Class Action
Jones v. Peloton
Jones v. Peloton Interactive, Inc.
Where it stands
Judge M. James Lorenz denied Peloton's motion to dismiss on July 5, 2024 (2024 WL 3315989), allowing CIPA aiding-and-abetting claims to proceed on the theory that the third-party AI chat provider used the chats to improve its own algorithms.
Key ruling
July 5, 2024 order denying dismissal: because the AI chat vendor used customer chats 'for its own purposes of improving its AI-driven algorithm,' it was 'more than a mere extension' of the website operator and fell outside CIPA's party exemption — the template later adopted in Ambriz v. Google and In re Otter.AI.
Note on this record
Plaintiffs' counsel were not identified in the sources reviewed.The record
- Court
- U.S. District Court for the Southern District of California
- Case number
- 3:23-cv-01082-L-BGS
- Filed
- Filing date not established
- Defendants
- Peloton Interactive, Inc.
- Plaintiffs
- California users of Peloton's website chat feature whose chat communications were routed in real time to a third-party AI chat vendor — alleged to number in the hundreds of thousands.
- Technology at issue
- Third-party AI-powered website chat software (Drift) embedded on Peloton's customer-facing site
- Relief sought
- CIPA § 631 statutory damages of $5,000 per violation and injunctive relief.
Claims pleaded
Sources (3)
- California Federal Court Refuses To Dismiss Wiretapping Class Action Involving Company's Use Of Third-Party AI SoftwareDuane Morris LLP — Class Action Defense Blog · 2024-07-08
- Chatbot data for AI improvement leads to wiretapping lawsuitNorton Rose Fulbright · 2024-07
- First Amended Complaint, Jones v. Peloton Interactive, Inc., No. 3:23-cv-01082-L-BGSThe Register (hosting complaint)
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