Parties Settle Path TCPA Lawsuit Over Text Spam

The mobile social networking service Path has agreed to settle a TCPA lawsuit claiming that the company sent unwanted text messages.

Plaintiff Kevin S. alleges that Path violated the Telephone Consumer Protection Act (TCPA) by using an automated texting system to send him a message. The TCPA prevents companies from using automated dialing systems and from sending texts or making phone calls without first receiving the consumer’s permission. Kevin alleges that there was no human interaction in these messages, he had no option to ask not to receive the texts, and he did not give Path permission to contact him.

Telephone Consumer Protection Act

Congress passed the TCPA in 1991 after the government found that a number of consumers were being harassed by companies making unwanted telephone calls or faxes. More recently, Congress updated the TCPA to include spam text messages, because texts have become one of the most common and frequent forms of communications.

Additionally, the TCPA prohibits companies from using automated dialing systems to call consumers. Commercial callers must be able to identify themselves, what company they work for, and be able to provide an opt-out option for call recipients.

Overview of TCPA Allegations

Kevin filed the Path lawsuit in 2013, alleging he received unwanted text messages from Path, which informed him that a Path user wanted to show him photos using the service. The text included a link for Kevin to join the service, but no opt-out option for him to stop receiving messages.

Earlier in the case, Path argued the case should be dismissed because the company does not use an automated dialing system, but only sends SMS messages to phone numbers that were provided by Path users. The court did not agree and refused to dismiss the Path TCPA lawsuit.

Kevin ultimately withdrew his TCPA lawsuit from federal court in late June and settled in state court. Kevin’s attorneys explained that the decision to move to state court was prompted by a concern that the U.S. Supreme Court’s recent decision to review a separate case under a different consumer protection law, the Fair Credit Reporting Act, could affect the settlement in the Path case.

The other case concerns the accuracy of a search engine, Spokeo, that lets users search for information about other people. Spokeo argues that it shouldn’t be subject to a federal lawsuit unless the plaintiffs can provide proof that the search engine’s errors were harmful.

On the same day it settled Kevin’s case, Path confirmed that it sold its social networking app to a South Korean company, Daum Kakao.

Join a Free TCPA Class Action Lawsuit Investigation

If you were contacted on your cell phone by a company via an unsolicited text message (text spam) or prerecorded voice message (robocall), you may be eligible for compensation under the Telephone Consumer Protection Act.

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