Stryker Hit with Class Action Lawsuit Over Junk Faxes
By Jessica Tyner
Stryker Corporation has been hit with a new class action lawsuit over claims it sent unsolicited fax advertisements to medical practices in violation of the Telephone Consumer Protection Act (TCPA). The Stryker fax class action comes amidst hundreds of lawsuits claiming Stryker manufactured and sold faulty hip implants that prematurely failed and injured patients.
Cincinnati medial practice Physicians Healthsource Inc. alleges in the class action lawsuit that Stryker sent over 15,000 faxed advertisements promoting its orthopedic technology advances to over 8,000 companies in violation of the TCPA. The TCPA has existed since the 1970s to protect consumers from getting blasted with telemarketing and harassing outreach. In 2006, the Federal Trade Commission — the agency that oversees TCPA regulations — updated the language to include fax messages in TCPA law.
Under the law, there must be clear language on the fax informing recipients how to opt-out of future communication, even if the fax sender has a current relationship with the recipient. Otherwise, companies like Physicians Healthsource have no way to stop the faxes short of delving into research and spending precious time and effort trying to stop the annoying telemarketing faxes.
Physicians Healthsource claims they can prove there was no opt-out information included in any of the thousands of faxes Stryker allegedly sent. The plaintiffs are seeking to represent all businesses who received an unsolicited Stryker fax dating back to the summer of 2008.
Stryker allegedly faxed companies after buying a contact information list from Red-Mail Direct Marketing Inc. Red-Mail obtained their information from the American Medication Association, and a third party was used to actually fax the messages, according to the class action lawsuit.
Physicians Healthsource also points out that Stryker must voluntarily get the information from the source. It’s also illegal under TCPA rules to purchase contact information for the purpose of violating TCPA contact rules. It’s alleged that Stryker is facing three unique violations of TCPA rules: Failing to include opt out language, failing to have an existing business relationships with the companies contacted, and failing to get the information voluntarily.
Stryker Strikes Back
It might seem like an open-and-shut case, but Stryker did find one leg to stand on. The company tried to get the potential class action lawsuit stopped in August 2012 by claiming that the faxes were informational only — they weren’t trying to sell a product or service. While it’s true that the faxes urged primary care physicians to attend an informational session, that session wasn’t free. A judge dismissed Stryker’s plea for a dismissal, and all signs point to this class action lawsuit moving forward.
However, the judge dismissed the plea on the grounds of it being premature. It might pop up again in the future. The judge said, “The seminar fax could be construed as an advertisement depending on fact-finding inferences.”
Whether or not the fax was informational or an advertisement will likely be something that’s sorted out down the road. Thus far, the judge hasn’t granted class action lawsuit status to the claims either. However, that doesn’t mean it won’t blossom into one if more TCPA victims step forward. Given that Physicians Healthsource estimates that thousands of other companies also received those faxes, it’s still a possibility.
TCPA laws exist so that consumers and companies aren’t legally bombarded with advertisements. In some cases, it costs money to receive messages. Companies and people shouldn’t have to pay to receive ads they never agreed to.
The Stryker Fax Class Action Lawsuit case is Physicians Healthsource Inc. v. Stryker Sales Corp. et al., Case No: 1:12-cv-00729, U.S. District Court for the Western District of Michigan.
Have You Received Faxes, Texts or Calls that Violate TCPA Regulations?
Do you think you’ve been a victim of TCPA rule violation? Visit the Text Message Spam, Cell Phone Call TCPA Class Action Lawsuit Settlement Investigation to learn more. It’s possible that you qualify for a TCPA legal claim, no matter who the company is who’s sending you messages. Violation of TCPA rules and regulations is a big deal, and there might already be a class action lawsuit you can join. There are options available, and help might be just a few moments away. Once you submit your information, an attorney will contact you if you have a case for your free TCPA claim review.
Updated July 30th, 2013
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