Hearthstone Class Action Via Polygon
Hearthstone Class Action Via Polygon
Hearthstone Class Action Via Polygon
Exhibit A
Electronically Filed by Superior Court of California, County of Orange, 05/03/2022 02:06:41 PM. CM-010
Case
ATTORNEY OR PARTY 8:22-cv-00998
WITHOUT
30-2022-01257732-CU-BT-CXC ATTORNEY (Name, State Document
- ROA # 3 - DAVID H. 1-1
Bar number, and address): Filed 05/17/22
YAMASAKI, Clerk of the Page
Court 2 of
By 20 FOR
Page
Georgina ID #:10
Ramirez, Deputy
COURT USE ONLY Clerk.
Eugene Y. Turin (SBN 342413)
McGuire Law, P.C., 55 W. Wacker Dr., Chicago, IL 60601
Items 1–6 below must be completed (see instructions on page 2). CX-102
1. Check one box below for the case type that best describes this case:
Auto Tort Contract Provisionally Complex Civil Litigation
Auto (22) Breach of contract/warranty (06) (Cal. Rules of Court, rules 3.400–3.403)
Uninsured motorist (46) Rule 3.740 collections (09) Antitrust/Trade regulation (03)
Other PI/PD/WD (Personal Injury/Property Other collections (09) Construction defect (10)
Damage/Wrongful Death) Tort Mass tort (40)
Insurance coverage (18)
Asbestos (04) Other contract (37) Securities litigation (28)
Product liability (24) Environmental/Toxic tort (30)
Real Property
Medical malpractice (45) Insurance coverage claims arising from the
Eminent domain/Inverse
Other PI/PD/WD (23) above listed provisionally complex case
condemnation (14)
types (41)
Non-PI/PD/WD (Other) Tort Wrongful eviction (33) Enforcement of Judgment
Business tort/unfair business practice (07) Other real property (26) Enforcement of judgment (20)
Civil rights (08) Unlawful Detainer
Miscellaneous Civil Complaint
Defamation (13) Commercial (31)
RICO (27)
Fraud (16) Residential (32)
Other complaint (not specified above) (42)
Intellectual property (19) Drugs (38)
Miscellaneous Civil Petition
Professional negligence (25) Judicial Review
Asset forfeiture (05) Partnership and corporate governance (21)
Other non-PI/PD/WD tort (35)
Employment Petition re: arbitration award (11) Other petition (not specified above) (43)
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SUPERIOR COURT OF THE STATE OF CALIFORNIA
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FOR THE COUNTY OF ORANGE
9
Y.H., by and through her Guardian NATHAN ) Case No.
10 HARRIS, individually and on behalf of )
) Assigned to: Assigned for All Purposes
11 similarly situated individuals,
) Department:
12 Plaintiff, ) Complaint Filed: CX-102
)
13 v. ) COMPLAINT – CLASS ACTION JURY
) TRIAL DEMANDED
14 BLIZZARD ENTERTAINMENT, INC., )
Declaratory Judgment on Minors’
15 Delaware corporation, ) 1.
) Rights to Disaffirm
16 Defendant. )
) 2. Violation of California Business and
17 ) Professions Code § 17200, et seq.
)
18 ) 3. Unjust Enrichment
19 )
) DEMAND FOR JURY TRIAL
20 )
)
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CLASS ACTION COMPLAINT
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Plaintiff Y.H. a minor, by and through her Guardian Nathan Harris (collectively
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“Plaintiff”), through their undersigned counsel, brings this Class Action Complaint against
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Blizzard Entertainment, Inc. (“Blizzard” or “Defendant”), on behalf of herself and all others
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similarly situated, and alleges the following upon personal knowledge as to their own actions, and
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upon information and belief as to counsel’s investigations and all other matters.
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998 Document 1-1 Filed 05/17/22 Page 5 of 20 Page ID #:13
1 7. Plaintiff, on behalf of herself and the Class, seeks damages, restitution, declaratory
2 and injunctive relief.
3 JURISDICTION AND VENUE
4 8. This Court has subject-matter jurisdiction over this action pursuant to Cal. Code
5 Civ. Proc. § 410.10 and Article VI, § 10 of the California Constitution.
6 9. Plaintiff has standing to bring this action pursuant to the California Unfair
7 Competition Law, California Business and Professions Code § 17200, et seq. (“UCL”); and the
8 common law.
