Ann Jones, individually and on behalf of all others similarly situated v. Bloomingdales.com, LLC

23-3440Court of Appeals for the Eighth CircuitDec 31, 2024

Full text

United States Court of Appeals
For the Eighth Circuit
___________________________
No. 23-3304
___________________________
Ann Jones, individually and on behalf of all others similarly situated
lllllllllllllllllllllPlaintiff - Appellant
v.
Bloomingdales.com, LLC
lllllllllllllllllllllDefendant - Appellee
___________________________
No. 23-3606
___________________________
Ann Jones, individually and on behalf of all others similarly situated; Jane
Tenzer, individually and on behalf of all others similarly situated
lllllllllllllllllllllPlaintiffs - Appellants
v.
Papa John's International, Inc.
lllllllllllllllllllllDefendant - Appellee
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Appeals from United States District Court
for the Eastern District of Missouri - St. Louis
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Submitted: November 20, 2024
Filed: December 24, 2024
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Before SHEPHERD, ARNOLD, and ERICKSON, Circuit Judges.
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ARNOLD, Circuit Judge.
After Ann Jones learned that two websites she had visited had permitted others
to record her electronic communications with the sites, she brought separate actions
against the websites' owners for invading her privacy. In one case, the district court1
dismissed her complaint for lack of subject-matter jurisdiction because she did not
adequately plead that she had suffered a concrete injury. In the other case, the district
court2 dismissed her complaint for lack of personal jurisdiction. She appeals both
dismissals. (We consolidated the appeals for oral argument and now resolve them in
a single opinion.) Since we believe that Jones hasn't plausibly alleged a concrete
injury in either case, we affirm the judgments.
Jones filed her lawsuits against Bloomingdales.com, LLC, and Papa John's
International, Inc., on behalf of herself and a putative class of similarly situated
people. (Another plaintiff named Jane Tenzer joined her suit against Papa John's, but
we will call the plaintiffs "Jones" to keep things simple.) The allegations in each suit,
which at this stage we accept as true, see Carlsen v. GameStop, Inc., 833 F.3d 903,
908 (8th Cir. 2016), are alike in all material respects. Jones alleges that she visited the
companies' websites and, unbeknownst to her, they employed "session replay"
technology that allowed them to discern and record things like her "mouse
movements, clicks, keystrokes (such as text being entered into an information field
or text box), search terms, URLs of web pages visited, as well as . . . what [she]
searched for, what [she] looked at, the information [she] inputted, and what [she]
clicked on." She says that this technology compiles what "is essentially a video of
1The Honorable Sarah E. Pitlyk, United States District Judge for the Eastern
District of Missouri.
2The Honorable Stephen R. Clark, Chief Judge, United States District Court for
the Eastern District of Missouri.
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[her] entire visit" that can be replayed any time. According to Jones, companies like
Bloomingdales and Papa John's use session-replay technology to improve their
websites and to provide targeted advertisements.
To implement session-replay technology on their websites, the companies
employed the assistance of third parties that we will call "providers." Using their
session-replay programs, these providers allegedly can create unique "fingerprints"
of individual users using information obtained from a user's visit to any website that
the provider monitors. And, Jones asserts, if a user identifies herself (such as by
inputting her name in a text box on the website), the provider can connect the user's
identity to the digital fingerprint it has created for her, even if the user intended to
browse anonymously.
Jones brought several claims against each company, some under state law
alleging intrusion upon seclusion and violations of Missouri statutes, and others
under the Electronic Communications Privacy Act, see 18 U.S.C. § 2511(1), (3)(a),
the Stored Communications Act, see id. §§ 2701, 2702, and the Computer Fraud and
Abuse Act, see id. § 1030. The companies each moved to dismiss the complaints,
arguing that the courts lacked personal jurisdiction over them and that the complaints
failed to state a claim.
The district court in the case against Bloomingdales dismissed the complaint
but not for the reasons Bloomingdales offered. The court relied instead on a decision
by another judge in the Eastern District of Missouri in a similar case involving
session-replay technology. See Adams v. PSP Grp., LLC, 691 F. Supp. 3d 1031 (E.D.
