On July 26, 2024, Pull-A-Part, LLC, a junkyard and auto salvage company, was sued in the United States District Court for the Northern District of Georgia for allegedly failing to honor Do Not Call (“DNC”) opt-out requests in violation of the Telephone Consumer Protection Act (“TCPA”). As our readers are aware, the TCPA requires that telemarketing companies maintain a DNC list of consumers that have opted out from receiving future telemarketing calls/texts. Failure to comply with the TCPA’s DNC rules is a violation of the TCPA and creates a private right of action to recover statutory damages.
Alleged Failure to Maintain DNC Opt-Out List Results in Lawsuit
Our readers may recall that the TCPA requires any person or entity that makes any call (or sends any text message) for telemarketing purposes to maintain a record of a consumer’s DNC opt-out request not to receive further calls/texts. In Raymond v. Pull-A-Part, LLC, Plaintiff alleged that Defendant failed to maintain a DNC list of consumers who opted out of receiving telemarketing calls/texts. To support Plaintiff’s allegations, the Complaint contained a litany of screenshots allegedly demonstrating that: (1) Plaintiff received text messages from Defendant; (2) Plaintiff responded to these text messages with “STOP” requests; and (3) Defendant responded to each “STOP” request with a message stating “[y]ou have successfully unsubscribed from Pull-A-Part Account Alerts & will receive no more messages. Reply HELP for Help. Text RESUME to Continue receiving msgs.” Notwithstanding these “STOP” requests, Plaintiff alleged that Defendant continued sending him text messages. Because Plaintiff opted out, and Defendant continued sending Plaintiff text messages, each of the six subsequent text messages may have violated the TCPA’s DNC provisions.
Plaintiff filed a putative class action lawsuit claiming that Defendant violated the TCPA’s DNC provisions by: (1) refusing to honor opt-out requests; (2) failing to implement a written policy for maintaining a do-not-call list; (3) failing to train its personnel on the existence and use of the do-not-call list; and (4) initiating telephone solicitations to individuals whose numbers were on the National Do Not Call Registry. Plaintiff asserted these claims on behalf of himself and two separate classes consisting of all persons in the United States who, among other things, (i) received a text message from Defendant after requesting that Defendant stop sending text messages, or (ii) received a text message from Defendant despite that person’s phone number being listed on the National Do Not Call Registry. Because the TCPA allows for class members to recover damages of $500 to $1,500 per violation, it is imperative that telemarketing companies familiarize themselves with the TCPA’s DNC compliance provisions.
Does Your Business Have Procedures to Honor DNC Opt-Outs?
Given the TCPA’s complexity and the rapid evolution of communications technology today, navigating the TCPA presents many ongoing compliance challenges for telemarketing companies. This case presents yet another example of the importance for companies to: (1) promptly honor consumer opt-out requests; (2) maintain their own, internal do not call lists; and (3) train employees to regularly scrub against internal do not call lists and the National Do Not Call Registry before contacting consumers. Although it is difficult to avoid potential TCPA liability, following the aforementioned procedures before contacting existing or prospective customers can curtail your business’s TCPA-related exposure.
The attorneys at Klein Moynihan Turco routinely advise clients on DNC compliance and regularly defend companies in TCPA class action matters.
If you need assistance with defending a lawsuit or updating your telemarketing compliance practices and procedures, please email us at info@kleinmoynihan.com or call us at (212) 246-0900.
The material contained herein is provided for informational purposes only and is not legal advice nor is it a substitute for seeking legal advice from an attorney. Each situation is unique, and you should not act or rely on any information contained herein without seeking the advice of an experienced attorney.
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