Case 3:16-cv-01524-BAS-BLM Document 1 Filed 06/17/16 Page 1 of 7
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COOLEY LLP
MICHELLE C. DOOLIN (179445)
(doolinmc@cooley.com)
DARCIE A. TILLY (239715)
(dtilly@cooley.com)
HEATHER M. SPEERS (305380)
(hspeers@cooley.com)
4401 Eastgate Mall
San Diego, CA 92121
Telephone: (858) 550-6000
Facsimile: (858) 550-6420
Attorneys for Defendants
SYNAPSE GROUP, INC.,
SYNAPSECONNECT, INC.,
and TIME INC.
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UNITED STATES DISTRICT COURT
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SOUTHERN DISTRICT OF CALIFORNIA
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Case No. '16CV1524 BAS BLM
SHANNON DALE PRICE and
CHERYL EDGEMON, individually
and on behalf of all others similarly
situated,
NOTICE OF REMOVAL OF
ACTION
(28 U.S.C. §§ 1332, 1441, & 1453)
Plaintiffs,
v.
SYNAPSE GROUP, INC., a Delaware
corporation; SYNAPSECONNECT,
INC., a Delaware corporation; TIME
INC., a Delaware corporation; and
DOES 1–50, inclusive,
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Defendants.
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TO PLAINTIFFS, THEIR ATTORNEYS, AND THE ABOVE-CAPTIONED
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COURT:
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PLEASE TAKE NOTICE that defendants Synapse Group, Inc. and
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SynapseConnect, Inc. (collectively “Synapse”), and Time Inc. (collectively with
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Synapse, “Defendants”) remove the above-captioned action from the Superior
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Court of the State of California for the County of San Diego, where the action is
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now pending, to the United States District Court for the Southern District of
COOLEY LLP
ATTO RNEY S AT LAW
SAN DIEGO
1.
NOTICE OF REMOVAL OF ACTION
CASE NO.
Case 3:16-cv-01524-BAS-BLM Document 1 Filed 06/17/16 Page 2 of 7
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California. This civil action is removed on the basis of diversity jurisdiction under
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28 U.S.C. §§ 1332, 1441, and 1453. For the reasons set forth below, this Court has
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subject matter jurisdiction under the Class Action Fairness Act of 2005 (“CAFA”),
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codified in part at 28 U.S.C. §§ 1332 and 1453.
PROCEDURAL HISTORY AND TIMELINESS OF REMOVAL
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1.
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On or about May 17, 2016 plaintiffs Shannon Dale Price and Cheryl
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Edgemon (“Plaintiffs”) commenced a civil action in the Superior Court of the State
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of California for the County of San Diego, entitled Price v. Synapse Group, Inc.,
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Case
No.
37-2016-00016453-CU-MC-CTL,
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“Complaint”).
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2.
by
filing
a
complaint
(the
The Complaint, which is styled as a class action, alleges five causes of
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action, including false advertising, violation of California’s Consumer Legal
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Remedies Act, conversion, unfair competition, and unjust enrichment. (Compl., ¶¶
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24–60.) Plaintiffs base their claims on Defendants’ alleged violation of California’s
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Automatic Renewal Law, California Business & Professions Code § 17600 et seq.
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(Id., at ¶¶ 24–37.)
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3.
Defendant Time Inc. was subsequently served with the summons and
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Complaint on May 20, 2016.
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Complaint is attached as Exhibit A.
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of summons on Time Inc. is attached as Exhibit B.
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4.
A true and correct copy of the summons and
A true and correct copy the proof of service
Defendant SynapseConnect, Inc. was subsequently served with the
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summons and Complaint on May 23, 2016. A true and correct copy of the proof of
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service of summons on SynapseConnect, Inc. is attached as Exhibit C.
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5.
Defendant Synapse Group, Inc. was subsequently served with the
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summons and Complaint on May 24, 2016. A true and correct copy of the proof of
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service of summons on Synapse Group, Inc. is attached as Exhibit D.
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6.
Defendants are also aware that the superior court has calendared a case
management conference on November 18, 2016.
2.
NOTICE OF REMOVAL OF ACTION
CASE NO.
Case 3:16-cv-01524-BAS-BLM Document 1 Filed 06/17/16 Page 3 of 7
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7.
Defendants are not aware of the filing of any other process or pleading.
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8.
This Notice of Removal is timely because Defendants filed it within
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thirty days of when Plaintiffs served them with the summons and Complaint. See
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28 U.S.C. § 1446(b).
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9.
Defendants will give Plaintiffs written notice as required under
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28 U.S.C. § 1446(d) by serving Plaintiffs, through their counsel of record, with this
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Notice of Removal and all documents filed in support thereof and concurrently
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herewith on the date of filing of this Notice of Removal.
SUBJECT MATTER JURISDICTION
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Under CAFA, a district court shall have original jurisdiction over any
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civil action styled as a class action in which: (1) the number of members of the
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proposed plaintiff class is not less than one hundred, in the aggregate; (2) “the
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matter in controversy exceeds the sum or value of $5,000,000, exclusive of interest
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and costs”; and (3) “any member of a class of plaintiffs is a citizen of a State
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different from any defendant.” 28 U.S.C. §§ 1332(d)(2) & (d)(5). If a state court
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putative class action meets all of these three requirements, it may be removed to
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federal court. 28 U.S.C. § 1441(a) (“[A]ny civil action brought in a State court of
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which the district courts of the United States have original jurisdiction, may be
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removed by the defendant[.]”). This action meets each of CAFA’s requirements.
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THE PROPOSED CLASS DOES NOT HAVE FEWER THAN 100 MEMBERS
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Plaintiffs seek to certify a class defined as: “All individuals in
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California who, within the applicable statute of limitations, and in connection with
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a magazine selection or subscription through defendants obtained for personal,
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family, or household purposes, were enrolled by defendants in an automatic
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renewal program or a continuous service program. Excluded from the class are all
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employees of defendants, all employees of plaintiffs’ counsel, and the judicial
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officers to whom this case is assigned.” (Compl., ¶ 17.)
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3.
NOTICE OF REMOVAL OF ACTION
CASE NO.
Case 3:16-cv-01524-BAS-BLM Document 1 Filed 06/17/16 Page 4 of 7
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12.
Plaintiffs allege that the class “consists of at least 100 members.” (Id.,
13.
Without conceding liability, appropriateness of class treatment,
¶ 20.)
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appropriateness of Plaintiffs’ class definition, or the validity of Plaintiffs’ claim for
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relief, if the allegations in Plaintiffs’ Complaint are accepted as true, there are more
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that 100 proposed class members. (Id., ¶ 20); see Phillips v. Wellpoint, Inc., No.
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10-cv-357-JPG, 2010 WL 4877718, at *2 (S.D. Ill. Nov. 23, 2010) (relying on the
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allegation in plaintiff’s complaint that “the proposed class will exceed 20,000
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policyholders and group members” to support a finding of jurisdiction under
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CAFA).
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14.
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§ 1332(d)(5)(B).
THE AMOUNT IN CONTROVERSY EXCEEDS $5 MILLION
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Accordingly, CAFA’s first requirement is satisfied. See 28 U.S.C.
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Plaintiffs’ Complaint does not plead a specific amount of damages.
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Accordingly, Defendants “need only include a plausible allegation that the amount
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in controversy exceeds the jurisdictional threshold, and the defendant's amount in
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controversy allegation should be accepted if not contested by the plaintiff or
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questioned by the court.” Varsam v. Lab. Corp. of Am., No. 14CV2719 BTM JMA,
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2015 WL 4199287, at *1 (S.D. Cal. July 13, 2015). If contested, removal is proper
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so long as Defendants establish by a preponderance of evidence that Plaintiffs
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demand in excess of $5 million in damages in the aggregate for themselves and the
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putative class. See Abrego Abrego v. Dow Chem. Co., 443 F.3d 676, 683 (9th Cir.
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2006) (“Where the complaint does not specify the amount of damages sought, the
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removing defendant must prove by a preponderance of the evidence that the amount
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in controversy requirement has been met.”).
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16.
“In measuring the amount in controversy, a court must assume that the
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allegations of the complaint are true and that a jury will return a verdict for the
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plaintiff on all claims made in the complaint.” Korn v. Polo Ralph Lauren Corp.,
4.
NOTICE OF REMOVAL OF ACTION
CASE NO.
Case 3:16-cv-01524-BAS-BLM Document 1 Filed 06/17/16 Page 5 of 7
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536 F. Supp. 2d 1199, 1205 (E.D. Cal. 2008). “The ultimate inquiry is what
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amount is put ‘in controversy’ by the plaintiff’s complaint, not what a defendant
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will actually owe.”
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Partners, L.P., No. 08cv1009 BTM (JMA), 2008 WL 4104475, at *2 (S.D. Cal.
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Sept. 2, 2008); Muniz v. Pilot Travel Centers LLC, No. CIV. S-07-0325 FCD EFB,
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2007 WL 1302504, at *3 (E.D. Cal. May 1, 2007).
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17.
Id. (emphasis in original); accord Deehan v. Amerigas
Defendants’ burden of proof on removal “is not daunting, as courts
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recognize that . . . a removing defendant is not obligated to research, state, and
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prove the plaintiff’s claims for damages.” Korn, 536 F. Supp. 2d at 1204–05
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(emphasis in original; internal quotation marks removed).
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Here, Plaintiffs seek restitution “of all amounts that defendants
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charged or caused to be charged to plaintiffs’ and Class members’ credit cards,
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debit cards, or third-party payment accounts during the four years preceding the
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filing of this Complaint.” (Compl., ¶ 36.) Moreover, Plaintiffs have defined the
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class as “[a]ll individuals in California who . . . were enrolled by defendants in an
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automatic renewal program or a continuous service program.” (Compl., ¶ 17.)
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19.
Without conceding liability, appropriateness of class treatment,
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appropriateness of Plaintiffs’ class definition, or the validity of Plaintiffs’ claim for
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relief, as pled by Plaintiffs, the Complaint assumes a 100% violation rate and a
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100% refund rate for subscription fees collected on automatic renewal contracts
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over the last four years.
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defendant to utilize a 100% violation rate when calculating amount in controversy
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since “plaintiff includes no fact-specific allegations that would result in a putative
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class or violation rate that is discernibly smaller than 100%” and plaintiff “is the
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master of [his] claims, and if [he] wanted to avoid removal, [he] could have alleged
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facts specific to [his] claims which would narrow the scope of the putative class or
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the damages sought. . . .”) (internal alterations and quotation marks omitted);
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accord Varsam, 2015 WL 4199287, at *2.
