Case 2:17-cv-09138 Document 1 Filed 12/21/17 Page 1 of 9 Page ID #:1 5 Bobby Saadian, Esq. SBN: 250377 Colin M. Jones, Esq. SBN: 265628 WILSHIRE LAW FIRM 3055 Wilshire Blvd., 12th Floor Los Angeles, California 90010 Tel: (213) 381-9988 Fax: (213) 381-9989 6 Attorneys for Plaintiffs 1 2 3 4 7 UNITED STATES DISTRICT COURT 8 FOR THE CENTRAL DISTRICT OF CALIFORNIA 9 10 11 WILSHIRE LAW FIRM, PLC  3055 Wilshire Blvd, 12th Floor  Los Angeles, CA 90010­1137  12 13 14 STEFAN BOGDANOVICH; DAKOTA SPEAS; CASE NO.: CLASS ACTION COMPLAINT Plaintiffs, on behalf of themselves individually and all others similarly situated, 15 1. BREACH OF IMPLIED CONTRACT 2. TRESPASS TO CHATTEL vs. 16 17 APPLE, INC., a corporation; DOES 1 through 10, inclusive, 18 Defendant. 19 20 Plaintiffs identified below (collectively, “Plaintiffs”), individually, and on 21 behalf of the Classes defined below of similarly situated persons, file this Class 22 Action Complaint. Plaintiffs file suit against Apple, Inc. ( “Defendants”). 23 24 25 26 27 28 I. NATURE OF THE ACTION 1. Plaintiffs and Class Members have owned iPhone 7, and iPhone 7s, or have owned older iPhone models for the past years. 2. Plaintiffs and Class Members have notice that their older iPhone models slows down when new models come out. 1 CLASS ACTION COMPLAINT Case 2:17-cv-09138 Document 1 Filed 12/21/17 Page 2 of 9 Page ID #:2 3. 1 2 slowing down older iPhone models. 4. 3 4 Plaintiffs and Class Members never consented to allow Defendants to slow their iPhones. 5. 5 As a result of Defendant’s wrongful actions, Plaintiffs and Class 6 Members had their phone slowed down, and thereby it interfered with Plaintiffs’ 7 and Class Members’ use or possession of their iPhones, Plaintiffs and Class 8 Members have otherwise suffered damages. 9 II. 10 11 12 WILSHIRE LAW FIRM, PLC  3055 Wilshire Blvd, 12th Floor  Los Angeles, CA 90010­1137  On December 20, 2017, Defendant admitted to purposefully 13 14 THE PARTIES 6. Plaintiff Stefan Bogdanovich is a California citizen residing in Los Angeles, California. 7. Plaintiff Dakota Speas is a California citizen residing in Los Angeles, California. 8. Plaintiffs bring this action on their own behalf and on behalf of all 15 others similarly situated, namely all other individuals who have owned iPhone 16 models prior to iPhone 8. 17 9. Upon information and belief, Defendant Apple is a corporation 18 organized and existing under the laws of the State of California with its principal 19 place of business at 1 Infinite Loop, Cupertino, California. 20 10. Plaintiffs are ignorant of the true names and capacities of 21 Defendants sued herein as Does 1 through 10, inclusive, and therefore sues these 22 Defendants by such fictitious names. Plaintiffs will amend this Complaint to 23 allege their true names and capacities when the same are ascertained. Plaintiffs 24 are informed and believe and thereon allege that each of the fictitiously named 25 Defendants are responsible in some manner for the occurrences and acts alleged 26 herein, and that Plaintiffs damages alleged herein were proximately caused by 27 these Defendants. When used herein, the term “Defendants” is inclusive of 28 DOES 1 through 10. 2 CLASS ACTION COMPLAINT Case 2:17-cv-09138 Document 1 Filed 12/21/17 Page 3 of 9 Page ID #:3 11. 1 2 act by a Defendant or Defendants, such allegations and reference shall also be 3 deemed to mean the acts and failures to act of each Defendant acting 4 individually, jointly, and severally. 5 III. JURISDICTION AND VENUE 12. 6 This Court has subject matter jurisdiction over the state law claims 7 asserted here pursuant to the Class Action Fairness Act, 28 U.S.C. § 1332(d)(2), 8 since some of the Class Members are citizens of a State different from the 9 Defendant and, upon the original filing of this complaint, members of the 10 putative Plaintiffs class resided in states around the country; there are more than 11 100 putative class members; and the amount in controversy exceeds $5 million. 13. 