Brigette Honaker  |  October 8, 2020

Category: Legal News

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Close up of marijuana vuds

Cannabis companies that send unsolicited and unwanted spam text messages could wind up as defendants in class action lawsuits.

Why are Cannabis Companies Sending Spam Texts?

Text messages are often used by businesses to market goods, services, or promotions. Consumers may give their contact information during transactions – information which is later used to inform them of sales and special events.

Although cannabis is not legal in every state, dispensaries have popped up in those where it’s permitted for medical and/or recreational use. These states include Arizona, California, Florida, Washington, Oregon, Nevada, Idaho, Colorado, New York, New Hampshire, Montana, Ohio, Michigan, Connecticut, and more.

Cannabis companies in these states may have violated federal law by sending unwanted text messages to advertise sales, promotions, or products despite consumers never consenting to receive them.

mobile text and mail icons Are These Unwanted Texts Illegal?

If cannabis companies failed to get consumer consent before sending unsolicited text messages, they may be in violation of the Telephone Consumer Protect Act (TCPA).

Congress passed the TCPA in 1991 to help protect consumers from annoying telemarketing calls. Since its inception, the TCPA has been routinely updated by the Federal Communications Commission (FCC) to keep its protections relevant to include telemarketing spam texts and junk faxes.

What are the TCPA Laws on Spam Texts?

Under the TCPA, cannabis companies and other companies must receive express prior written consent before sending consumers any marketing texts or calls. This is especially true if telemarketing texts are placed en masse with the use of an automatic dialing system. Failure to follow this guideline can result in TCPA violations.

The TCPA also prohibits harassing phone calls, requires an interactive opt-out mechanism, and prevents companies from justifying telemarketing with an “established business relationship.”

How Can You Stop Unwanted Texts from Cannabis Companies?

If you have received unwanted spam texts from cannabis dispensaries, you may be able to take action to make it stop.

If you haven’t already, a good first step may be to enroll your phone number on the National Do Not Call Registry. By registering your number on this list, you are informing companies that you do not consent to receive telemarketing messages. Under the TCPA, businesses must comply with these requests within a month.

You may also be able to directly ask a cannabis dispensary to stop contacting you. Some messages have a built-in opt-out mechanism in which consumers can text “stop” or other words to stop texts. However, this may not always be effective. Some consumers have reported receiving continued texts despite opting out.

Should these measures fail to stop unsolicited text messages from cannabis companies, you may be able to take legal action. Filing a class action lawsuit against a company that violated the TCPA may result in significant compensation as well as force dispensaries to cease sending unwanted text messages.

Have Any Cannabis Companies TCPA Lawsuits Been Filed?

Several cannabis companies have been sued for TCPA violations. In the TCPA class action lawsuits, consumers claim that they never consented to receive spam texts and that the dispensaries, therefore, are in violation of federal law. Consumers seek damages and other forms of compensation from cannabis companies.

In July, a Michigan man took legal action against Gage Cannabis for allegedly sending a barrage of advertising texts to his cell phone. The plaintiff claimed that he had never consented to receive texts but Gage Cannabis sent numerous text messages to the plaintiff and many other consumers in an attempt to drive sales.

During the same month, California resident Jacqueline J. filed a similar class action against Euphoria Wellness, a Nevada marijuana dispensary. Like Gage Cannabis, Euphoria Wellness allegedly violated the TCPA by sending unsolicited marketing texts to consumers. Jacqueline maintains that she never provided her number to Euphoria Wellness and she never consented to receive text messages.

Consumers nationwide may be able to file or join a TCPA class action lawsuit against cannabis companies if they received unsolicited text messages or calls for advertising or marketing purposes.

Under the TCPA, individuals who receive unsolicited communications may be eligible to receive up to $1,500 in damages per violation. In TCPA class action lawsuits, where hundreds or thousands of violations are alleged, companies could be on the hook for a large sum.

Join a Free Marijuana Dispensary Unwanted Text Messages Lawsuit Investigation

If you received an unsolicited text message, ringless voicemail, robocall, and/or a call with a pre-recorded voice from a marijuana dispensary, you may be able to join a FREE marijuana dispensary unwanted text message class action lawsuit investigation.

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

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