See Muniz, 2007 WL 1302504, at *4 (permitting a
5.
NOTICE OF REMOVAL OF ACTION
CASE NO.
Case 3:16-cv-01524-BAS-BLM Document 1 Filed 06/17/16 Page 6 of 7
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20.
Without conceding liability, appropriateness of class treatment,
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appropriateness of Plaintiffs’ class definition, or the validity of Plaintiffs’ claim for
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relief, in the last four years Synapse has collected in excess of $5 million in
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subscription fees from subscribers with California addresses who are in their second
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(or more) term of a subscription that renews. (Declaration of Eileen Peacock, ¶ 7.)
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21.
Moreover, under CAFA, the potential cost of an attorneys’ fee award
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should also be considered when calculating the amount in controversy. Lowdermilk
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v. U.S. Bank Nat’l Ass’n, 479 F.3d 994, 1000 (9th Cir. 2007) (“We have held that
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attorneys’ fees were properly included in the amount in controversy in a class
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action.”), overruled on other grounds, Rodriguez v. AT&T Mobility Servs. LLC, 728
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F.3d 975, 977 (9th Cir. 2013); Yeroushalmi v. Blockbuster, Inc., No. CV 05-225-
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AHM (RCX), 2005 WL 2083008, at *3, *5 & n.4 (C.D. Cal. July 11, 2005)
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(holding that under CAFA, the amount put in controversy includes the potential fee
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award); see also Tompkins v. Basic Research LL, No. CIV. S-08-244 LKK/DAD,
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2008 WL 1808316, *4 (E.D. Cal. Apr. 22, 2008) (including 25% of the common
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fund for attorneys’ fees when calculating amount in controversy).
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22.
Here, Plaintiffs also seek attorneys’ fees. (Compl., Prayer, ¶¶ 4, 8.)
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23.
Without conceding liability or the appropriateness of Plaintiffs’
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request for attorneys’ fees, such fees could also potentially be significant because
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this is a putative statewide class action with, according to Plaintiffs, a class of “at
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least 100 members.” (Compl., at ¶ 20.) Plaintiffs’ request for attorneys’ fees
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further takes the amount in controversy far beyond the statutory threshold. See 28
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U.S.C. § 1332(d)(2).
THE PARTIES ARE CITIZENS OF DIFFERENT STATES
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24.
Plaintiff Price and Plaintiff Edgemon each alleges he or she “is an
individual residing in San Diego County, California.” (Compl., ¶ 1.)
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Plaintiffs admit that Defendants are all Delaware corporations, but
make no reference to their principal places of business. (Id., ¶¶ 2–4); see Korn, 536
6.
NOTICE OF REMOVAL OF ACTION
CASE NO.
Case 3:16-cv-01524-BAS-BLM Document 1 Filed 06/17/16 Page 7 of 7
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F. Supp. 2d at 1203 (“Plaintiff is bound by the allegations in his complaint.…”).
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Time Inc.’s principal place of business is New York.
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Peacock, ¶ 3.)
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SynapseConnect, Inc. is Connecticut. (Id., ¶ 4.) See Phillips v. Wellpoint, Inc., No.
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10-cv-357-JPG, 2010 WL 4877718, at *2 (S.D. Ill. Nov. 23, 2010) (finding
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minimal diversity where defendant demonstrated via affidavit its principal place of
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business).
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26.
(Declaration of Eileen
The principal place of business for Synapse Group, Inc. and
Plaintiffs and purported putative class members are citizens of
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California and not citizens of New York, Connecticut or Delaware, where
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Defendants are citizens. (Compl., ¶¶ 1–4, 17.) Consequently, minimum diversity is
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satisfied under 28 U.S.C. § 1332(d)(2)(A).
VENUE IS PROPER
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Removal to this judicial district and division is proper under 28 U.S.C.
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§§ 1441(a) and 1446(a) because the state court action was originally pending in this
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judicial district—namely, the Superior Court of the State of California for the
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County of San Diego.
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NOTICE TO THE SUPERIOR COURT OF SAN DIEGO COUNTY
28.
Contemporaneously with the filing of this Notice of Removal,
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Defendants are filing a true and correct copy of this Notice of Removal and all
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documents filed in support thereof and concurrently therewith with the clerk of the
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Superior Court of the State of California for the County of San Diego, under
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28 U.S.C. § 1446(d).
Dated:
June 17, 2016
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COOLEY LLP
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/s/ Darcie A. Tilly
Darcie A. Tilly
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Attorneys for Defendants
SYNAPSE GROUP, INC.,
SYNAPSECONNECT, INC., and TIME
INC.
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7.
NOTICE OF REMOVAL OF ACTION
CASE NO.
Case 3:16-cv-01524-BAS-BLM Document 1-1 Filed 06/17/16 Page 1 of 3
15~4 ~Re~ ~z~~z~
CIVIL COVER SHEET
'I~he IS 44 ci~~il cover sheet and the information contained herein neither replace nor supplement the lilin~ and service of pleadings or other papers as required by law, except as
pro~~ided by local rules of court. This form, approved by the Judicial Conference of the United States in September 1974, is required fur the use of the Clerk ot~Court for the
purE~ose of initiating the civil docket sheet. (SEF_ 1NSTRUCTIONSON NF_XT PAGEOFTH/S FO2A9.J
I. (a) PLAINTIFI+S
PRICE, SHANNON DALE
EDGEMON. CHERYL
DEFENDAN'T'S
SYNAPSE GROUP, INC, SYNAPSECONNECT, INC., TIME INC, and
DOES 1-50
San Diego
(b) Counq~ of Residence of First Listed Plaintitt~
Count~~ of Residence of Firs[ Listed Defendant
S8n DIQ O
g----------(IN U.S. PLAIN777'F CASES ONL 3J
(EXCEPT/N U.S PLf11NTIF1~ CASES)
\OT6:
~C~
IN LAND COVDEMNA"LION CASL•S, UST-: "I HE LOG17'ION OF
tl Iti "iRAC? OI' LAND INVOLVED.
'16CV1524 BAS BLM
Attorneys (1/~Knou~n)
AttomeyS (Firm Nnme. Address. and Telephone Ah~mbei)
See attachment
See attachment
II. BASIS OF JURISDICTION(Plncem~"x"inOneeorOnl>>)
III. CITI7ENSHIP OF PRINCIPAL PARTIES(P~ncean "x"rnone eo.~~fo~~>>>nt~~n~
D 1
U.S. Government
Plaintiff
O 3
Federal Qoestiun
(U S. Goi~ernmen~ Not a Pnrty)
O 2
L.S. Government
Defendant
~4
Diversity
(/ndicn~e Citizeivship ofPm ties iii Item 771)
(For Dirersil~+Cnses On7~~)
PTF
Citizen of 91iis State
~ I
llEF
O 1
Ci~izeu o1~Anothcr Sta[e
O 2
O
Citizen or Subject of a
Forei ~n Coumn,
O i
O 3
2
mid One 6oa./or De%ndmiQ
PTT
DEF
lnco~porated a'Principal Place
O 4
O 4
o1~Business In This State
lncoiporated mid Principal Place
of Business In Another State
O 5
~S 5
Foreign Nation
O 6
O 6
IV. NATURE nF SUIT ip~„~P„» ~•x~~;~,n,~o~;~,~n„i~~
COV"PRAT I
O
O
O
D
O
O
O
O
Rl',AI.,PlZt)YL'K"('1
210 Land Condemnation
220 Foreclosure
230 Ren[ Lease & 13jechnent
240 Torts to Laud
245 Tat Product LiaUility
290 All Other Real Property
O
O
D
O
ACCO
IO121~EITi3RElPL\~11:1'Y
I',(~ILIS..
I IO Insurance
120 Marine
130 Miller Act
140 Negotiable ]nshvment
150 Recovery ofOve~paymen[
& Enforcement of Judgment
151 Medicare Ac[
152 Recoveq~ of Defaulted
Shident Loans
(Excludes Veterans)
153 Recovery of Overpayment
of Veteran's Benefits
160 Stockholders' Suits
190 Other Contract
195 Contract Product Liability
196 Franchise
O
D
O
O
O
PERSONAL 1NJUR1'
O 310 Airplane
O 315 Airplane Product
Liability
O 320 Assault, libel &
Slander
O 330 Federal C-mploycrs'
Liability
Q 340 Marine
O 345 \~la~ine Product
Liability
O 350 Motor Vehicle
O 355 Motor Vehicle
Product Liability
O 360 Other Personal
lnjwy
O 362 Personal Injary Medical Mal ~racticz
t I1%II.ItiGH"fti
O 440 Other Civil Rights
❑ 441 Voting
O 442 Employment
O 443 Housing/
Accouvnodations
O 445 Amer. w/DisabilitiesEmployment
O 44C Amer. w/Disabilities Other
O 44A Education
PERSONAL INJURY
O 3G5 Personal lujmy Product Liability
O 3G7 1lealth Care/
Pharmaceutical
Personal Inj~~ry
Product Liability
O '>GS Asbesros Personal
Injury Product
Liabilih~
PERSONAL PROPER"PY
O 370 Other Fraud
O 371 'Trmh in Lending
O 380 Other Peronal
PropeiYy Damage
D SRS Properly Damaee
Produe[ Liability
PRISO?~b;RPF'.'Pl7'IONS
Habeas Corpus:
O 46; Alien Detainee
O 510 Motions to Vacate
Sentence
O 5;U General
O 535 Death Penalt}~
Other:
D 5q0 Mandamus &Other
O 95p Civil Rights
O 555 Prison Condition
O 5G0 Civil Detainee Conditions of
Confinement
O 625 Drug Related Seizure
of'Property 21 USC 881
O 690 Other
L3.~~NI:RI!I'7'C1'
O 422 Appeal 28 USC 158
O A23 Withdrawal
28 USC 157
PI20Pb;RTY Ri(.A'TS
O 820 Copyii~lits
O 8~0 Patent
O 840 Trademark
I,:~ROR
O 710 Pair Labor Standards
Act
O 720 Labor/Management
Relations
O 7-40 Rail~~~ap I..a6ur.Ac~
O 751 Pamilq and Medical
Leave Act
D 790 Other Labor Litica~imi
7 79I Employee Retirement
Income Security Act
O
O
O
O
❑
~OC'IAI..RPCURITI
S61 HIA (13951'Q
862 Black Lung(923)
S63 DI WC/DI W W (405(g))
86d SSID "title XVI
R65 RSI (-405(g))
_ i'EDT;R11 "T ~15C'11S
O 870 Taxes (U.S. Plaintii~f
or Defendant)
O 871 IRS—Third Parry
26 USC 7609
Ofi11{RS'1'A'tU"PI;S
O
O
O
O
O
O
O
O
O
O
~
p
O
O
O
O
O
375 False Claims Act
400 State Reapportionment
410.4ntinvst
430 Banks and Banking
450 Commerce
460 Deportation
470 Racketeer Influenced and
Corrupt Organizations
480 Consumer Credit
490 Cable/Sat TV
850 SecmitieslCommodi[ies/
Exchange
890 Other Sta~u~ay .4ctious
891 Aericultural Ac[s
893 Fm~ironmen~al Halters
F,95 Freedom of hifonnation
Act
896 Arbiu~a~ion
899Administrati~~eProcedure
Act/Review or Appeal of
Agency Decision
950 Constitutiontdity of
State Statutes
L~7AliC
zltA`I'!U\
O 4b2 Naturalization Application
O 465 Other Iminieration
Actions
V. ORIri1N (Plnce an "X" i~a One 6or Only)
O 1
Origi~~al
Proceeding
~ 2 Removed from
State Cotu~t
O 3
Remanded liom
Appellate Court
O 4 Reinstated or
Reopened
O ~ 'llnnsterred from
Another District
lsDeciJi~J
O C, Mul~idisu'ict
Litigation
Cite the U.S. Civil Statute under which you are Iilin~ (Dn yea cirejmi.~~liciional srnrvres ~mlevs r(i~~e~:riry):
VI. CAUSE OF ACTION
2$ U.S.C.