12 WILSHIRE LAW FIRM, PLC  3055 Wilshire Blvd, 12th Floor  Los Angeles, CA 90010­1137  Whenever and wherever reference is made in this Complaint to any The Court also has personal jurisdiction over the Parties because 13 Defendant conducts a major part of their national operations with regular and 14 continuous business activity in California, with an advertising budget both not 15 exceeded in other jurisdictions throughout the United States. 14. 16 Venue is appropriate because, among other things: (a) Plaintiffs are 17 resident and citizen of this District; (b) the Defendants had directed their 18 activities at residents in this District; (b) the acts and omissions that give rise to 19 this Action took place, among others, in this judicial district. 15. 20 Venue is further appropriate pursuant to 28 U.S.C. § 1391 because 21 Defendant conducts a large amount of their business in this District, and 22 Defendant has substantial relationships in this District. Venue is also proper in 23 this Court because a substantial part of the events and omissions giving rise to the 24 harm of the Class Members occurred in this District. 25 IV. 26 27 28 SUBSTANTIVE ALLEGATIONS 16. Plaintiffs and Class Members have used Apple iPhones for a number of years. 17. Defendant alleges that its battery may retain up to 80 percent of their 3 CLASS ACTION COMPLAINT Case 2:17-cv-09138 Document 1 Filed 12/21/17 Page 4 of 9 Page ID #:4 1 2 3 4 5 6 7 8 9 WILSHIRE LAW FIRM, PLC  3055 Wilshire Blvd, 12th Floor  Los Angeles, CA 90010­1137  10 original capacity at 500 complete charge cycles. 18. Defendant alleges that it slows down iPhone processors when the battery is wearing out. 19. Defendant never requested consent or did Plaintiffs at any time give consent for Defendant to slow down their iPhones. 20. Plaintiffs and Class Members were never given the option to bargain or choose whether they preferred to have their iPhones slower than normal. 21. Plaintiffs and Class Members suffered interferences to their iPhone usage due to the intentional slowdowns caused by Defendant. 22. Defendant’s wrongful actions directly and proximately caused the 11 interference and loss of value to Plaintiffs and Class Members’ iPhones causing 12 them to suffer, and continue to suffer, economic damages and other harm for which 13 they are entitled to compensation, including: 14 a. Replacement of old phone; 15 b. Loss of use; 16 c. Loss of value; 17 d. Purchase of new batteries; 18 e. Ascertainable losses in the form of deprivation of the value of their iPhone; 19 20 f. Overpayments to Defendant for iPhones in that a portion of the price 21 paid for such iPhone by Plaintiffs and Class Members to Defendant 22 was for Defendant to purposefully not interfere with the usage of their 23 iPhones, which Defendant and its affiliates purposefully interfered in 24 order to slow down its performance and, as a result, Plaintiffs and 25 Class Members did not receive what they paid for and were 26 overcharged by Defendant. 27 28 4 CLASS ACTION COMPLAINT Case 2:17-cv-09138 Document 1 Filed 12/21/17 Page 5 of 9 Page ID #:5 1 2 V. CLASS ACTION ALLEGATIONS 23. 3 Federal Rules of Civil Procedure Rule 23(a), (b)(2), (b)(3), and (c)(4), Plaintiffs 4 seeks certification of a Nationwide class and a California class. The nationwide 5 class is initially defined as follows: 6 All persons residing in the United States who have owned iPhone models older than iPhone 8 (the “Nationwide Class”). 7 8 9 The California class is initially defined as follows: All persons residing in California who have owned iPhone models older than iPhone 8 (the “California Class”). 10 11 12 WILSHIRE LAW FIRM, PLC  3055 Wilshire Blvd, 12th Floor  Los Angeles, CA 90010­1137  Plaintiffs brings this action on their own behalf and pursuant to the 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 24. Excluded from each of the above Classes are Defendant, including any entity in which Defendant has a controlling interest, is a parent or subsidiary, or which is controlled by Defendant, as well as the officers, directors, affiliates, legal representatives, heirs, predecessors, successors, and assigns of Defendant. Also excluded are the judges and court personnel in this case and any members of their immediate families. Plaintiffs reserves the right to amend the Class definitions if discovery and further investigation reveal that the Classes should be expanded or otherwise modified. 