Hot Topic Facing $3M Text Spam Class Action Settlement

A class action filed by Hot Topic consumers against the corporation is seeking approval from a judge on a nearly $3 million deal to settle claims that the company violated the Telephone Consumer Protection Act (TCPA) by sending unsolicited text messages to consumers.

Hot Topic TCPA Lawsuit

Under the terms laid out in the motion for the settlement, retail store Hot Topic will pay out $2.9 million to a class of consumers who received at least one text message from Hot Topic between August 2012 and the date that the motion is approved. The amount awarded to each consumer will depend on the total number of consumers who file claims and join the class. In addition to the financial amount, Hot Topic has also agreed to alter their marketing practices and ensure that their promotional messages are not in violation of the TCPA.

According to the Hot Topic lawsuit, plaintiff Diana S. received a message in November 2015 alerting her that she been subscribed to receive Hot Topic text alerts. Diana claims that she gave Hot Topic her cell phone number during check out, but never agreed to receive unsolicited text messages from the retailer.

Although Hot Topic claims that Diana made an online purchase and failed to uncheck a pre-checked box allowing the retailer to send her text messages, the judge in the case denied Hot Topic’s attempts to stay the case.

If Hot Topic is found to have sent consumers unsolicited text messages, these marketing messages would be a violation of the TCPA. According to the terms of the TCPA, use of automatic dialing and texting systems to contact consumers are prohibited without the express consent of the consumers.

About the TCPA

The Telephone Consumer Protection Act was initially passed in 1991 to protect consumers from being harassed by solicitors.

The TCPA prohibits autodialed calls and texts to consumers without their explicit consent. According to the TCPA, these calls and messages are intrusive and an invasion of privacy. Receiving these calls and messages may be time consuming, costly, and irritating.

In addition to prohibiting solicitors from making calls to consumers without consent, the TCPA also governs the ways in which solicitors may contact consumers – with specific rules for telemarketing and robocalls. Solicitors are generally prohibited from contacting consumers before 8 a.m. or after 9 p.m. Additionally, they must abide by the national Do Not Call list, as well as keeping their own company-specific do-not-call lists.

Consumers who have been subject to violations of the TCPA may be able to sue for between $500 to $1,500 for each violation.

If you have received unsolicited text messages from Hot Topic or another retailer, you may be able to hire an attorney versed in consumer privacy law and file a TCPA class action lawsuit. Victims of TCPA violations may be able to recoup hundreds of dollars per each violation. TCPA class action lawsuits like this one have settled for millions of dollars.

Diana’s Hot Topic Unsolicited Text Messages Lawsuit is Case No: 2:16-cv-05124, in the U.S. District Court for the Central District of California.

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.

Get a Free Case Evaluation Now

This article is not legal advice. It is presented
for informational purposes only.