Declaration of Shawn M. Kennedy — Plaid Privacy (Dkt. 51.2)

Record facts

U.S. District Court for the Northern District of California · No. 4:20-cv-03056-DMR · Doc. 51-2 · 2020-07-17 · Docket on CourtListener

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DECL OF SHAWN M. KENNEDY ISO  
STIPULATION TO CONSOLIDATE ACTIONS AND APPOINT  
INTERIM CO-LEAD CLASS COUNSEL 
CASE NO. 4:20-CV-03056-DMR
 
 
 
 
 
 
 
UNITED STATES DISTRICT COURT 
NORTHERN DISTRICT OF CALIFORNIA 
SAN FRANCISCO DIVISION 
JAMES COTTLE and FREDERICK 
SCHOENEMAN, on behalf of themselves  
and all others similarly situated, 
Plaintiffs, 
 
v. 
PLAID INC., a Delaware corporation, 
Defendant. 
Case No.: 4:20-cv-03056-DMR
 
 
DECLARATION OF SHAWN M. 
KENNEDY IN SUPPORT OF 
STIPULATION TO CONSOLIDATE 
ACTIONS AND APPOINT INTERIM 
CO-LEAD CLASS COUNSEL 
LOGAN MITCHELL, on behalf of himself  
and all others similarly situated, 
Plaintiffs, 
 
v. 
PLAID INC., a Delaware corporation, 
Defendant. 
Case No. 3:20-cv-04230-SK 
RACHEL CURTIS, ALEXA GROSSMAN, 
MALLORY GROSSMAN, STEVEN 
HANNIGAN, ALEXIS MULLEN, JORDAN 
SACKS, and NICHOLAS YEOMELAKIS, on 
behalf of themselves and all others similarly 
situated, 
Plaintiffs, 
 
v. 
PLAID INC., a Delaware corporation, 
Defendant. 
Case No. 4:20-cv-04344-DMR 
Case 4:20-cv-03056-DMR     Document 51-2     Filed 07/17/20     Page 1 of 10

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DECL OF CHRISTOPHER J. CORMIER ISO  
STIPULATION TO CONSOLIDATE ACTIONS AND APPOINT  
INTERIM CO-LEAD CLASS COUNSEL
CASE NO. 4:20-CV-03056-DMR
 
CARRIE ANDERSON, BRIAN MCCRUDDEN, 
and JEFFREY SCHWEDOCK, on behalf of 
themselves and all others similarly situated, 
Plaintiffs, 
 
v. 
PLAID INC., a Delaware corporation, 
Defendant. 
Case No: 3:20-cv-04480-JSC  
Case 4:20-cv-03056-DMR     Document 51-2     Filed 07/17/20     Page 2 of 10

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DECL OF SHAWN M. KENNEDY ISO  
STIPULATION TO CONSOLIDATE ACTIONS AND APPOINT  
INTERIM CO-LEAD CLASS COUNSEL 
CASE NO. 4:20-CV-03056-DMR
 