Mo. 2023). The court there held that the plaintiff lacked standing to sue because she
didn't suffer a concrete injury, as she didn't allege that the website she visited had
captured "any sensitive, personal, or confidential information" about her. See id. at
1041–42. Persuaded by this decision, the district court dismissed Jones's complaint
against Bloomingdales. As for the case against Papa John's, the district court agreed
that it lacked personal jurisdiction over Papa John's and so it didn't address whether
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Jones had standing. Because we hold that Jones lacks standing in both cases, we need
not resolve whether the courts have personal jurisdiction over the defendant
companies. We review the matter of standing de novo. See Bassett v. Credit Bureau
Servs., Inc., 60 F.4th 1132, 1134 (8th Cir. 2023).
Article III of the Constitution "confines the federal judicial power to the
resolution of 'Cases' and 'Controversies.'" TransUnion LLC v. Ramirez, 594 U.S. 413,
423 (2021). For a case or controversy to exist, the plaintiff must have a personal stake
in the lawsuit—a requirement that courts call "standing." See id. Standing "limits the
category of litigants empowered to maintain a lawsuit in federal court to seek redress
for a legal wrong." Spokeo, Inc. v. Robins, 578 U.S. 330, 338 (2016). As Justice
Scalia once put it, to have standing, a plaintiff must be able to give a good answer to
the question, "What's it to you?" See Antonin Scalia, The Doctrine of Standing as an
Essential Element of the Separation of Powers, 17 Suffolk U. L. Rev. 881, 882
(1983).
To demonstrate standing at this stage, Jones must plead facts that demonstrate,
among other things, that she suffered an injury that is "concrete" and "real," not
merely "abstract." See Spokeo, 578 U.S. at 338, 340. Examples of qualifying harms
include traditional "tangible" harms that are physical or monetary in nature. See
TransUnion, 594 U.S. at 425. But the Supreme Court has explained that some
intangible harms can also be concrete, such as "harms traditionally recognized as
providing a basis for lawsuits in American courts" like "reputational harms,
disclosure of private information, and intrusion upon seclusion." See id.
Jones doesn't allege that she suffered physical or monetary harm from visiting
the companies' websites; rather, she asserts that she suffered a harm to her privacy
that bears a close relationship to "the historically cognizable harm of intrusion upon
seclusion." According to Missouri law, "One who intentionally intrudes, physically
or otherwise upon the solitude or seclusion of another or his private affairs or
concerns, is subject to liability to the other for invasion of his privacy, if the intrusion
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would be highly offensive to a reasonable person." See Sofka v. Thal, 662 S.W.2d
502, 510 (Mo. banc 1983) (quoting Restatement (Second) of Torts § 652B). We've
observed that Missouri courts view "the existence of a secret and private subject
matter" as an element of this tort. See Ruzicka Elec. & Sons, Inc. v. Int'l Bhd. of Elec.
Workers, Local 1, 427 F.3d 511, 524 (8th Cir. 2005).
Though it is true that the kind of harm to privacy associated with an intrusion
upon seclusion can constitute a concrete injury for standing purposes, that doesn't
mean that every plaintiff who comes to court alleging such a harm gets in the
courthouse door. Federal courts are not much concerned with labels and unsupported
characterizations. See Ashcroft v. Iqbal, 556 U.S. 662, 678, 681 (2009). So even
though Jones alleges that the companies invaded her privacy, we do not think her
allegations plausibly show that is the case. Jones does not allege, for example, that
session-replay technology captured her inputting and then deleting personal
information like her social security number, medical history, bank account figures,
or credit card information. She doesn't allege that it recorded any of her contact
information or even her name. Nor does she allege that it hijacked her camera and
watched her in her home as she surfed the web. Most of her allegations concern what
this technology is able to capture generally. But as one court aptly explained, "We
need to know what session-replay code actually captured, not what session-replay
code is capable of capturing." See In re BPS Direct, LLC, 705 F. Supp. 3d 333, 356
(E.D. Pa. 2023).