25. . Fed. R. Civ. P. 23(a)(1). The members of the Classes are Numerosity so numerous that the joinder of all members is impractical. While the exact number of Class Members is unknown to Plaintiffs at this time, Defendant has acknowledged to purposefully slow down older iPhone models. The disposition of the claims of Class Members in a single action will provide substantial benefits to all parties and to the Court. The Class Members are readily identifiable from information and records in Defendant’s possession, custody, or control. 26. . Fed. R. Civ. P. 23(a)(2) and (b)(3). There are questions Commonality of law and fact common to the Classes, which predominate over any questions 5 CLASS ACTION COMPLAINT Case 2:17-cv-09138 Document 1 Filed 12/21/17 Page 6 of 9 Page ID #:6 1 affecting only individual Class Members. These common questions of law and fact 2 include, without limitation: 3 a. purposefully slow down older iPhone models; 4 5 b. c. d. WILSHIRE LAW FIRM, PLC  3055 Wilshire Blvd, 12th Floor  Los Angeles, CA 90010­1137  Whether Plaintiffs and the Class are entitled to damages, civil penalties, punitive damages, and/or injunctive relief. 10 11 Whether Defendant interfered or otherwise lowered the use or value of older iPhone models; 8 9 Whether Defendant has complied with any implied contractual obligation to not purposefully slow down older iPhone models; 6 7 Whether Defendant has an implied contractual obligation to not 27. . Fed. R. Civ. P. 23(a)(3). Plaintiffs’ claims are typical of Typicality 12 those of other Class Members because Plaintiffs’ iPhones, like that of every other 13 Class Member, was misused by Defendant. 14 28. . Fed. R. Civ. P. 23(a)(4). Plaintiffs will Adequacy of Representation 15 fairly and adequately represent and protect the interests of the members of the 16 Class. Plaintiffs have retained competent counsel experienced in litigation of class 17 actions, including consumer class actions, and Plaintiffs intend to prosecute this 18 action vigorously. Plaintiffs’ claims are typical of the claims of other members of 19 the Class and Plaintiffs has the same non-conflicting interests as the other Members 20 of the Class. The interests of the Class will be fairly and adequately represented 21 by Plaintiffs and their counsel. 22 29. . Fed. R. Civ. P. 23(b)(3). A class action is Superiority of Class Action 23 superior to other available methods for the fair and efficient adjudication of this 24 controversy since joinder of all the members of the Classes is impracticable. 25 Furthermore, the adjudication of this controversy through a class action will avoid 26 the possibility of inconsistent and potentially conflicting adjudication of the 27 asserted claims. There will be no difficulty in the management of this action as a 28 class action. 6 CLASS ACTION COMPLAINT Case 2:17-cv-09138 Document 1 Filed 12/21/17 Page 7 of 9 Page ID #:7 1 30. 2 justify the cost of individual litigation so that, in the absence of class treatment, 3 Defendant’s violations of law inflicting substantial damages in the aggregate 4 would go un-remedied. 5 31. Class certification is also appropriate under Fed. R. Civ. P. 23(a) and 6 (b)(2), because Defendant has acted or has refused to act on grounds generally 7 applicable to the Classes, so that final injunctive relief or corresponding 8 declaratory relief is appropriate as to the Classes as a whole. COUNT I 9 Breach of Implied Contract 10 WILSHIRE LAW FIRM, PLC  3055 Wilshire Blvd, 12th Floor  Los Angeles, CA 90010­1137  Damages for any individual class member are likely insufficient to 11 (On Behalf of Plaintiffs and the Nationwide and California Classes) 12 32. 13 14 Plaintiffs incorporate the substantive allegations contained in each and every paragraph of this Complaint. 33. Defendant solicited and invited Plaintiffs and the members of the 15 Class to buy new iPhones. Plaintiffs and Class Members accepted Defendant’s 16 offers and bought iPhones from Defendant. 