1332, 1441, and 1453
T3rief description of cause
False advertising; violation of Calififornia's CLRA; conversion; unfair competition; unjust enrichment
VII. REQUESTED ITV
COMPLAINT:
~ CHECK IP T}~ITS 1S A CLASS ACTIOi~'
UNDL-R RULL- 23. P.IZ.Cv.P
DI:D9AIYU $
CHECK YES only if demanded in complaint:
JURY llEMANll:
VIII. RELATED CAS~(S)
(Seeins~r~icdons):
IF, ANY
.1UDG1~
DA'I-G
DOCKI.T NUM[3L=R
SIGAA'~l)RG OF ATTORNi~I' OP PFCORD
06/17/2016
--~
~"`~ ,,,-~
FOR OFFICE USC ONLY
RLCCIPT ~
An-fOUNT
APPLl"1NCi 1PP
JUDGI_
~7AG. Jl?DGE
~ Yes
O No
Case 3:16-cv-01524-BAS-BLM Document 1-1 Filed 06/17/16 Page 2 of 3
JS 44 Reverse (Rev.l2/12)
INSTRUCTIONS FOR ATTORNEYS COMPLETING CIVIL COVER SIIEET FORM JS 44
Authority 1'or Civil Cover Sheel
Tl~e JS 44 civil cover sheet and [he information contained herein neither replaces nor supplements the filings and service of pleading or other papers as
required by la~v, except as provided by local rules of court. 1~his form, approved by the Judicial Conference of the United States in September 1974, is
req~iired for the use of the Clerk of Court for the ~i~rpose of initiating the civil docket sheeC. Consequently, a civil cover sheet is submitted to the Clerk of
Court for each civil complaint filed. "I~6e attorney filing a case should complete the norm as follows:
~.(a)
Plaintiffs-Defendants. Enter names (last, first, middle initial) ofplaintiff and de}endant. Ii~the plaintiff~or defendant is a government agency, use
only the full name or standard abbreviations. If the plaintiff or defendant is an official within a government agency, identilj~ fist the agency and
then the official, givi~~g both name and title.
(b) County of Residence. For each civil case filed, except LI.S. plaintiff cases, enter the name of the county where tl~e fns[ listed plaintiff resides at tl~e
time of t7ling. In U.S. plaintiti'cases, enter the name of the county in which the fast listed defendant resides at the time of filing. (NOTE: In land
condemnaCion cases, the county of residence of the "defendant" is the location of the tract of land involved.)
(c) Attorneys. Enter tl~e Yu-m name, address, lelephoi~e number, and attorney of reca~d. if there are several attorneys, list diem on au attachment, noting
in this section "(see attachment)".
II.
Jurisdiction. The basis ofjw~isdiction is set forth under Rule 8(a), }~.RCv.P., which requires thatjurisdictions be sho~~n in pleadings. Place an "X"
iu oue of the boxes. If there is more than one basis ofjurisdiction, precedence is given in the order shown below.
United States plaintiff. (I) Jurisdiction based on 28 U.S.C. 1345 and 1348. Suits by agencies and officers of the United States are included here.
United States defendant. (2) When the plaintiff is suing the United Stiles, its officers or agencies, place an "X" in this box.
Feder) question. (3) This refers to suits under 28 U.S.C. 1331, where jurisdiction arises under the Constitution of the United States, an amendment
to the Constitution, an act of Co~~gress or a U~eat~~ of the United Sates. In cases where the U.S. is a part}, the U.S. plaintiff or defcndai~t code takes
precedence, and box 1 or 2 should be marked.
Diversity ol'ciYizenship. (4) This refers to suits under 28 U.S.C. 1332, where parties are citizens of different states. When Box 4 is checked, tine
citizenship of the different parties must be checked. (See Section lII below; NOTE:federal question actions Cake precedence over diversity
cases.)
III.
Residence (citizenship) of Principal Parties. This section of the JS 44 is to be completed if diversity of citizenship was indicaCed above. Mark this
section for each principal party.
IV.
Nature of Suit. Place au "X" in the appropriate box. If the ~~ature of'suit cannot be determined, be sure the cause of action, in Section V1 below, is
sufficient to enable the deputy clerk or the statistical clerks) in the Administrative Office to determi~~e tl~e nature of suit. If[he cause fits more d~~n
one nature of suit, select the most definitive.
V.
Origin. Place an "X" in one of the six boxes.
Original Proceedings. (1) Cases which originate in the United States district courts.
Removed from State Court. (2)Proceedings initiated in state courts may be removed to the district courts under Title 28 LJ.S.C., Section 1441.
When the petition for removal is granted, check this box.
Remanded from Appellate Coma. (3) Check this bos for cases remanded to the district court for further action. Use die date of remand as the filing
date.
Reinstated or Reopened. (4) Check this Vox for cases reinstated or reopened in the district court. Use die reopening date ~s the filing date.
Transferred fi-om Another Dish~ict. (5) Por cases trans erred under Title 28 U.S.C. Sectio❑ 14040). Do not use this for within district transfers or
multidistrict litigation transfers.
Multidistrict Litigation. (6) Check this box «hen a multidistrict case is transfeered into the disU-ict under authority of Title 28 U.S.C. Section 1407.
When this box is checked, do not check (5) abo~~e.
VI.
Cause of Action. Report the civil statute directly related to the cause of action and give a brier description of the cause. Do not cite jurisdictional
statutes unless diversity. Example: U.S. Civil Statute: 47 USC 553 Brief Description: Unauthorized receptio~~ of cable service
VI1.
Requested in Complaint. Class Action. Place an °X" in this box i1'you are filing a class action under Rule 23, I~.R.Cv.P.
Demand. In this space enter' the achtal dollar amotu~t being demanded or indicate other demand. such as a preliminary inju~~ction.
Jmy Demand. Check the appropriate box to indicate ~~~hether or not a jury is being demanded.
Vlll. Related Cases. This section of the JS 44 is used to reference related pending cases, it' any. ]f there are related pending cases, insert the docket
numbers and the corresponding judge names for such cases.
Date and Attorney Sig~~ature. Date and sign the civil c~ovcr shc,et.
Case 3:16-cv-01524-BAS-BLM Document 1-1 Filed 06/17/16 Page 3 of 3
PRICE V. SYNAPSE GROUP,INC., ET AL.
CIVIL COVER SHEET ATTAC~IM~NT
Plaintiffs' Counsel
DOSTART HANNINK & COVENEY LLP
James T. Hannink (131747)(jhannink@sdlaw.coin)
Zach P. Dostart(255071)(zdostart@ sdlaw.coin)
4180 La Jolla Village Drive, Suite 530
La Jolla, CA 92037
Telephone: (858)623-4200
Facsimile:
(858)623-4299
2.
Defendants' Counsel
COOLEY LLP
Michelle C. Doolin (179445)(doolinmc@cooley.com)
Darcie A. Tilly(239715)(dolly@cooley.com)
Heather M. Speers (305380)(hspeers@cooley.com)
4401 Eastgate Mall
San Diego, CA 92121
Telephone: (858) 550-6000
Facsimile:
(858) 550-6420
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 1 of 29
Exhibit A
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 2 of 29
SUM-100
SUMMONS
FOR COURT USE ONLY
(soLo PARA Uso DE LA coRTEJ
(CITACION JUDICIAL)
NOTICE TO DEFENDANT:
(AIylSOAL pEMANpApO)
SYNAPSE GTLLJ()P r INC. r
a Delaware corporation;
SYNAPSECONNECT,
INC., a Delawar= corporation;
TIME INC Ta Delaware corporatioif
YOU ARE BEING SUED BY PLAINTIFF:
(LO ESTA DEMANDANDO EL DEMANDANTE):
Sl IANNON
DALE I'RICE
anal
(ml
IFRYL FDCiEMON
NOTICEI You have been sued The court may decide against you withaut your being heard unless you respond within 30 days. Read the information
below.
You have 30 CALENDAR DAYS after this summons and legal papers are served on you to file a wntten response at this court and have a copy
served on the plaintiff. A letter or phone call wil not protect you Your written response must be in proper egal form if you want the court to hear your
case There may be a court form that you can use for your response. You can find these court forms and more information at the California Courts
your county law library, or the courthouse nearest you If you cannot pay the fi ing fee, ask
Online Self-Help Center (www.caurtinfa.ca.gavlselfhelp),
the court clerk for a fee waiver foim. If you do not file your response on time, you may lose the case by default and your wages, maney, and property
may be taken without further warning fram the court
You may want to call an attorney right away. If you do not know an attorney, you may want to call an attoiney
There are other legal requirements
referra service If you cannot afford an attorney, you may be eligible for free legal services from a nonprofit legal services program You can locate
the California Courts Online Self-Help Center
these nonprofit groups at the California Legal Services Web site (www.lawhelpcalifarnfa.org),
(wfvvzcaurtfnfa ca gavlselfhelp), or by contacting your local court or county bar association. NOTE: The court has a statutory lien for waived fees and
costs on any sett ement or arbitration award of $ 10,000 or more ln a civil case. The caurt's lien must be paid before the court will dismiss the case
iAVISOf Lo han demandado. Si no respande dentro de 30 dias, la carte puede decidir en su contra sin escuchar su versi6n Lea la infonnacion a
conhnuacidn.
