Salazar v. NBA
Citation118 F.4th 533
Date Filed2024-10-15
Docket23-1147
Cited26 times
StatusPublished
Full Opinion (html_with_citations)
23-1147
Salazar v. NBA
In the
United States Court of Appeals
For the Second Circuit
August Term, 2023
(Argued: April 2, 2024 Decided: October 15, 2024)
Docket No. 23-1147
MICHAEL SALAZAR, INDIVIDUALLY AND ON BEHALF OF ALL OTHERS SIMILARLY
SITUATED,
Plaintiff-Appellant,
âv.â
NATIONAL BASKETBALL ASSOCIATION,
Defendant-Appellee.
Before: RAGGI, LEE, and ROBINSON, Circuit Judges.
Plaintiff-Appellant Michael Salazar appeals from an August 8, 2023
judgment of the United States District Court for the Southern District of
New York (Rochon, J.) dismissing his putative class action complaint against
Defendant-Appellee the National Basketball Association (NBA) for alleged
violations of the Video Privacy Protection Act (VPPA), 18 U.S.C. § 2710. The
VPPA makes it unlawful for a âvideo tape service providerâ to âknowingly
disclose[], to any person, personally identifiable information concerning any
consumer of such provider.â 18 U.S.C. § 2710(b)(1). The statute defines âconsumerâ to mean âany renter, purchaser, or subscriber of goods or services from a video tape service provider.âId.
§ 2710(a)(1). It does not
define the terms âgoods or servicesâ and âsubscriber.â
Salazar alleges that (1) he signed up for the NBAâs free online
newsletter, meaning he exchanged information including his email address
in return for periodic emails from the NBA; (2) he visited the NBAâs website,
NBA.com, where he watched videos; and (3) the NBA violated the VPPA by
knowingly disclosing, without Salazarâs permission, certain information
about Salazar and the videos he watched.
We must answer two questions on appeal. First, has Salazar pled that
he suffered a sufficiently âconcreteâ injury to confer Article III standing
under TransUnion LLC v. Ramirez, 594 U.S. 413 (2021)? Second, did the
district court err in holding that Salazar is not a âsubscriber of goods or
servicesâ based on its reasoning that the online newsletter is not an
audiovisual âgood or service,â and that signing up for the newsletter did not
make Salazar a VPPA âsubscriberâ?
We answer both questions in the affirmative. Salazarâs alleged
injuries are sufficiently concrete to confer Article III standing. And the
district court erred by holding that Salazar is not a âsubscriber of goods or
servicesâ from the NBA. Accordingly, we VACATE the district courtâs
judgment and REMAND for further proceedings.
JOSHUA I. HAMMACK (Michael L. Murphy, on the
brief), Bailey & Glasser, LLP, Washington, D.C., for
Plaintiff-Appellant.
MATTHEW X. ETCHEMENDY, Vinson & Elkins LLP,
Washington, D.C. (Hilary L. Preston, Marisa
Antonelli, Vinson & Elkins LLP, New York, NY, on
the brief), for Defendant-Appellee.
Jordan L. Von Bokern, U.S. Chamber Litigation
Center, Washington, D.C.; Adam G. Unikowsky,
Jenner & Block LLP, Washington, D.C.; Allison N.
2
Douglis, Jenner & Block LLP, New York, NY, for
Amicus Curiae The Chamber of Commerce of the
United States of America, in Support of Defendant-
Appellee.
ROBINSON, Circuit Judge:
The Video Privacy Protection Act (VPPA) makes it unlawful for a âvideo
tape service providerâ to âknowingly disclose[], to any person, personally
identifiable information concerning any consumer of such provider.â 18 U.S.C.
§ 2710(b)(1). Enacted in 1988, the VPPA includes language like âvideo tape service
providerâ and âprerecorded video cassette tapesââterms that invoke a bygone
era of video technology. In this case, we must grapple with how the language of
this statute applies in todayâs increasingly online world.
Plaintiff-Appellant Michael Salazar says he signed up for an online email
newsletter offered by Defendant-Appellee the National Basketball Association
(NBA). He further alleges he visited the NBAâs website, NBA.com, where he
watched videos. After he watched those videos, his video-watching history and
âFacebook IDâ (we describe both below) were disclosed to Meta Platforms, Inc.
(Meta) without his permission. Those disclosures, Salazar contends, violated the
VPPA.
3
The central question in this appeal is whether Salazar is a âconsumerâ under
the VPPA so that the knowing disclosure by a video tape service provider of his
video viewing history violates that statute. The VPPA defines âconsumerâ to
mean âany renter, purchaser, or subscriber of goods or services from a video tape
service provider.â Id. § 2710(a)(1). But the Act doesnât define most of the words
within that definition, including âgoods or servicesâ and âsubscriber.â We must
construe both these terms for the first time in this Circuit.
Salazar contends that when he signed up for the NBAâs online newsletter
through NBA.com, he exchanged personal information in return for emailed NBA-
related updates, thereby making him a âsubscriber of goods or services,â and,
accordingly, a VPPA âconsumer.â And by offering videos on NBA.com, the NBA
became a âvideo tape service providerâ prohibited by the VPPA from disclosing
the personally identifiable information of consumers like Salazar. So, Salazar
submits, when he watched NBA.com videos, and when the NBA then disclosed
his Facebook ID and video-watching history to Meta without his consent, the NBA
violated the VPPA.
The NBA counters that Salazar is not a VPPA âconsumerâ because the
online newsletter he signed up for is not an audiovisual âgood or service,â and
signing up for the newsletter did not in any event make him a âsubscriberâ under
4
the statute. It also asserts that Salazar has not pled a sufficiently âconcreteâ injury
to confer Article III standing under the standards set forth by the Supreme Court
in TransUnion LLC v. Ramirez, 594 U.S. 413 (2021).
The United States District Court for the Southern District of New York
(Rochon, J.) dismissed Salazarâs suit in an August 8, 2023 judgment. Although it
concluded that Salazar had standing to sue, it ruled for the NBA on the merits,
holding that Salazar had not plausibly pled that he is a âconsumerâ under the
VPPA. The court held that the phrase âgoods or servicesâ within the VPPAâs
definition of âconsumerâ is limited to audiovisual âgoods or servicesââwhich the
online newsletter is notâand that signing up for an online newsletter did not
make Salazar a VPPA âsubscriber.â See generally Salazar v. National Basketball
Association, 685 F. Supp. 3d 232 (S.D.N.Y. 2023).
As a threshold matter, we hold that Salazar has pled an injury that confers
Article III standing. His core alleged harmâthat his personal information was
disclosed to a third party, without his consent, in violation of the VPPAââhas a
âclose relationshipâ to a harm traditionally recognized as providing a basis for a
lawsuit in American courtsâ: public disclosure of private facts. TransUnion, 594
U.S. at 417. Salazarâs injury therefore satisfies Article III standingâs concreteness
requirement.
5
On the merits, we hold that the district court erred in determining that
Salazar failed to plausibly plead that he is a âconsumerâ under the VPPA because
we conclude that he satisfactorily alleged he was a âsubscriber of goods or
servicesâ from the NBA. The VPPAâs text, structure, and purpose compel the
conclusion that that phrase is not limited to audiovisual âgoods or services,â and
the NBAâs online newsletter falls within the plain meaning of that phrase. And by
trading personal information like his email and IP addresses in return for receiving
the online newsletter, Salazar became a âsubscriber ofâ that newsletter.
Accordingly, we VACATE the district courtâs judgment and REMAND for further
proceedings.
