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Samsung Hit With Class Action Lawsuit Over Exploding Galaxy Note 7 (vice.com)

An anonymous reader quotes a report from Motherboard: Samsung's Galaxy Note 7 troubles are continuing -- the company was just hit with a class action lawsuit in New Jersey focused on recovering cell phone contract fees for customers who were left with an unusable phone for several weeks. The suit has three initial plaintiffs, who say that they were left without a phone for the several weeks between when Samsung and the U.S. Consumer Product Safety Commission originally issued a recall and told consumers to "power down" their devices (September 9), and when the company began offering replacement devices (September 21). It also notes that Samsung didn't make enough replacement devices immediately available -- which is probably a good thing considering that the company ultimately had to recall those as well. "Samsung informed consumers they would have to wait several days, and even weeks in many cases, before receiving a replacement smartphone," the suit alleges. "During this time, and as a result of Defendant failing to provide consumers with an adequate replacement, consumers continued to incur monthly device and plan charges from their cellular carriers for phones they could not safely use." The total recall and destruction of Galaxy Note 7 phones is unprecedented for a modern smartphone, so there isn't much to look at in order to project whether the case will succeed. "Samsung has agreed to recall and reimburse the cost of the device, but their customers have had to continue to pay on their data and voice plans during the time they had to make their device inoperative until they received their replacement device," Richard McCune, one of the lawyers representing the class, told me. "That is the loss that the case is focused on."

42 comments

  1. Lawyers by Anonymous Coward · · Score: 0

    Samsung are already taking a massive financial hit over the failure of the Note 7, so there's no punitive sense in bringing this suit. The plaintiffs won't receive much compensation, maybe a $20 credit for their next phone bill. Only the lawyers will get anything out of this.

    1. Re:Lawyers by Anonymous Coward · · Score: 0

      How right you are. In court, ONLY the lawyers win. Which is why we have this case. A group of lawyers are looking for a quick payoff...

    2. Re:Lawyers by Trax3001BBS · · Score: 2

      Samsung are already taking a massive financial hit over the failure of the Note 7, so there's no punitive sense in bringing this suit.

      Reading the summery this lawsuit it's far from frivolous, it has real merit.

      There are many different payment plans, some rather spendy -while many of them involved paying off the S7 included in the monthly charges.

      Unlike the PS3 rebate, it's very easy for these people to prove they did indeed own a S7 and length of time they suffered.

    3. Re:Lawyers by Anonymous Coward · · Score: 0, Informative

      No this is the kind of case that they use as an example of why class action laws suit are bad.
      Alot of people that suffered a small loss.
      The lawyers will get fees of millions while the owners will get dollars or coupons.
      May will ignore the forms. they need to mail back.
      The Lawyers will still collect in full even if the 3 are the only ones to collect.

    4. Re:Lawyers by Anonymous Coward · · Score: 0

      That is still fine.

      The main purpose of these class action suits isn't really to make the defendants whole again, but to penalize the company/persons responsible.

      If you want to be made whole, exclude yourself from the class suit and pursue legal action of your own, otherwise do nothing and get a reduced settlement.

    5. Re:Lawyers by mark-t · · Score: 1

      Unlike the PS3 rebate, it's very easy for these people to prove they did indeed own a S7 and length of time they suffered.

      I would refute the notion that it is difficult to prove that one purchased a PS3 at the requisite time to qualify for their rebate. While I didn't ever buy a PS3, I do still have purchase receipts from some products that date that far back, and if I were to have bought a PS3 during that time period, I'd definitely be able to still prove it today To keep the receipts from fading, I keep all of my receipts for purchases of any appliance or electronic device in a zip-lock bag that I keep stored in the freezer, which seems to do the trick quite nicely. I discard old receipts for devices only after I have replaced an older device with a newer one.

      Maybe I might be a tad OCD, but it's not a particularly hard thing to do. It's saved us money more than a few times in the past, so it's worth the trouble IMO.

      Now I probably would have used the other OS feature of the device to install Linux on it because I'm kind of a geek that way. Every PC I've ever owned since 1994 has had Linux installed on it, I installed OpenWRT on my router the day I bought it, and even installed another OS on my ti calculator.

      When it comes to proving I would have wanted to use the Other OS feature on the PS/3 as well, however, I'm not entirely sure how I could have really done that. I somehow don't think they'd take my mere word for it, but I can't begin to imagine how I would have proved it.

