throbber
Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 1 of 23
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`
`
`William P. Donovan, Jr. (SBN 155881)
`MCDERMOTT WILL & EMERY LLP
`2049 Century Park East, Suite 3200
`Los Angeles, CA 90067-3206
`Telephone: (310) 277-4110
`Facsimile: (310) 277-4730
`wdonovan@mwe.com
`
`Daniel R. Campbell (pro hac vice)
`Emilie E. O’Toole (pro hac vice)
`MCDERMOTT WILL & EMERY LLP
`444 West Lake Street, Suite 4000
`Chicago, IL 60606
`Telephone: (312) 372-2000
`Facsimile: (312) 984-7700
`dcampbell@mwe.com
`eotoole@mwe.com
`
`Counsel for Defendant StubHub, Inc.
`
`
`
`
`
`IN RE STUBHUB REFUND LITIGATION
`
`
`
`
`
`
`UNITED STATES DISTRICT COURT
`NORTHERN DISTRICT OF CALIFORNIA
`
` Case No. 4:20-md-02951-HSG
`
`DEFENDANT STUBHUB, INC.’S NOTICE
`OF MOTION AND COMBINED
`MEMORANDUM OF POINTS AND
`AUTHORITIES IN SUPPORT OF
`RENEWED MOTION TO COMPEL
`ARBITRATION AND MOTION TO
`DISMISS
`
`[Filed concurrently with Supplemental
`Declaration of Todd Northcutt and [Proposed]
`Orders]
`
`Judge: Hon. Haywood S. Gilliam, Jr.
`Date: May 5, 2022
`Time: 2:00 p.m.
`Courtroom: 2
`
`
`
`
`
`
`
`
`
`
` No. 4:20-md-02951-HSG
`
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`

`

`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 2 of 23
`
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`TO ALL PARTIES AND THEIR ATTORNEYS OF RECORD:
`PLEASE TAKE NOTICE THAT on May 5, 2022, at 2:00 p.m., or as soon thereafter as the
`matter may be heard, before the Honorable Haywood S. Gilliam, Jr. of the United States District
`Court for the Northern District of California, in Courtroom 2, of the above-entitled Court, located at
`1301 Clay Street, Oakland, California, Defendant StubHub, Inc. (“StubHub”) will and hereby does
`renew its motion to the Court for an order compelling arbitration of all non-California statutory
`causes of action for relief asserted against StubHub by the eight Plaintiffs not previously compelled
`to arbitration (the “Remaining Plaintiffs”) in the Consolidated Class Action Complaint filed on or
`about January 8, 2021 (the “Complaint” or “CAC”) based on the valid and binding arbitration clause
`in the StubHub Marketplace Global User Agreement (“User Agreement” or “StubHub User
`Agreement”) that Remaining Plaintiffs were on notice of and agreed to by using StubHub. StubHub
`further moves this Court for an order dismissing Remaining Plaintiffs’ California and non-California
`statutory causes of action and negligent misrepresentation cause of action for relief asserted against
`StubHub.
`The Renewed Motion to Compel Arbitration should be granted pursuant to the Federal
`Arbitration Act, 9 U.S.C. § 1, et seq., because transactions with StubHub are governed by the
`StubHub User Agreement. Indeed, the operative arbitration clause in the User Agreement has
`already been upheld by this Court. (ECF No. 62.) The Remaining Plaintiffs who were not previously
`compelled to arbitration by this Court were clearly notified of the User Agreement and assented to
`its terms when they created their StubHub accounts and/or signed into their StubHub accounts.
`Because the User Agreement contains a binding class action waiver and arbitration provision
`governing the instant dispute, the claims alleged in the Complaint should be sent to arbitration on an
`individual basis and this lawsuit either dismissed or stayed. Punctuating the appropriateness of
`compelling arbitration is the fact that the Remaining Plaintiffs expressly sue to enforce the StubHub
`User Agreement and are therefore estopped from challenging the arbitration provision as
`unconscionable.
`The Motion to Dismiss should be granted for multiple reasons, as set forth in StubHub’s
`memorandum filed herewith. First, Remaining Plaintiffs Koble and Wutz lack standing to pursue
`
`- 1 -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S COMBINED MEMORANDUM ISO
`MOTION TO DISMISS AND RENEWED MOTION TO COMPEL ARBITRATION
`
`DM_US 185701084-9.070286.0012
`
`
`
`