6
BACKGROUND 1
I. The NBA, NBA.com, the âFacebook Pixel,â and the NBAâs Online
Newsletter
The NBA is a professional sports league headquartered in New York. It
owns the website NBA.com, on which people can watch âa broad selection of
video content.â Jt. Appâx at 10. 2 The NBA says these videos are free.
Salazar doesnât allege that he had to pay any money to watch the videos. But
he does plead that the NBA, using certain bits of code, extracts information from
NBA.com video-watchers like him.
The code most relevant to this case is a âtracking pixelââa piece of code
embedded on a website someone visits. As its name suggests, a tracking pixel
tracks users as they navigate the website, reporting back to the pixelâs owner. The
information tracked depends on the tracking pixelâs configuration.
1Unless otherwise indicated, we draw this account from the allegations in Salazarâs Class Action
Complaint. Since we are evaluating the NBAâs motion to dismiss for failure to state a claim, we
presume these allegations to be true. See Ashcroft v. Iqbal, 556 U.S. 662, 678(2009). 2 Salazar also alleges that people can watch these videos through a smartphone application (app). The district court concluded that Salazar âdoes not allege he downloaded any such application, or even specify what application he is referring to,â so âno such claim [based on use of the app] has been adequately pleaded.â Salazar v. National Basketball Association,685 F. Supp. 3d 232
, 246 n.4 (S.D.N.Y. 2023). Beyond cursorily noting that the NBA delivers video content â[t]hrough NBA.com and an app,â Salazar doesnât challenge that conclusion on appeal. Appellantâs Br. at 5. He therefore has abandoned any challenges based on the allegations concerning a smartphone application as opposed to a website. See United States v. Quiroz,22 F.3d 489, 490
(2d Cir. 1994) (âIt
is well established that an argument not raised on appeal is deemed abandoned[.]â (internal
quotation marks omitted)).
7
Here, Salazar alleges that Meta owns a tracking pixel, which we call the
âFacebook Pixel.â The NBA has installed the Facebook Pixel on NBA.com. Meta
coded that pixel to collect and send to it (1) the title of the NBA.com video a user
watched, (2) that videoâs URL, and (3) the userâs âFacebook IDâ (FID)âa number
unique to each individual Facebook account. Id. at 15. We call this disclosed
information âpersonal viewing information.â
By possessing the video title and URL of watched videos associated with a
given FID, Meta can link a given Facebook profile to those watched videos. And
with that information, Meta can send a user targeted advertisements. The NBA
receives financial renumeration from this arrangement.
The NBA also allows people to sign up for an âonline newsletter.â Id. at 12.
Here too, Salazar doesnât contend that he had to pay any money to sign up for the
newsletter. Instead, he alleges that he gave the NBA certain personal information,
and in return, the NBA sent him âemails and other communications.â Id. at 12, 19.
II. Salazarâs Allegations
Salazarâs VPPA claim rests on three primary allegations: (1) he has a
Facebook account; (2) he signed up for the NBAâs online newsletter; and (3) he
watched NBA.com videos while logged into his Facebook account.
8
First, since 2010, Salazar âhas had a Facebook account.â Id. at 10, 20. He
therefore has an FID associated with that account.
Second, starting in 2022, Salazar âsigned up for a digital subscription to
NBA.com.â Salazar, 685 F. Supp. 3d at 237; see also Jt. Appâx at 10, 19â20. In doing
so, he gave NBA.com information including his email address, IP address, âand
any cookies associated with his deviceâ in return for âemails and other
communicationsâ from the NBA. Jt. Appâx at 19.
An IP address is âthe numeric address of a computer on the Internetâ that
typically consists of âfour parts separated by dots and containing up to three digits
in each part.â IP Address, Merriam-Websterâs Unabridged Dictionary,
https://unabridged.merriam-webster.com/unabridged/ip%20address
[https://perma.cc/8DK2-U6F9] (last visited Sept. 4, 2024). Salazar alleges that his
IP address âinforms Defendant as to the city and zip code he resides in as well as
his physical location.â Jt. Appâx at 19.
A âcookieâ is âa small file or part of a file that is stored on the computer of
a World Wide Web user, that is created and subsequently read by a website server,
and that contains personal user information (such as a user identification code,
customized preferences, or a record of pages visited).â Cookie, Merriam-Websterâs
Unabridged Dictionary, https://unabridged.merriam-
9
webster.com/unabridged/cookie [https://perma.cc/GFE3-ALB9] (last visited Sept.
4, 2024).
There are presently no allegations in Salazarâs complaint that he watched or
accessed NBA.com videos through the online newsletter. He has, however,
submitted that he could amend his complaint to plausibly allege that âthe NBAâs
online newsletter gave subscribers âexclusive content or enhanced accessâ to video
content.â Appellantâs Br. at 34â35 (quoting Jt. Appâx at 210).
Third, also starting in 2022, Salazar has watched NBA.com videos through
NBA.com âwhile logged into his Facebook account.â Jt. Appâx at 10. Watching
videos while logged into his Facebook account caused his personal viewing
information to be transmitted to Meta. 3 See id. Salazar alleges that the NBA didnât
give him notice that it was disclosing his personal viewing information; nor did it
ask for his consent.
Putting the pieces together, Salazar alleges that signing up for the online
newsletter made him a âsubscriber of goods or services,â and, therefore, a
3 Salazarâs complaint specifies that when he watched NBA.com videos âwhile logged into his
Facebook account,â his personal viewing information was disclosed to Meta due to the websiteâs
use of the Facebook Pixel. Jt. Appâx at 10, 15â16. For purposes of this appeal, we need not delve
into the technical mechanics of that disclosure. It is enough to presume that what Salazar alleges
is trueâwhen he (1) was logged into his Facebook account and (2) watched a video on NBA.com,
his personal viewing information was transmitted to Meta because the NBA had installed the
Facebook Pixel on its website.
10
âconsumerâ under the VPPA. And watching videos on NBA.com caused his
âpersonally identifiable informationââhis personal viewing informationâto be
disclosed to Meta without his consent. So, Salazar says, the NBA violated the
VPPA.
III. District Court Proceedings
Salazar filed his putative class action complaint in September 2022,
purporting to represent â[a]ll persons in the United States with a digital
subscription to an online website owned and/or operated by [the NBA] that had
their Personal Viewing Information disclosed to [Meta] by [the NBA].â Id. at 20.
He raised a single cause of action: violation of the VPPA.
The NBA moved to dismiss pursuant to Federal Rules of Civil Procedure
12(b)(1) and 12(b)(6). It sought dismissal under Rule 12(b)(1) for lack of subject
matter jurisdiction because Salazar did not allege a sufficiently concrete injury to
confer Article III standing, and alternatively under Rule 12(b)(6) because Salazar
failed to state a claim upon which relief can be granted.
On the merits, the NBA primarily argued that Salazar was not a âconsumerâ
under the VPPA since he was not a ârenter, purchaser, or subscriber of goods or
services from a video tape service provider.â Id. at 49 (quoting 18 U.S.C.
§ 2710(a)(1)). It stressed that the online newsletter was not an audiovisual good or
11
service, and thus did not qualify as âgoods or servicesâ under the VPPA. And it
argued that, in any event, signing up for the newsletter did not make him a VPPA
âsubscriber.â The NBA also argued in the alternative that it did not âknowingly
discloseâ any personally identifiable information to Meta. 4
In an August 2023 opinion, the district court denied the NBAâs motion to
dismiss for lack of standing but granted its motion to dismiss for failure to state a
claim. See Salazar, 685 F. Supp. 3d at 247.