Tiene 30 DIAS DE CALENDAR/0 despues de que le entreguen esta cilaci6n y papeles legales para preseniar una respuesta par escnto en esta
Una carta o una llamada ielefdnica no lo protegen Su respuesla por escnto tiene que estar
corte y hacer que se entregue una copia al demandanie
cn formata legal conecia si desea flue procesen su caso en ia corte Es posible que haya un formulario que usted pueda usar para su cespuesta
Puede encontrar estos formularios de la corte y mds informacidn en el Cenlro de Ayuda de las Cortes de California (www sucorte ca gov), en la
hiblioteca de leyes de su candado a en la corte que le quede mds cerca. Si no puede pagar la cuoia de preseniaci6n, pida al secreiano de la corfe
y la corte le
que le dd un formuiario de exencidn de pago de cuaias. Si no presenta su respuesia a tiempo, puede perder el casa porincumplimienio
padra quilar su sueldo, dinero y bienes sfn mds advertencia.
Si na conoce a un abogada, puede liamar a un servicfo de
Hay otlos requisiios legales Es recomendabie que liame a un abagadainmediaiamente
remision a abogados. Si no puede pagar a un abogado, es posible que cumpla can las requisiios para obtener sefvfcfas legales gratuitos de uff
programa de sefvicios legales sin fines de lucro. Puede encontrar esios grupos sin fines de lucra en el sitio web de California Legal Serwces,
(www lawhelpcalifornia
org) en el Ceniro de Ayuda de las Cortes de California, (www sucorte.ca.gov) o panfdndase en coniacto coif la corte o el
calegia de ahogado" locales. Aty/SO Por ley, la carte tiene derecho a reclamaf las cuaias y los costos exenios par imponef un gravamen sohre
cualquier recuperacidn de $ 10,000 6 mds de valor recihida medianie un acuerdo o una concesi6n de arbitrale en un caso de derecha civi(. Tieife que
pagarel gravamen de la corte antes de que la carte pueda desechar el caso.
The name and address of the court is
(El nofnhra y direccidii de la cart es). San
Dicao Superior C.;ourt
330 West Hroarlway
'San l)iegLJ, (.'A )2101
The name, address and telephone number of plaintiffs attOrney, or plaintiff without an attorney, is
lEI nombre. la direcci6n v el numero de telfsfono del aboaado del demandanle. 0 del demandanle aue no liene aboaado.
(Jantcs T. I lanniul'131747), 7ach P. Dostart (255071); Tel No. (858) 623-4200
DOSTART HANNINK l(f COVENEY T LLP r 4 80 La. Jo 1 1 a Vi. 11 acfe Dr,
I
I
Ste
Clerk, by
DATE
(Secretario)
(Fecha)
Summons
(form POS-010).)
Service
of
Proof
of
summons,
use
(For proof of service of this
(Para prtyeha de enirega de esia ciiatidn use el fonnularto Proof of Service of Summons, (POS-010)).
NOTICE TO THE PERSON SERVED: You are served
1.
as an individua defendant.
2.
as the person sued under the fictitious name of (specify):
3
~
~
~~
~
Form yLdoptnd for Mandatory L lee
Judicial Council of California
SLIM 100 [Rev. July 1, 2009]
530
I a JQ j
T
CA
(Adj
uritg
on behalf of (specify)
under
4.
esl:
CCP 416 10 (corporation)
CCP 416 20 (defunct corporation)
CCP 416 40 (association or partnership)
other (specify)
by personal delivery
on (dale).
SUMMONS
~
~
CCP 416 60 (minor)
CCP 416 70 (consefvatee)
CCP 416 90 (authonzed person)
Pane
1
of
1
Co Je ot Civil PcoceiJure f)0 412.20 4lis
vnve courfm(ii.ca,iyov
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 3 of 29
I,)ALII:.4 'I'.
j ha»<tint<
2
3
(i
I IANNINK
~dt,'ni.co»1
(1'
7-17)
/.AC'l0 I'. I)OS I Al(T i2> it!7 I!
'ido!<tart (( sdtaM .coul
L)OS I AR'I' IANNINV. 8: C.'OUI-NE'1',I.P
0 I )I() I.<l .loll<i X I I ta~~c l)l tl'c, .it» tc O i ()
I.a,loll», ('.'ll i tor»i<1 <)2()37-147-1
5
tt.'> 8-(122:.-A2()I)
I el:
I(ax: lt>)l-623-4 '!')
6
A<i<11'»«i 5 tol'
ill<
»tlt 15
7
St,'VI.I'OR ('Ot:R'I')I'I'I IE 5'I ATI-; OI C'AI,IFORNIA
C'Ol!N'I
l'I: SAN
l)IE(iO
10
IA!UNO!U l)AI.I-: I'RIVI rind C'IIL'I<'<'L
El)(il<liION. indii i<tullllx: and on bet1at I'ol';ill
11
<it
12
ott1crs siinitarti
situated.
I';li »t i I'I'.~.
l)etaiiare
!iYUAI'St'. (iROt ll'. IN(.'
corpor,ttio»:,'i'<"NAI'SI-:C.'()NNI:('I'. INC'..;1
16 L)ct;nvarc corp»ratio<» 'I'IMI. INC'.. a
L)ctaiearc corpora(loll; l»l<t. L)Ot.,i 1-3().
17 inc lurid'«,
15
L) c t c»d lint~.
21)
21
22
2>
26
27
C'A!it, NO.
C.'I.ASS AC'I'ION
C'0511'LAIN1'()
(I) FALSE ADVERTISING;
14:
(2) VIOLATION OF THE CALIFORNIA
CONSUMERS LEGAL REMEDIES ACT;
(3) C'()NVI ICS1()N;
(4) l)NFAII4 C:()MI'FTITION;
(5) I:N,li,'ST
F.VIXICHAII.N'I'F.XIAVI)
F()R,IURY TRIAL
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 4 of 29
INTR()1) LIC:l 1ON
I'laintiff'hannon
l.
2
I'laintil'f
("I'rice")
Dale Price
is an india'idual
in S,in Die o
C'beryl l=d ctilotl ( Ledger)ton") is;in india idu;II rcsidin
3
C'ount)
4
C'ounti. (':.Ilif'ornia. Edg>crnon and I'rice are collectiiel) tcl'ened to herein;is "pl tintiff's."
>
C'Lilil'Orni;i.
are inf'ormed
Piaintilf's
is;I
Luid
beliexc and tlicrcon lillcgc thlit dcf'Iid(II)t Sx'n'tps«
corporation
Dellt)i',tre
6
(irottp, Itic.
7
inclttding thc m lrl,etitlg ol Iiltig;izillc sttbscl'iptiotis.
I
f
I'laintiffs;it'c
II
()
Sl'nltpse
Si'traps«C oIIII«ct, Inc.
I
IO
Di«go ('ourit). including
11
Pl;tintif'I's
12
I
I
Iliie i ts
Dcl<al
<1
col poratlon
tkilit
'I 'var'tet
of Tim«:
17 ol<ncd subsidiar)
111
there
19 so
i»
th;it does bttsiness
inl'ottncd
(
of nutn(.'rous
I
lie
including
tn<ig>azincs,
'ind others. that it marl cts to consuniers
I ())'rrr)l(',
Inc.
iticlLI(fitig>
OLII)t<,'>
<ind
th«rcon;III«gc that S) napse
belie>«,trtd
is;i
i~holly-opined
thr'Out>h
beta,celt these entitics th;it their scp irateness
<'0111I'ols iliad coI)LILicts the aff'itl's
Of
S'r'nltpse
so 'is 10 rctldcr S~napse
it>i«. 'Itid tliltt Tittle Lltld
S) tilipse so control
22
'idjttnct
23
S~n'ipse( onrlcct is Ilcccssal'l'o lt>,oid those ctitities I'rom being used to «ircurnient
24
.-'(utomatic
25
Ltnfair C'Olnpctition
Renewal
6.
La)~. thc
C.'Liliforriia
C'onsumcrs
ltg>cnew.
I.eg>,ll
conduit.
of'>,'nttpsc
corpor<ite scp;tr;It«riess
ime
Or
tllid
thc C';ilif'orni(i
Remedies Act. Ind'or tlic (.''Ilil'oinia
L;ti~. or other.)l is« cause an unjust result.
Pl(lit)fills do riot I(llo'»,'ile Ii;lilies of thc dcfclldallts
M'hen th<it lriiorlii'itloti
27
v ill alnerid Lhis
2II
ind beli(.l'tliat each Ol thc DOL def'cndtints
(
Lilill
'I ti'iel'c ltlstt'Ltrtlclttaiitx',
of the
'I
colicitict tkic;iif;itt's
oi Sinaps«C.'onnect
itne 'ind S<,'n;ipse; and tliat disrcg><ird
tlilit
ti I)I«I'c kllstt'Ltntcr1t'tlitx'.
21
so as to render Sl'nltpscCOtlti«ct
a )vhoili-
c« ised: thlit
kias
agcnch. colidult. 01'idlullcl oi
I
i»
of'Sitr;ipse:
subsidi;tt>
20
26
'I'inie
tllcgc that dct'cndant
III . i(II1 Dlcg>o
is a publislicr
that S)nips«C'onnect
such a unit) ol'interest
of'
iti Stir)
cltallt)«IS. Itlclttditig throttgit Sx'I)apse <irid'OI') lllips«C or)Iieet.
I'I'Lintiffs,<trc
1()
docs bLtstiicss
'I inde
subscriptions.
1
I
believe and thcrcott
'ire inl'omened;tnd
I'i)ir«, J'e<)pl(',,'>t>t>)'rs 1DIL>'I) crrecj..')rr)rl«r.