    6. Re:Lawyers by Anonymous Coward · · Score: 0

      The real merit is slightly under 2 weeks worth of a mobile contract payment (as specified in the summary), rounded up to a month to be generous. That's small claims court material, or just accept the hit as the time spent in court to recover the losses isn't worth the effort.

    7. Re:Lawyers by chmod+a+x+mojo · · Score: 2

      No it does not. Samsung is already giving them the full purchase price of the phone + $100** back. It's highly doubtful, even with the stupidly expensive plans at most places here in the U.S., that they paid more than $100 in thirteen days FOR THE ONE PHONE.

      There are many different payment plans, some rather spendy -while many of them involved paying off the S7 included in the monthly charges.

      Even if paid monthly the full cost of the phone gets reimbursed by Samsung ( and the credit they get as well ) and there are no more phone payments due. This includes the partial month that was used since they are not prorating the partial month or ANY time used.

      This is just several jackasses being ambulance chasers like people always say lawyers are.

      ** granted it is only $100 if you buy another Samsung phone. Otherwise it was something like $25, which should still cover the time the phone wasn't being used because they were good kids and listened to the recall notice.

      --
      To err is human; effective mayhem requires the root password!
    8. Re:Lawyers by Anonymous Coward · · Score: 0

      The main purpose of these class action suits isn't really to make the defendants whole again, but to penalize the company/persons responsible.

      It was already said previously that the Note 7 failure is already costing Samsung billions of dollars. There's already a significant incentive for them to not do this again.

    9. Re: Lawyers by BigSlowTarget · · Score: 1

      They paying me back for the external battery and case I bought too? The contract extension that Sprint forced on people swapping phones?

    10. Re: Lawyers by sonamchauhan · · Score: 1

      At the very least it should make Samsung pony up the 75$ differential between the customer replacing his Note 7 handset with another of his own choosing.

      On another note, I'd purchase Note 7s without the battery... with an external power source theyd make a great VR HEADSET

    11. Re: Lawyers by chmod+a+x+mojo · · Score: 1

      If I read the refund page from Samsung correctly a few days ago yes, they ARE actually paying for accessories bought as well. I don't know if it is through the carrier only or not, but something was said about refunding accessories that are built specifically for the note 7.

      IF you really had a note 7 I would recommend looking into what you are entitled to in the refund instead of whining on /.

      --
      To err is human; effective mayhem requires the root password!
    12. Re:Lawyers by OneHundredAndTen · · Score: 1

      Samsung are already taking a massive financial hit over the failure of the Note 7, so there's no punitive sense in bringing this suit.

      But there is. Samsung has been an obnoxious company for years, with their planned obsolescence and general disregard for its customers. They are getting a much deserved comeuppance.

    13. Re: Lawyers by JaiWing · · Score: 1

      note: not a note 7 owner...
      are they paying for damages caused by the phone's extremely hot, toxic smoke emitting, fire? possibly to a car? backpack? leg? laptop next to, under the phone? couch?

    14. Re:Lawyers by unixisc · · Score: 2

      Samsung are already taking a massive financial hit over the failure of the Note 7, so there's no punitive sense in bringing this suit. The plaintiffs won't receive much compensation, maybe a $20 credit for their next phone bill. Only the lawyers will get anything out of this.

      Quite right. In fact, Samsung has been an ideal corporate citizen here - they were the ones to first draw attention to this problem, then do the recall-exchange and finally the ultimate recall

      The only lawsuits that would be justified would be the ones where people were actually injured - like the phone overheating in their pants or so on. Otherwise, Samsung had already first offered a replacement, and when the replacements were no better, then a complete recall. People also had the option of exchanging w/ any other Samsung phone, if they were buying it carrier-less, or any other phone, if from their carriers. So people really have no basis to claim any indemnity.

      Just yet another ambulance chasing scheme from your friendly neighborhood attorneys

    15. Re: Lawyers by Anonymous Coward · · Score: 0

      While the device is obviously highly dangerous it's likely there's only a few dozen people who have had their phone explode thus far. It wouldn't be wise to try to issue them all the same compensation since every situation is slightly different there.

    16. Re:Lawyers by Anonymous Coward · · Score: 0

      Unlike the PS3 rebate, it's very easy for these people to prove they did indeed own a S7 and length of time they suffered.