With respect to Article III standing, the court explained that Salazarâs
alleged harmâdeprivation of privacy rights based on the NBAâs non-consensual
disclosure of his personal viewing informationâwas closely related to two
4We express no view on whether the NBAâs disclosure, as alleged by Salazar, constitutes a
âknowing[]â disclosure by the NBA. 18 U.S.C. § 2710(b)(1). The NBA also argued in the alternative to the district court that Salazar had consented to disclosure of his personally identifiable information by assenting to the NBAâs privacy policy. Salazar concedes that NBA.comâs privacy policy states that it collects certain âPersonal Informationâ from site visitors. But he contends that this policy doesnât say that the NBA âwill share digital subscribersâ private and protected Personal Viewing Information with third parties, including [Meta].â Jt. Appâx at 14â15. As a result, he alleges, the NBA failed to satisfy the VPPAâs consent requirements. The NBA does not raise this argument on appeal and concedes the argument should be left for the district court to address in the first instance given that its resolution will require âdetailed examination of the NBAâs Privacy Policy and Mr. Salazarâs factual allegations showing his acceptance of that policy.â Appelleeâs Br. at 52 n.16. We agree. The NBA also argued before the district court that it should dismiss Salazarâs class allegations because the NBAâs Terms of Use provision, to which it says Salazar agreed, includes an enforceable class action waiver. The NBA concedes here that this âargument is not an alternative basis for affirming theâ courtâs dismissal âof the entire complaint,â so âit is not properly resolved on this appeal.âId.
Accordingly, this argument is not before us in this appeal.
12
traditionally recognized common-law analogs: disclosure of private facts and
intrusion upon seclusion. See id.at 239â42. Accordingly, the court held that Salazar pled a concrete Article III injury under TransUnion.Id. at 242
.
On the merits, the court concluded that Salazar failed to plead a VPPA claim
because he had not plausibly alleged that he was a VPPA âconsumer.â Id. at 246. It rejected Salazarâs argument that his signing up for the online newsletter made him a âsubscriberâ under the VPPA, reasoning that âthe VPPA only applies to consumers (including subscribers) of audio video services.âId. at 244
. The court also rejected Salazarâs argument that the newsletterâs links to videos available on NBA.com affect the calculus. It reasoned that the newsletterâs inclusion of links to content otherwise âgenerally accessible on the NBA.com websiteâ did not constitute a sufficient exchange of value to create a subscriber relationship âgiven the lack of allegations regarding exclusive content or enhanced accessâ to audiovisual services through the newsletter.Id.
at 245â46.
Because the court concluded that Salazar had not plausibly alleged that he
was a VPPA âconsumer,â it did not address the NBAâs remaining arguments. Id.
at 246. It further denied Salazarâs âblanket request for leave to amend his
Complaint âto address any issues the Court raises in its Orderââ since Salazar had
the opportunity to view the NBAâs arguments for dismissal and didnât describe
13
the substance of a proposed amendment. Id. at 246â47. The court therefore
entered judgment dismissing the case, which Salazar timely appealed.
DISCUSSION
The NBA argues that the district court erred by concluding that Salazar has
Article III standing to sue. Salazar contends that the court erred on the merits by
holding that he is not a âconsumerâ as defined in the VPPA.
We hold that Salazar sufficiently pled that he has Article III standing and
that he is a âsubscriber of goods or services from a video tape service providerâ
and therefore a âconsumerâ under the VPPA. 28 U.S.C. § 2710(a)(1). We elaborate
below.
I. Standing
We start by evaluating whether Salazar has adequately pled injury as
necessary to demonstrate Article III standing to sue for a violation of the VPPA.
He has. Salazarâs alleged injury stems from the unauthorized disclosure of his
personal viewing information, which is closely related to at least one common-law
analog traditionally recognized as providing a basis for a lawsuit in American
courts: public disclosure of private facts.
Since âstanding is challenged on the basis of the pleadings, we accept as true
all material allegations of the complaint,â which we construe âin favor of the
14
complaining party.â Bohnak v. Marsh & McLennan Companies, Inc., 79 F.4th 276, 283(2d Cir. 2023) (internal quotation marks omitted). We do so in this context without deferring to the district court.Id.
A federal court lacks subject matter jurisdictionâand therefore cannot
consider a lawsuitâs meritsâunless three constitutional standing requirements are
met. First, the plaintiff must have suffered an âinjury in fact that is concrete,
particularized, and actual or imminent.â TransUnion, 594 U.S. at 423. Second, that injury must be traceable to the defendantâs challenged conductâit must have been âlikely caused by the defendant.âId.
And third, it must be likely that the injury would âbe redressed by judicial relief.âId.
As â[t]he party invoking federal jurisdiction,â Salazar bears the burden of establishing Article III standing. Lujan v. Defenders of Wildlife,504 U.S. 555, 561
(1992).
The NBA argues that Salazar has not alleged that he has suffered a
âconcreteâ injury in fact. We disagree.
Article III standing requires that â[o]nly those plaintiffs who have been
concretely harmed by a defendantâs statutory violation may sue that private
defendant over that violation in federal court.â TransUnion, 594 U.S. at 427; see also Bohnak,79 F.4th at 283
(explaining that âTransUnion is the touchstone forâ
assessing the concreteness requirement). To allege a concrete harm, a plaintiff
15
must point to âa close historical or common-law analogue for their asserted
injury.â TransUnion, 594 U.S. at 424. But they need not present an âexact duplicate.âId. at 433
. Rather, âwhat matters is âwhether the alleged injury to the plaintiff has a âclose relationshipâ to a harm âtraditionallyâ recognized as providing a basis for a lawsuit in American courts.ââ Packer on behalf of 1-800-Flowers.Com, Inc. v. Raging Capital Management, LLC,105 F.4th 46
, 52 (2d Cir. 2024) (quoting TransUnion,594 U.S. at 424
).
Both tangible and intangible harms can satisfy the concreteness
requirement. â[T]raditional tangible harmsâ like physical and monetary harms
âreadily qualify as concrete.â TransUnion, 594 U.S. at 425. So do â[v]arious intangible harmsâ closely related to a traditionally recognized harm.Id.
One intangible harm that readily qualifies as concrete is the public
disclosure of private facts. Id.This âwell-established common-law analog,â Bohnak,79 F.4th at 285
, is triggered when one âgives publicity to a matter
concerning the private life of another, . . . if the matter publicized is of a kind that
16
(a) would be highly offensive to a reasonable person, and (b) is not of legitimate
concern to the public,â id. (quoting Restatement (Second) Torts § 652D). 5
Our conclusion that Salazar has pled that he suffered an injury closely
related to the public disclosure of private facts analog is guided by our recent
decision in Bohnak. There, Bohnak had sued her former employer for failing to
adequately protect and warn her about the vulnerability of personal information
including her social security number, driverâs license, and passport information.
That information was stolen when her employer was targeted in a data breach. Id.
at 280â82.
We had âno troubleâ concluding that âBohnakâs alleged harm [wa]s
sufficiently concrete to support her claims for damagesâ because her core alleged
injuryâexposure of her personally identifiable information to unauthorized third
partiesââbears some relationship to a well-established common-law analog:
public disclosure of private facts.â Id. at 285. In reaching this conclusion, we
stressed that â[i]n TransUnion itself, the Supreme Court specifically recognized
5Because we hold that Salazarâs alleged harm is closely related to the public disclosure of private
facts analog, we need not examine whether it is closely related to the other analog the district
court identifies: the âintrusion upon seclusionâ tort. Cf. Eichenberger v. ESPN, Inc., 876 F.3d 979, 983â84 (9th Cir. 2017) (holding, pre-TransUnion, that an alleged VPPA violation was related to the intrusion upon seclusion tort); Perry v. Cable News Network, Inc.,854 F.3d 1336
, 1340â41 (11th Cir.
2017) (same).