`

`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 3 of 23
`
`
`
`their claims against StubHub as they have not alleged an injury in fact. Second, all Remaining
`Plaintiffs lack statutory standing to assert their California statutory claims because they fail to plead
`reliance. The negligent misrepresentation claim fails for the same reason. Third, Remaining
`Plaintiffs’ California Consumers Legal Remedies Act (“CLRA”) claim further fails because they do
`not allege a misrepresentation that existed at the time of sale, as required to state a claim. Finally,
`Remaining Plaintiffs’ reliance on the User Agreement’s choice of California law provision precludes
`their non-California statutory claims.
`StubHub bases its Renewed Motion to Compel Arbitration and its Motion to Dismiss on this
`Notice, the accompanying Memorandum of Points and Authorities, all pleadings and papers filed in
`this action, the argument of counsel, and any other matters that may come before the Court.
`Dated: January 24, 2022
`
` Respectfully submitted,
`
`
`
`
`
`
`
`
`William P. Donovan, Jr. (SBN 155881)
`MCDERMOTT WILL & EMERY LLP
`2049 Century Park East, Suite 3200
`Los Angeles, CA 90067-3206
`Tel: (310) 277-4111
`Fax: (310) 277-4730
`wdonovan@mwe.com
`
`Daniel R. Campbell (pro hac vice)
`Emilie E. O’Toole (pro hac vice)
`MCDERMOTT WILL & EMERY LLP
`444 West Lake Street
`Suite 4000
`Chicago, IL 60606
`Telephone: (312) 372-2000
`Facsimile: (312) 984-7700
`dcampbell@mwe.com
`eotoole@mwe.com
`
`Counsel for Defendant StubHub, Inc.
`
`
`
`- 2 -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`DM_US 185701084-9.070286.0012
`
`

`

`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 4 of 23
`
`Table of Contents
`
`
`
`
`Page(s)
`
`INTRODUCTION ...................................................................................................................1
`I.
`BACKGROUND .....................................................................................................................1
`II.
`LEGAL STANDARD ..............................................................................................................2
`III.
`IV. ARGUMENT ...........................................................................................................................3
`a.
`The Remaining Plaintiffs Should Be Compelled to Arbitration ..................................3
`i.
`The Remaining Plaintiffs Agreed to and Are Bound by the User Agreement .3
`ii.
`The Remaining Plaintiffs All Sued to Enforce the User Agreement and are
`Estopped from Avoiding Arbitration ...............................................................8
`Most of the Claims in Plaintiffs’ Consolidated Amended Complaint Should Be
`Dismissed .....................................................................................................................9
`i.
`Plaintiffs Paul Koble and Benjamin Wutz Lack Standing to Sue StubHub ....9
`ii.
`Plaintiffs Lack Statutory Standing Because They Fail to Plead Actual
`Reliance on Any Misrepresentation (COAs 1–3) ..........................................11
`Plaintiffs Fail to State a CLRA Cause of Action (COA 1) ............................12
`Plaintiffs’ Negligent Misrepresentation Claim Fails (COA 6) ......................14
`Plaintiffs’ Non-California Statutory Claims Should Be Dismissed
`(COAs 9–31) ..................................................................................................14
`CONCLUSION ......................................................................................................................15
`
`b.
`
`iii.
`iv.
`v.
`
`V.
`
`
`
`
`
`- i -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`DM_US 185701084-9.070286.0012
`
`
`
`