I, SHAWN M. KENNEDY, hereby declare as follows: 
1. 
I am a partner of the law firm of Herrera Purdy LLP (“HP”), co-counsel in Cottle 
v. Plaid, No. 4:20-cv-03056 (N.D. Cal.) (“Cottle Action”), and Proposed Interim Co-Lead 
Counsel in the above-captioned actions. I am a member in good standing of the Bar of the State of 
California and am admitted to practice before this Court. I have personal knowledge of the 
statements contained in this declaration and, if called to testify, I could and would testify 
competently to them. I submit this declaration in support of the Parties’ Stipulation to Consolidate 
Actions and Appoint Interim Co-Lead Class Counsel.  
2. 
HP first discovered and investigated the privacy breaches alleged in this action, 
and the firm represents the two proposed class representatives that first filed suit. HP’s partners 
have been entrusted with leadership roles in significant antitrust and consumer class actions and 
have discovered, initiated, and pursued groundbreaking qui tam actions alleging anticompetitive 
conduct by some of the largest and well-represented companies in the world. Over the last three 
years, HP’s partners have recovered over $200 million in damages on behalf of injured consumers 
in exceedingly large and complicated class actions. HP is therefore well-suited to help lead this 
action, and the firm has contributed significantly to the development and prosecution of this case.  
Federal Rule of Civil Procedure 23(g) 
3. 
This litigation involves four separately-filed putative class actions, filed by 
multiple law firms, against the same defendant alleging the same conduct.  
4. 
The factors for appointment of lead class counsel under Rule 23(g) favor 
appointment of HP as interim co-lead class counsel. These factors include:  
i. 
the work counsel has done in identifying or investigating potential claims in the 
action; 
ii. 
counsel’s experience in handling class actions, other complex litigation, and the 
types of claims asserted in the action; 
iii. 
counsel’s knowledge of the applicable law; and 
iv. 
the resources that counsel will commit to representing the class. 
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DECL OF SHAWN M. KENNEDY ISO  
STIPULATION TO CONSOLIDATE ACTIONS AND APPOINT  
INTERIM CO-LEAD CLASS COUNSEL
CASE NO. 4:20-CV-03056-DMR
 
Fed. R. Civ. P. 23(g)(1)(A). 
HP First Discovered, Investigated, and Developed this Litigation 
5. 
In addition to significant experience litigating various types of complex class 
actions in this District and throughout the United States, HP brings a significant experience in the 
claims and issues specific to this litigation. As discussed below, I have extensive substantive 
knowledge regarding financial and other technology issues, having founded technology 
companies in the legal and financial technology industries, and that background provided me with 
the expertise and insight to uncover Plaid Inc.’s privacy breaches at issue in these consolidated 
actions. My partners and I have guided the investigation and development of the factual 
allegations and claims in this case. In collaboration with our co-counsel in the Cottle Action 
(Lieff Cabraser Heimann & Bernstein, LLP and Burns Charest LLP), HP has conducted a 
thorough pre-filing investigation, which afforded counsel in the Cottle Action an understanding of 
Plaid’s business practices and the issues before the Court.  
6. 
Along with our co-counsel, HP spearheaded the investigation into the history and 
evolution of Plaid’s business, including its founding and growth within the fintech industry. HP 
and co-counsel developed an understanding of Plaid’s business model, the distinctions between 
its consumer-facing and industry-facing messaging, and some of the methods Plaid uses and 
previously used to collect data from consumers and deliver that data to its fintech customers.  
7. 
I personally undertook the initial research and investigation of Plaid’s privacy 
policies, messaging and disclosure to consumers as they developed over time, and the relevant 
involvement of consumer-facing third party apps—such as Venmo, Coinbase, Square’s Cash 
App, and Stripe—to understand the scope of Plaid’s unlawful gathering and use of consumers’ 
private financial information, the company’s deceptive messages to consumers, and the limited 
information provided to consumers whose information is obtained and misused by Plaid through 
third party apps that incorporate Plaid’s software.  
8. 
Further, HP and co-counsel engaged in a technical review into Plaid’s conduct in 
the context of the features of the above-referenced relevant third-party apps and the impact of 
such conduct on consumer consent issues, consumer privacy, and financial privacy issues. 
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DECL OF SHAWN M. KENNEDY ISO  
STIPULATION TO CONSOLIDATE ACTIONS AND APPOINT  
INTERIM CO-LEAD CLASS COUNSEL
CASE NO. 4:20-CV-03056-DMR
 