17
that âdisclosure of private informationâ was an intangible harm âtraditionally
recognized as providing a basis for lawsuits in American courts.ââ Id.at 286 (quoting TransUnion,594 U.S. at 425
). And because Bohnakâs alleged harm was
closely related to a common-law analog, it did not matter whether she had
âassert[ed] a common law claim for public disclosure of private factsâ against her
employer or whether the relevant âcommon law recognize[d] a tort relating to
publication of private facts.â Id. at 286.
For these reasons, we similarly have âno troubleâ holding here that Salazarâs
alleged harm is sufficiently concrete to withstand dismissal. Id. at 285. Like
Bohnak, Salazarâs core allegation is that his personally identifiable information
was exposed to an unauthorized third party. Jt. Appâx at 24. And Salazar doesnât
just allege that his data was exposed to a third party; rather, he asserts that it was
disclosed as a result of an arrangement between the NBA and Meta pursuant to
which the NBA deliberately uses the Facebook Pixel. This alleged harm is closely
related to the public disclosure of private facts analog.
The NBAâs arguments to the contrary are unpersuasive. To the NBA, the
disclosure in Bohnakâto hackers through a data breachâis quite different from
âlimited disclosures to a single legitimate businessâ like Meta because hackers
have a âknown penchant for trading illegally acquired [personally identifiable
18
information] âthrough the dark web,ââ thereby making the disclosure in Bohnak
more analogous to a public disclosure of private facts than the disclosure of
Salazarâs information to Meta. Appelleeâs Br. at 24 n.7 (quoting Bohnak, 79 F.4th at
281).
Based on this asserted lack of publicity, the NBA insists that Salazarâs
allegations of injury are more like those held insufficient in cases from other
circuits involving mail vendor corporations and a different statute: the Fair Debt
Collection Practices Act (FDCPA). In those cases, plaintiffs sued debt collection
agencies for violating the FDCPA by giving their personal information to mail
vendors, which then used the disclosed information to send the plaintiffs
prewritten letters notifying them about their outstanding debts. See Appelleeâs Br.
at 21â25 (citing Hunstein v. Preferred Collection & Management Services, Inc., 48 F.4th
1236, 1240(11th Cir. 2022) (en banc); Shields v. Professional Bureau of Collections of Maryland, Inc.,55 F.4th 823, 827
(10th Cir. 2022); Nabozny v. Optio Solutions LLC,84 F.4th 731, 733
(7th Cir. 2023). 6 These courts concluded that any harm from such 6The NBA also cites some of these cases to suggest that an alleged harm isnât closely related to a common-law analog if the plaintiff doesnât plead a required element of that analog. See, e.g., Hunstein v. Preferred Collection and Management Services, Inc.,48 F.4th 1236, 1242
(11th Cir. 2022)
19
limited disclosuresâto mail vendors who then sent the information back to its
ownerâwas not closely related to harm from the public disclosure of private facts
analog. See Hunstein, 48 F.4th at 1245â49; Shields, 55 F.4th at 828â29; Nabozny, 84
F.4th at 735â38.
(en banc) (holding that Hunsteinâs alleged harm wasnât closely related to the public disclosure of
private facts tort because his allegations were âmissing an element essential to liabilityâ:
âdisclosure to the publicâ) (internal quotation marks omitted). Not every circuit has adopted that
approach. See, e.g., Shields v. Professional Bureau of Collections of Maryland, Inc., 55 F.4th 823, 829(10th Cir. 2022) (âShields did not have to plead and prove the tortâs elements to prevail. But to proceed, she had to at least allege a similar harm.â); Barclift v. Keystone Credit Services, LLC,93 F.4th 136, 145
(3d Cir. 2024) (âWe believe that if the Court wanted us to compare elements, it would have simply said so. So when asking whether a plaintiffâs intangible injury is âconcrete,â we will examine the kind of harm at issue.â), petition for cert. filed, No. 23-1327 (June 20, 2024). Nor have we. This Court has applied TransUnion in at least four published opinions to determine whether an alleged harm satisfies Article III standingâs concreteness requirement. We did not, in any of those cases, hold that TransUnion demands that a plaintiff adequately plead every element of a common-law analog to satisfy the concreteness requirement. See Maddox v. Bank of New York Mellon Trust Company, N.A.,19 F.4th 58
, 62â66 (2d Cir. 2021); Bohnak v. Marsh & McLennan Companies, Inc.,79 F.4th 276
, 283â87 (2d Cir. 2023); Saba Capital Cef Opportunities 1, Ltd. v. Nuveen Floating Rate Income Fund,88 F.4th 103
, 114â17 (2d Cir. 2023); Packer on behalf of 1-800 Flowers.Com, Inc. v. Raging Capital Management, LLC,105 F.4th 46
, 51â56 (2d Cir. 2024); see also Stafford v. International Business Machines Corporation,78 F.4th 62
, 67â69 (2d Cir. 2023) (applying TransUnion to the mootness doctrine, which âis standing set in a time frameâ) (internal quotation marks omitted). Instead, we followed the Supreme Courtâs directive in TransUnion that the concrete injury requirement for standing does not demand that a plaintiff alleging intangible harm identify and establish an âexact duplicateâ in common law, but asks âwhether a plaintiffâs asserted harm has a âclose relationshipâ to a harm traditionally recognized as providing a basis for a lawsuit in American courts.â TransUnion LLC v. Ramirez,594 U.S. 413
, 433â34 (2021) (stating that âpublication is essential to liabilityâ in explaining why âmere presence of an inaccuracy in an internal credit fileâ that was not disclosed to third-party was not analogous to harm from defamatory statement, without suggesting that plaintiff must satisfy all elements of defamation to show âclose relationshipâ to defamation analog (internal quotation marks omitted)); seeid. at 433
(holding dissemination of misleading credit reports is analogous to harm from defamation
even though defendant asserted reports were âonly misleading and not literally false,â because
harm from misleading statement of âbeing labeled a âpotential terroristâ . . . bears a sufficiently
close relationship to the harm from a false and defamatory statementâ).
20
Glossing over the numerous factual and legal distinctions between the mail
vendor cases and Salazarâs allegations, the NBA submits that the mail vendor
âcases are on all foursâ with this one because they all involve âlimited disclosures
to a single legitimate business.â Appelleeâs Br. at 23, 24 n.7. The analogy is inapt.
Meta isnât a âministerial intermediaryâ like a mail vendor, Nabozny, 84 F.4th at
736âitâs one of the worldâs largest companies, employing more than 67,000
people, with 2024 revenues exceeding $142 billion, see Forbes, Profile, Meta
Platforms, https://www.forbes.com/companies/meta-platforms/?list=global2000
[https://perma.cc/8S94-9M7A] (last visited Sept. 4, 2024).
More to the point, Metaâs use of the disclosed data is very different from
that of the mail vendor. Unlike in the mail vendor cases, Salazar doesnât allege
that his personal viewing information was disclosed to an intermediary so that it
could be bounced back to him on behalf of the entity that properly possessed the
information. One of Salazarâs allegations is that the NBA discloses usersâ personal
viewing information to Meta, which then harnesses that information âto show the
user targeted adsââads that Meta chooses for its own commercial purposes, not
the NBAâs or the userâs purposes. Jt. Appâx at 15 (emphasis added). Moreover,
nothing in the complaint suggests that Meta canât sell, disclose, or otherwise use
Salazarâs data for additional purposes. In addition, Salazar alleges that Meta
21
âcross-referenc[es]â âthis highly sought-after informationâ âto the data it already
has in [its] own detailed profiles.â Id.at 16â17. And the information is being used for digital advertising,id.
at 15â16, an industry that âunderlies many of the
Internetâs most widely used services,â Brief of the Chamber of Commerce of the
United States of America as Amicus Curiae in Support of Defendant-Appellee at 15.