17 34. When Plaintiffs and Class Members bought iPhones from Defendant, 18 they paid for their iPhones. In so doing, Plaintiffs and Class Members entered into 19 implied contracts with Defendant to which Defendant agreed to not purposefully 20 interfere with Plaintiffs and Class Members’ usage or speed of the device. 21 35. Each purchase made with Defendant by Plaintiffs and Class Members 22 was made pursuant to the mutually agreed-upon implied contract with Defendant 23 under which Defendant agreed to not purposefully interfere with Plaintiffs and 24 Class Members’ usage or value of their iPhones. 25 26 27 28 36. Plaintiffs and Class Members would not have bought iPhones from Defendant in the absence of the implied contract between them and Defendant. 37. Plaintiffs and Class Members fully performed their obligations under the implied contracts with Defendant. 7 CLASS ACTION COMPLAINT Case 2:17-cv-09138 Document 1 Filed 12/21/17 Page 8 of 9 Page ID #:8 38. 1 Defendant breached the implied contracts it made with Plaintiffs and 2 Class Members by purposefully slowing down older iPhone models when new 3 models come out and by failing to properly disclose that at the time of that the 4 parties entered into an agreement. 39. 5 As a direct and proximate result of Defendant’s breaches of the 6 implied contracts between Defendant and Plaintiffs and Class Members, Plaintiffs 7 and Class Members sustained actual losses and damages as described in detail 8 above. COUNT II 9 Trespass to Chattel WILSHIRE LAW FIRM, PLC  3055 Wilshire Blvd, 12th Floor  Los Angeles, CA 90010­1137  10 11 (On Behalf of Plaintiffs and the Nationwide and California Classes) 12 40. 13 each and every paragraph of this Complaint. 41. 14 15 42. 43. Plaintiffs and Class Members never consented to Defendant interfering with their phones in order to slow their phones down. 44. 20 21 Defendant intentionally interfered with Plaintiff and Class Members’ use or possession of their iPhone by purposefully slowing down their phones. 18 19 Plaintiffs owned or possessed the right to possess the above mentioned iPhones. 16 17 Plaintiffs repeats and fully incorporates the allegations contained in Plaintiffs and Class Members have lost use, value, had to purchase new batteries, and had to purchase new iPhones due to Defendant’s conduct. 45. 22 Defendant’s conduct was a substantial factor in causing Plaintiffs and 23 Class Members to have to replace iPhones, buy new batteries, or loss of usage of 24 their iPhone. 25 VI. PRAYER FOR RELIEF 26 WHEREFORE, Plaintiffs, individually and on behalf of all Class Members 27 proposed in this Complaint, respectfully requests that the Court enter judgment in 28 her favor and against Defendant as follows: 8 CLASS ACTION COMPLAINT Case 2:17-cv-09138 Document 1 Filed 12/21/17 Page 9 of 9 Page ID #:9 1 For an Order certifying the Nationwide Class and California Class as 2 defined here, and appointing Plaintiffs and her Counsel to represent 3 the Nationwide Class and the California Class; 4 B. For equitable relief enjoining Defendant from engaging in the 5 wrongful conduct complained of here pertaining to the misuse of 6 Plaintiffs and Class Members’ personal property; 7 C. For equitable relief compelling Defendant to utilize appropriate 8 methods and policies with respect to older iPhone models in respect 9 to their batteries; 10 WILSHIRE LAW FIRM, PLC  3055 Wilshire Blvd, 12th Floor  Los Angeles, CA 90010­1137  A. D. For equitable relief requiring restitution and disgorgement of the 11 revenues wrongfully retained as a result of Defendant’s wrongful 12 conduct; 13 E. amount to be determined; 14 15 F. For an award of costs of suit and attorneys’ fees, as allowable by law; and 16 17 For an award of actual damages and compensatory damages, in an G. Such other and further relief as this court may deem just and proper. 18 19 20 21 DEMAND FOR JURY TRIAL Based on the foregoing, Plaintiffs, on behalf of themselves, and all others similarly situated, hereby demand a jury trial for all claims so triable. 22 23 Dated: December 21, 2017 Respectfully Submitted, 24 25 26 27 /s/     Colin M. Jones, Esq. _____________________________ Colin M. Jones, Esq. SBN: 265628 Attorneys for Plaintiffs 28 9 CLASS ACTION COMPLAINT