Judge Dismisses Fraud Claims, Upholds Wiretap Allegations, in Smart TV Complaint

A New Jersey federal court judge dismissed consumer fraud claims Tuesday in an amended complaint (in Pacer) that alleges Samsung and Sony smart TVs spied on the private viewing habits of their owners. U.S. District Judge Madeline Cox Arleo let the case go forward on allegations that the TV makers may have captured more than just "static identifiers" such as IP addresses and ZIP codes, in possible violation of the Wiretap Act. Plaintiffs "have adequately alleged that their 'content' was intercepted," said the judge. On the fraud claim, New Jersey plaintiff Patricia Cauley claimed she wouldn't have purchased her Samsung smart TV -- or would have paid substantially less for it -- if she had known the company would collect her personal and viewing data. The jurist said Cauley failed to demonstrate that her loss was “quantifiable or measurable,” and the claim was dismissed. The findings were similar for Florida resident Thomas White, who filed a consumer fraud claim under Florida’s Deceptive and Unfair Trade Practices Act over one Sony and two Samsung smart TVs. White alleged the smart TVs he bought had a tracking feature that “impaired the value of the televisions.” Plaintiffs must be able to calculate or quantify an ascertainable loss but did not do so, the judge wrote.