9 10. This Court has personal jurisdiction over Defendant and venue is proper in this
10 Court because Defendant maintains its headquarters in Irvine, California and because a substantial
11 part of the events giving rise to the claims asserted herein occurred in this County.
12 PARTIES
13 11. Minor Plaintiff Y.H. and her Guardian, Nathan Harris, are natural persons and
14 residents of Arizona.
15 12. Defendant Blizzard Entertainment, Inc. is a Delaware corporation with its
16 headquarters and principal place of business located in Irvine, California, and has regularly
17 engaged in business throughout the state of California. Upon information and belief, Defendant
18 directs the marketing and development of its products and services, and the deceptive and unfair
19 conduct stemming therefrom, from its headquarters located in Irvine, California.
20 13. At all times relevant to this action, Defendant, in the ordinary course of business as
21 the provider of products and services to individuals who play its Hearthstone video game engaged
22 in acts or practices affecting commerce within the meaning of California consumer protection laws,
23 and Defendant’s deceptive and unfair trade practices alleged herein have affected tens of thousands
24 of consumers within California.
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998 Document 1-1 Filed 05/17/22 Page 7 of 20 Page ID #:15
1 22. Alternatively, Hearthstone card Packs can be purchased by real word currency as
2 shown below in increments of 2 Packs for 2.99; 7 Packs for 9.99; 15 Packs for 19.99; 40 Packs for
3 49.99; and 60 Packs for 69.99. By making the cost per Pack significantly lower for larger
4 purchasers, Hearthstone encourages players to spend more money thinking that they are getting a
5 better deal even though they are ultimately purchasing virtual cards whose actual in-game value
6 they do not know until after the purchase is made.
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20 23. Critically, as with traditional Lootboxes, when a player purchases a Pack they are
21 not told shown anything about the cards they will actually receive. As shown above, in the most
22 recent “season” of Hearthstone players are at most only told that “At least 1 card [in the pack] will
23 be Rare or better.”
24 24. In addition to severely limiting players’ ability to obtain cards through regular
25 gameplay and encouraging purchases of larger amounts of Packs, Hearthstone is also designed to
26 encourage constant and continuous microtransaction within the game by making powerful cards
27 the rarest and hardest to obtain. Thus, in order to keep up, players must purchase large amounts of
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998 Document 1-1 Filed 05/17/22 Page 10 of 20 Page ID #:18
1 Packs hoping that at least one of the Packs will contain an Epic or Legendary card. This leads to
2 an arms race amongst players, many of whom are children and young adults, where players must
3 continue gambling on Packs to be competitive.
4 25. Although it has not been confirmed by Defendant, data collected by Hearthstone
5 players indicates that Defendant has also implemented a “Pity Timer” on Hearthstone Packs.
6 Defendant has set odds for obtaining certain cards within any number of Pack purchases,10 however
7 those odds appear to be adjusted based on the number of Packs a player opens without receiving a
8 “legendary” item. For each Pack that is opened that does not contain a “legendary” item, Defendant
9 incrementally increases the odds of receiving a “legendary” item in the next Pack. This helps feed
10 into the players’ perception that purchasing “just one more” Pack will provide the player with their
11 desired cards instead of creating an equal opportunity to receive a “legendary” item with each Pack
12 purchase. At the same time, it allows Defendant to claim that it technically discloses the “odds” of
13 getting a certain card with any given Pack purchase.
14 26. In sum, players purchase card Packs hoping to receive powerful Cards that will
15 help them advance in the game. However, the Packs are mostly worthless, often filled with
16 valueless Cards that players already have or do not want. Had players known the actual odds
17 of receiving the epic and legendary cards they desired in any particular Pack that they
18 purchased, they would not have purchased the Packs.
19 III. FACTS SPECIFIC TO PLAINTIFF Y.H.
20 27. Plaintiff played Hearthstone from approximately 2019 to 2021 during which time
21 Plaintiff purchased many card Packs and Hearthstone expansion packs. Plaintiff’s purchases in
22 Hearthstone have totaled over $300 during that time.
23 28. Plaintiff, a minor, was able to make the purchases through her father’s credit cards
24 and debit cards that were linked to her gaming account. Many of purchases made by Plaintiff were
25 without her Guardian’s permission to do so.
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28 https://us.battle.net/support/en/article/32545.
