Third Circuit Rejects Consumer Claim of Injury-in-Fact Based on an Alleged Risk of Harm

Mar 12, 2019

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Akin Gump published a client alert on the Court of Appeals for the Third Circuit issuing a precedential opinion upholding dismissal of a putative consumer class action where the plaintiff failed to plead a concrete injury-in-fact stemming from an alleged technical violation of the Fair and Accurate Credit Transactions Act of 2003. In Kamal v. J. Crew Group, Inc., the court ruled that the plaintiff failed to plead a concrete harm sufficient to confer Article III standing under the analysis set forth by the U.S. Supreme Court in Spokeo, Inc. v. Robins. The Kamal decision is notable because the Third Circuit has upheld Article III standing in other post-Spokeo cases, where an alleged injury from a procedural violation “had already materialized.” According to the court, the Kamal decision was its first “occasion to review standing where a procedural violation allegedly presents a ‘material risk of harm.’”

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