Subject: Standing

Standing on Shaky Ground: Product Recalls Alone Do Not Constitute an Injury in Fact

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Cynics have long said that no good deed goes unpunished. Such can be the case with voluntary product recalls, which often engender litigation even by plaintiffs who have suffered no real injury and merely see an opportunity for a windfall. As we recently noted, recalls do not equate with product defects. However, plaintiffs — or their attorneys — act as though purchasing a recalled product is in itself a cause of action that justifies a lawsuit. A recent opinion from the Sixth Circuit offers yet another illustration why that reasoning is unsound and highlights how defendants can attack it early in a case. Specifically, because an allegation that the product a plaintiff purchased was recalled does not raise a plausible inference of injury in fact, a plaintiff lacks standing to assert a claim premised on a recall alone.

The named plaintiffs in Ward v. J.M. Smucker Co., No. 24-3387, 2025 WL 2613489 (6th Cir. Sept. 10, 2025), filed a putative class action in Ohio federal court alleging that they purchased peanut butter products from lots that the defendant had voluntarily recalled following a salmonella outbreak that had affected 16 people across 12 states. The plaintiffs did not, however, allege that any sampling or testing had revealed the presence of salmonella in the products they purchased. The defendant moved to dismiss the complaint for lack of Article III standing, arguing that the plaintiffs lacked an injury in fact, and the district court granted the motion.

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You Can Buy Me Dinner, But Don’t Expect to Choose My Entrée: Motion to Disqualify for Non-Party Litigation Funding Conflicts of Interest

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You can pay for the dinner, but you cannot pick when, where or what we’re eating. At least that’s what a Magistrate Judge in the District of New Jersey decided last week in Harish v. Arbit, No. CV 21-11088-EP-AME, 2025 WL 354434 (D.N.J. Jan. 31, 2025), a patent dispute that resulted in the disqualification of two law firms from representing two defendants because the defense was funded, at least in part, by a non-party with an interest in the patent.

Adversarial Standing

Plaintiff maintained that defense counsel violated N. J. Rule of Professional Conduct 1.8(f) when they represented defendants and a non-party payer. The Court held that the plaintiff, as an adversary, had standing to raise a potential conflict of interest and bring a motion to disqualify. While the Court noted that the Third Circuit had not ruled on the issue directly, “this District has held that ‘[a]dversaries, as well as former clients, may raise conflict of interest concerns.’”

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Theoretical Injury Won’t Hack It: Illinois Federal Court Dismisses Jeep Drivers’ Class Action for Lack of Standing

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An Illinois federal judge dismissed a trio of certified putative class actions involving 220,000 Jeep Cherokee drivers from Missouri, Michigan, and Illinois for lack of standing. The decision underscored a key principle: Theoretical injury is not enough for purposes of standing.

In Flynn, et al. v. FCA US LLC, et al., Case No. 15-cv-855, the plaintiffs alleged that defendants FCA US LLC and Harman International Industries Inc. installed defective “UConnect” infotainment systems in Jeep Cherokees and other vehicles which could be hacked by outsiders and subsequently remotely controlled. The class actions arose from a single 2015 hack of the UConnect system executed by two highly skilled researchers in a controlled experiment, as reported by Wired magazine. None of the other “1.2 million subject vehicles with the purported defects” had been hacked.

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