      I would refute the notion that it is difficult to prove that one purchased a PS3 at the requisite time to qualify for their rebate. While I didn't ever buy a PS3, I do still have purchase receipts from some products that date that far back, and if I were to have bought a PS3 during that time period, I'd definitely be able to still prove it today To keep the receipts from fading, I keep all of my receipts for purchases of any appliance or electronic device in a zip-lock bag that I keep stored in the freezer, which seems to do the trick quite nicely. I discard old receipts for devices only after I have replaced an older device with a newer one.

      "A gamer can get the $55, but they "must attest under oath to their purchase of the product and installation of Linux, provide proof of their purchase or serial number and PlayStation Network Sign-in ID, and submit some proof of their use of the Other OS functionality." To get the $9, PS3 owners must submit a claim, at the time they bought their console, they "knew about the Other OS, relied upon the Other OS functionality, and intended to use the Other OS functionality." Alternatively, a gamer "must attest that he or she lost value and/or desired functionality or was otherwise injured as a consequence of Firmware Update 3.21 issued on April 1, 2010," to get $9." https://news.slashdot.org/story/16/06/22/2247224/sony-agrees-to-pay-millions-to-gamers-to-settle-ps3-linux-debacle

      As you claim below it's not that easy to prove you used or planed on using the other OS option. I have receipts for the PS1, PS2, and 2 PS3 (both backwards compatible) with the instruction manuals and the date of purchase written on each (a habit). But for $9 I'm not going to waste my time, it's like waiting for a rebate that never shows up.

      trax3001bbs

      Maybe I might be a tad OCD, but it's not a particularly hard thing to do. It's saved us money more than a few times in the past, so it's worth the trouble IMO.

      Now I probably would have used the other OS feature of the device to install Linux on it because I'm kind of a geek that way. Every PC I've ever owned since 1994 has had Linux installed on it, I installed OpenWRT on my router the day I bought it, and even installed another OS on my ti calculator.

      When it comes to proving I would have wanted to use the Other OS feature on the PS/3 as well, however, I'm not entirely sure how I could have really done that. I somehow don't think they'd take my mere word for it, but I can't begin to imagine how I would have proved it.

  2. Still a necessary activity. by mmell · · Score: 2
    I'm quite certain there are multiple engineers within Samsung's organization who must have an understanding of Lithium battery technology. They must have been aware of just how hard they were "pushing the envelope" for a consumer-grade device.

    I'll wager there were emails requesting that customers at least be exhorted to "use only Samsung manufactured and approved chargers" - and since we've all known certain Android apps to eat battery like candy, I'll wager there were more than a few internal emails warning that certain apps could be dangerous as well.

    The Bene Gesserit understand the correct response. The courts need to tell Samsung: "You will pay."

    1. Re:Still a necessary activity. by Anonymous Coward · · Score: 0

      It's not still necessary. I doubt we'd see such emails, as if they exist, Samsung will just settle before it goes to trial, and the lawyers will make a bunch of cash, with peanuts for the plaintiffs. The Samsung staff responsible for this problem will already be under fire for the billions of dollars they've lost over this phone. A multi million dollar settlement would barely register on the books by comparison.

    2. Re:Still a necessary activity. by tlhIngan · · Score: 2

      I'm quite certain there are multiple engineers within Samsung's organization who must have an understanding of Lithium battery technology. They must have been aware of just how hard they were "pushing the envelope" for a consumer-grade device.

      I'll wager there were emails requesting that customers at least be exhorted to "use only Samsung manufactured and approved chargers" - and since we've all known certain Android apps to eat battery like candy, I'll wager there were more than a few internal emails warning that certain apps could be dangerous as well.

      The Bene Gesserit understand the correct response. The courts need to tell Samsung: "You will pay."

      Or, perhaps there are dozens of TIRED and EXHAUSTED engineers at Samsung who were ordered to release the Note 7 months ahead of schedule in order to meet a completely arbitrary deadline for business reasons. As in, a little something called the iPhone forcing a Note 7 release in August.

      So they worked hard and worked with what they had to get you the 15 minute quick charge, except instead of being able to test it, they were forced to cut that short, and they probably even wanted to disable it but management said it had to be in.

      And the Note 7s that caught fire were using official Samsung chargers, too. Between additional testing, rused development and overextended engineers, well, it's a perfect storm for something like that.