Given the nature of the companies involved, intended and potential uses of
the disclosed information, and resulting enhanced disclosure risks, we see little
daylight between the nature of the harm Salazar alleges and the harm flowing
from the public disclosure of private facts common-law analog. Therefore, Salazar
has satisfactorily pled a concrete injury sufficient to confer Article III standing and
to withstand dismissal under Rule 12(b)(1).
The NBA does not argue that Salazar has otherwise failed to plead that his
alleged injury satisfies Article III standing requirements at the motion to dismiss
stage. That makes sense. His alleged injury in fact is particularized and actualâ
his personal viewing information was disclosed without his consent to a third
party. That alleged harm is traceable to the NBAâs installation of the Facebook
Pixel on NBA.com. And Salazarâs requested reliefâdeclaratory, injunctive, and
monetary relief for violating the VPPAâwould likely redress his injury.
Accordingly, Salazar has alleged a sufficient harm to confer Article III standing,
22
and the district court correctly denied the NBAâs motion to dismiss for lack of
subject matter jurisdiction.
II. Merits
To survive Rule 12(b)(6) dismissal, a complaintâs factual allegations must
âstate a claim to relief that is plausible on its face.â Bell Atlantic Corp. v. Twombly,
550 U.S. 544, 570(2007). On appeal, we review the complaint without deference to the district courtâs assessment, accepting as true all its factual allegations and drawing all inferences in the plaintiffâs favor. See Nicosia v. Amazon.com, Inc.,834 F.3d 220, 230
(2d Cir. 2016); Peretti v. Authentic Brands Group LLC,33 F.4th 131, 137
(2d Cir. 2022). That means the plaintiffâs allegations must enable the court to reasonably infer that the defendant is liable for the alleged misconduct. Ashcroft v. Iqbal,556 U.S. 662, 678
(2009).
Applying these standards, we must determine whether Salazar plausibly
pled that he was a âsubscriber of goods or servicesâ as understood in the VPPA.
For the reasons set forth below, we conclude that he did. The phrase âgoods or
servicesâ in the VPPA is not cabined to audiovisual goods or services, but also
reaches the NBAâs online newsletter. By alleging that he exchanged personal
information in return for periodically receiving the online newsletter, Salazar
plausibly pled that he is a âsubscriber ofâ that newsletter.
23
A. The VPPA
In 1987, a newspaper published an article called The Bork Tapes, see Michael
Doland, The Bork Tapes, Washington City Paper (Sept. 25, 1987), which identified
146 films that Judge Robert Bork and his family had rented from a video store. At
the time of publication, the Senate Judiciary Committee was holding hearings on
Judge Borkâs nomination to the Supreme Court. See S. Rep. No. 100-599, at 5 (1988);
Ellis v. Cartoon Network, Inc., 803 F.3d 1251, 1252â53 (11th Cir. 2015); Yershov v. Gannett Satellite Information Network, Inc.,820 F.3d 482, 485
(1st Cir. 2016).
Senators quickly decried the publication. As Senator Patrick Leahy
commented during the nomination hearings:
It is nobodyâs business what Oliver North or
Robert Bork or Griffin Bell or Pat Leahy watch on
television or read or think about when they are
home. . . . In an era of interactive television cables, the
growth of computer checking and check-out counters, of
security systems and telephones, all lodged together in
computers, it would be relatively easy at some point to
give a profile of a person and tell what they buy in a
store, what kind of food they like, what sort of television
programs they watch, who are some of the people they
telephone. . . . I think that is wrong. I think that really is
Big Brother, and I think it is something that we have to
guard against. . . .
Privacy is not a conservative or a liberal or
moderate issue. It is an issue that goes to the deepest
yearnings of all Americans that we are free and we
24
cherish our freedom and we want our freedom. We want
to be left alone.
S. Rep. No. 100-599, at 5â6 (quoting Hearings on Nomination of Robert H. Bork to be
Associate Justice of the Supreme Court of the United States Before the Senate Committee
on the Judiciary, 100th Cong. 1374 (1987)) (alterations adopted).
The Bork Tapes was the catalyst for the VPPA. See id. at 5; S. Rep. No. 112-
258, at 2 (2012); Ellis, 803 F.3d at 1252â53. A bipartisan group of Senators, including
Senator Leahy, introduced legislation in May 1988 âto preserve personal privacy
with respect to the rental, purchase, or delivery of video tapes or similar audio
visual materials.â S. 2361, 100th Cong. (1988); see also S. Rep. No. 100-599, at 1
(same). That bill became the VPPA. See Video Privacy Protection Act of 1988, Pub.
L. No. 100-618, 102 Stat. 3195.
The VPPA prohibits a âvideo tape service providerâ from âknowingly
disclos[ing], to any person, personally identifiable information concerning any
consumer of such provider,â subject to certain enumerated exceptions, such as in
cases where the provider has obtained a consumerâs âinformed, written consent.â
18 U.S.C. § 2710(b). The Act thereby âreflects the central principle of the Privacy
Act of 1974: that information collected for one purpose may not be used for a
different purpose without the individualâs consent.â S. Rep. No. 100-599, at 8.
25
By 2012, Congress recognized that âthe Internet ha[d] revolutionized the
way that American consumers rent and watch movies and television programs,â
such that the way âAmericans used to watch videos in 1998âthe VHS cassette
tapeâ[wa]s now obsolete.â S. Rep. 112-258, at 2. These new technologies had
created a problem: Americans couldnât âshare information about their video
preferences on social media sites on an ongoing basisâ without violating the 1988
VPPA, which required obtaining consent from the consumer for each disclosure
of viewing information. Id.at 2â3. The solution? Amend the statute âto clarify that a video tape service provider may obtain a consumerâs informed, written consent on an ongoing basis and that consent may be obtained through the Internet.â Video Privacy Protection Act Amendments Act of 2012,Pub. L. 112-258, 126
Stat. 2414; see18 U.S.C. § 2710
(b)(2)(B) (authorizing a video tape service
provider to disclose consumersâ personally identifiable information âto any
person with the informed, written consent (including through an electronic means
using the Internet) of the consumerâ provided either âat the time the disclosure is
soughtâ or âin advance for a set period of time, not to exceed 2 years or until
consent is withdrawn by the consumer, whichever is soonerâ).
Otherwise, much of the 1988 VPPAâs text remains unchanged. Like the
original version, the current VPPA holds liable â[a] video tape service provider
26
who knowingly discloses, to any person, personally identifiable information
concerning any consumer of such provider.â 18 U.S.C. § 2710(b)(1). And the Act provides consumers with a private right of action for violations of the statute.Id.
§ 2710(c) (authorizing award of âactual damages but not less than liquidated
damages in an amount of $2,500,â punitive damages, reasonable attorneysâ fees
and litigation costs, and appropriate âpreliminary and equitable reliefâ).
Central to this case is the VPPAâs âDefinitionsâ section. See id. § 2710(a).
The VPPA defines the term âconsumerâ to mean âany renter, purchaser, or
subscriber of goods or services from a video tape service provider.â Id.
§ 2710(a)(1). But the phrase âsubscriber of goods or servicesâ is not explicitly
defined in the statute. Our task here is to construe that phrase. The parties have
focused their arguments on two questions: Is the digital newsletter a âgood or
serviceâ? And is Salazar a subscriber? We consider each in turn.