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998 Document 1-1 Filed 05/17/22 Page 11 of 20 Page ID #:19
1 29. Throughout her time playing Defendant’s Hearthstone game, Plaintiff Y.H. was
2 unaware of the odds of receiving any Epic or Legendary cards from any Pack that she had
3 purchased.
4 30. Plaintiff was also unaware that she had a right to disaffirm any purchases she made
5 from Defendant.
6 31. Plaintiff almost never received any valuable cards from the Packs she had
7 purchased during her time playing Hearthstone from her in-game purchases and would not have
8 made the amount of in-game purchases had she known the true odds of her being able to obtain
9 Epic or Legendary cards from the Packs for purchase, or that she would not allotted a refund.
10 32. Plaintiff no longer plays Hearthstone, and wishes that she had never made the
11 purchases that she did and that she obtain a full refund for them.
12 33. While Defendant’s terms and conditions require minors to obtain their parent’s
13 consent to create an account and play Hearthstone, Defendant failed to implement sufficient
14 mechanisms for parental consent controls to prevent minors from making unlimited purchases and
15 limiting in-game purchasers to players who are over 18.
16 34. Moreover, each time Defendant updates its Terms and Conditions, Defendant does
17 not require the minor-user to obtain their parent’s consent to any renewed or updated terms.
18 35. Minor Plaintiff Y.H. does not recollect seeing, reading, or agreeing to Defendant’s
19 Terms of Use prior to playing Hearthstone and her Guardian also did not see, read, or agree to the
20 terms.
21 36. As a result, minor Plaintiff made numerous in-game purchases that were labeled
22 non-refundable using her Guardian’s funds and which her Guardian did not receive any
23 notifications of until the charges were already made.
24 37. Had Defendant provided proper parental control and age verification features,
25 minor Plaintiff would not have been able to make any of the purchases that she did.
26 38. Furthermore, before hiring counsel in this action, Plaintiff Y.H. and her Guardian
27 were not aware of a minor’s right to disaffirm and get refunds on any and all in-game purchases
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998 Document 1-1 Filed 05/17/22 Page 12 of 20 Page ID #:20
1 without any restrictions. Had Defendant permitted Plaintiff to disaffirm her purchases, she would
2 have done so.
3 CLASS ALLEGATIONS
4 39. Plaintiff brings this action on her own behalf and on behalf of a Class and one
5 Subclass, pursuant to Cal. Code Civ. Proc. § 382, Cal. Civ. Code § 1781, and Cal. Bus. & Prof.
6 Code § 17203, defined as follows:
7 The Class:
8 All minors located within the United States who, during the applicable limitations
9 period, made a purchase of a Hearthstone card Pack using real-world currency.
11 All minors located within the state of California who, during the applicable
limitations period, made a purchase of a Hearthstone card Pack using real-world
12 currency.
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14 40. Adequacy. Plaintiff will fairly and adequately represent and protect the interests of
15 the other members of the Class and Subclass (collectively, the “Class”). Plaintiff has retained
16 counsel with substantial experience in prosecuting complex litigation and class actions. Plaintiff
17 and her counsel are committed to vigorously prosecuting this action on behalf of the other Class
18 and Subclass members, and have the financial resources to do so. Neither Plaintiff nor her counsel
19 have any interest adverse to those of the other members of the Class or Subclass.
20 41. Predominance & Superiority. Absent a class action, most Class and Subclass
21 members would find the cost of litigating their claims to be prohibitive and would have no effective
22 remedy. The class treatment of common questions of law and fact is superior to multiple individual
23 actions or piecemeal litigation in that it conserves the resources of the courts and the litigants, and
25 42. Final Declaratory or Injunctive Relief. Defendant has acted and failed to act on
26 grounds generally applicable to the Plaintiff and the Class and Subclass members, requiring the
27 Court’s imposition of uniform relief to ensure compatible standards of conduct toward the Class
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998 Document 1-1 Filed 05/17/22 Page 13 of 20 Page ID #:21
1 and Subclass members, and making injunctive or corresponding declaratory relief appropriate for
2 the Class and Subclass as a whole.
3 43. Typicality. The factual and legal basis of Defendant’s liability to Plaintiff and to
4 the other Class and Subclass members are the same, resulting in injury to the Plaintiff and to all of
5 the other members of the Class and Subclass. Plaintiff and the other members of the Class and
6 Subclass have suffered harm and damages as a result of Defendant’s unlawful and wrongful
7 conduct.