>'
corpot';itioti
I is a Del(t\x;tre
def'«lidaltt
th;it
Lillcge
ol'nia< (izinc subscriptions.
the marl'«ting>
14
>
thereon
and
('Ount),
in San Diego
tliat docs business
belie> e
tind
S) napseC.onnect
>'arc
ol'(igaziiic
13 nlarketing>
informed
Diego
iti San
residing>
on)pl(tilt
1
Ct.ASS .XC'I'ION C()MPLAIN'I
bccotlles i(rior'n.
s(tcd as
Pl;iinti
D()l.S
I I
I tkir'OLigli
s;ille c
On
>II bLII
infor nitition
is;il'fili;ited iviih uric or tnore ol the n;imcd dcl'«I)darts
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 5 of 29
I
in some respect and is in some manner
2
direct participant,
or as the principal, agent, successor, alter ego. or co-conspirator
For ease of reference. plaintiffs
6
vsith onc
refer to the named
X'enue is proper in this judicial district because the complained
of conduct occurred
and the DOE defendants
7.
5
of or
vvill
3 or morc of the other defendants.
delendants
alleged herein. either as a
for the vvrongdoing
responsible
collectivelv as "defendants,"
in this judicial district.
GENERAL ALLEGATIONS
8.
8
9
Defendants
in an illegal
are engaged
'automatic
renew,al" scheme
to obtain magazines
Under the guise of providing consumers the opportunity
subscriptions,
1'r magazine
10 free or at a discounted price for a specific term. defendants actually enroll consumers
11 that autontaticall>
12 consumer's
renews the subscriptions
in a program
from ~ear-to-year and results in annual charges to the
credit card. debit card, or tliird party pa>ment account without providing the requisite
13 disclosures and vvithout obtaining the requisite authorizations
14
either
9,
ln or about February
15 and tilled out a follow,-up
16 Rexvard" stating that he
required by California lasv.
2014. after plaintiff Price made an online purchase at a retailer
presented
sut~ey. defendants
vvas entitled
Price i~ith a "Complimentar~
to receive a "full year ot'issues"
of "up to
5
$ 100
complimentary
17 magazines" at a cost of just $ 2.00 per magazine (for either the magazine itself or "processing"),
18 Price selected tivo magazines and paid the total cost of $ 4.00
vvith
his credit card bi entering his
19 credit card information.
10.
20
Unbeknovvnst
rene'"
21
"subscriptions" xvould "automaticallx
22
year, ivithout plaintiff Price's authorization.
23
$ 71
a price increase
of about 1.700'zo
21 selected the previous year
25
11.
enrolled
to Price. defendants
defendants
—supposedly
for renewal
"Complimentary
27
same as or substantially
28
about Febtxtary
sintilar to the "revvard" that <as presented
not aware
of
had
$ 100 Reivard."
Plaintiff Price is informed and believes and thereon alleges that Exhibit
vvas
Thc folloiiing
of the tv,o magazines Price
recently provided by an employee
2014. Although plaintiff Price
ivhich thc
charged Price's credit card approximatels
26
CLASS ACTIOV COMPLAINT
under
each year. at a much higher price,
in response to the surveys's
Based on information
him in a p~ogram
of one of
1
the magazines,
attached hereto is the
to him by defendants
in or
it v,hen he selected the txvo
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 6 of 29
ot'he
at the bottom
I
m;tg<azincs.
2
"Continue." there is;1
3
folloils:
)ele«tion parr« tEx.
pal <ul<uu<in~ «i<us ««I<;<«hum«<u
1".
v,"Ls
On inl'Onnation
C)n int'ormation
rune«<l
Ex,
"( n<'<nu."
1
h<r I'ull au< ul<
1''ts
nc)t
3")
to plaintit'f Price tas "Step
pa<re pr«sent«d
lt).,)u)t;Lh(rate
the splice lor cntr) 01'credit «,trd
at
1
'Complete.'here
is
ti
.)ust beloiv
"Important Reward Details"
ol'credit c;lrd inl'Or»l;ltion< under thc large he'idin<
;ttrd,tboL e a l<trge red button labeled
"Step 2")
).
lt
E.'(,
ltibclcd
ot'ihich r«;ids;i)
thc tri«ss;tge: "Your l<exL';trd Selection is cotnplete."
in red I'(tnt.;tppe;tt's
th(. sp;lc« 1'or ctitri
C'I!«I
<'u<«or<<
and belie); thc
Mas to etlter his credit cttrd inl'ormation.
int'orm;ltion,
a latge t'ed button
thole'c
and belicl'. the next page prcsctrtcd to pl tintil'1'1'rice
to Crit«I'is dcliL crr information.
13.
8).
print. thc second to la)t sentence
in tini
para< raph
Lit
1
10-)enten«e pttrtl<'r;iph in )m;tll
1'orlt.
01'i
thc I'out'th;uld
hich ptlr;tgraph
111'th
sentence) r(. Id:
.(lier
I,<uh lu<u <uu
<hu «r« tcttn, ult selectious will cvuliuuc.
p»,u plus pr cessintl (aud any applicablc sales u<)l ««I h<thn<!
13
«u;<u<h<
univ«!uu
14.
r<r< the
<'t«<u~u
account you provide tO be ch'u
u««uriel I-S!),r-rl<u-ps su
<«
Those sentences Lire;I lcg(11 nullit)
II
«uui<u,< r«n<n<lur
n,«<u<
<«<«1< It<< <hu r<ux«u<«1
<h«u<',«< h<r <hu nu)<
th':««n
<
I
p<i,<! <n
«uu.;u<',I
«r. »I
<
<»uu<
bcc;tuse. as;1 matter 01'aw. the s«lection
ol'()
In(l" a/itlcs
f7
tn I'cspon.'ie to defend lnts
tt" I'cct11crlt fol'LLltointl11c
I'cncM'111
C
(1lllplirnctrt(tr'<
01'ontinu(r
(Is
'.}111)0 Re<card
seri ice.
1
hilt
is so
«oLtld nol <'Ivc I'1.'i<'0
Lirl
1'olloL'<
in«
1'Or
at lc;1st the
I'«a.si 0 n.si:
Dclctldant.i
Ll.
2t)
(rtlet'«I'nls
.'ielpclce
lrl
2] re(luest t'ot'onsent to
23
lt 1 I I I'Ill lit I <'0
I'en«is
11
c0
nl<tlln«l'h<11
us en t t 0 ttn
agl c c ale rl1 coul
1760 (a)t ): a»d
27
C
I!i
«le<it'nd
an Ol'1'er. in i iolation Of
olfcr tcrnls ot continuous
C'l..L.')'.<:«C'I'ION
10 pt'c.icllt aLltotnatto
Otuti'I..< IN
I'
arid
C.'l. Btts. & Prof'. C'odc
'1 I Ill
n g « 1 c <tr','1nd
setneicc ot'I'cr terms,
Oil«I'el'Ill.i 01'olltrllLIOLIS
r«tlcL'<'Ill
conspr«Lloris
1)clcndants «h;lr<red plaintiff ) «tedit e
b.
22
(1
1<11 lcd
Lrd
ln clsLltil
))
pr(rxlt1lttl
176021';t)(l);
Lcithottt llrst obttlirling<
c 0 us p I c
u
in iiolatiorr
0
Ll
10
s
of
d l.'ic 1 0 s LII'e 01
C.'al.
pl;lilltil1 s
aL110 tn '1 t I«
Bus. & Prof. C(rd«
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 7 of 29
Bcf'cnd;rnts
service off'cr terms, cancellation
2
rene«rl or'ontinuous
3
c»reel in a nrarrrrcr that «as cap,rble ol'being retained
Code
ss
i.
9'ithin the applicable
6
orllrrre sul'<'ci', dcferrcl<rllIs pr'cserlted
7
just
.00
pcr. magazine
(including
ma<>azines
9
I(l
ol'hc
selection
rr in I'orrn
16.
16>
four
III
other'';rlil'orni<r
rnrg;rzines.
21
continuous
service
22
charges are
irr
23
«
until
Th» I'olio«ing»e;rr,
I'.dgemon's
credit card
<md
in I:><hibit
c;md
md,'or third-p;rrty
selections
or subscriptions
c;rncelled
by the corrsurrrer
la«.
«ould ";rutomatic;III>
«ithout plaintiff Edg>cmon s
disclosures
prie<. irrcre,rsc
rn;rd<.
of',37>'!
«ith
1>.
Irer
«crc
bx def'<.rrdants
l.
ther cori 'lllcgc th,rt dc(el>darts
rc«ards or discounted
payment
to I:.dg>ernon,
Unbekr>o«'nst
rllcges th,rt, in connection
«ith «hich def'end'rnts
in connection
i iolation ot'.'aliforni,r
cost ol''>8.00.;»rd paid that
SI')0.00 a
th<.reorr
tire reprcscrrtations,md
selected lour
m,rg,<zinc
«hcn,
autltoriz,Itious
rene«and'or
"automatic'rifi'"
to
I
c<rltsulncl's'9
under
provide
in f;rct. thc of'f'ers;rrrd
1)ef'end rnts cngagecl in such pr'rcticcs
e m,rdc
subscriptions
h;tie char<>ed thc
accounts «ithout
lr r>
tlr<
I'or
subscclrrcllt
no«ingl>,
and
fly.
17.
2>
PI;rintiff's
27;rpplic;rblc
2S
at a tot'rl
her price.
CLASS
26
I'rol.
completed;rn
I'dg>cmon
«hiclr the 'subscriptions"
under
inforr11ed;<rid belie>
consumers.
guise th;rt the n>agazinc
I'u
k
to select rnag>;rzines;rt;I «ost ot
her credit c<rrd inf'orm;rtion.
of'I'ers I'or compliment;rrx
20
tfle oppor.tunit<,
ime pubficatiort)
and content to those reflected
credit c;rrds, debit c;rrds,
I
><'rth
an(3 belied'es
is informed
1111c. or'illlllal',
thE.'
hi<
charged
I'l,rintiffs;rre
17
i I
'I
hcr in a progr;mr
dcl'cnd;rrrts
a<lthoriz,rtion.
15 simil
I.dgerrloll
Re<It,'>r'>>ran>jc.,r
enrolled
defend;rnts
period. alter plaintil'I'dgcrr>on
linrit'rtiorrs
«'ith hcr credit c;rrd by entering
arrlo<rlrt
13 Pl;rintil'I''.dgcmorr
14
ho« to
rc<><rrdin
plaintiff. in viol;rtion ol'( al, Hrrs,
b~
(lor either the m;rg;rzirre itselt'r "processing>").