`

`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 5 of 23
`
`TABLE OF AUTHORITIES
`
`
`
`
`
`
`Page(s)
`
`Cases
`
`Airtourist Holdings LLC v. HNA Group,
`2018 WL 3069444 (N.D. Cal. Mar. 27, 2018) ...........................................................................8
`
`In re Apple and AT&T iPad Unlimited Data Plan Litig.,
`802 F. Supp. 2d 1070 (N.D. Cal. 2011) .....................................................................................3
`
`Ashcroft v. Iqbal,
`556 U.S. 662 (2009) ...................................................................................................................3
`
`Bell Atl. Corp. v. Twombly,
`550 U.S. 544 (2007) ...................................................................................................................3
`
`Bentley v. The Control Grp. Media Co.,
`2020 WL 3639660 (S.D. Cal. July 6, 2020) ..............................................................................9
`
`Cetacean Cmty. v. Bush,
`386 F.3d 1169 (9th Cir. 2004) ...................................................................................................9
`
`Chevron Prod. Co. v. Advanced Corrosion Techs. & Training, LLC,
`2021 WL 2156467 (N.D. Cal. May 27, 2021) .........................................................................14
`
`Chiron Corp. v. Ortho Diagnostic Sys., Inc.,
`207 F.3d 1126 (9th Cir. 2000) ...................................................................................................4
`
`Cooper v. Pickett,
`137 F.3d 616 (9th Cir. 1997) .....................................................................................................3
`
`Erickson v. Pardus,
`551 U.S. 89 (2007) (per curiam) ...............................................................................................3
`
`Fraley v. Facebook, Inc.,
`830 F. Supp. 2d 785 (N.D. Cal. 2011) .......................................................................................2
`
`G.P.P., Inc. v. Guardian Protection Prods., Inc.,
`2015 WL 4879430 (E.D. Cal. Aug. 14, 2015) .........................................................................15
`
`Great Pac. Sec. v. Barclays PLC,
`2016 WL 11502178 (C.D. Cal. Oct. 19, 2016), aff'd sub nom. Great Pac. Sec. v.
`Barclays Capital, Inc., 743 F. App'x 780 (9th Cir. 2018) .......................................................13
`
`Hall v. Sea World Ent., Inc.,
`
`2015 WL 9659911 (S.D. Cal. Dec. 23, 2015)..........................................................................13
`
`
`
`- ii -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`DM_US 185701084-9.070286.0012
`
`
`
`

`

`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 6 of 23
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`In re iPhone App. Litig.,
`6 F.Supp.3d 1004 (N.D. Cal. 2013) .........................................................................................11
`
`Larson v. Speetjens,
`2006 WL 2567873 (N.D. Cal. Sept. 5, 2006), order clarified, 2006 WL 3365589
`(N.D. Cal. Nov. 17, 2006) ..........................................................................................................8
`
`Lazar v. Superior Court,
`12 Cal. 4th 631 (1996) .............................................................................................................11
`
`Lee v. Ticketmaster L.L.C.,
`817 Fed. Appx. 393 (9th Cir. 2020) ...........................................................................................6
`
`Murphy v. DirecTV, Inc.,
`724 F.3d 1218 (9th Cir. 2013) ...................................................................................................8
`
`Neu v. Terminix Intern., Inc.,
`2008 WL 2951390 (N.D. Cal. 2008) .......................................................................................13
`
`Peter v. DoorDash, Inc.,
`445 F. Supp. 3d 580 (N.D. Cal. 2020) .......................................................................................6
`
`Resnick v. Hyundai Motor Am., Inc.,
`2017 WL 1531192 (C.D. Cal. Apr. 13, 2017) .........................................................................12
`
`Richter v. CC-Palo Alto, Inc.,
`176 F. Supp. 3d 877 (N.D. Cal. 2016) .....................................................................................10
`
`Ross v. AT&T Mobility, LLC,
`2020 WL 9848733 (N.D. Cal. Dec. 18, 2020) ...........................................................................3
`
`Rothman v. Equinox Holdings, Inc.,
`2021 WL 124682 (C.D. Cal. Jan. 13, 2021) ............................................................................11
`
`Rubenstein v. The Gap, Inc.,
`14 Cal. App. 5th 870 (2017) ....................................................................................................12
`
`Samica Enterprises LLC v. Mail Boxes Etc., Inc.,
`460 Fed. Appx. 664 (9th Cir. 2011) .........................................................................................15
`
`Seldin v. HSN, Inc.,
`2018 WL 3570308 (S.D. Cal. July 25, 2018) ..........................................................................14
`
`Shahar v. Hotwire, Inc.,
`2013 WL 12176843 (N.D. Cal. Apr. 15, 2013) .........................................................................2
`
`Smith v. Keurig Green Mountain, Inc.,
`393 F. Supp. 3d 837 (N.D. Cal. 2019) .......................................................................................3
`
`
`
`- iii -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`DM_US 185701084-9.070286.0012
`
`