8 44. Numerosity. Upon information and belief, there are hundreds, if not thousands, of
9 Class and Subclass members such that joinder of all members is impracticable.
10 45. Commonality. There are many questions of law and fact common to the claims of
11 Plaintiff and the other members of the Class and Subclass, and those questions predominate over
12 any questions that may affect individual members of the Class and Subclass. Common questions
13 for the Class and Subclass include, but are not limited to, the following:
14 (a) Whether Defendant’s practice of not disclosing the contents of its card Packs was
deceptive to a reasonable consumer;
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(b) Whether Defendant’s failure to provide a method for minors or their guardians to
16 disaffirm any purchases violated their consumer rights;
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(c) Whether Plaintiff and the other Class and Subclass members were damaged by
18 Defendant’s conduct; and
19 (d) Whether Plaintiff and the other Class and Subclass members are entitled to
restitution or other relief.
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FIRST CAUSE OF ACTION
21 Declaratory Judgment on Minors’ Rights to Disaffirm
22 (On behalf of Plaintiff and the Class)
46. Plaintiff hereby incorporates the above allegations by reference as though fully set
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forth herein.
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47. On information and belief, Defendant’s Hearthstone video game is marketed to
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players of all ages, including minors.
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998 Document 1-1 Filed 05/17/22 Page 14 of 20 Page ID #:22
1 48. Defendant enters into and accepts a contract with a minor when an in-game
2 purchase of a card Pack by the minor is confirmed, and thus accepted. There is consideration on
3 both sides as Defendant gives the consideration of virtual in-game content exchanged for
4 consideration of actual money from the minor.
5 49. Under California law, and equivalent law in states nationwide, minors have the right
6 to disaffirm contracts such as those at issue here. See, e.g., Cal. Family Code § 6700.
7 50. Minors may disaffirm or a guardian may disaffirm a contract on behalf of a minor.
8 Through the filing of this lawsuit, Plaintiff disaffirms all in-game purchases she has made through
9 Hearthstone to-date and requests a refund.
10 51. Plaintiff further seeks injunctive relief on behalf of the Class for future and
11 prospective purchases of card Packs in Hearthstone to allow for refunds on all in-game purchases
12 without restrictions.
13 52. The contracts between Defendant and the members of the Class who are minors are
14 voidable - a fact that Defendant denies as evidenced by its denial of the Class’s right to be refunded
15 in its Terms of Service.
16 53. Accordingly, there is an actual controversy between the parties, requiring a
17 declaratory judgment.
18 54. This claim for declaratory judgment is brought pursuant to Code of Civil Procedure
19 § 1060 seeking a determination by the Court that: (a) this action may proceed and be maintained
20 as a class action; (b) the sales contracts between Defendant and the Class members are voidable at
21 the option of those Class members or their guardians; (c) if Class members elect to void the
22 contracts, they will be entitled to restitution and interest thereon; (d) an award of reasonable
23 attorneys’ fees and costs of suit to Plaintiffs and the Class is appropriate; and (e) such other and
24 further relief as is necessary and just may be appropriate as well.
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998 Document 1-1 Filed 05/17/22 Page 15 of 20 Page ID #:23
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998 Document 1-1 Filed 05/17/22 Page 16 of 20 Page ID #:24
1 purchases of such things as in-game content like card Packs such that Defendant should have
2 provided parental control features and provided for an unrestricted right for minors and their
3 guardians to seek refunds of any purchases made.
4 63. Defendant, in light of its explicit representation that in-game purchases were non-
5 refundable had a duty to make Plaintiff and the other members of the Class aware that they had an
6 unrestricted right to refund any purchases, but failed to do so.
7 64. Defendant did not implement any age verification or parental control features in its
8 Hearthstone video game that would have prevented Plaintiff and the other Class members from
9 making the purchases that they did, or would have otherwise allowed them or their guardians to
10 seek a refund for their purchases.
11 65. Nor has Defendant implemented any feature that provides insight as to what cards
12 a player will obtain when they make any given purchase of a card Pack.
13 66. Plaintiff and putative Class members relied on Defendant’s omission in that they
14 were unaware that they could disaffirm their contract with Defendant and receive a refund and that
15 they had a very low likelihood of actually obtaining any valuable card from a card Pack purchase.
16 67. Defendant knew or should have known that its representations regarding the in-
17 game purchases were false, deceptive, and misleading.
