DMAEconomics
Rigorous Analysis, Clearly Communicated®

First-ever Class Certification for All-natural Mislabeling Case Obtained by DMA Economics

Contents

From Judge James V. Salna’s decision in the UNITED STATES DISTRICT COURT CENTRAL DISTRICT OF CALIFORNIA


“Dr. May likewise sets forth the type of data he would use for the hedonic regression, including the IRI data on comparable products and the prices and attributes of other similar Younique products, including the Moodstruck 3D Fiber Lashes +. (Id. 12-14.)

While mascaras may not be an exact match given the two-step process for application of the Lash Enhancer, an examination of the “natural” representations on such products can provide data for a reasonable price premium model.(Obj., Docket No. 124-1 at 4-5.)

And while Younique fears that an examination of products labeled “natural” would necessarily confuse the Lash Enhancer with an “all-natural” product when it was clear that the transplanting gel was not all-natural, Dr.May’s supplemental report does not indicate that he would only be examining “all-natural” products, but rather products with “natural” on the label. (May Suppl. Report, Docket No. 130-1 18.)

Finally, while the new Moodstruck 3d Fiber Lashes + may not be an exact match for the Lash Enhancer with ingredients, Dr. May explains that its data can still be useful for isolating the price premium associated with the “natural“ representation on the Lash Enhancer, especially since it involves the same brand. (Id. 36-38.)

In short, disputed damage methodologies will not preclude certification when there is a methodologically plausible theory of classwide recovery.” ( emphasis added)

Donald May Economic Damages Expert Witness

About the Author

Dr. Donald M. May PhD CPA

As a former MIT finance professor with extensive testifying experience, Dr. May is a world-class expert in the valuation of damages. With his invaluable experience in testifying in arbitration as well as state and federal court, Dr. May represents what sets us apart from others—our solid knowledge base and experience.