9. 
With the benefit of this factual backdrop, HP and co-counsel conducted legal 
research and analysis to determine and assert the appropriate claims on behalf of plaintiffs and the 
putative Class. 
10. 
HP is committed to providing the best possible representation for consumers in 
this action, and continues to work collaboratively with co-counsel in researching and reviewing 
Plaid’s evolving disclosures to users of the relevant apps—which, while still inadequate, have 
been amended by Plaid even since, and possibly due to, the commencement of the Cottle 
Action—and public-facing statements regarding Plaid’s business practices and use of private 
consumer data. 
Herrera Purdy LLP 
11. 
HP and its partners have served in leadership roles in some of the largest and most 
complex class actions and qui tams over the last several years, including the following 
representative cases:  
a. 
United States ex rel. Silbersher v. Janssen Biotech, Inc., No. 2:19-cv-12107 
(KM-HBC) (D.N.J.); United States ex rel. Allergan plc, No. 3:18-cv-3017-JRS 
(N.D. Cal.); and United States ex rel. Silbersher v. Valeant Pharms. Int’l Inc., No. 
3:18-cv-1496-JD (N.D. Cal.). HP is lead counsel in these ground-breaking qui tam 
actions seeking billions of dollars of overcharges to Medicare, Medicaid, and other 
government-funded healthcare programs. The suits allege that several of the 
largest pharmaceutical companies in the world fraudulently obtained drug patents 
and used them to exclude generic competitors to artificially inflate the price of 
medicine and charge the government monopoly prices for them. The State of 
California recently filed a statement of interest crediting these lawsuits as 
important cases that may “set an important precedent that would discourage drug 
companies from taking advantage of the ex parte nature of patent proceedings by 
withholding or misrepresenting material information relating to patentability—and 
thereby significantly reduce the amount governments and insurers pay for 
important medicines.” See Allergan plc, No. 3:18-cv-3017-JRS (N.D. Cal.), at Dkt. 
Case 4:20-cv-03056-DMR     Document 51-2     Filed 07/17/20     Page 5 of 10

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DECL OF SHAWN M. KENNEDY ISO  
STIPULATION TO CONSOLIDATE ACTIONS AND APPOINT  
INTERIM CO-LEAD CLASS COUNSEL
CASE NO. 4:20-CV-03056-DMR
 
133, p. 2. 
b. 
In re Capacitors Antitrust Litig, No. 17-MD-2801-JD (N.D. Cal.). HP 
partner Andrew M. Purdy investigated and filed the first antitrust action on behalf 
of a direct purchaser class in a price-fixing suit involving an international cartel 
including dozens of multinational companies while at a prior law firm; with HP 
partner Nicomedes Sy Herrera, Mr. Purdy led a litigation team overseeing 
prosecution of this action seeking $1.5 billion in antitrust damages involving over 
30 million pages of documentary evidence and over 100 depositions, many taken 
in foreign countries, and in several languages. Messrs. Herrera and Purdy took 
leading roles in negotiating over $200 million in settlements over a three-year 
period. 
c. 
In re HP Printer Firmware Update Litig., No. 5:16-cv-05820-EJD-SVK 
(N.D. Cal.). HP partner Nicomedes Sy Herrera served on the leadership team (in 
prior firm) for consumer class action alleging that printer manufacturer designed 
and implemented a malicious firmware update to disable its printers from using 
competitors’ ink cartridges.  
d. 
In re Restasis Antitrust Litig., No. 18-MD-2819 (E.D.N.Y.). HP partner 
Nicomedes Sy Herrera served on the leadership team in prior firm for class of end-
payors who were overcharged hundreds of millions of dollars for the dry-eye drug 
Restasis®, manufactured by Allergan. The lawsuit alleges that Allergan and its co-
defendants unlawfully asserted fraudulently-obtained patents for Restasis® to 
exclude generic competitors and thereby artificially inflate the price of the 
medicine. 
e. 
In re Cedar Shakes and Shingles Antitrust Litig., No. 2:19-CV-00288-MJP 
(W.D. Wash.). Counsel for class of purchasers of roofing and siding materials 
alleging manufacturers and trade association conspired to artificially stabilize 
pricing). 
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DECL OF SHAWN M. KENNEDY ISO  
STIPULATION TO CONSOLIDATE ACTIONS AND APPOINT  
INTERIM CO-LEAD CLASS COUNSEL
CASE NO. 4:20-CV-03056-DMR
 
