Legal Eagle’s Devin Stone Initiates Class Action Lawsuit Against PayPal Regarding Honey's Practices

YouTuber Devin Stone, known as Legal Eagle, initiated a class action lawsuit against PayPal on December 29th, claiming that its Honey extension unlawfully substitutes creators' affiliate links with its own.

The lawsuit, filed in the Northern District Court of California by Stone's Eagle Team LLP alongside other YouTubers, accuses PayPal of breaching California’s Unfair Competition Law and interfering with the business relationships of creators.

It is alleged that Honey alters affiliate cookies during pop-up windows, reaping commissions without delivering any advantages. The lawsuit challenges PayPal’s justification based on “last-click attribution” practices, labeling Honey’s conduct as misleading.

The plaintiffs are pursuing damages and a court order to cease these actions. PayPal has denied the claims and intends to mount a strong defense. A dedicated website has been created for affected creators to participate in the lawsuit.