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Datto Charges for Open Mesh Devices’ “Lifetime License” Class Action

This class action brings suit against Open Mesh, Inc. and its purchaser, Datto, Inc., for false advertising, for not providing the services they promised for Open Mesh devices. The complaint alleges that Open Mesh falsely advertised that the devices came with a “lifetime cloud license” and “automatic firmware updates,” but consumers were later told they had to pay a monthly fee to receive these things.

The class for this action is all consumers who bought Open Mesh devices that require a connection to Cloudtrax to function, between 2007 and the present.

The products in question are cloud-managed network devices. The devices, which include access points, switches, and routers, are meant to connect to Open Mesh’s cloud-managed platform Cloudtrax, which the complaint calls “a cloud-based network controller.” Without Cloudtrax, the complaint alleges, the devices are useless.

The complaint alleges, “Their customers use these devices not only for internet activity and Wi-Fi, but also as a scalable foundation for a variety of other Internet of Things (IoT) cloud managed devices and systems, to wit[,] cameras, sensors, point of purchase systems, etc.”

The devices were originally sold by Open Mesh. In 2016, Datto bought Open Mesh. The complaint alleges that after the purchase, Datto “adopted a new pricing model which required all users to pay a monthly fee to maintain” their use of Cloudtrax. Users who do not want to pay this fee, the complaint claims, must partially or completely replace their hardware and change to another provider.

For example, one of the plaintiffs in this case, Paul Feinberg, had several Open Mesh devices. In 2021, one of them failed and disconnected from the WiFi. Feinberg had another that he could put in its place, but it was connected to another network. To make the change, the complaint says, he had to contact Open Mesh and Datto.

The complaint alleges, “Feinberg contacted Open Mesh’s customer support multiple times through phone calls and emails, but was never able to reach Open Mesh and never received a response to his numerous attempts to contact Open Mesh.”

Although he then tried to contact Datto’s customers support, he did not receive any help. The complaint claims, “Datto claimed that because the devices were not from their company they couldn’t provide Feinberg with much assistance. The Datto customer support agent mentioned to Feinberg that if he purchased a monthly subscription from Datto for Cloudtrax[] that it could bring his devices back online.”

The complaint alleges, “At all times mentioned hereto, Datto has not allowed for their devices to be unlocked and used with another network platform.”

According to the complaint, the plaintiffs in this case believe that Datto has put out an “End of Life” and “End of Support” statement to users, “informing them that their lifetime cloud license and customer support would be cut off by December 31, 2021, absent their agreement to pay a monthly maintenance fee.”

Article Type: Lawsuit
Topic: Consumer

Most Recent Case Event

Datto Charges for Open Mesh Devices’ “Lifetime License” Complaint

October 25, 2021

This class action brings suit against Open Mesh, Inc. and its purchaser, Datto, Inc., for false advertising, for not providing the services they promised for Open Mesh devices. The complaint alleges that Open Mesh falsely advertised that the devices came with a “lifetime cloud license” and “automatic firmware updates,” but consumers were later told they had to pay a monthly fee to receive these things.

Datto Charges for Open Mesh Devices’ “Lifetime License” Complaint

Case Event History

Datto Charges for Open Mesh Devices’ “Lifetime License” Complaint

October 25, 2021

This class action brings suit against Open Mesh, Inc. and its purchaser, Datto, Inc., for false advertising, for not providing the services they promised for Open Mesh devices. The complaint alleges that Open Mesh falsely advertised that the devices came with a “lifetime cloud license” and “automatic firmware updates,” but consumers were later told they had to pay a monthly fee to receive these things.

Datto Charges for Open Mesh Devices’ “Lifetime License” Complaint
Tags: Deceptive Advertising, Reneging on lifetime promises