Opinion ID: 146507
Heading Depth: 3
Heading Rank: 3

Heading: Reasonable Avoidability

Text: In determining whether consumers' injuries were reasonably avoidable, courts look to whether the consumers had a free and informed choice. See Am. Fin. Servs. Ass'n, 767 F.2d at 976. Qchex argues that there are triable issues of fact as to whether consumers could reasonably have avoided their alleged injuries. Although the district court addressed consumers' ability to avoid injury before it occurred, Qchex argues that the court did not address the consumers' ability to mitigate damage after it occurred. See Orkin Exterminating Co., 849 F.2d at 1365 (discussing both anticipatory and subsequent mitigation). Qchex maintains that even if consumers were substantially injured, they were able to take reasonable steps to avoid loss by communicating with their banks after the unauthorized payments were discovered. The district court sufficiently addressed both avenues of mitigation. In denying Qchex's reconsideration motion, the court wrote: It is likely that some consumers never noticed the unauthorized withdrawals. Even if the consumer did notice, obtaining reimbursement required a substantial investment of time, trouble, aggravation, and money. Further, Defendants' uncooperativeness only increased this outlay. Neither could consumers mitigate the period of time during which they lost access to and use of the funds taken using Defendants' fraudulent checks. Regardless of whether a bank eventually restored consumers' money, the consumer suffered unavoidable injuries that could not be fully mitigated. Qchex has not shown that there is a material issue of fact as to whether consumer injuries were reasonably avoidable on either end of the fraudulent transactions.