B. âGoods or Servicesâ
The parties contest whether the online newsletter Salazar signed up for
qualifies as âgoods or servicesâ as that phrase is used in the VPPA. The NBA
doesnât contend that the newsletter is not a good or service generally; rather, it
insists that statutory context compels the conclusion that a consumer under the
VPPA must specifically rent, purchase, or subscribe to audiovisual âgoods or
27
services.â The NBA reasons that because the VPPA defines a âconsumerâ as one
who rents, purchases, or subscribes to services âfrom a video tape service provider,â
id. at § 2710(a)(1) (emphasis added), those services must, by definition, be
audiovisual services. Salazar disagrees and argues that nothing in the statute
limits the definition of âconsumerâ to those who rent, purchase, or subscribe to a
particular class of servicesânamely, audiovisual content.
Considering the text, structure, and purpose of the VPAA, we agree with
Salazar. And we conclude that the NBAâs policy based counterarguments are
unpersuasive.
i. Text, Structure and Purpose
When interpreting a statutory provision, we start with the text. See
Wisconsin Central Limited v. United States, 585 U.S. 274, 277(2018). Because the VPPA does not define the phrase âgoods or services,â we presume that its plain meaning applies. See Perrin v. United States,444 U.S. 37, 42
(1979) (âA fundamental canon of statutory construction is that, unless otherwise defined, words will be interpreted as taking their ordinary, contemporary, common meaning.â). In assessing the wordsâ plain meaning, we consider âthe language itself, the specific context in which that language is used, and the broader context of the statute as a whole.â Robinson v. Shell Oil Co.,519 U.S. 337, 341
(1997). Applying this guidance,
28
we conclude that the plain language of the âconsumerâ definition, the VPAAâs
terminology in other sections, and the structure of the statute as a whole support
Salazarâs view. And his read is entirely consistent with the statuteâs purpose.
Congress defined âconsumerâ as âany renter, purchaser, or subscriber of
goods or services from a video tape service provider.â 18 U.S.C. § 2710(a)(1) (emphasis added). â[R]ead naturally, the word âanyâ has an expansive meaning.â Ali v. Federal Bureau of Prisons,552 U.S. 214, 219
(2008) (internal quotation marks omitted). And a statuteâs use of the word ââorâ is âalmost always disjunctive.ââ Encino Motorcars, LLC v. Navarro,584 U.S. 79, 87
(2018) (quoting United States v. Woods,571 U.S. 31, 45
(2013)). So by using expansive words like âanyâ and âor,â Congress codified a âconsumerâ definition that âbespeaks breadth.âId.
Comparing this language to other definitions in the statute reinforces this
conclusion. Congress deployed similarly broad language in the âvideo tape
service providerâ definition. That definition classifies âany person, engaged in the
business, in or affecting interstate or foreign commerce, of rental, sale, or delivery
of prerecorded video cassette tapes or similar audio visual materialsâ as a âvideo
tape service provider.â 18 U.S.C. § 2710(a)(4) (emphasis added). But while the
âconsumerâ and âvideo tape service providerâ definitions share similarly
expansive language, there is also a critical distinction between the two provisions:
29
Unlike the âconsumerâ definition, which makes no mention of audiovisual
materials, the âvideo tape service providerâ definition requires the provider to
deal in âaudio visual materials.â Id.This meaningful variation shows that Congress knew to include an audiovisual limitation in the VPPA when it wanted one to apply. In fact, Congress twice deploys the term âaudio visual materialâ (or materials) in the VPAAâfirst in the âvideo tape service providerâ definition, and next in a provision establishing when a video tape service provider may lawfully disclose personally identifiable information. Seeid.
§ 2710(a)(4), (b)(2)(D)(ii). 7 As the Supreme Court has instructed, we should not âlightly assume that Congress has omitted from its adopted text requirements that it nonetheless intends to apply,â especially when it âhas shown elsewhere in the same statute that it knows how to make such a requirement manifest.â Jama v. Immigration and Customs Enforcement,543 U.S. 335, 341
(2005); see also Yale New Haven Hospital v. Becerra,56 F.4th 9, 21
(2d Cir. 2022) (explaining principle of meaningful variation, i.e., âwhere a statutory scheme has used one term in one place, and a materially different term in another, the presumption is that the different term denotes a different ideaâ 7 In the âvideo tape service providerâ definition, the relevant text is plural: âaudio visual materials.â18 U.S.C. § 2710
(a)(4). In the provision enumerating when a video tape service provider may lawfully disclose personally identifiable information, the language is singular: âaudio visual material.âId.
§ 2710(b)(2)(D)(ii).
30
(quoting Southwest Airlines Co. v. Saxon, 596 U.S. 450, 458 (2022)) (alterations
adopted)).
This textual divergence highlights the flaw in the NBAâs argument that the
âconsumerâ and âvideo tape service providerâ definitions share âa suggestively
parallel structureâ that supports reading an audiovisual limitation into the
definition of âgoods or services.â Appelleeâs Br. at 31. To the NBA, the phrase
ârenter, purchaser, or subscriberâ in the âconsumerâ definition is parallel to the
ârental, sale, or deliveryâ language in the âvideo tape service providerâ definition.
That means, the NBA says, the term âgoods or servicesâ must be parallel to
âprerecorded video cassette tapes or similar audio visual materials,â with a
similarly cabined scope. Compare 18 U.S.C. § 2710(a)(1), withid.
§ 2710(a)(4).
We need not decide whether the phrase ârenter, purchaser, or subscriberâ
in the definition of âconsumerâ is intended to mirror the phrase ârental, sale or
deliveryâ in the definition of âvideo tape service provider.â 8 Even if that were
correct, it would not support the NBAâs conclusion that the term âgoods or
8Salazar actually relies on the same parallelism to make a different argumentâone we also need
not reach. He argues that ârenterâ in the definition of âconsumerâ mirrors ârentalâ in the
definition of âvideo tape service provider,â and âpurchaserâ mirrors âsale,â so âsubscriberâ must
mirror âdelivery.â Following this logic, a âsubscriberâ is someone who receives goods or services.
Under that interpretation, someone who simply watches online videos could be considered a
VPPA âconsumer.â
31
servicesâ in the definition of âconsumerâ mirrors the term âprerecorded video
cassette tapes or similar audio visual materialsâ in the âvideo tape service
providerâ definition. Tellingly, Congress chose to deviate from any parallelism by
using the terms âgoods or servicesâ in the âconsumerâ definition and
âprerecorded video cassette tapes or similar audio-visual materialsâ in the âvideo
tape service providerâ definition. Again, Congressâs decision to use different
words in different definitions strongly signals its intent to convey different
meanings. See Jama, 543 U.S. at 341.
In addition, the NBAâs interpretation is hard to harmonize with other
language in the statute. The definition of âpersonally identifiable informationâ
includes âinformation which identifies a person as having requested or obtained
specific video materials or services from a video tape service provider.â Id.§ 2710(a)(4) (emphasis added). But if âgoods or servicesâ are, by definition, audiovisual materials, then Congressâs express restriction in the definition of âpersonally identifiable informationâ to information about âvideo materials or servicesâ would be superfluous. See generally Corley v. United States,556 U.S. 303, 314
(2009) (holding that a âstatute should be construed . . . so that no part will be
inoperative or superfluousâ (internal quotation marks omitted)).
32
We are likewise unpersuaded by the NBAâs reliance on the title of the
VPAAâs liability provision: âVideo Tape Rental and Sale Records.â 18 U.S.C.
§ 2710(b). The NBA argues that by explicitly tying âvideoâ to ârental and sale
recordsâ in that title, Congress showed that the relationship between consumers
and providers is restricted to those who rent, purchase, or subscribe to videos.
