Phone Sex Company Beats Text Spam Class Action Lawsuit
By Jessica Tyner
Any kind of company can be caught up in a class action lawsuit, including phone sex businesses. Network Telephone Services Inc. (NTS) might not have a very saucy name, and the company showed its business side when plaintiffs rallied together to file TCPA class action lawsuit against the company for sending unsolicited text messages who had used its services.
Lead plaintiff Paul Gannon filed class action lawsuit against NTS, Decade Communications Inc., Frontier Credit Inc., American Operator Services Inc. and executives of NTS in late 2012. Gannon says the companies used automated dialing systems to text customers who had never given consent, a direct violation of the federal Telephone Consumer Protection Act (TCPA). The judge disagreed and denied certification to the class action lawsuit in June, saying Gannon failed to define a clear-cut Class.
U.S. District Judge R. Gary Klausner denied Gannon’s motion to certify the NTS class action lawsuit because there was no way to figure out exactly who would be included in the proposed Class. It would take a lot of time, effort and money to research each individual, and Judge Klausner ultimate said it was unfeasible. While there may be a valid TCPA class action lawsuit, it wasn’t worth the courts effort for this particular case.
NTS is a huge business with about 45,000 phone sex and sex text lines operating in the U.S. According to Gannon, the many companies and executives working together for this money-making business have been in cahoots since 2008 to spam text consumers.
Judge Klausner noted that the companies only text people who first initiated contact, almost always by calling a phone sex line. However, callers are given options for opting out, and the print ads for NTS (both online and in hard copy) clearly state that customers will receive texts — only people who don’t opt out within one week of calling will receive texts.
Gannon’s Faux Pas
According to Gannon, he never meant to call a phone sex line and hung up when he realized his mistake. A few weeks later, he received a text that included instructions for opting out (which he didn’t). He continued to receive texts from the company. He tried to create a class action lawsuit that included anyone in the U.S. who received texts after November 2008, but ultimately failed.
The judge simply couldn’t see an effective way of determining potentially thousands of eligible plaintiffs. However, other TCPA class action lawsuits have asserted solid claims that have garnered millions of dollars in damages for plaintiffs and Class Members.
Do You Have a TCPA Complaint?
Many TCPA class action lawsuits are very successful. If you think you’ve been contacted illegally by a company using an automated system, whether via calls, text or fax, you might have a TCPA legal claim. There are numerous class action lawsuits being filed right now.
You can learn more by visiting the Text Message Spam, Cell Phone Call TCPA Class Action Lawsuit Settlement Investigation. After you submit your information, a lawyer will contact you to discuss your free TCPA claim review if you have a case.
Updated July 8th, 2013
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