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Van Zant v. Apple, Inc.

229 Cal. App. 4th 965, 177 Cal. Rptr. 3d 805 (2014)

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Van Zant v. Apple, Inc.

California Court of Appeal
229 Cal. App. 4th 965, 177 Cal. Rptr. 3d 805 (2014)

KD

Facts

Apple, Inc. (defendant) manufactured the iPhone 3G, which operated over the network of AT&T Mobility, LLC (ATTM). Apple advertised the iPhone 3G as being twice as fast as its predecessor. Numerous plaintiffs sued Apple and ATTM in federal court for falsely advertising the iPhone 3G’s speed. The federal cases were consolidated as multidistrict litigation (MDL). The MDL court granted Apple and ATTM’s motions to compel arbitration. Ingrid Van Zant (plaintiff) filed a class-action lawsuit against Apple in California state court, alleging that Apple falsely advertised the iPhone 3G’s speed. Van Zant disclaimed any intent to recover from ATTM, alleging that the iPhone 3G failed to perform due solely to internal hardware and software defects. Apple demurred, asserting that ATTM was a necessary party. The trial court sustained the demurrer, finding that ATTM’s absence placed Apple at a substantial risk of incurring inconsistent obligations between Van Zant’s litigation and the MDL arbitrations. Nothing in the record indicated that an MDL plaintiff had commenced arbitration, however. Van Zant refused to join ATTM. The trial court dismissed the case. Van Zant appealed to the California Court of Appeal.

Rule of Law

Issue

Holding and Reasoning (Márquez, J.)

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Casebooks

California Civil Procedure

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