12. 
More information about HP’s track record of success on behalf of plaintiffs in 
complex class and individual litigation can be found at the firm’s website: 
www.HerreraPurdy.com.  
The HP Team in the Instant Litigation 
13. 
The cases above and the history of the firm’s partners successfully protecting 
consumer rights through class and individual litigation demonstrate that HP is well-qualified to 
serve as Interim Co-Lead Class Counsel in this action.  
14. 
I, Shawn M. Kennedy, along with my partners Nicomedes Sy Herrera and Andrew 
M. Purdy, will serve as the primary representatives for HP in meetings of Co-Lead Counsel and 
the Plaintiffs’ Steering Committee. Our partners Laura E. Seidl and Bret D. Hembd will also 
contribute their expertise in prosecuting the claims on behalf of the Class. 
15. 
I am a 2001 graduate of Duke University School of Law and have been a partner at 
HP since 2019. I have over 18 years of experience in handling complex business litigation matters 
on behalf of public and private companies, corporate executives, and law firms. I have litigated 
numerous high-stakes consumer class actions involving securities, antitrust and consumer fraud 
claims. In addition, as the founder of technology companies in the legal and financial industries, I 
have extensive experience and substantive knowledge regarding cloud-based technology; 
software development; security and privacy; and data storage and analytics; and many other 
salient issues. This experience and knowledge have proved invaluable in uncovering and 
investigating Plaid’s wrongful conduct alleged in these consolidated actions. Prior to joining HP, 
I practiced with international law firms Morgan, Lewis & Bockius LLP, and Howrey LLP.  
16. 
My partner, Nicomedes Sy Herrera, is a strategic litigator with over 22 years of 
experience litigating a broad range of complex, high-impact privacy, antitrust, and consumer class 
actions, derivative suits, and qui tams. Mr. Herrera investigated and commenced a series of 
billion dollar qui tam lawsuits against some of the largest pharmaceutical manufacturers based on 
the drug companies’ assertion of fraudulently-procured patents to exclude generic competition. 
The groundbreaking suits allege that in procuring and asserting fraudulent patents, the drug 
companies unlawfully inflated the price of drugs sold to, or reimbursed by, federal and state 
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DECL OF SHAWN M. KENNEDY ISO  
STIPULATION TO CONSOLIDATE ACTIONS AND APPOINT  
INTERIM CO-LEAD CLASS COUNSEL
CASE NO. 4:20-CV-03056-DMR
 
agencies. Mr. Herrera has also held senior executive and general counsel positions for several 
New York and Chicago-based financial services firms. Mr. Herrera graduated with honors from 
Columbia Law School in 1997, where he was a Harlan Fiske Stone Scholar. He earned his 
Bachelor’s Degree cum laude from Columbia College in 1994. 
17. 
My partner Andrew M. Purdy is a seasoned litigator with over 17 years of 
experience both prosecuting complex claims and defending his clients against them in high-stakes 
matters. Mr. Purdy has successfully litigated and tried a wide array of cases in federal and state 
courts throughout the country. His current practice centers on prosecuting privacy, antitrust, 
intellectual property, and qui tam actions. Mr. Purdy graduated cum laude from American 
University, Washington College of Law in 2002 where he was an editor of the American 
University Law Review. He earned his bachelor’s degree cum laude from Vanderbilt University 
in 1999. 
18. 
My partner Laura E. Seidl is a skilled litigator with a history of outstanding 
success representing people from all walks of life. Her clients have ranged from private equity 
investors litigating complex derivative lawsuits with hundreds of millions of dollars at stake to 
individuals suffering homelessness during the Bay Area housing crisis. Ms. Seidl was graduated 
from New York Law School in 2008, where she was honored as a successful member of their 
competitive Moot Court association. She earned her Bachelor’s Degree cum laude from the 
Honor’s College at Michigan State University in 2004.  
19. 
My partner Bret D. Hembd is an accomplished litigator who represents individuals 
and companies in a broad array of business litigation in state and federal court. Mr. Hembd 
earned his J.D. from Yale Law School in 2010, where he served as an Editor of The Yale Law 
Journal. He earned his bachelor’s degree summa cum laude from UCLA in 2004. Mr. Hembd 
began his legal career as an associate at Irell & Manella.  
Plaintiffs’ Steering Committee 
20. 
As Plaintiffs’ Complaint demonstrates, this litigation will be a large undertaking 
and has thus far required ample investigation and attorney efforts. Plaid’s unlawful collection and 
sale of consumer data dates back to 2013 and continues today, and involves potentially tens of 
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DECL OF SHAWN M. KENNEDY ISO  
STIPULATION TO CONSOLIDATE ACTIONS AND APPOINT  
INTERIM CO-LEAD CLASS COUNSEL
CASE NO. 4:20-CV-03056-DMR
 
