Melgar v. Zicam LLC, et al

Filing 21

MEMORANDUM AND ORDER granting Plaintiff's 18 Motion to Appoint Interim Class Counsel, signed by Chief Judge Morrison C. England, Jr., on 10/29/14. (Kastilahn, A)

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1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 EASTERN DISTRICT OF CALIFORNIA 10 11 YESENIA MELGAR, 12 13 14 No. 2:14-cv-00160-MCE-AC Plaintiff, v. MEMORANDUM AND ORDER ZICAM, LLC, et al., 15 Defendants. 16 17 This putative class action proceeds on Plaintiff Yesenia Melgar’s (“Plaintiff”) First 18 Amended Complaint (“FAC”). Presently before the Court is Plaintiff’s unopposed Motion 19 to Appoint Interim Counsel (ECF No. 18). For the following reasons, that Motion is 20 GRANTED.1 21 22 ANALYSIS 23 24 By way of this action, Plaintiff alleges that Defendants’ product Zicam, “The Pre- 25 Cold Medicine,” is an over-the-counter homeopathic remedy that Defendants falsely 26 represent prevents, shortens, and reduces the severity of the common cold. FAC, § 1. 27 1 28 Because oral argument would not be of material assistance, the Court ordered this matter submitted on the briefs. E.D. Cal. Local R. 230(g). 1 1 Despite Defendants’ claims that, among other things, Zicam is “clinically proven to 2 shorten colds” and “reduces duration and severity of the common cold,” Plaintiff 3 contends that the Zicam products contain only highly diluted concentration of the 4 purported “active ingredients” and are really nothing more than placebos. Id. at ¶ 2. 5 Plaintiff alleges she purchased a Zicam product, did not obtain the advertised relief, and 6 she thus initiated this action on behalf of a nationwide class of Zicam users pursuing 7 causes of action under both state and federal law. Id. at ¶¶ 68-70. No class has yet 8 been certified, but Plaintiff moves for the appointment of interim counsel on the basis 9 that her existing counsel, Bursor & Fisher, P.A. (“Bursor & Fisher”), is best qualified to 10 11 represent the class in this litigation. Pursuant to Rule 23(g)(3), the Court may designate interim class counsel to 12 represent the interests of the alleged class in initial proceedings, even before 13 determining whether to certify the class as a whole. Courts have held that the same 14 standards applicable to choosing class counsel at the time of class certification apply in 15 choosing interim class counsel. See In re Air Cargo Shipping Services Antitrust 16 Litigation, 240 F.R.D. 56, 57 (E.D.N.Y.2006) (“Although neither the federal rules nor the 17 advisory committee notes expressly so state, it appears to be generally accepted that 18 the considerations set out in [Fed.R.Civ.P. 23(g)(1)(A) and (B) ], which governs 19 appointment of class counsel once a class is certified, apply equally to the designation of 20 class counsel before certification.”). 21 “In appointing class counsel, the Court . . . must consider: (i) the work counsel has 22 done in identifying or investigating potential claims in the action; (ii) counsel's experience 23 in handling class actions, other complex litigation, and the types of claims asserted in the 24 action; (iii) counsel's knowledge of the applicable law; and (iv) the resources that counsel 25 will commit to representing the class.” Fed. R. Civ. P. 23(g)(1)(A). The Court may 26 further consider, “any other matter pertinent to counsel's ability to fairly and adequately 27 represent the interests of the class.” Fed. R. Civ. P. 23(g)(1)(B). In addition, “[c]lass 28 counsel must fairly and adequately represent the interests of the class.” Fed. R. Civ. P. 2 1 2 23(g)(4). The Court has reviewed Plaintiff’s Motion and her supporting documentation and 3 concludes that each of the relevant Rule 23 considerations supports appointment of 4 Bursor & Fisher in this case. As to the work counsel has done in identifying and 5 investigating potential claims, Bursor & Fisher has already conducted extensive 6 investigation into the efficacy of homeopathic products, Defendants’ marketing strategies 7 and representations, and Defendants’ corporate structure. Decl. of Annick M. Persinger, 8 ¶¶ 10-11. Counsel has also interviewed consumers and evaluated the role Defendants’ 9 claims play in purchasing decisions. Id., ¶ 11. Finally, counsel filed the instant action, 10 served initial discovery, and anticipates engaging in further discovery and motion 11 practice prior to the time a class would be certified. Id., ¶ 12-13. The work Bursor & 12 Fisher has already completed will enable the firm to efficiently litigate this case through 13 pre-certification proceedings and potential class certification. 14 As for the remaining factors, which are interrelated, Plaintiff has provided ample 15 support for her position that Bursor & Fisher is eminently qualitied to represent a class in 16 this type of litigation. Counsel has extensive experience representing plaintiffs in large 17 class actions, both in negotiating settlements and litigating through trial. Id., ¶¶ 3-9. 18 Moreover, Bursor & Fisher has been appointed co-lead counsel in another similar class 19 action focused on purchasers of a children’s homeopathic cold and flu remedies and in a 20 separate multi-district litigation. Id., ¶¶ 6-7. Given counsel’s experience litigating not 21 only high-stakes class actions, but also actions concerning allegations very similar to 22 those before the Court here, Counsel has also demonstrated the requisite knowledge of 23 the applicable law. In sum, Bursor & Fisher is a well-established, reputable firm that is 24 up to handling the challenges of this litigation and is capable of committing the requisite 25 resources to doing so. See id., ¶¶ 14-15. The Court is confident that Bursor & Fisher 26 will fairly and adequately represent the interests of the class. 27 28 CONCLUSION 3 1 2 3 4 5 For the reasons just stated, Plaintiff’s Motion to Appoint Interim Class Counsel (ECF No. 18), Bursor & Fisher, is GRANTED. IT IS SO ORDERED. Dated: October 29, 2014 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 4

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