All we know from her allegations is that she visited the websites and that they
recorded her "Website Communications," but she never tells us what she
communicated. She mentions that her communications included things like "mouse
movements, clicks, [and] keystrokes," but we don't understand how the movements
of a cursor or a person's general navigation across a website conveys any information
that a customer could reasonably expect to keep private from the website owners
themselves. The situation is akin to the commonplace use of a security camera at a
brick-and-mortar store to record customers as they shop—an analogy Jones herself
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evokes when she alleges in her complaints that session-replay technology is "the
electronic equivalent of 'looking over the shoulder' of each" customer. See Goldstein
v. Costco Wholesale Corp., 559 F. Supp. 3d 1318, 1321 (S.D. Fla. 2021). But no
reasonable customer at a brick-and-mortar store could claim a privacy interest in her
general movements and activities in the public parts of that store. We therefore join
the overwhelming number of district courts to hold that plaintiffs lack standing in
cases like these where they don't allege the interception of private information. See,
e.g., Arndt v. Gov't Emps. Ins. Co., 2024 WL 4335644, at *5 (D. Md. Sept. 26, 2024)
(collecting cases).
The Court's decision in TransUnion supports our conclusion. There, a class of
plaintiffs said they had suffered harm to their reputations—an intangible harm that
can constitute a concrete injury—when a credit reporting agency created misleading
credit reports. See TransUnion, 594 U.S. at 417. The Court agreed that those whose
reports the agency had disseminated had suffered a concrete injury. See id. For those
whose reports had not been disseminated, however, the Court disagreed that they had
suffered reputational harm, explaining that "[t]he mere presence of an inaccuracy in
an internal credit file, if it is not disclosed to a third party, causes no concrete harm."
See id. at 434. So even though some contended they had suffered an intangible injury
that would support standing, the Court held to the contrary. We do the same here.
This is not the first time our court has done so. In one case, a plaintiff alleged
she had suffered intangible reputational harm, but since she didn't plead facts to
support that contention, we concluded she lacked standing. See Auer v. Trans Union,
LLC, 902 F.3d 873, 878 (8th Cir. 2018). We explained that her "naked assertion of
reputational harm, devoid of further factual enhancement, falls short of plausibly
establishing injury." See id. We've applied the same reasoning to assertions of harm
to privacy. See Schumacher v. SC Data Ctr., Inc., 33 F.4th 504, 514 (8th Cir. 2022).
In short, "[b]reezy declarations" of an intangible yet concrete injury without support
won't suffice. See McNaught v. Nolen, 76 F.4th 764, 772 (8th Cir. 2023).
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Jones points out that things like her mouse movements, clicks, and keystrokes
provide "rich, personal content" that is valuable to the companies as they could reveal
her shopping preferences and allow them to target her with specific advertisements.
She says that "[t]he fact that these communications consisted of clicks or hovers
instead of typed words is immaterial; the electronic exchanges conveyed information
nonetheless."
We do not doubt that the companies value the information that session-replay
technology gathers. That's why they gather it. But that does not mean that the
information gathered is information that a website visitor could reasonably expect to
keep private from the website owners or their agents. Just as a security camera at a
physical store might record how customers react to a display of products, session-
replay technology captures how a store's online customers react to digital displays,
to the extent "clicks" and "hovers" might reveal those reactions. We fail to see how
this invades Jones's privacy, especially when she voluntarily conveyed the
information she says is private to the defendants, cf. Schumacher, 33 F.4th at 513–14,
and when the allegations don't suggest that she provided information that would
identify her. Cf. Dinerstein v. Google, LLC, 73 F.4th 502, 513–14 (7th Cir. 2023).
We hold that Jones has not plausibly alleged that she suffered a concrete injury,
and so she lacks standing to bring these suits. We do so not because we think she
experienced only a slight invasion of her privacy, see Golan v. FreeEats.com, Inc.,
930 F.3d 950, 959 (8th Cir. 2019), but because her allegations do not plausibly
suggest that she suffered any such invasion at all.
Affirmed.
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