millions of users and a trove of data. See, e.g., Cottle Complaint at ¶¶ 41-45. As a result, this case 
will likely involve voluminous discovery, which—in order to ensure the security and privacy of 
the Plaintiffs and the putative Class members—will require careful review and analysis. 
Furthermore, the complex technological aspects of this case will potentially involve multiple 
experts, including on topics such as mobile app coding, development, and design; cyber- and 
data-security; consumer understanding and associations with bank logos and their facsimiles; 
banking practices; and damage modeling. Proposed Co-Lead Counsel recognizes that tasks 
associated with these case needs may have to be performed simultaneously and will require 
substantial input from attorneys with in-depth understanding of the facts and legal issues in this 
case. Additionally, Proposed Co-Lead Counsel believes that cooperation and collaboration 
between Plaintiffs’ attorneys can afford Plaintiffs and the Class with the best opportunity to 
achieve a meaningful result in this litigation. 
21. 
Thus, in addition to Interim Co-Lead Counsel of Lieff Cabraser Heimann & 
Bernstein, LLP and Burns Charest LLP, Plaintiffs and the class in this litigation will benefit from 
the assistance, experience, and expertise of counsel serving on the Plaintiffs’ Steering Committee 
(“PSC”), which consists of Nussbaum Law Group, P.C.; Reinhardt, Wendorf, & Blanchfield; 
Robins Kaplan, LLP; and Spector Roseman & Kodroff, PC. Descriptions of these firms are found 
in the Declaration of Rachel Geman in Support of Stipulation to Consolidate Actions and Appoint 
Interim Co-Lead Class Counsel, and will not be repeated here in the interest of efficiency and 
brevity. 
22. 
Based on their vast experience and as evidenced by their past successes, it is my 
opinion that Proposed Co-Lead Counsel and the proposed PSC members understand the 
magnitude of personnel and financial resources this case will require and will continue to commit 
their resources to this case.  
23. 
Finally, Proposed Co-Lead Counsel will draw upon more junior attorneys and 
support staff for appropriate tasks so as to prosecute the case as efficiently as possible for the 
benefit of the Class. Similarly, when Proposed PSC members are called upon to assist in the 
Case 4:20-cv-03056-DMR     Document 51-2     Filed 07/17/20     Page 9 of 10

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DECL OF SHAWN M. KENNEDY ISO  
STIPULATION TO CONSOLIDATE ACTIONS AND APPOINT  
INTERIM CO-LEAD CLASS COUNSEL
CASE NO. 4:20-CV-03056-DMR
 
litigation, Proposed Co-Lead Counsel will make sure that tasks are assigned to individuals based 
on their appropriate expertise and skill level, so as to minimize cost to the Class. 
* 
* 
* 
I declare under penalty of perjury under the laws of the United States that the foregoing is 
true and correct. Executed this 17 day of July, 2020, in Newport Beach, California. 
 
 
 
 
 
 
/s/ Shawn M. Kennedy 
 
Shawn M. Kennedy
 
 
Case 4:20-cv-03056-DMR     Document 51-2     Filed 07/17/20     Page 10 of 10

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