California Court Lets Privacy Claims Proceed Against Inspire Brands Over Cookies
Court partly denies Inspire Brands' bid to dismiss privacy claims over website cookie tracking.
Why it matters: The ruling emphasizes that companies can be held liable for installing tracking cookies despite consumer opt-outs, complicating privacy compliance efforts amid evolving laws.
- On June 9, 2026, a Northern District of California judge denied in part Inspire Brands' motion to dismiss a class action over website tracking.
- The lawsuit targets Inspire Brands and subsidiaries like Arby's, Dunkin', Sonic, and Jimmy John's for installing cookies despite opt-outs.
- Claims of fraud, unjust enrichment, and invasion of privacy were allowed to proceed; some claims were dismissed as time-barred.
- Similar rulings occurred earlier in 2026 against companies like Skullcandy and Politico for continued website tracking despite user opt-outs.
On June 9, 2026, Magistrate Judge Alex G. Tse of the U.S. District Court for the Northern District of California partially denied Inspire Brands Inc.'s motion to dismiss a class action lawsuit. The suit alleges that Inspire Brands and its subsidiaries—including Arby's, Dunkin' Brands, Sonic Industries, and Jimmy John's—installed tracking cookies and other tools on consumers' devices after they had explicitly opted out.
The court ruled that plaintiffs had standing and had adequately pleaded claims of fraud, unjust enrichment, and common-law invasion of privacy against all defendants. However, some claims were dismissed as time-barred, reflecting procedural limits on older allegations.
This decision aligns with recent California federal court trends enforcing consumer privacy rights under statutes such as the California Invasion of Privacy Act (CIPA). For example, on March 12, 2026, a Southern District of California court denied Skullcandy Inc.'s motion to dismiss a similar class action alleging illegal website tracking, and on February 6, 2026, the Northern District partially denied Politico LLC's dismissal bid in a parallel cookie tracking case (court order).
These rulings highlight ongoing judicial scrutiny of companies’ tracking practices, especially when users have opted out, raising the stakes for corporations managing privacy compliance and consumer data protection amid evolving laws and regulations.
By the numbers:
- June 9, 2026 — Partial denial of Inspire Brands' motion to dismiss
- March 12, 2026 — Denial of Skullcandy's motion to dismiss
- February 6, 2026 — Partial denial of Politico's motion to dismiss