This is the property of the Daily Journal Corporation and fully protected by copyright. It is made available only to Daily Journal subscribers for personal or collaborative purposes and may not be distributed, reproduced, modified, stored or transferred without written permission. Please click "Reprint" to order presentation-ready copies to distribute to clients or use in commercial marketing materials or for permission to post on a website. and copyright (showing year of publication) at the bottom.

CONFIDENTIAL

Dec. 28, 2004

Business Law
Unfair Competition
Breach of Warranty

Confidential

Settlement –  $200

Judge

James L. Warren

Court

San Francisco Superior


Attorneys

Plaintiff

G. Oliver Koppel

Andrew A. August
(Browne George Ross LLP)

Marc Seidenfeld


Defendant

Peter S. Hecker


Facts

Melissa Connelly and Laurence Stanton, on behalf of 1,500 others, sued Palm Inc. and 3Com Corp. in a class action suit. The class was defined as individuals, corporations and partnerships who owned a handheld device and an affected personal computer, simultaneously, on or after Jan. 1, 1998, up to and including Jan. 8, 2004. The class claimed that handheld devices manufactured by Palm and 3Com were defective because when users synchronized data from the devices, they exacerbated the natural discharge of static electricity, causing damage to the motherboards and serial ports of certain models of personal computers that lacked adequate protection. The class brought suit under the state Unfair Competition Law and the California Business and Professions Code, as well as for breach of express or implied warranties, negligent product design and manufacture and failure to warn. The defendants contended that the handheld devices were not defective. They argued that the computer manufacturers were responsible for failing to adequately protect the serial ports and motherboards of damaged computers.

Settlement Discussions

The parties settled with the defendants agreeing to pay affected consumers either $200 in cash, or an $80 or $20 credit toward a Palm product, depending on the level of proof of damage provided by the consumer.

Damages

Compensation for damages incurred to computer serial ports and motherboards, requiring repair. Damages for money paid for Palm technical support regarding computer problems.

Result

Consumer redress


#120980

For reprint rights or to order a copy of your photo:

Email jeremy@reprintpros.com for prices.
Direct dial: 949-702-5390