By Laura Schultz  |  June 1, 2015

Category: Consumer News

Costco Wholesale Corp. was recently hit with two separate TCPA class action lawsuits alleging that the retailer violated the Telephone Consumer Protection Act by sending unsolicited faxes to potential customers.

The TCPA class action lawsuits were recently filed in Illinois and Missouri and were filed for similar grievances. According to the unsolicited fax lawsuits, Costco initiated an advertising campaign that violated the Telephone Consumer Protection Act (TCPA) and participated in an unfair practice by engaging in conduct that was unscrupulous and caused injury to the recipients.

The TCPA class action lawsuits allege that Costco’s advertising campaign sent faxes to several potential plaintiffs. This forced the plaintiffs to use their own supplies and resources to print the faxed advertisements, shifting the advertising costs from Costco to the plaintiffs.

It is estimated that Costco saved over $400,000 by using the recipients’ fax machines rather than printing the flyers themselves. The TCPA class action lawsuits are brought on behalf of all the recipients who received unsolicited faxes from Costco. The TCPA lawsuits ask for damages to cover the invasion of privacy of the plaintiffs as well as the cost of printing, paper, and ink. The lawsuits also seek statutory damages for violating the TCPA.

Overview of the TCPA

The Telephone Consumer Protection Act was enacted in 1991. The purpose of the act was to protect consumers from harassing telemarketers and other types of solicitors. The TCPA protects consumers for unsolicited contact by businesses.

The TCPA prohibits not only sending unsolicited texts, and prerecorded phone messages, but also the sending of unsolicited advertisements to any fax machine whether it belongs to a business or personal residence.

Overview of TCPA Lawsuits

Consumers who have received unsolicited contact in violation of the TCPA have the opportunity to file a TCPA class action lawsuit against the offenders. Statutory damages may be collected in amounts between $500 and $1,500 per violation.

Potential plaintiffs who are contemplating filing TCPA class action lawsuits should take care to create a record of the violations. It is suggested that alleged victims save all messages they receive, make a written record of any contact, and make copies of any written requests to revoke consent to receiving contact.

Several companies have recently faced class action lawsuits for violating the TCPA. These companies include Wal-Mart, Chase Bank, Wells Fargo, American Express, Rite Aid, and Costco Wholesale. Other companies that may have violated the TCPA include Kroger, Bloomingdales, 24 Hour Fitness, Kroger, Time Warner Cable, and several other companies.

The Costco TCPA Class Action Lawsuits are Case No. 1:15-cv-03870, in the U.S. District Court for the Northern District of Illinois and Case 4:15-cv-00327, in the U.S. District Court for the Western District of Missouri.

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

We tell you about cash you can claim EVERY WEEK! Sign up for our free newsletter.


Leave a Reply

Your email address will not be published. By submitting your comment and contact information, you agree to receive marketing emails from Top Class Actions regarding this and/or similar lawsuits or settlements, and/or to be contacted by an attorney or law firm to discuss the details of your potential case at no charge to you if you qualify. Required fields are marked *

Please note: Top Class Actions is not a settlement administrator or law firm. Top Class Actions is a legal news source that reports on class action lawsuits, class action settlements, drug injury lawsuits and product liability lawsuits. Top Class Actions does not process claims and we cannot advise you on the status of any class action settlement claim. You must contact the settlement administrator or your attorney for any updates regarding your claim status, claim form or questions about when payments are expected to be mailed out.