11 rene«'" each ie'rr,;rt a much
12
policy. and int'orn>atiorr
rruton>atic
17602('r)(3)
I
I>
that includes
ar>;tel no«lodgment
I'ailed to pr'o>'idc
thr'ough
Plaintilfs bring this
I
AC'. TION
r«suit as
seek to rcprcsent the I'olio«in<
statute
of'imit'rtiorrs,
dcf'elldallls
obtained
CLASS ACTION CO(<1(>I.%IN'I'
f'r
'md
I
ALI.I:CiATI()NS
cl rss action under C'odc
C'.I;rss:
"All individuals
in connection
pcl'sort<11.
I'rrnil>.
«'ith,r
in C',rlif'orni;r
nt rgazine
or household
of C'devil I'roccdure
ss
3>I(2.
«lro. «itltin tire
selection or'ubscription
purposes.
«ere enrolled
h>
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 8 of 29
rcltciv,il pru«I'an1
1
de('endants
2
class are
3
to ii<hon) this case is assi»ned."
in an Iiiitontultlc
18.
6
8
poss«ssion
the
in
C'onlnlon
i'r
10 proccduics
oi'hird-p'u ti''Ll'lllcnt
1 1
c'll'L1,
12
dei'eiid;ints
11
Iecliicst
15 proximiti'o
1(i
I'or
ii'Ithnl thc Incanln~«of
20.
22
least 100 members.
23
"1.
I
'I'it)ic;Iliti
24
Incmbers
ol'he
25
members
in;lutomatic
26
terms in thc nlanncr
27
p;irti;iccoiints
28
required
C'.lass.
ol'in
reneiv'll
<iutoiitatic
rc
I<aiv
and In
convei'cd
OI'I'er
uirdin<<
hoii to c;Lncei. in
C'omnu>n
practices iind
credit. Card, debit
Li
ii h«ther
)
tcrtns in;> nlanncr
"i lsLI<il pi'oin111(i't)
bi i'oicc.
In tenlpolal
)lith;in
consumers
ofibr
terms,
the
of heine
m;mncr tli;It is c;ipablc
practices: and (~) the Lippropri;it«
(4) dclcndints'ecord-keeping
conduct.
I
he
(.lass is so ni1nieroiis
laintiffs are informed
inlpractic iblc,
ilifuI'nia
service
Numerosity.
21
(
L>f'fer
or continuous
18 ret lined bi thc consumer;
I'or de I'cndin) ts
Li
prc>i idc
17 cancellation polici, and inl'ornlation
2(1
I'enilants'olicics.
cunsent to thc uf'I'er): (3) ii lie(lier dciendants
includes
that
or laiv thiit;Lrc
Ioi'in atltonlatic r«neii'al or continuous sei'vice: (
to the OIIE.I'oi In the elise
a request
'Lcknoivicdf<nlent
19 r«medics
d<
prcsentcil Liutumiitic renciv:ll olfcr tei'nzs or CL)iitinuous seri ice
foi'onsent
lin)itation
issues.
consent from custoincrs bel'ore char»inI
<1ccuLnlt
13 that is "cleat'in(i conspicuuLIs
14
oi'cr indiiidual
(I)
liinitation:
oi''ict
questions
Lire
of thc class, i>hich predonlin;itc
al'Iii.miitiie
obtainin<<
bi rci ieiiinu
ii ithoiit
in«ludin
parties.
'I belie
ol I'act. or Laiv.
Questions
and the judi«ial of'Iicers
Cl iss In;Li be as«Crt;Lined
thiid
and, or
the class include. iiithout
reg;Irdinu
ol'he
I.xcltided I'rom thc
records, ciistonlcr iecords. and biilinu records,
pruinotion
to the mcntbers
9 qu«stiuns
he Incinbcrs
defend;ints
of
Lrketin<< and
19.
common
'I
Asceit'iinabiliti'.
def'endants'n
7
sei'i'Ic<'i'o«I"in).
«untinLLOLIs
emploi ees oi'dcl'end ints. 'Ill emploi ees of pllinti('I''ounscl.
till
.) recorLIS
oi'1
and
Ind
ALleuuiici.
th,'lt
joinder of all
C liiss
belieic and thereon;Ill«I c th;it the
Pl
iinti(TS'laims
I'laintifls alle< c on int'oiimation;in«l
are hpical
menlbers
iioiilii be
C.'lass coi>sists of'Lit
of'hc
belief'hiit dcf'endants
cliiims
oi'he
('ass
cni'ulled
rcneiial or continuoiis seri'ice offer prL>t.rains ii ithout prescntin«applic;Ible
required
iiithout
bi C'alit'orni;I
bi laiv,
first obtainin<<
laiv,;Lnd
char<<ed C'lass
incmhers'redit
thc C'lass Ineinbcrs'II'firlnative
Iailed to provide
th«rcqttisitc
cards, debit cards, or thirdCI>nsent
acknoivledgmcnt
in th» Iniinn«r
in
11
nliinnel''L;X!)TS
<1( PION L.'0(vtPLAIN I'
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 9 of 29
of being retained
Plaintiffs have no interests that are adverse to
bs the Class members.
1
capable
2
those of the other Class mcinbers.
3
Class members,
Plaintifts
A class action
protect the interests of the
ill fairly and adequately
vi
to other
methods
22.
5
controversv.
6
loxv in
7
Class meinbers to redress the ivrongs done to them without a class action forum,
8
inl'ormation
9
Class certification v«ould also conserve judicial resources and avoid the possibility
Superioritv.
is superior
Because the amount of restitution
this
for resolving
4
is
to vvhich each Class member mav be entitled
comparison to the expense and burden of individual
litigation. it vvould be impracticable
for
Fuithetmore<
on
do not knoiv that their legal rights have been violated.
and belief, Class members
ot'inconsistent
10 j udgments.
Defendants Have Acted on Grounds Generallv Applicable to the Class, Defendants
23.
11
12 has acted on grounds that are generally applicable to thc Class, thereby mal'ing appropriate
final
13 injunctive relief arid,'or declaratory relief ivith respect to the class as a whole.
FIRST CAUSE OF ACTION
False Advertising
15
16
2A.
17
3.
Plaintiffs incorporate the allegations of paragraphs
As part of California's
18 Law. Cal. Bus, 8: Prof. Code
Cal. Bus.
26.
19
"a
20
meaning
21
automaticall>
22
plan
-23 as though set forth herein.
Laiv, the California Automatic
8'rot,
Code
q~
176011a) defines thc tenn "automatic
in ivhich
or purchasing
subscription
a paid
rcneived at the end ol'a definite term for a subsequent
2
Renevval
17600 e(,seq.< became effective on December I, 2010.
or arrangement
Cal. Bus.
27.
ss
False Advertising
I
Prof. Code
) 17601(b)
renew,al"
as
agreement
is
terin."
defines "autoinatic
(I) That
offer terms" as
renewal
23
meaning "the following clear and conspicuous
24
agreement
25
that applies to the offer.
(3l The recurring charges that ivill be charged to the consumer's credit or
26
debit card or payment
account
27
arrangement.
28
which the charge will change.
ivill continue
until the consumer
and that the amount
CLASS ACTION COI<IPLAINT
vvith
disclosures:
the subscription
or purchasing
cancels. (2) The description ot the cancelation polici
a third patt>
of the charge
as part
of
the automatic
may change, ii that is the
if known. l4) The
length
of the automatic
rene@,al plan
or
case. and the amount to
renewal
term or that the
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 10 of 29
sets ice is continuous,
2
purchase obligation. if an)."
28.
3
meaning
5
Cal. Bus,
"a plan
k I'rof.
or aiTangement
thc customer cancels thc sen
Code
~<
is chosen bi the consumer.
(>) The minimum
I7601(e) deIines the term "continuous
in iihich a subscription
agreement
or purchasing
17601(c) defines the terms "cle'ir
~~
to means "in larger ti pe than the surroundin<
7
"clcarlv aild coltspicuousl)"
8
tspe, font. or color to thc surrounding
<and
c<ise
11
in a volume
12
30.
continues until
tc~t. or
in contrasting
text of thc same size, or set ol'I'(rom the suirounding
ol'an audio disclosure, 'cle ir and conspicuous'nd
<clearly
and
conspicuously'»ans
and cadence sul'ficient to be rcadilv <iudible and understandable."
Cal. Bus. 8 Prof, Code
17602(a) mal'cs it unlav,ful
ss
I'or ani busin»ss
inaking,in
clo an>
14 follow, ing:
(I)
Fail to present the automatic
renewal
offer teitms or continuous
service
or
offer terms in a clear and conspicuous manner before the subscription
is I'ullilled
agreement
17
purchasing
18
of an offer conceded bi voice.
19
consent to the ofter.
20
(
)
a third
ivith
22
ix ithout
23
agreement
lirst
patt>
or in thc case
pro~imitx, to the request for
in tempor;il
for an automatic
obtaining
containing
alld in visual pro~ziniits.
credit or debit card or the collsuIIlcr s accotillt
Charge th» consumer's
21
the
consumer
renew,al
s
affirinative
thc <iutont itic renewal
seivice
or continuous
consent
to thc
oft'er terms or continuous
service offer terms.
25
tent ot'
to the l<ingu;ige,
13 automatic renewal ot'fer or a continuous s«rvice olfer to a consumer in California to
15
ic»'s
conspicuous" and
tlie s une size b) s) mbols or other ntarks. in a manner that clcarlv c<ills attention
10 In the
seri
ice."
Cal. Bus. 8: Prof. Code
29.
6
ol'he term
unless the length
1
(3)
Fail to provide an acknowledgment
that includes the automatic
sen ice offer terms. can«»llation
polic>', and information
26
or continuous
27
regarding hoiv (o cancel in a nzanner that is capable
the consunier.
CLASS AC I ION COMPLAIN
I
renewal
of being retained
If th» offer includes a free trial. the business
b>
shall also
of the
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 11 of 29
ho1v to cancel an(i allo«v thc cons(it)let
drsclc)se tn thc acknoxvlcctgnlcnt
to cancel bef'orc thc consurncr
ss
5
Cal. Bus. 6': I'rof. C'oclc
3)1.
3
l
f'r
f'r
1760"(b) vccluires
ss
specified in
th;it the icknovvlcd«ment
or other mechcinisrn
cancellation.
11
change Ill thc
I'»liter'till
scr),ice ot'f'er that has been accepted, C';il. Bus.
consLII11eI'rtll
10 provrcte the
lt
c(v
tcI
»ls of,'»I;Iltton1(11rc vcneiv
I'rof'. C'ode
176()3 prod ides: "ln
SS
10 any goo(Is. 1v'1l'es, nl('I'cll'Ittctrsc.. 01'I'odLIcts (0
Ll
rcnclvai ot';I purchase. vvithout ttrst obttiining
12
described in Section 1760 . the goods. )vares, nrcrchandisc,
liny obligation
he or she sees trt. lvithocrt
15 includin«, but not limited to.