`

`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 7 of 23
`
`
`
`Stewart v. Electrolux Home Prod., Inc.,
`304 F. Supp. 3d 894 (E.D. Cal. 2018)................................................................................12, 14
`
`Taylor v. Google LLC,
`2021 WL 4503459 (N.D. Cal. Oct. 1, 2021)..............................................................................2
`
`Other Authorities
`
`Fed. R. Civ. P. 8(a)(2) ......................................................................................................................3
`
`Fed. R. Civ. P. 9(b) ....................................................................................................................3, 12
`
`Fed. R. Civ. P. 12(b)(1)....................................................................................................................2
`
`Fed. R. Civ. P. 12(b)(6)....................................................................................................................3
`
`
`
`
`- iv -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`DM_US 185701084-9.070286.0012
`
`

`

`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 8 of 23
`
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`Defendant StubHub, Inc. (“StubHub”) respectfully submits this Combined Memorandum of
`Points and Authorities in support of its Renewed Motion to Compel Arbitration and Motion to
`Dismiss.
`INTRODUCTION
`I.
`In granting in part StubHub’s Motion to Compel Arbitration (the “Motion”), this Honorable
`Court’s Order, dated November 23, 2021 (ECF No. 62), recognized the enforceability of StubHub’s
`arbitration provisions for the damage claims of forty-eight of the named Plaintiffs in this putative
`class action. This memorandum of law briefly summarizes why, based on the reasoning in the Order
`and the Supplemental Declaration of Todd Northcutt filed herewith (“Northcutt Supp. Decl.”),
`arbitration should be compelled for the remaining eight named Plaintiffs (the “Remaining Plaintiffs”)
`who unquestionably were notified of, and assented to, StubHub’s arbitration provision in close
`proximity to their purchases of the tickets at issue in this civil action.
`Should the Court reach the issues raised by StubHub’s Motion to Dismiss (the “MTD”), the
`Consolidated Amended Complaint (the “CAC”) is fatally flawed for numerous reasons. First,
`Remaining Plaintiffs Koble and Wutz lack standing to assert their claims because they did not sustain
`an injury sufficient to confer standing. Second, all eight Remaining Plaintiffs lack statutory standing
`to assert their California statutory claims because they fail to plead reliance. The negligent
`misrepresentation claim likewise fails for the same reason. Third, Remaining Plaintiffs’ California
`Consumers Legal Remedies Act (“CLRA”) claim further fails because they do not allege a
`misrepresentation that existed at the time of sale, as required to state a claim. Finally, Remaining
`Plaintiffs’ reliance on the User Agreement’s choice of California law provision precludes their non-
`California statutory claims.
`Accordingly, StubHub respectfully asks that the claims of Remaining Plaintiffs be sent to
`arbitration or, in the alternative, that the MTD be granted without further leave to amend.
`BACKGROUND
`II.
`The Court is familiar with the allegations in this case. See, e.g., ECF No. 62. StubHub is an
`online ticket marketplace on which users and guests can buy or sell tickets or other related passes for
`theater, concerts, sports events, or other entertainment events. (CAC ¶ 75.) StubHub is not the
`
`- 1 -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`DM_US 185701084-9.070286.0012
`
`
`
`

