Home Online Advertising A US Judge Dismisses First-Ever GDPR Suit In American Court, Brought Against PubMatic

A US Judge Dismisses First-Ever GDPR Suit In American Court, Brought Against PubMatic

SHARE:

The United States Northern District Court of California dismissed a case earlier this week brought by Hugo Elliott, a citizen of the UK who lives in England, against the American ad tech company PubMatic.

The case was dismissed out of hand, so it hardly seems a notable decision. Except that it would have been the first time that a British or EU citizen brought a suit against an American company in a US court based on the GDPR.

“The plaintiff was seeking a way to weld UK substantive law on to US procedural law for litigation purposes, and essentially import UK GDPR litigation into the United States, just on the grounds that PubMatic is based here,” said Edward Takashima, one of PubMatic’s attorneys at the law firm Boies Schiller Flexner.

Elliott, the plaintiff, submitted that PubMatic tracked him across the web, along with other residents of England and Wales represented in the class-action suit, in violation of the GDPR.

An interesting wrinkle: The EU GDPR requires that suits be brought in European courts. But the UK has its own version of the law, which is materially identical in terms of privacy standards, except it does not explicitly state that suits go to domestic courts.

There has been a growing chorus of plaintiff attorneys eager to try a GDPR suit in the US, according to Mark Mao, a partner at BSF who leads the data privacy practice. Class-action suits are not as common or developed in Europe, so lawyers accustomed to the US system have wanted to test the class-action system here.

Foreign suits have been brought against US companies in American courts. But it’s rare, and is typically confined to cases that don’t have alternative legal forums – one example cited by District Judge Phyllis Hamilton was Carijano v. Occidental Petroleum Corp, a case where Peruvian indigenous groups sued the US petroleum manufacturer for environmental contamination.

“The plaintiff was hoping for a decision that would have opened the door to a slew of similar cases against US-based tech companies, sued in the US under UK law,” said Takashima. “The court firmly closed the door on that.”

PubMatic testified that it would be willing to contest the suit in the UK, which Judge Hamilton noted in her decision. She also said the UK’s GDPR law is still being developed in the country, and that it would be burdensome for the district court to familiarize itself with the law, let alone set precedent.

“California has little interest in hosting this dispute, and PubMatic’s willingness to submit to UK jurisdiction mitigates against this foreign plaintiff’s choice of forum,” she wrote in her dismissal.

Must Read

NYT’s Ad And Subscription Revenue Surge As WaPo Flails

While WaPo recently lost 250,000 subscribers due to concerns over its journalistic independence, NYT added 260,000 subscriptions in Q3 thanks largely to the popularity of its non-news offerings.

Mark Proulx, global director of media quality & responsibility, Kenvue

How Kenvue Avoided $3 Million In Wasted Media Spend

Stop thinking about brand safety verification as “insurance” – a way to avoid undesirable content – and start thinking about it as an opportunity to build positive brand associations, says Kenvue’s Mark Proulx.

Comic: Lunch Is Searched

Based On Its Q3 Earnings, Maybe AIphabet Should Just Change Its Name To AI-phabet

Google hit some impressive revenue benchmarks in Q3. But investors seemed to only have eyes for AI.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters

Reddit’s Ads Biz Exploded In Q3, Albeit From A Small Base

Ad revenue grew 56% YOY even without some of Reddit’s shiny new ad products, including generative AI creative tools and in-comment ads, being fully integrated into its platform.

Freestar Is Taking The ‘Baby Carrot’ Approach To Curation

Freestar adopted a new approach to curation developed by Audigent that gives buyers a priority lane to publisher inventory with higher viewability and attention scores than most open-auction inventory.

Comic: Header Bidding Rapper (Wrapper!)

IAB Tech Lab Made Moves To Acquire Prebid In 2021 – And Prebid Said No

The story of how Prebid.org came to be – and almost didn’t – is an important one for the industry.