Olshan Secures Affirmance of Consumer Class-Action Dismissal in New Jersey’s Appellate Division

On May 31, 2022, New Jersey’s Appellate Division affirmed the dismissal of a consumer class-action lawsuit filed against Olshan’s client, a marketer of a male hair-regrowth product. The class action was filed by professional plaintiff Harold Hoffman under New Jersey’s Consumer Fraud Act, one of the most pro-consumer statutes in the nation. Under Olshan’s representation, the case was initially dismissed on a summary judgment motion without any discovery haven been conducted. Hoffman then appealed, continuing to claim that the product was falsely advertised, but Olshan argued successfully on both the trial-court and appellate levels that Hoffman’s failure to use the supplement before filing suit meant that he had not suffered any compensable loss. The three-judge appellate panel agreed, ruling that the ascertainable loss requirement of the Consumer Fraud Act had not been satisfied. It was the second appellate win in one week for Scott Shaffer, who also prevailed in New York’s First Appellate Department.  Read the New Jersey decision here.