In multiple class actions against a large financial institution, the plaintiffs alleged that the defendant failed to disclose adequate information regarding the fees it charged on certain types of transactions.
In multiple class actions against a large financial institution, the plaintiffs alleged that the defendant failed to disclose adequate information regarding the fees it charged on certain types of transactions. The defendant retained Cornerstone Research and a marketing professor to analyze whether common issues predominated.
Cornerstone Research reviewed customer agreements, public information about the fees at issue, and the type of information class members relied upon in making their purchase decisions. This analysis showed that there was pervasive disclosure of the fees in customer agreements and in the press and that an individualized inquiry would be necessary to determine which, if any, members of the proposed class did not sufficiently understand the fees. The analysis also showed that many proposed class members did not consider the fees in making their purchase decisions and that these individuals would not have changed their purchase behavior absent the challenged conduct.