There are at least two problems with this argument. First, headings and
titles in statutes âcannot limit the plain meaning of the text.â Rajah v. Mukasey, 544
F.3d 427, 436 (2d Cir. 2008) (internal quotation marks omitted). Second, the title of
the liability provision tells us little about the meaning of âconsumerâ in the VPPA.
The parties agree that sharing information that is not about video materials or
services is beyond the scope of the statute. But as explained further below, itâs the
definition of âpersonally identifiable informationâ that limits what can be shared,
not the definition of âconsumer.â
Nor are we persuaded by the NBAâs argument that the phrase âfrom a video
tape service providerâ somehow cabins âgoods or servicesâ to audiovisual goods
or services.â The definition of âvideo tape service providerâ is broad,
encompassing âany person[] engaged in the business . . . of rental, sale, or delivery of
prerecorded video cassette tapes or similar audio visual materials.â 18 U.S.C.
§ 2710(a)(4) (emphasis added). That definition is not limited to entities that deal
33
exclusively in audiovisual content; rather, audiovisual content need only be part of
the providerâs book of business. 18 U.S.C. § 2710(a)(4). Thus, by its plain terms,
the statute applies equally to a business dealing primarily in audiovisual materials
(think Blockbuster) and one dealing in primarily non-audiovisual materials (think
a general store that rents out a few movies). Congress cast a wide net in defining
âvideo tape service provider,â to ensure that businesses dealing in audiovisual
goods or services satisfy the definition even if they also deal in non-audiovisual
goods or services.9
Given that âvideo tape service providerâ is defined broadly to include even
those businesses that dabble in video rentals, it makes sense that âconsumerâ
should be understood to encompass a renter, purchaser, or subscriber of any of the
providerâs âgoods or servicesââaudiovisual or not. Under the VPPAâs expansive
language, such a business may not disclose âpersonally identifiable informationâ
pertaining to its consumers regardless of the particular goods or services rented,
purchased, or subscribed to.
This is not to say the VPPAâs reach is boundless. As noted above, the statute
only prohibits video tape service providers from âknowingly disclos[ing]
9We express no view on whether the VPPA applies only to businesses dealing in âprerecordedâ
audiovisual goods or services as opposed to âliveâ video services, an issue not presented in this
appeal.
34
personally identifiable information.â 18 U.S.C. § 2710(b)(1) (emphasis added). And the âpersonally identifiable informationâ definition âincludes information which identifies a person as having requested or obtained specific video materials or services from a video tape service provider.âId.
§ 2710(a)(3) (emphasis added).
That means the general store owner who also rented out a few movies wouldnât
be liable under the VPPA for disclosing particular customersâ bread-buying habits;
that information, which does not relate to video materials or services, is not
âpersonally identifiable informationâ under the VPAA. 10
Our read of the statute not only reflects the language and structure of the
VPAA; itâs also âconsistent with Congressâs intended purpose.â Bustamante v.
Napolitano, 582 F.3d 403, 410(2d Cir. 2009). As we explained above, Senate 10True, the âpersonally identifiable informationâ definition uses the word âinclude.â Some of the legislative history suggests that Congress intentionally used that word to help keep the âpersonally identifiable informationâ term broad, too. See S. Rep. No. 100-599, at 12 (1988) (â[P]aragraph (a)(3) uses the word âincludesâ to establish a minimum, but not exclusive, definition of personally identifiable information.â) But that Senate report also stresses that the VPPAâs definition of âpersonally identifiable informationâ contains the word âvideoâ to make clear that only audiovisual information is protected. Seeid.
(â[T]he definition of personally identifiable
information includes the term âvideoâ to make clear that simply because a business is engaged in
the sale or rental of video materials or services does not mean that all of its products or services
are within the scope of the bill. For example, a department store that sells video tapes would be
required to extend privacy protection to only those transactions involving the purchase of video
tapes and not other products.â). So while there may be breathing room in the statute to explore
what exactly is âpersonally identifiable informationââwe need not and do not explore that
argument in this appealâthe VPPAâs text, structure and purpose make clear that the disclosed
information must still be related to audiovisual materials or services.
35
Judiciary Committee members understood the VPPA to âprohibit[] video service
providers from disclosing personally identifiable information except in certain,
limited circumstances.â S. Rep. No. 100-599, at 5; see also S. Rep. No. 112-258, at 2
(same). Grafting unstated limitations on the broad definition of âconsumer,â and
by extension, âgoods or services,â would be inconsistent with Congressâs purpose
here.
ii. NBAâs Policy Arguments
Given the clear meaning of the VPPA evidenced by its statutory text and
context, we are unpersuaded by the NBAâs policy arguments for a different
construction. The NBA insists that failing to cabin âgoods or servicesâ to
audiovisual goods or services would produce anomalous results. It contends that
under a broad construction of the term, someone who just watches a video on a
website âwith no other relationship to the company would not receive VPPA
privacy protections vis-Ă -vis their viewing of these videos, because they have no
ârenter,â âpurchaser,â or âsubscriberâ relationship to the company,â but someone
who âpreviously and unrelatedly bought a hammer at one of the companyâs brick-
and-mortar stores, and then watched a free video on the websiteâ would be a VPPA
consumer. Appelleeâs Br. at 40. To the NBA, it makes no sense that the VPPA can
be triggered by a consumer interaction unrelated to videos.
36
Even presuming that merely watching a free videoâand giving up personal
information in the processâdoes not make someone a VPPA âconsumer,â 11 the
purportedly anomalous results identified by the NBA do not justify artificially
cabining the statuteâs scope in a way that is inconsistent with its plain meaning
and purpose.
For starters, the statuteâs express terms control. See Bostock v. Clayton County,
Georgia, 590 U.S. 644, 653(2020) (âWhen the express terms of a statute give us one answer and extratextual considerations suggest another, itâs no contest. Only the written word is the law, and all persons are entitled to its benefit.â); Pennsylvania Department of Corrections v. Yeskey,524 U.S. 206, 212
(1998) (â[T]he fact that a statute
can be applied in situations not expressly anticipated by Congress does not
demonstrate ambiguity. It demonstrates breadth.â (internal quotation marks
omitted)).
Weâre also unconvinced that broadly defining âgoods or servicesâ produces
anomalous results. Take the NBAâs hypothetical: a consumer buys a hammer, then
watches free videos on the vendorâs website. The NBA suggests that it is
11Salazar does not contend that, independent of his registering for the newsletter, simply
watching videos on NBA.comâthereby intentionally or unintentionally providing his personal
viewing information to the NBAâmakes him a ârenter, purchaser, or subscriber of goods or
services from a video tape service provider.â We therefore express no view on this question.
37
anomalous that this consumer is subject to privacy protections under the VPPA.
But considering the privacy protective goals of the VPPA with respect to
individualsâ video viewing information, this scenario does not strike us as
anomalous. Especially given the broad definition of consumer in the VPPA,
allowing disclosure of the consumerâs video viewing information would be out of
sync with the statuteâs goals.
To summarize: The phrase âgoods or servicesâ in the VPPAâs definition of
âconsumerâ is not cabined to only audiovisual âgoods or services.â The NBAâs
online newsletter therefore is a qualifying good or service.
C. âSubscriberâ
Even if the NBA digital newsletter is a âgood or service,â we still must
decide whether Salazar is a subscriber of that good or service such that he is a
âconsumerâ within the VPPA. Salazar alleges that he âbecame a digital subscriber
of NBA.com by providing, among other information, email address and IP
address, . . . and any cookies associated with his device.â Jt. Appâx at 19. The NBA
38
contends these actions do not signify a sufficient relationship between Salazar and
the NBA, and therefore donât make Salazar a âsubscriberâ under the VPPA. 12
Two other circuits have tackled this question. In Ellis, the Eleventh Circuit
confronted a case in which a plaintiff downloaded an Android application to
watch video clips. 803 F.3d at 1254. Although the plaintiff didnât pay any money, the application recorded and shared his device-unique âAndroid IDâ and video- viewing information with a third-party data analytics company.Id.