`

`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 9 of 23
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`original seller of the tickets or the holder of the inventory. (Id. ¶ 76.) The eight Remaining Plaintiffs
`who made the ticket purchases at issue on the StubHub app are Plaintiffs David Dahl, Ernie Glaspey,
`Paul Koble, Amanda Matlock, Reginald McDaniel, William Mignault, Jennifer Williams, and
`Benjamin Wutz. (Northcutt Supp. Decl. ¶ 2.) These Remaining Plaintiffs are citizens of Georgia,
`Indiana, Maryland, Massachusetts, New York, Oregon, and Pennsylvania. (CAC ¶¶ 32, 34, 36, 40,
`43, 55, 61, 63.)
`Plaintiffs generally allege that StubHub failed to issue refunds for tickets purchased from
`resellers using StubHub to events impacted by COVID-19. (CAC ¶¶ 4, 76, 19–74.) Plaintiffs allege
`that StubHub changed the terms of its FanProtect Guarantee on March 25, 2020 “on the backpages
`of its website” to allow issuance of a credit for a future purchase, rather than a refund, when an event
`is “canceled and not rescheduled,” without notifying users of the change. (Id. ¶ 83.) They allege
`thirty-one different causes of action against StubHub, which include claims under the CLRA, Unfair
`Competition Law (“UCL”), False Advertising Law (“FAL”), conversion, restitution, negligent
`misrepresentation, unjust enrichment, breach of contract, and twenty-three non-California state
`consumer protection claims. (Id. ¶¶ 122–470.) Pursuant to the Court’s Order on StubHub’s motion
`to compel arbitration, all damage claims by forty-eight of the Plaintiffs are compelled to arbitration.
`(ECF No. 62.) The case is otherwise stayed as to those forty-eight Plaintiffs, pending the outcome
`of the arbitrations. (Id.)
`III. LEGAL STANDARD
`The standard for arbitration of claims is set forth in detail in the Order. (ECF No. 62.) On
`the MTD, all Remaining Plaintiffs must allege and establish standing under Article III of the
`Constitution and show they suffered injury-in-fact and loss of money or property as a result of
`StubHub’s alleged conduct. See Shahar v. Hotwire, Inc., 2013 WL 12176843, at *3 (N.D. Cal. Apr.
`15, 2013). Pursuant to Rule 12(b)(1), a defendant may challenge standing either on the face of the
`pleadings or by presenting extrinsic evidence. Taylor v. Google LLC, 2021 WL 4503459, at *2 (N.D.
`Cal. Oct. 1, 2021); see also Fraley v. Facebook, Inc., 830 F. Supp. 2d 785, 793 (N.D. Cal. 2011) (“In
`resolving a factual dispute as to the existence of subject matter jurisdiction, a court may review
`
`
`
`- 2 -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`DM_US 185701084-9.070286.0012
`
`