    3. Re: Still a necessary activity. by MachineShedFred · · Score: 1

      And hopefully the lesson that is learned is that you should never cut short QA time just to try to take the jam out of a competitor's donut.

      This fiasco is going to hang around their neck like "you are holding it wrong" continues to haunt Apple. Except that was bad reception, not physical danger, and airport gate announcements about your phone (girlfriend heard one of these on Monday while flying to Chicago - American Airlines was specifically talking about the Galaxy Note 7)

      --
      Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
    4. Re:Still a necessary activity. by thegarbz · · Score: 1

      The courts need to tell Samsung: "You will pay."

      For a contract dispute between two third parties?
      For a device that they have not only wholly refunded but provided discounts for future products for?

      Or are you just in the typical knee-jerk mode of every company that ever has a problem with a product ever needs to instantly be put completely out of business?

  3. Not the cause by Anonymous Coward · · Score: 0

    It was clearly the battery, not the charger board or anything else. The photos all show it was the battery that burned, not the charging circuit. There's nothing in the case to puncture the battery, so flex and knocks are unlikely to be the cause. It was not the processor getting hot and lighting the battery, they are in different places and the fire was nowhere near.

    Last I heard there were two possibles and an explanation for why the replacements sometimes went up in flames too:

    Impurities in the battery, these act like discharge focal points and generate heat. Known problem due to poor manufacturing quality. The initial failure was focused on one supplier of batteries so this still seems most likely.
    Unwanted induction from the wireless charger generating heat in the wrong place. Unlikely, fire was not correlated to use of the induction charging.

    The swapped batteries are more likely to be imperfect (e.g. a little bit of glue left from the old battery and you have a pressure point on the new battery, do that 2 million times and you've got the same problem you had in the first place, a lot of imperfect phones).

    The charger is unlikely to be an issue, since the charging circuit cleans it up and it was unfried. Third party Chinese chargers are very electrically noisy and you shouldn't use them regardless. They skimp on capacitors.

    1. Re: Not the cause by Anonymous Coward · · Score: 0

      You know that charging a lithium-based battery causes it to heat up, right? And the faster you charge it, the more it heats up?

      Do you think it's possible that it didn't heat uniformally, and that any sensors they might have had to detect heating and throttle the charge were inadequate? Thus, uncontrolled conflagration without a possibility of fixing the design without scrapping it entirely?

    2. Re:Not the cause by Anonymous Coward · · Score: 0

      I know that charging is what everyone wants to point a finger at, and may be responsible for a weakened/degraded battery condition, along with a slim form factor that "traps heat", but the real answer may be a bit more complex.

      Take an old phone, like a galaxy 5 with a "normal" thick battery, and go into a location where there is no cell service (basement). Stay there for an hour. I found mine heating up on more than one occasion to the point where I was worried about it and rebooted, or switched to ultra power save. It could be a result of background apps looking for home while the radio is desperately trying to reconnect, and that in turn could cause a loop where the CPU is pegged for a long duration.

      I don't think you've seen the end of this one.

  4. Only dummies sign up for class action suits by Anonymous Coward · · Score: 0

    So after five years that settlement will net you a $20 check or coupon good for $20 off your next Samsung phone.

    1. Re:Only dummies sign up for class action suits by omnichad · · Score: 2

      And unless you're going to take the time and resources to file your own suit, you might as well take the money - there's a chance of it being >$0 reward for only a few minutes' work. It's already being taken from the company no matter how many claimants file.

  5. Another bullsh*t lawsuit by Anonymous Coward · · Score: 0

    I have lived through this, it is not anything to sue over. I traded in my Note 3 for a 'bad' Note 7, had it for about 2 weeks until the first recall. I took it back and immediately got a replacement/stand in S7 Edge (which I really didn't like). The 'safe' Note 7's came out and I went back to the store and got the S7 replaced for the 'Safe' Note 7. AT NO TIME did not have phone service, just lost my lunch hour to sit through the replacement process. I still have my 'safe' Note 7 and am holding on to it until the LG LV20 comes out in about a week or so. Sorry Samsung, I am giving up on you, just not going to get another temp. replacement phone. I slow charge the Note 7 overnight and keep it in a double layer of pyrex dishes.

    Leave it to a few asshats from Jersey to sue.

  6. Already covered themselves by Anonymous Coward · · Score: 0

    Samsung gave every a $25 bill credit already that covers a month device payment so a suit is unneeded.

