2015 and July 30, 2016. The Plaintiff claims that this conduct violated the Preservation of Personal Privacy Act (PPPA), also known as the Video Rental Privacy Act (VRPA).
GameStop has moved to dismiss on two grounds: failure to state a claim and applicability of the actual-damages requirement. Fed. R. Civ. P. 12(b)(6) (ECF No. 8). The Court will deny GameStop's motion.
I. Background
GameStop offers subscriptions to its video-game magazine, Game Informer . Plaintiff alleges that GameStop sold information about its Game Informer subscribers to data-mining companies for profit without the customers' written consent. (ECF No. 1 at PageID.1-2.) Specifically, Horton claims that he purchased a one-year subscription to Game Informer in 2010, and then again in 2013, and he has renewed his subscription in the years since. Horton maintains that he never agreed to sell or disclose his personal reading information and did not receive notice prior to the disclosures to various third parties. (Id. at PageID.11.) According to Horton, due to GameStop's alleged disclosures of his personal reading information, he now receives unwanted junk mail and telephone solicitations and that he suffered an invasion of privacy. Horton also claims that he suffered economic harm because GameStop's sale of his personal reading information rendered his subscription to Game Informer less valuable. (Id. at PageID.12.)
II. Legal Standards
When considering a motion to dismiss under Fed. R. Civ. P. 12(b)(6), the Court must determine whether the complaint contains "enough facts to state a claim to relief that is plausible on its face." Bell Atl. Corp. v. Twombly ,
III. Discussion
The VRPA makes it unlawful for a person, or the employee or agent of a person, engaged in the business of selling written material to disclose information personally identifying the customer.
(A) The Complaint Adequately Pleads a Claim.
GameStop first argues that the facts alleged in the complaint do not rise to the level of plausibility that GameStop is liable. GameStop states that NextMark, a company that purported to sell Game Informer subscriber information, says on its website that it does not sell mailing lists, and, moreover, that Plaintiff has not established a connection between GameStop's alleged disclosure of information and the junk mail and solicitations that Horton received. (ECF No. 9 at PageID.51-52.) However, Plaintiff attached as Exhibit B to the complaint a printout from the NextMark website, in which NextMark claims to sell the Game Informer Magazine mailing list.
(B) The Claim Is Not Barred by the Actual-Damages Requirement.
GameStop's remaining arguments focus on which version of the VRPA applies to Plaintiff's claims. The VRPA was amended in 2016, with an effective date of July 31, 2016. The prior version of the act allowed a customer to recover "[a]ctual damages, including damages for emotional distress, or $ 5,000.00, whichever [was] greater." § 445.1715 (1989) (amended July 31, 2016). However, the post-amendment version limits recovery to actual damages, removing the statutory-damages provision. § 445.1715 (2016). GameStop argues that the actual-damages requirement applies to Plaintiff's claim because the complaint was filed nearly two years after the amendment took effect. Plaintiff counters that his claim accrued prior to the effective date of the amendment.
Both parties acknowledge that the VRPA 2016 amendment does not apply retroactively. See *683Coulter-Owens v. Time Inc. ,
Additionally, even if the amended VRPA did apply to Plaintiff's claims, Plaintiff has alleged actual damages sufficient to avoid dismissal. A consumer's allegation that he would not have bought a product or would have paid less for a product had certain information been available to the consumer constitutes an economic injury. Davidson v. Kimberly-Clark Corp. ,
IV. Conclusion
For the foregoing reasons, the Court will deny Defendant's motion to dismiss.
Therefore, IT IS HEREBY ORDERED that Defendant's motion (ECF No. 8) is DENIED .
GameStop cites Jones v. City of Cincinnati , No. 1:04-CV-616,
Plaintiff points out in his Response in Opposition to Defendant's Motion to Dismiss that Raden has not yet been reviewed by the Sixth Circuit because the decision is not yet appealable (ECF No. 14 at PageID.132).
Reference
- Full Case Name
- Robert Jeremy HORTON, individually and on behalf of all others similarly situated v. GAMESTOP CORP., d/b/a Game Informer
- Cited By
- 8 cases
- Status
- Published