Juno 2012 Annual Report Download - page 45

Table of Contents
obligations under leases, see Note 14—"Commitments and Contingencies" of the Notes to our Consolidated Financial Statements, which appears in
Part II, Item 8 of this Annual Report on Form 10-K.
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In October 2008, Anthony Michaels filed a purported class action complaint against Classmates Online, Inc., now known as Memory Lane, Inc.,
Classmates Media Corporation and United Online, Inc. in Superior Court of the State of California, County of Los Angeles, alleging causes of action
for intentional misrepresentation, negligent misrepresentation, negligence, fraudulent concealment, and for violations of California Business and
Professions Code sections 17200 and 17500 et seq. In December 2008, Xavier Vasquez filed a purported class action complaint against Classmates
Online, Inc., Classmates Media Corporation and United Online, Inc. in Superior Court of Washington, Kings County, alleging causes of action for
violation of the Washington Consumer Protection Act, violation of California's Unfair Competition Law, violation of California's Consumer Legal
Remedies Act, unjust enrichment and violation of California Civil Code section 1694, dealing with dating services contracts. In both actions, the
plaintiffs sought injunctive relief and damages. In April 2009, the United States District Court of the Western District of Washington consolidated the
Michaels and the Vasquez actions and designated the Michaels action as the lead case. In March 2010, the parties entered into a comprehensive class
action settlement agreement. In February 2011, the court denied final approval of such settlement agreement. In March 2011, the parties entered into a
revised settlement agreement and, in July 2011, the court issued an order granting preliminary approval of the revised settlement agreement. The parties
subsequently modified the settlement agreement in August 2011. In June 2012, the District Court issued an order granting final approval of the
settlement and certifying the class. In July 2012, four separate notices of appeal of the District Court order were filed with the United States Court of
Appeals for the Ninth Circuit. Such appeals have since been resolved and the order granting final approval of the settlement and certifying the class is
final. The settlement administrator is in the process of paying the claimants. The distribution to all claimants is expected to be completed in late March
2013.
In June 2011, Memory Lane, Inc., a California corporation, filed a complaint in United States District Court, Central District of California, against
Classmates International, Inc., Classmates Online, Inc. and our Memory Lane, Inc. subsidiary ("Memory Lane"), alleging false designation of origin
under the Lanham Act, 15 U.S.C. section 1125, and state and common law unfair competition. The complaint includes requests for an award of
damages and for preliminary and permanent injunctive relief. Notwithstanding the request for preliminary injunctive relief, no motion for such relief has
been filed. Memory Lane responded to the complaint in September 2011. In October 2011, the plaintiff amended its complaint to, among other things,
dismiss Classmates International, Inc. and add United Online, Inc. as a defendant. The discovery cut-off date was in October 2012. A trial date of
June 18, 2013 has been set.
In March 2012, Hope Kelm, Barbara Timmcke, Regina Warfel, Brett Reilly, Juan M. Restrepo, and Jennie H. Pham filed a purported class action
complaint (the "Kelm Class Action") in United States District Court, District of Connecticut, against the following defendants: (i) Chase Bank USA,
N.A., Bank of America, N.A., Capital One Financial Corporation, Citigroup, Inc., and Citibank, N.A. (collectively, the "Credit Card Company
Defendants"); (ii) 1-800-Flowers.com, Inc., United Online, Inc., Memory Lane, Inc., Classmates International, Inc., FTD Group, Inc., Days Inns
Worldwide, Inc., Wyndham Worldwide Corporation, PeopleFindersPro, Inc., Beckett Media LLC, Buy.com, Inc., Rakuten USA, Inc.,
IAC/InterActiveCorp, and Shoebuy.com, Inc. (collectively, the "E-Merchant Defendants"); and (iii) Trilegiant Corporation, Inc. ("Trilegiant"), Affinion
Group, LLC ("Affinion") and Apollo Global Management, LLC ("Apollo"). The complaint alleges (1) violations of the Racketeer Influenced Corrupt
Organizations Act by all defendants, and aiding and abetting
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