  7. How much is standard for butthurt? by Overzeetop · · Score: 1, Interesting

    'Cause there's a lot of butthurt going around on the Note 7 forums. Jesus - it's a phone. A nice one, but still just a phone. I get it if you were one of those weird edge cases where you got stuck in Bora Bora after the recall but before you had to fly home. Or you traded your Note 4 for $200 to get it and now you can't get your original phone back. That sucks - no doubt. Or you tried to save $100 by buying one off of Craigslist and now it's hard to return. I'm going to call that a "learning experience," but I digress...

    I had two of them, they were great. I was sad to hear of the full recall because there's nothing out there like it in functionality. But, in the end, I'm basically in the same position I would have been if the Note 7 had never come along. If I'd wanted a replacement I could have, like 90% of the people out there, called up my rep and had them ship me a different phone, and send my N7 back in. In fact, after the second one, I did. And it will take an entire month for them to credit me for the phones I sent in. But in the end I pretty much used a Note 7 for free, and got a $25 "we're sorry" credit and a $225 "please choose one of our other phones" discount ($75 from Samsung, $150 from the seller). If you can't tell, I'm finding it hard to see the value in such a suit, and I kind of hope the judge tells them to go pound sand because the lawyers are the only ones who are going to make any money in the deal.

    --
    Is it just my observation, or are there way too many stupid people in the world?
  8. Explode? by markdavis · · Score: 1

    >"Samsung Hit With Class Action Lawsuit Over Exploding Galaxy Note 7 "

    Except none of them "exploded." Burned, perhaps... but that doesn't sound sensationalistic enough.

    1. Re:Explode? by LordHighExecutioner · · Score: 1

      If Samsung devices actually exploded, they would have no class action at all, due to the extermination of the customers base. A missed opportunity...

  9. re class action by Anonymous Coward · · Score: 0

    I hate lawyers. When they get through, we will pay $1500 for a cellphone.

  10. Yes it could be the charger board (or firmware). by SuperKendall · · Score: 2

    The charger board itself doesn't have had to catch fire to be the source of the problem, it could simply be the thing that ended up overloading the battery such that a short while later the battery runaway heating cycle became noticeable in the form of flame...

    I'm pretty sure the fires all had something to do with either the charging or power management firmware, after all batteries from two different manufactures had the same issue... plainly the issue is not the battery itself.

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
  11. I call bull. by Anonymous Coward · · Score: 0

    I have a note 7. Getting my pixel xl today. I went through the first exchange as well, i pre ordered back on aug 3rd. Yes its been a pain in the ass but samsung and verizon made it as painless as possible. I received a 25$ credit sep 21st for the first exchangex and i got one for preordering the pixel as my 2nd exchange. Not omly that, most carriers are refunding/crediting any payments on the phones made sonfar as well, including taxes. How much more can they do? My accessories (gear vr amd wireless charger) were refunded without a problem. I was refunded 100% for the phome and accessories and got 50$ ontop for my trouble. Considering the massive scale of the problem and the "evil giants" involved, it was handled pretty well.

  12. Wrong defendant? by sabbede · · Score: 1

    Shouldn't they be suing the carriers who continued to charge customers even when they knew the phones they sold their customers couldn't be used? Let the carriers sue Samsung if they can/want.

    1. Re:Wrong defendant? by thegarbz · · Score: 1

      This right here. Contract law is typically based upon specific performance. If I had a problem with my Samsung phone from AT&T I would imagine given my contract with AT&T it would be wholly AT&T responsible for the fact that the device they provided me under that contract failed to work.

      And I did just that with an ISP. I had no internet access for a week because my ISP provided modem was down and it took a week to replace. I called my ISP and had the full week's costs credited to my account.

  13. Load of bullshit by Anonymous Coward · · Score: 0

    their phones broke, they were offered a full compensation, and should take it. It's more than what f.ex. Apple would do.

  14. Re:Yes it could be the charger board (or firmware) by avandesande · · Score: 1

    Perhaps a hotspot where the cpu is located.

    --
    love is just extroverted narcissism
  15. Profit Margin by theinfamousgeek · · Score: 1

    Due to all these issues Samsung has been having with devices, I see Apple banking huge on Samsung's misfortune which is a bit saddening for Android users.

  16. Hello from Donetsk by Anonymous Coward · · Score: 0

    We love these devices!