`

`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 10 of 23
`
`
`
`extrinsic evidence beyond the complaint without converting a motion to dismiss into one for
`summary judgment.”).
`A complaint must provide a “short and plain statement of the claim showing that [she] is
`entitled to relief[.]” Fed. R. Civ. P. 8(a)(2). A complaint that offers “labels and conclusions” or
`“formulaic recitation of the elements of a cause of action will not do.” Ashcroft v. Iqbal, 556 U.S.
`662, 678 (2009) (quoting Bell Atl. Corp. v. Twombly, 550 U.S. 544, 555 (2007)). Instead, a complaint
`must contain sufficient factual matter, accepted as true, “that is plausible on its face.” Id. (quoting
`Twombly, 550 U.S. at 570). The complaint allegations “must be enough to raise a right to relief
`above the speculative level.” Twombly, 550 U.S. at 555.
`“Rule 12(b)(6) allows an attack on the pleadings for failure to state a claim on which relief
`can be granted. When ruling on a defendant's motion to dismiss, “a judge must accept as true all of
`the factual allegations contained in the complaint.” Ross v. AT&T Mobility, LLC, 2020 WL 9848733,
`at *4 (N.D. Cal. Dec. 18, 2020) (quoting Erickson v. Pardus, 551 U.S. 89, 94 (2007) (per curiam)).
`The court is not bound to accept legal conclusions couched as facts, or naked assertions “devoid of
`factual enhancement.” Id.
`Finally, claims that “sound in fraud” must satisfy the heightened pleading standard of
`particularity in FRCP 9(b). See In re Apple and AT&T iPad Unlimited Data Plan Litig., 802 F. Supp.
`2d 1070, 1075 (N.D. Cal. 2011). To satisfy Rule 9(b)’s particularity requirement, “a fraud claim
`must state the ‘who, what, when, where, and how’ of the alleged conduct” and why the conduct
`complained of was “false or misleading.” See Smith v. Keurig Green Mountain, Inc., 393 F. Supp.
`3d 837, 843 (N.D. Cal. 2019) (quoting Cooper v. Pickett, 137 F.3d 616, 627 (9th Cir. 1997)).
`IV. ARGUMENT
`The Remaining Plaintiffs Should Be Compelled to Arbitration
`a.
`The Remaining Plaintiffs Agreed to and Are Bound by the User Agreement
`i.
`Pursuant to the Court’s Order on StubHub’s motion to compel arbitration, the Remaining
`Plaintiffs who made their disputed purchases on the StubHub app were not compelled to arbitration,
`
`
`
`- 3 -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`DM_US 185701084-9.070286.0012
`
`

`

`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 11 of 23
`
`
`
`based on the information before the Court at that time. (ECF No. 62 at 13–14.)1 The Court’s role in
`compelling a plaintiff to arbitration is “limited to determining (1) whether a valid agreement to
`arbitrate exists and, if it does, (2) whether the agreement encompasses the dispute at issue.” Chiron
`Corp. v. Ortho Diagnostic Sys., Inc., 207 F.3d 1126, 1130 (9th Cir. 2000). The Court has already
`determined that the StubHub arbitration provision encompasses Plaintiffs’ dispute here. (ECF No.
`62.) The Remaining Plaintiffs agreed to be and are bound by the User Agreement. All eight
`Remaining Plaintiffs viewed and assented to a nearly identical, valid sign-in disclosure on the
`StubHub website as the other Plaintiffs that were compelled to arbitration. Thus, the Remaining
`Plaintiffs were on notice that they would be bound by the User Agreement and its terms, including
`the arbitration provision, in close proximity to the time they purchased their tickets. (See ECF No.
`39-1 ¶ 30.)
`In the Order, the Court properly found that the robust disclosure on the StubHub website was
`sufficient to bind users to the arbitration provision. (ECF No. 62.) Specifically, the Court found that
`the disclosure upon checking out on StubHub’s website, which directed each user to “Sign in” or
`“Continue as guest,” was sufficient to put Plaintiffs who logged in that way on notice of the User
`Agreement and thus bind them to it. (Id. at 6.) The disclosure analyzed by the Court is a disclosure
`of the StubHub website sign-in page that a user accesses in the checkout flow to purchase tickets.
`(Id.) The sign-in disclosure on checkout is virtually identical to the general sign-in disclosure that
`each of the Remaining Plaintiffs used to sign into StubHub. A side-by-side of the disclosure relied
`upon in the Order and the disclosure the eight Remaining Plaintiffs were exposed to, and assented to,
`are below. The Court’s sound reasoning finding that the other forty-eight Plaintiffs were compelled
`to arbitration should apply to the Remaining Plaintiffs who signed into the StubHub website.
`
`
`1 As the Court is aware, there was nothing in the CAC claiming any difference between app users
`and other StubHub users. This issue was raised through a flurry of supplemental and last-minute
`filings by Plaintiffs, including on the day of the hearing on the motion to compel arbitration.
`Having now had time to investigate counsel’s claims related to “app users,” StubHub has
`determined that the proffered distinction of the eight Remaining Plaintiffs as “app” Plaintiffs is a
`distraction and the Court should also compel Remaining Plaintiffs to arbitration based upon
`disclosures the Order has already concluded were lawful.
`
`- 4 -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`DM_US 185701084-9.070286.0012
`
`

