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Mouzon v. Radiancy, Inc.
85 F. Supp. 3d 361
D.D.C.
2015
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Background

  • Plaintiffs (13 consumers from 10 jurisdictions) sued Radiancy, Inc. and its CEO Dolev Rafaeli over marketing of the no!no! hair-removal device, alleging deceptive advertising (including claims of permanent/long-term hair removal) and warranty violations on behalf of a nationwide class and several state subclasses.
  • Plaintiffs allege they purchased after viewing infomercials; the complaint gives only one boilerplate paragraph per plaintiff stating purchase date, residence, viewing an infomercial, reliance, and injury.
  • Radiancy moved to dismiss for failure to state a claim; Rafaeli moved to dismiss for lack of personal jurisdiction and joined the merits arguments.
  • The Court found no specific personal jurisdiction over Rafaeli (claims dismissed; request for jurisdictional discovery denied) because plaintiffs failed to plead Rafaeli’s own contacts with D.C. or any targeting of D.C.
  • The Court dismissed all claims against Radiancy for failure to state a claim: NY GBL §§ 349–350 and implied warranty of fitness for a particular purpose were dismissed with prejudice; state consumer-protection claims, express warranty, implied merchantability warranty, and Magnuson–Moss Act claims were dismissed without prejudice.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Personal jurisdiction over CEO Rafaeli (D.C.) Rafaeli supervised and profited from a nationwide deceptive marketing campaign; his corporate contacts should be imputed Rafaeli lacked sufficient forum-directed conduct; corporate status alone does not confer jurisdiction Dismissed for lack of personal jurisdiction; plaintiffs failed to plead Rafaeli’s own D.C. contacts; jurisdictional discovery denied
Applicability of NY GBL §§ 349–350 Statute applies because Radiancy’s deceptive campaign emanated from its NY HQ Statute applies only where the deceptive transaction occurred in New York Count 1 dismissed with prejudice: plaintiffs alleged no transaction or deception that occurred in New York (Goshen controls)
State consumer-protection claims (multiple states) — pleading standard Claims arise from deceptive advertising; class treatment appropriate; reliance/causation pleaded generally Claims sound in fraud and must meet Rule 9(b) particularity; plaintiffs failed to plead individual exposure/reliance/details Counts 2–12 dismissed without prejudice for failure to plead fraud with particularity; West Virginia claim also failed for lack of statutorily required pre-suit notice
Warranty claims (express; implied merchantability; implied fitness for particular purpose; Magnuson–Moss) Advertising created express and implied warranties; plaintiffs relied on representations; Magnuson–Moss supports federal warranty relief Plaintiffs did not allege exposure to specific representations, use of product, or facts showing seller knew any particular purpose; claims therefore insufficient Express warranty and implied merchantability claims dismissed without prejudice; implied fitness-for-particular-purpose dismissed with prejudice (incurable); Magnuson–Moss dismissed without prejudice as derivative

Key Cases Cited

  • Bell Atl. Corp. v. Twombly, 550 U.S. 544 (plausibility pleading standard)
  • Ashcroft v. Iqbal, 556 U.S. 662 (court rejects legal conclusions; pleading must show plausible liability)
  • Goshen v. Mutual Life Ins. Co., 774 N.E.2d 1190 (N.Y. Ct. App.) (GBL § 349/350 require the deceptive transaction occur in New York)
  • Keeton v. Hustler Magazine, 465 U.S. 770 (jurisdictional contacts assessed individually for each defendant)
  • Rudder v. Williams, 666 F.3d 790 (D.C. Cir.) (dismissal with prejudice appropriate when amendment cannot cure pleading defects)
Read the full case

Case Details

Case Name: Mouzon v. Radiancy, Inc.
Court Name: District Court, District of Columbia
Date Published: Mar 30, 2015
Citation: 85 F. Supp. 3d 361
Docket Number: Civil Action No. 2014-0722
Court Abbreviation: D.D.C.