The Eleventh Circuit held that âpayment is not a necessary element of subscription,â but ââsubscriptionâ involves some type of commitment, relationship, or association (financial or otherwise) between a person and an entity,â which âinvolve[s] either payment, registration, commitment, delivery, . . . or access to restricted content.âId. at 1256
(internal quotation marks omitted). That plaintiff, however, had not made any payments, an account, or a profile; âprovide[d] any personal informationâ; âsign[ed] up for any periodic services or transmissionsâ; or 12Salazar insists that âeveryone agrees Mr. Salazar subscribes to the NBAâs newsletter.â Reply Br. at 3; see also Appellantâs Br. at 17 n.3 (arguing that âthis appeal does not concern the meaningâ of the âsubscriberâ term). We disagree. The NBA concedes only that Salazar himself alleges âhe signed up for a free NBA email newsletter.â Appelleeâs Br. at 3. It also argued before the district court that Salazarâs allegations âat mostâ supported an argument that he subscribed to the online newsletter, which the NBA contended was not an audiovisual good or service. Seeid.
at 11
(quoting Jt. Appâx at 50). We donât read the NBAâs alternative argument as a concession that
signing up for that newsletter made Salazar a âsubscriberâ of that newsletter as understood under
the VPPA.
39
otherwise âma[d]e any commitment or establish[ed] any relationship that would
allow him to have access to exclusive or restricted content.â Id. at 1257. All he did was download a free app and use it to view content. So, the court concluded, he was not a VPPA âsubscriber.âId. at 1258
.
The First Circuit faced a similar set of facts in Yershov. There, someone also
downloaded an app in order to, among other things, watch videos. 820 F.3d at
484. Each time the plaintiff used the app to watch videos, the videoâs title, his deviceâs GPS coordinates, and his deviceâs unique Android ID were sent to a third- party data analytics company, which used the information for, among other things, targeted advertising.Id.
at 484â85. The First Circuit agreed with the Eleventh Circuit that someone does not have to pay money to be a VPPA subscriber.Id.
at 487â88. But unlike the Eleventh Circuit, the First Circuit held that the Yershov plaintiff was a VPPA subscriber.Id. at 487
. It explained:
To use the App, Yershov did indeed have to provide
Gannett with personal information, such as his Android
ID and his mobile deviceâs GPS location at the time he
viewed a video, each linked to his viewing selections.
While he paid no money, access was not free of a
commitment to provide consideration in the form of that
information, which was of value to Gannett. And by
installing the App on his phone, thereby establishing
seamless access to an electronic version of USA Today,
Yershov established a relationship with Gannett that is
materially different from what would have been the case
had USA Today simply remained one of millions of sites
40
on the web that Yershov might have accessed through a
web browser.
Id. at 489.
We agree with both the Eleventh and First Circuits that someone doesnât
have to spend money to be a VPPA âsubscriber.â Otherwise, the term âsubscriberâ
would be rendered superfluous by the terms âpurchaserâ and ârenterâ in the
definition of âconsumer.â Someone in 1988 (or 2012, for that matter) who paid
money for permanent access to audiovisual material would be a âpurchaser,â and
someone who exchanged money for temporary access would be a ârenter.â If the
payment of money was an essential condition of being a âsubscriber,â then anyone
who was a âsubscriberâ would also be either a ârenterâ or âpurchaser.â See id. at
487â88. 13
Itâs also easy to imagine subscriptions that donât require monetary payment.
Someone can, for example, subscribe to a YouTube channel by signing into a
YouTube account (which requires no monetary payment) and clicking the
âsubscribeâ icon on a content creatorâs channel. YouTube Help, Subscribe to
YouTube channels, https://support.google.com/youtube/answer/4489286
13Although some dictionary definitions in circulation around the time the VPPA was enacted,
and later amended, suggest that a someone must pay money to be a subscriber, other definitions
donât. See, e.g., Yershov, 820 F.3d at 487 (comparing dictionary definitions).
41
[https://perma.cc/RM2E-FMX8] (last visited Sept. 4, 2024). Subscribing causes
YouTube to âautomatically send . . . notifications about the highlights from that
channel.â Id.
These types of subscriptions arenât only a feature of the modern internet. As
the First Circuit explained, they existed in the 1980s through âthe reasonably
common retailing practice of introductory enticementsâ:
Suppose a customer in 1988 obtained several videos from
a new commercial supplier at no charge, or with money
back. We can discern no reason why Congress would
have wanted different disclosure rules to apply to those
transactions than to ones where a monetary payment is
made. And because we think that Congress cast such a
broadly inclusive net in the brick-and-mortar world, we
see no reason to construe its words as casting a less
inclusive net in the electronic world when the language
does not compel that we do so. See Barr v. United States,
324 U.S. 83, 90 (1945) (â[I]f Congress has made a choice
of language which fairly brings a given situation within
a statute, it is unimportant that the particular application
may not have been contemplated by the legislators.â).
Yershov, 820 F.3d. at 488.
Here, although Salazar does not allege that he paid the NBA money, he does
allege that he provided the NBA with his personal information when he signed up
for the newsletter. In return for receiving periodic NBA-related updates, Salazar
exchanged, at a minimum, (1) his email address, (2) his IP address, and (3) cookies
associated with his device. He further alleges that through his IP address, the NBA
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can identify âthe city and zip code he resides in as well as his physical location.â
Jt. Appâx at 19.
That information is not insignificant. By receiving it, the NBA learned how
to directly reach out to Salazar. It discovered where his device was. It gained
access to additional information stored in any cookies on his device. These tools
increased the NBAâs potential to urge Salazar to visit NBA.com and watch videos
on it, making the NBAâs relationship with him distinct from its relationship with
casual NBA.com video-watchers who had not signed up for the newsletter. 14
Accepting these allegations as true and drawing all reasonable inferences in
Salazarâs favor, as we must at the pleadings stage, Salazar plausibly alleged that
he gave the NBA valuable personal information in exchange for access to the
online newsletter. Cf. Yershov, 820 F.3d at 489 (reasoning that the plaintiff provided
âconsideration in the form ofâ âpersonal informationâ including his Android ID
and deviceâs GPS location). This is sufficient at the pleadings stage to satisfy the
requirement that Salazar allege that he became a âsubscriber ofâ the NBAâs online
newsletter.
14That is not to say that a NBA.com video-watcher who does not sign up for the online newsletter
is not also a VPPA âsubscriber.â Salazar does not argue that he was a subscriber merely by virtue
of any information acquired by the NBA based solely on his viewing the videos on NBA.com.
We therefore leave that question for another day.
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CONCLUSION
Our ruling is narrow: We hold on the merits only that Salazar has plausibly
pled that he is a âsubscriber of goods or servicesâ and that the district court
therefore erred in dismissing his complaint pursuant to Fed. R. Civ. P. 12(b)(6).
We leave the district court to address the NBAâs alternative arguments in the first
instance. And, of course, our conclusions are conditioned on the necessary
pleading-stage presumption that Salazarâs allegations are true. Further factual
developments may ultimately paint a different picture.
The VPPA is no dinosaur statute. Congress deployed broad language in
defining the term âconsumer,â showing it did not intend for the VPPA to gather
dust next to our VHS tapes. Our modern means of consuming content may be
different, but the VPPAâs privacy protections remain as robust today as they were
in 1988.
The district courtâs judgment is VACATED, and the case is REMANDED
for further proceedings consistent with this opinion.
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