`

`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 12 of 23
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`Disclosure upheld in the Order
`
`Disclosure Seen by Remaining Plaintiffs
`
`
`(ECF No. 39-1 at ¶¶ 15, 17.) The Court noted that, “Here, in contrast, the StubHub webpage clearly
`explains to guests that ‘By purchasing or signing in, you agree to our user agreement and
`acknowledge our privacy notice.’” (ECF No. 62 at 10.) It concluded “there is no risk of confusion
`as to whether users, by purchasing tickets on StubHub, are agreeing to the User Agreement.” (Id.)
`The same analysis and logic applies to the sign-in screen seen by the Remaining Plaintiffs. The
`supplemental factual investigation performed by StubHub clearly indicates that the Remaining
`Plaintiffs should be compelled to arbitration as set forth in the Order.
`Because Plaintiffs made last minute arguments that these eight Remaining Plaintiffs are app
`purchasers, StubHub conducted further factual investigation into their use, sign-in, and registration
`on StubHub on both the website and the app. Factual verification regarding each of these Remaining
`Plaintiffs confirms they all assented to the operative version of the User Agreement by unequivocally
`signing into the StubHub website—the same User Agreement this Court relied on to compel
`arbitration of the other 48 Plaintiffs. (ECF No. 62.) While Plaintiffs argue that the Remaining
`Plaintiffs are “app users,” they failed to mention to this Court that they also were on notice of, and
`assented to, the User Agreement by signing into and using the StubHub website.
`One of the Remaining Plaintiffs, Mr. Koble, did not even register as a StubHub user or make
`the disputed purchase until almost two months after the changes to the User Agreement and
`
`- 5 -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`DM_US 185701084-9.070286.0012
`
`

`

`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 13 of 23
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`FanProtect Guarantee were implemented. (Northcutt Supp. Decl. ¶¶ 10–12.) Mr. Koble registered
`as a StubHub user on the Android app on May 8, 2020. (Id. ¶ 10.) The registration screen that Mr.
`Koble was presented with, completed, and submitted on the app contained a disclosure directly below
`the “Sign Up” button, in light grey font with the hyperlinks offset in bold, dark grey font, that read,
`“By signing up, you agree to our user agreement and privacy notice.” (Id.) Such a disclosure is
`sufficient to bind Mr. Koble to the terms of the User Agreement. See Peter v. DoorDash, Inc., 445
`F. Supp. 3d 580, 585 (N.D. Cal. 2020) (finding bolded text sufficient to provide notice of hyperlink
`to user agreement). Mr. Koble then purchased the tickets at issue in this case on the same day.
`(Northcutt Supp. Decl. ¶ 12.) He therefore agreed to be bound by the User Agreement, including its
`arbitration provision, and the amended FanProtect Guarantee. He is bound by the arbitration
`provision and he otherwise has no valid claim because his purchase occurred after the FanProtect
`Guarantee was amended. See infra, at Sec. (IV)(b)(i).
`Mr. Glaspey also registered as a StubHub user on the Android app prior to making his
`purchase at issue in this case. (Id. ¶¶ 6–7.) The registration screen that Mr. Glaspey was presented
`with, completed, and submitted on the app contained a disclosure directly below the “Sign Up”
`button, in light grey font with the hyperlinks offset in bold, dark grey font, that read, “By signing up,
`you agree to our user agreement and privacy notice.” (Id. ¶ 6.)
`In addition to purchasing tickets on the StubHub app, seven of the Remaining Plaintiffs signed
`into StubHub on the website in close proximity to the ticket purchases at issue. In doing so, all seven
`Remaining Plaintiffs were notified of and assented to the StubHub website sign-in disclosure this
`Court has already upheld as valid and binding. (ECF No. 62 at 11.) In other words, these seven
`Plaintiffs are StubHub website users, just like the forty-eight Plaintiffs that this Court previously
`compelled to arbitration in reliance on the almost identical sign-in disclosures seen by these seven
`Plaintiffs. Calling them “app” users is a distraction because the sign-in disclosure they all saw and
`assented to on the website sign-in page binds them to the User Agreement for any subsequent sign-
`ins or purchases, whether on the app or the website. See Lee v. Ticketmaster L.L.C., 817 Fed. Appx.
`393, 394–95 (9th Cir. 2020) (finding plaintiff agreed to user agreement by signing in “roughly twenty
`times during the relevant period”).
`
`
`- 6 -
` No. 4:20-md-02951-HSG
`DEFENDANT STUBHUB, INC.’S NOTICE OF MOTION AND COMBINED MEMORANDUM ISO
`RENEWED MOTION TO COMPEL ARBITRATION AND MOTION TO DISMISS
`
`DM_US 185701084-9.070286.0012
`
`