18 68. Defendant’s conduct described herein constitutes an unfair business practice
19 because it violates public policy and is immoral, unethical, oppressive, unscrupulous, and/or
20 substantially injurious to consumers.
21 69. As a direct and proximate cause of Defendant’s deceptive and unfair trade
22 practices, Plaintiff and the other members of the Class, suffered actual damages, including
23 monetary losses.
24 70. Pursuant to Bus. & Prof. Code § 17203, Plaintiff seeks an injunction enjoining
25 Defendant from continuing to engage in the conduct described above as Defendant’s wrongful
26 conduct is ongoing.
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998 Document 1-1 Filed 05/17/22 Page 17 of 20 Page ID #:25
1 71. Plaintiff also seeks rescission and an order requiring Defendant to make full
2 restitution and to disgorge its ill-gotten gains wrongfully obtained from members of the Class as
3 permitted by Bus. & Prof. Code § 17203.
4 72. Additionally, Plaintiff and the Class members seek an order requiring Defendant to
5 pay attorneys’ fees pursuant to Cal. Civ. Code § 1021.5.
6 THIRD CAUSE OF ACTION
Restitution or Unjust Enrichment
7 In the Alternative
8 (On behalf of Plaintiff and the Class)
73. Plaintiff hereby incorporates the above allegations by reference as though fully set
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forth herein.
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74. Plaintiff and the other Class members conferred an economic benefit on Defendant
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through their in-game purchases.
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75. It is inequitable and unjust for Defendant to retain the revenues obtained from in-
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game purchases made by Plaintiff and the other Class members that are refundable or voidable by
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law, when Defendant does not permit refunds of purchases of its in-game virtual currency and in-
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game items.
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76. It is also inequitable and unjust for Defendant to retain the revenue obtained from
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in-game purchases made by Plaintiffs and the other Class members due to the deceptive nature of
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Defendant’s sales of in-game card Packs that did not allow Plaintiff and the other Class members
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to see the value of the cards that they were purchasing, nor obtain a refund for their purchases.
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77. Accordingly, because Defendant will be unjustly enriched if it is allowed to retain
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such funds, Defendant must pay restitution to Plaintiff and the other Class members in the amount
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which Defendant was unjustly enriched by each of their in-game purchases
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PRAYER FOR RELIEF
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WHEREFORE, Plaintiff respectfully requests, on her own behalf and on behalf of all others
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similarly situated, the following relief:
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998 Document 1-1 Filed 05/17/22 Page 18 of 20 Page ID #:26
1 1. For an order certifying this action as a class action, defining the Class and Subclass
as requested herein, appointing Plaintiff as class representative and her counsel as
2 class counsel;
3 2. Declaring that the sales contracts between Defendant and Plaintiff and the Class
members are voidable;
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5 3. Awarding Plaintiff all economic, monetary, actual, consequential, compensatory,
and punitive damages available at law;
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7 4. Awarding Plaintiff’s reasonable attorneys' fees, costs, and other litigation expenses;
15 Respectfully submitted,
16 Y.H., by and through her Guardian NATHAN
17 HARRIS, individually and on behalf of
similarly situated individuals
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By: /s/ Eugene Y. Turin
19
20 Eugene Y. Turin (SB # 324413)
21 MCGUIRE LAW, P.C.
55 W. Wacker Dr., 9th Fl.
22 Chicago, IL 60601
Tel: (312) 893-7002 Ex. 3
23 Fax: 312-275-7895
[email protected]
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25 Counsel for Plaintiff and the
Putative Class Members
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CLASS ACTION COMPLAINT
Case 8:22-cv-00998
Electronically Received by Document 1-1of California,
Superior Court Filed 05/17/22
County ofPage 19 05/05/2022
Orange, of 20 Page ID #:27PM.
01:55:44
30-2022-01257732-CU-BT-CXC - ROA # 6 - DAVID H. YAMASAKI, Clerk of the Court By ocuser ocuser, Deputy Clerk.
CIV-010
21155800
ATTORNEY (Name, State Bar number, and address):
FOR COURT USE ONLY
Eugene Y. Turin (SBN 342413)
McGuire Law, P.C.,
55 W. Wacker Dr., Chicago, IL 60601
Tel:
3. The guardian ad litem is to represent the interests of the following person (state name, address, and telephone number):
Tel:
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