Nasty Political Campaign Results In Potential Liability For VoIP Providers But Not Voice Actors

As we approach the November 2018 midterm elections, we expect that we will once again see (i) an uptick in the volume of political calls; (ii) a reminder from the FCC that the TCPA applies to those calls (emphasizing that such calls are prohibited if made to cell phones without the consent of the called party, and that all prerecorded calls to cell phones or landlines must comply with certain identification and line release requirements); and (iii) a handful of new lawsuits filed against campaigns, candidates, and committees that allegedly failed to heed the FCC’s warning—all topics we have covered here before. Two recent decisions from a federal court in West Virginia pertaining to the 2016 election serve as a reminder that these lawsuits can linger long after the election ends Continue reading   »

Save the Date! Drinker Biddle’s TCPA Team to Host TCPA Conference on November 14th

Please join our TCPA Team and distinguished panelists in our Washington, D.C. office on the afternoon of November 14th to discuss the evolving regulatory landscape, best practices for mitigating risk, and strategies for defending suits brought under the TCPA.  The FCC regulations that added fuel to the TCPA fire—and, perhaps not coincidentally, this blog—will soon enjoy their fifth anniversary. And yet class actions and compliance questions continue to mount. Our experienced regulatory and class action counsel will discuss these and other important issues with a number of special guests, including:

  • Peggy Daley, Berkley Research Group
  • Robert DeWitte, Kurtzman Carson Consultants LLC
  • Mary Ellen Kleiman, National Association of Chain Drug Stores
  • William Maxson, Federal Trade Commission
  • Joseph Wender, Senior Policy Advisor, Office of U.S. Sen. Edward J. Markey
  • Hassan Zavareei, Tycko & Zavareei LLP

CLE credits will be available and a cocktail reception will be held after the conference. If you would like to attend, please contact us at TCPAteam@dbr.com.

 

Following ACA Int’l, Third Circuit Holds that Yahoo!’s Email-to-Text System is not an ATDS

The Third Circuit recently affirmed the Eastern District of Pennsylvania’s finding that Yahoo!’s email-to-text alert system does not qualify as an automatic telephone dialing system (“ATDS”). (Our previous discussions of this case are here, here, and here.) Following the District of Columbia Circuit’s decision in ACA Int’l v. FCC, 885 F.3d 687 (D.C. Cir. 2018), the Third Circuit held that the system at issue must be analyzed using a “present capacity” standard and that the plaintiff had failed to present any evidence to show that, under this standard, the system could function as an autodialer. Continue reading   »

FCC and FTC Announce Two Upcoming Joint Events Aimed at Combatting Illegal Robocalls

On March 7, 2018, the Federal Communications Commission and the Federal Trade Commission issued a joint announcement regarding two upcoming events “aimed at furthering the fight against illegal robocalls and caller ID spoofing.” The announcement states that the events will “highlight cooperative efforts by the two agencies to combat illegal calls and promote innovative solutions to protect consumers.” The first event is a policy forum the two agencies will be co-hosting on March 23, 2018. The agencies intend to discuss “the regulatory challenges posed by illegal robocalls and what the FCC and FTC are doing to both protect consumers and encourage the development of private-sector solutions” at the forum. Additional information on the forum is available here. The second event is an expo the two agencies will be co-hosting on April 23, 2018. The Stop Illegal Robocalls Expo will showcase “technologies, devices, and applications to minimize or eliminate the illegal robocalls consumers receive.” Additional information on the expo, including how to participate in the expo, is available here.

Supreme Court Denies Petition Seeking Review of D.C. Circuit Fax Decision Holding that FCC Exceeded Its Authority

The Supreme Court today denied the petition for certiorari filed by the class action plaintiffs in Bais Yaakov of Spring Valley v. FCC, thus leaving in place the D.C. Circuit’s ruling that “although the [Telephone Consumer Protection Act] requires an opt-out notice on unsolicited fax advertisements, the Act does not require a similar opt-out notice on solicited fax advertisements . . . . [nor does it] grant the FCC authority to require opt-out notices on solicited fax advertisements.”  852 F.3d 1078, 1082 (D.C. Cir. 2017).  Our summary of the briefing on the petition is available here.