`

`Case 4:20-md-02951-HSG Document 70 Filed 01/24/22 Page 14 of 23
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`26
`27
`28
`
`Mr. Dahl, Mr. Mignault, and Mr. Wutz all reset their passwords using the StubHub website,
`not on the app, in close proximity to their ticket purchases. (Id. ¶¶ 4, 17, 20.) After resetting their
`passwords, all three of them were required to, and did, sign into the StubHub website. (Id.) Upon
`signing in on the StubHub website, each saw the nearly identical sign-in disclosure as the forty-eight
`Plaintiffs who were already compelled to arbitration saw. (Id.)
`Moreover, Ms. Matlock signed into her StubHub user account using the StubHub website on
`June 17, 2019, several months prior t

This document is available on Docket Alarm but you must sign up to view it.


Or .

Accessing this document will incur an additional charge of $.

After purchase, you can access this document again without charge.

Accept $ Charge
throbber

Still Working On It

This document is taking longer than usual to download. This can happen if we need to contact the court directly to obtain the document and their servers are running slowly.

Give it another minute or two to complete, and then try the refresh button.

throbber

A few More Minutes ... Still Working

It can take up to 5 minutes for us to download a document if the court servers are running slowly.

Thank you for your continued patience.

This document could not be displayed.

We could not find this document within its docket. Please go back to the docket page and check the link. If that does not work, go back to the docket and refresh it to pull the newest information.

Your account does not support viewing this document.

You need a Paid Account to view this document. Click here to change your account type.

Your account does not support viewing this document.

Set your membership status to view this document.

With a Docket Alarm membership, you'll get a whole lot more, including:

  • Up-to-date information for this case.
  • Email alerts whenever there is an update.
  • Full text search for other cases.
  • Get email alerts whenever a new case matches your search.

Become a Member

One Moment Please

The filing “” is large (MB) and is being downloaded.

Please refresh this page in a few minutes to see if the filing has been downloaded. The filing will also be emailed to you when the download completes.

Your document is on its way!

If you do not receive the document in five minutes, contact support at support@docketalarm.com.

Sealed Document

We are unable to display this document, it may be under a court ordered seal.

If you have proper credentials to access the file, you may proceed directly to the court's system using your government issued username and password.


Access Government Site

We are redirecting you
to a mobile optimized page.





Document Unreadable or Corrupt

Refresh this Document
Go to the Docket

We are unable to display this document.

Refresh this Document
Go to the Docket