16 nterehlin(liSe,
17
Or pro(1(ICtS tO th»
of'irnitatic)ns
20
the C'lifot'ntl1
21
v(lrclv;LI or
22
subscription.
continuous
Rerlelvcil
service
beticic»id
of't'er.
conveyed bi xoicc, in temporal
teens in a clear
proximity.
to;I
credit ccird. debit cavd. or third-parts
25
continuous
service Lvithout
26
co»tarn»lg
CI(
27
sera ice
r
28
or continuous
trvst
obtaining
consprcLIOLts
c)f'I'cr
CLASS AC:TION C'O)CII'I,AIN
I
business sends
attirtnativc
of'hc
consent 'is
s;ime in ltni
meit»1(.'I'4
pttrt to the bttsirlcs!i.
shipping
any «oods. L)'ties.
Lind
conspicuous
tcrnis, c incellation
I'(tiling<
and C'I iss
tr,tie
),
iollited
to present;tutor»;itic
naanncr
in 1 isu'il proxirttiti,
bet'ore;I selection.
or'n thc
cctsc
of an
vccfucst I'or consent to thc off'cr: tb) ch'irgirrg,
p;Lyr)tent
ltccount I'or an autoniatic
the consumer's,rf'firm;Itive
drsclosLII'c
pl'iintif'I's
inclucting<
scn icc progrluns;»Id
ol aLttonlattc
I'elle)vaf
tcrnls:;»id (c) fitiling to provide an ltcknoxvlcctgrncnt
service
f'ot'.
I.'Dv b<'. a»long other things. (a)
consumer's
ot'I'<
lr
thereon alle«c that. (turing Ihe;ipplicable
continuous
24
r»'»1(t
in v, hich
on the cons»Incr<s
have enrollcct consumer's.
agrccmcnt. is tuft)lied;inct
or purchasing
«asc
or products shall tor all purposes be
of. or responsibility
rcnexv;Ll pro<„rcims;Irtd'or
XLttoltl'itic
to f'ail
it unlaivfuf
buSineSS."
period. dcf'cndants
19 mernb(.rs, in Liutomatic
Liny
01'onttnuotls
Ill;i(Crt;.11 cli;»I<'e.
)vho »ray use or dispose
xvhatsoever
the cost
I'laintiffs are inf'ormccl an(I
3A.
st itutc
betirin<
LI'rc
thc consumer's
or autonratic
gif't to Lhc consumer.
176()2(c) makes
il
c0nsLtnlct', Lrn(tet'I 00»1rnLIous scr1'Ice '1<'I'ccnlcrlt
11
13 dec»lcd atl Ltnconditional
qs
clc,'ir'rnd c0nsptcLIOLIs no(Ice 0f
C:al. Bus. (< I'rof. C.'octc
).>.
9
lfl
ices.
th» goods or sera
760 (a)(3) incluclc a toll-f'Iec telephone number< electronic m;iil;iddress,
fn the cli!ie of
7
peti s
the
rene)1,11 or.
consent to,tn;tg<rccltlcnl
offeI'elalas
thlit includes
poficv. and inf'orrnation
offal'3
01'ont»ILIOLIS
autom;-Itic renew, il
re arding ho@, to cancel in
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 12 of 29
Ii
OI'eing retained
nianncr th;it is cap,'ible
('i>dc
ss
17602(ai
Ltnd
consumer,
I Lr t 0 I'
»'
(1 I Lie
I
i
I> ii,'1 I I t s
st
LL
0 I <Lt I 0>is.,'Lrl'>'I
w
iol itii>n of'
thercl'ore, such off'irs or attempted
Lrnd,
LLv
'l I c rc >le >»'a I
LI to Ill
I'rof'.
acre
OII'ers
0 I' 0 1> I I li Li 0 Li s
O'I;iss r?niinbers
to pl;Lintifi's;L»d
seri ice offers made or atteniptc:d to bc m;ide bv defendants
in
of''.al, Bus. K
all in violation
(bi.
A s,'i I'c s Ll I t
3 >.
bx the
>vere
not accepted I?i pl'Lintiffs
Or''lass
inernhcrs
Iii the: altern;itive,
hr>avery
er. dcl'end<»>ts Lvould
chang>e in
price iind
x
iolation of'C'al. Hus.
iinii O'I;rss rnembcrs
bi having f'ailcd to proL ide plaintif'I's
m'itcriiil
in
b<
inf'L>rmtrtion
regarding
L>,ith
ho?>,
<i
scn icc.
rcncxval or continuous
I'or autorn;Itic
«nd did riot give risc to iin agrecn?ent
k
L>l'.
Pr
C'odc
«lear and conspicuous
ss
17602tcf
notice OI';i
to cimccl in a manner tiiilt ls c<ipai?Ic
OI'0
being retaincii bx thc consumer.
36,
12
As
plaintiffs;inii
<I
I?as»it
of'cf'endants'onduct.
('Iirss n?elnbcrs ai'c entitled to restitution
(."I;iss
13 c;iusid to be chtirged to plaintiff's';ind
p;Lament 'recounts
x
As a
>7,
chai'ges
I'<'sLllt
of iiclcriiliilits
tliult LlcfinLlillits
17603.
ss
or
chirrged
c'irds, debit carLIS, oi third-p,rrti
of this
and continuing
C.'ompl<iint
OI
tfrir'd-pal't?','I?'I?>Crit
"clear
defendants
until
coiisent to in iigrccment
21
0 f f i I' c I'll s 0 I c 0 ll I I ll u 0 us service 0 I fc r t C I I > 1 s, n cl f I'0 In
22
incluiies cle,ir and conspicuous
23
cancellation
'Lnd
'
disclosure of
f Il I I I
reg;irdin<>
hovv to
n g I 0 p I'0 v I Lie
rer>c>vill
Lrut<>nr'Ltic
disclosures
'
or contiiiuous
c;inccl in a ln;inner
7 > '?,
>
t'rom m;iking
ni;il.in<
pl'lor,'ll ill'Ill»live
OI L»IIL>inatic
I 1 <I
I
q~
I;L>L. fror??
i>ceo»Ills vvitlioilt
conspicuous"
20
policv. and inf'orm;ition
enjoining>
to an ir?function
ol'I'irs tiiat do not coil?ply Lvith C'<afif'orrria
ciir(is, dcblt c<trds.
containin<
8-'l'0 I. ( 0 Jc
corliiLict, pill>SLialil to C al. Hus.
lire entitled
selection or subscription
to cl'eillt
tiling>
I'rof'. C'Odc
LC
ii>liitions c«ase
17 plaintil'Is and thc C'I'iss n?embers
>nag>azine
of all iiliioLlllts
mcinbers'redit
during thc four?'Cars preceding the
dcf'ind nits'tatutori
to C';il. Hus.
pursu;rr?t
rcneivil
c k ll 0 vv I e Cl g I I i c I I I t li 't
scrvici
ol'f'er
tcrnis.
that is capiiblc
of'heir?'etained
bi thc consumer.
Sl'.C'OND CAlJl? E OV
Vir>l;rtior?
26
27
38.
I'Iaintil
I's
of'hc
C'ollslllncrs
I
Lcgirl Remedies Act
incr>q?Orate thc alleg>;iiions of'p;ira<>raphs
10
CL.XSS >LL
A(".I'105
ION ('Olvtl>LAIV
I
1-3> is though sct forth licrein.
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 13 of 29
39.
1
2
Code
Plaintiffs and the Class members are "consumci's 'vithin the meaning ol Cal. Civil
1761(d)
ss
sought or acquired
and the Class members
in that plaintiffs
defendants'oods
3 and'or services for personal, family, or household purposes.
40.
5
and,'or
41.
lhe purchases
of Cal. Civil Code
nteaning
i>
pertaining
1761(a) and (b).
are "transactions"
ivithin
the
1761(e).
have violated
Defendants
8
ss
of Cal. Civil Code
and Class members
plaintiffs
bx
offers and the magazines
subscription
thereto are "goods" andior "services" vvithin the meaning
6
7
Defendants'election
9 (a)(13) and (a)(17) by representing
that
Cal. Civil Code
defendants'oods
II
1770, subdivisions
(a)(5), (a)(9').
and sets ices have certain characteristics
10 that thei do not have, aclvcrtising goods and senices ivith the intent not to sell them as advertised;
11 making
false and misleading
12
of price reductions',
amounts
statements
of fact concerning the reasons for, existence of and
and by representing
that the consumer >vill receive a rebate, discount,
13 or other economic benefit. if the earning of the benefit is contingent
14 subsequent to the consummation
15
43.
16 vvillfully.
of the transaction,
Defendants'onduct
and v ith oppression.
on an event to occur
alleged
herein
vvas
undertaken
fraud, and or malice. ivithin
by defendants
thc meaning
knoivingli.
of Cal. Civil Code
>s
17 3294(c).
Plaintiffs.
18
19 injunction
20
Consumers
prohibiting
of themselves
on behall
defendants
from continuing
their unlawful
THIRD CAUSE QF ACTIQIV
22
Conversion
45.
Plaintiffs incorporate the previous allegations as though ftdly set forth herein.
46.
As a result of charges made bx defendants
25
cards, debit cards. and/or third-patty
26
California lan, defendants
27
practices in violation
47.
of
the
l.egal Remedies Act, as described above.
21
23
the Class. seel s an
and all other members
payment
CLASS ACTION COXIPLAINT
Class members'redit
accounts ivithout authorization
and in violation
have taken mone> that belongs to plaintiffs and Class members,
The amount of money xvrongfully
28
to plaintiffs'nd
taken bx defendants
is capable of identification.
of
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 14 of 29
48.
1
2
Defendants
engaged
in this conduct
traud. and/or malice vvithin the meaning
As a result
q9,
3
knowingly.
of Cal, Civil Code
of defendants'ctions.
vvillfully,
oppression.
and with
3294(c).
ss
and Class members
plaintiffs
have suffered
damages.
FOURTII CAUSE OF ACTION
Violation of the California Unfair Competition Laiv
7
50.
Plaintiffs incorporate the allegations of paragraphs
8
51.
The California Unfair Competition
Lavv
1-49 as though set forth herein,
("UCL"'), Cal. Bus.
A:
Prof. Code f 17200
9 et seq.. defines unfair competition as including "any unlawful. unfair or fraudulent business act or
10 practice."