As we’ve discussed previously, the D.C. Circuit’s ruling (binding nationwide pursuant to the Hobbs Act) makes it much tougher for plaintiffs in TCPA fax suits to certify a class.  The plaintiffs’ bar has typically sought to certify classes based on violations of the opt-out notice requirement for solicited faxes, because a class defined in such a way side-stepped the inherently individualized issue of whether the fax was solicited or not. With the opt-out notice requirement for solicited faxes eliminated, plaintiffs’ attorneys have a much tougher challenge.  Indeed, in Alpha Tech Pet, Inc. v. Lagasse, LLC, No. 16 C 513, 2017 U.S. Dist. LEXIS 182499 (N.D. Ill. Nov. 3, 2017), a district court relying on the D.C. Circuit’s decision found that individualized issues of consent precluded certification of a class of fax recipients where certification could not be premised on whether the faxes included an opt-out notice.  The plaintiff in Alpha Tech has appealed that decision, arguing (among other things) that the D.C. Circuit’s decision is not binding in the Seventh Circuit.  Given the significance of this issue for the plaintiff’s bar, we can expect to continue to see collateral challenges like this to the repeal of the FCC’s solicited fax rule notwithstanding that the D.C. Circuit’s decision in Bais Yaakov is now final.

Briefing Concludes on Cert Petition Seeking Supreme Court Review of D.C. Circuit Fax Decision

On January 30, 2018, briefing closed on the petition for certiorari filed in the Supreme Court by the class action plaintiffs in Bais Yaakov of Spring Valley v. FCC.  The class action plaintiffs are seeking review of the D.C. Circuit’s March 2017 decision (discussed at length here, here, here, and here) holding that the FCC exceeded its statutory authority when it promulgated regulations in 2006 requiring that a fax advertisement sent with the prior express consent of the recipient include an opt-out notice because “although the Act requires an opt-out notice on unsolicited fax advertisements, the Act does not require a similar opt-out notice on solicited fax advertisements . . . . [nor does it] grant the FCC authority to require opt-out notices on solicited fax advertisements.”  Bais Yaakov of Spring Valley v. FCC, 852 F.3d 1078, 1082 (D.C. Cir. 2017). Continue reading   »

Court Compels Arbitration of TCPA Claims Due to Broad Arbitration Agreement with Survival Clause

A recent decision from the Northern District of Ohio highlights the importance of having a carefully drafted arbitration agreement in callers’ customer-facing contracts. See Treinish v. BorrowersFirst, Inc., No. 17-1371, 2017 U.S. Dist. LEXIS 145772 (N.D. Ohio Sept. 8, 2017).

The Plaintiff in Treinish had borrowed money from the Defendant. Id. at *1. Their contract contained two notable provisions: a provision that agreed to resolve disputes in arbitration and a provision that consented to receive automated calls from the Defendant and related entities on her cellphone. Id. at *1-2. Continue reading   »

The TCPA and Its Implications for Credit Unions

TCPA Blog contributor Michael Stortz and TCPA Blog editor Michael Daly will discuss the TCPA at the Regulatory Compliance Seminar of the National Association of Federally-Insured Credit Unions (NAFCU) on October 10, 2017. This discussion will provide an overview of the statute, including recent regulatory developments at the FCC and recent judicial interpretations of the statute’s applicability and requirements. It will also explore the potential risks that credit unions face and best practices for proactively managing them.

For more information about the seminar, please visit the NAFCU website.

Independent Contractor vs. Agent under the TCPA

The Ninth Circuit Court of Appeals went back to the basics in addressing whether a telemarketing vendor acted as defendant’s authorized agent for purposes of TCPA liability. In Jones v. Royal Admin. Servs., Inc., No. 15-17328, 2017 WL 3401317 (9th Cir. Aug. 9, 2017) (“Jones”), the Ninth Circuit endorsed the time-honored multi-factor test set forth in Restatement (Second) Of Agency, and on that basis affirmed the district court’s grant of summary judgment. The decision provides further reassurance that traditional agency principles apply in assessing potential TCPA exposure related to calls.

Continue reading   »