The Gap, Inc. and The Home Depot, Inc. Win Near Complete Dismissal of Novel Privacy Class Action

King & Spalding represents Gap and The Home Depot in a privacy class action brought against some of the country’s largest retailers and a third-party fraud protection vendor.  This is one of the first and potentially largest class actions brought under California’s recently enacted California Consumer Privacy Act (CCPA).  The case raises substantial and novel questions about the scope of the CCPA and its private right of action, the ability to bring a claim under California’s unfair competition law that is predicated on the CCPA, and whether an invasion of privacy claim can encompass the use of fraud prevention services by retailers.

On May 4, 2022, after several amendments to the Complaint, the Defendants successfully brought a motion to dismiss and obtained a complete dismissal of the CCPA claim and several other causes of action, significantly limiting the scope of the case and eliminating the statutory damages at issue.  The case is pending in the Central District of California.