11
12 defendants
13 and
14
of conducting
In the course
"unlai~&1.'unfair." and'or "fraudulent'usiness
committed
practices by, inrei
«limni
or purchasing
offers in a clear and conspicuous manner bel'ore a magazine selection, subscription,
15 agreeinent
period.
limitations
(a) I'ailing to present the terms of automatic renewal or continuous sen ice
limitation,
vvithout
the applicable
within
business
and in visual proximity.
is fulltlled
or in the case of an offer conveyed by voice, in
16 temporal proximity, to a request for consent to the offer. in violation of Cal. Bus. & Prof. Code
17
s>
1760"(a)(l); (b) charging the consumer's credit card, debit card, or third-part
18 for an automatic renev
al or continuous
account
payment
service vvithout first obtaining the consumer's
affirmative
19 consent to an agreement containing clear and conspicuous disclosures of automatic renewal otfer
service offer tetms. in violation of Cal. Bus. A Prof. Code
20
terins or continuous
21
(c) failing to provide
22
automatic
23
regarding hoiv to cancel in a manner that is capable
24
of Cal. Bus.
E Prof. Code
25
have
certain
characteristics
26
(e) ad~ ertising goods and services
27
Ci~ il Code
28
for, existence of and amounts
renevval
<
an acknowledgment
or continuous
i~
that
that
do not, in violation
vvith the intent not
12
defendants'oods
in
~
iolation
and services
of Cal. Civil Code ) 1770(a)(5).
to sell them as advertised, in violation of Cal.
and misleading
of price reductions,
of
policy. and infoiimation
of being retained by thc consumer.
17602(a)(3); (d) representing
that thei
disclosure
clear and conspicuous
sen ice otter terms. cancellation
1770(a)(9). (f) making false
CLASS ACTIOiii COXtPLAIViT
includes
1760"(a)(2):
<s
statements
in violation
of fact concerning
of Cal. Civil Code
q~
the reasons
1770(a)(13);
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 15 of 29
1
(g) representing
2
earning
3
transaction,
that the consumer ivill receii e a rebate. discount, or other economic benefit, if the
of the benefit is contingent on
of Cal. Civil Code
in violation
use and benefit monei
5
the right to allege other violations
6
practices.
53,
7
Defendants'cts
8
statute, are substantially
9
oppressive,
10 attributable
lavv
that constitute
Plaintiffs reserve
or unfair
unlav~&1
as alleged herein violate obligations
and omissions
acts or
business
imposed by
of the conduct
as the gravity
unscrupulous
outweighs
anv
benefits
alleged
to such conduct.
defendants'egitimate
to fuither
alternatives
available
reasonablv
business interests, other than the conduct described herein.
55.
13
14
of
and Class members,
injurious to consumers. offend public policy, and are immoral, unethical,
There ivere
11
12
and
belongs to plaintiffs
that rightfullv
to del'endants'v,n
l770(a)(17): and (h) converting
ss
of the
to the consummation
an event to occur subsequent
Defendants'cts,
omissions. nondisclosures.
herein ivere and are false. misleading.
56.
and misleading
statements
as alleged
and'or lil ely to deceive the consuming public.
Plaintifts ha~ e suffered injury in fact and lost money as a result of defendants'cts
16 of unfair competition.
>7.
17
(1)
to an order:
18 entitled
to Cal. Bus. 8c Prof. Cocle
Pursuant
requiring
(2) enjoining defendants
19 members,
delendants
accounts
debit cards. and,'or
21
consumer's
22
of
23
mal-ing
2A
complv ivith the California Automatic Renewal
affirmative
all automatic
automatic
party
paytnent
consent to an agreement
renewal
until
such time
that contains
or continuous
FIFTH CAUSE OF ACTION
26
Unjust Enrichment
58.
28
Plaintitts
incorporate
the allegations
herein.
13
CLASS ACTIOiv'oiviI'LAIN'T
clear and conspicuous
obtain
the
disclosures
defendants
of California
cards,
from
that do not
La~v.
25
27
as defendants
seitvice offers in the State
are
and the Class
Class ntembcrs'redit
service offer terms; and (3) enjoining
or continuous
renevval
plaintiffs'nd
and the Class members
to plaintifts
to mal e restitution
from charging
20
third
] 17203, plaintif1's
of paragraphs
1-AA
as though full~ set forth
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 16 of 29
59,
1
As a result of charges made bv defendants
2
cards, debit cards, andior third-party
3
received mone> at the expense ol plaintiffs
said hmds to plaintil'I's
60,
6
7
and Class tnembers
and Cl <ss members.
ivould bc unjustly
Det'endants
tnd defendants
should be ordered to restore
and Class members.
Plaintiffs allege this unjust enrichment
to relief provided
claim in the alternative
under ani legal claim alleged herein.
PRAYER
V,'HEREFORE, pl,tintif'Is prax for judgment against defendants as folioi~ s,
of Action:
On the First and I.'ourth Causes
10
For restitution:
For injunctii e relict'as alleged herein;
12
On the Second Cause
13
3.
15
or reasonable attorneys'ees
On the Third Cause
16
of Action:
For injunctive relief as alleged herein;
I
pursuant
to Cal. Civ. Cod»
ss
1780(c):
of Action:
I'or datnages in an amount to be proved at trial:
17
18
6,
For punitix e damages.
On the Fifth Cause of Action:
20
I
or restitution
On All Causes ol'Action:
21
22
I.'or reasonable
23
For costs of suit:
10.
Fot're-judgment
26
27
attorne)
s''ees
pursuant
to Cal. Code Civ. Proc,
interest; and
For such other relief that the Court deems just and proper.
25
'/i
28
C'.L.'KSS ACTION
credit
accounts in violation ol California Iaxv, defendants
to retain those t'unds,
enriched ii they >vere permitted
5
payment
to plaintifls
CO! vlPLAIN
I'
ss
1021.5,
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 17 of 29
1
Dated: ofay 17. 2016
D OSTART HAXtNINV
k
COVENEY LLP
torneys for Plaintiff
DEMAND FOR JURY TRIAL
Plaintiffs hereby demand a trial bx jur) of all claims and causes
Dated: Alay 17. 2016
DOSTART HAVN IV V. k COVENEY LLP
f/
CH P. SOSTART
ttorncys for Plaintiff/
10
12
13
16
17
20
21
22
23
25
26
27
28
CLASS ACTION COMPLAINT
of action so triable.
Case 3:16-cv-01524-BAS-BLM Document 1-2 Filed 06/17/16 Page 18 of 29
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Exhibit B
Case 3:16-cv-01524-BAS-BLM Document 1-3 Filed 06/17/16 Page 2 of 2
POS-010
ATTORNEY OR PARTY WITHOUT ATTORNEY (Name, Stale Bar number,
FOR COURT USE ONLY
and address)
Zachariah Dostart, 255071
Dostart Hannink 8 Coveney LLP
4370 La Jolla Villaqe Drive
San Dieqo, CA 92122
TELEPHQNE Nou
858 623 4285
ATTORNEY FOR (Name):
SUPERIOR COURT OF CALIFORNIA, COUNTY OF SAN DIEGO
Central Branch
330 W. Broadway
San Diego, CA 92101-3409
PLAINTIFF/PETITIONER:
Shannon Dale Price et al.
DEFENDANT/RESPONDENT:
Synapse Group Inc. et al.
CASE
NUMBER'7-2016-00016453-CU-MC-CTL
Ref. No. or File No:
PROOF OF SERVICE OF SUMMONS
1.
At the time of service
2
I
I
16685-1
was a citizen of the United States, at least 18 years of age and not a party to this action.
serv«copies of: Complaint, Civil Case Cover Sheet, Declaration - Other, Declaration - Other, Original Summons,
Notice of Case Assignment SD, Notice to Litigants SD, Stipulation to Alternative Dispute
Resolution Process SD
3 a Party sefved: Time lnC.,
a DelaWare
COrpOratiOn
b, Person Served. Amy McLaren, Corporate Operations Service Manager
Person Authorized to Accept Service of Process
4. Address where the party was served:
- Corporation Trust Company-
1209 Oranoe Street
Wilminaton . DE 19801
5. served the party
a. by personal service. personally delivered the documents listed in item 2 to the party or person authorized to
receive service of process for the party (1) on (date): 05/20/2016
(2) at (tfme). 11.51AM
6. The "Notice to the Person Served" (on the summons) was completed as follows:
I
I
d, on behalf of:
Time Inc., a Delaware Corporation
under: CCP 416.10 (corporation)
7. Person who served papers
a. Name:
Stephen A. Kempski
One Leqal — 194-Marin
b. Address:
504 Redwood Blvd ¹223
Novato, CA 94947
c. Telephone number: 415-491-0606
d. The fee for service was: $ 'I 99 95
e. am:
(1) Not a registered California process server.
I
8. declare under penalty of perjury under the laws of the United States of America that the foregoing is true and correct.
I
Date: Q5/20/2016
Stephen A. Kempskl
(SIGNATURE)
(NAME OF PERSON WHO SERVED PAPERS)
Form Adopted for Mandatory Use
Judicial Council of California POS-010
[Rev. Jan 1, 2007]
Code of Ctyti Procedure,
PROOF OF SERVICE OF SUMMONS
II
417 10
Case 3:16-cv-01524-BAS-BLM Document 1-4 Filed 06/17/16 Page 1 of 2
Exhibit C
Case 3:16-cv-01524-BAS-BLM Document 1-4 Filed 06/17/16 Page 2 of 2
Shannon Dale Price et al.
Shannon Dale Price et al.
Synapse Group, Inc. et al.
Amy McLaren - The Corporation Trust Company - Person Authorized to Accept Service of Process
Case 3:16-cv-01524-BAS-BLM Document 1-5 Filed 06/17/16 Page 1 of 2
Exhibit D
Case 3:16-cv-01524-BAS-BLM Document 1-5 Filed 06/17/16 Page 2 of 2
Shannon Dale Price et al.
Shannon Dale Price et al.
Synapse Group, Inc. et al.
Amy McLaren - The Corporation Trust Company - Person Authorized to Accept Service of Process
Case 3:16-cv-01524-BAS-BLM Document 1-6 Filed 06/17/16 Page 1 of 3
'16CV1524 BAS BLM
Case 3:16-cv-01524-BAS-BLM Document 1-6 Filed 06/17/16 Page 2 of 3
Case 3:16-cv-01524-BAS-BLM Document 1-6 Filed 06/17/16 Page 3 of 3