Papa John's Agrees to $16.5M Text Spam Class Action Settlement

By Kimberly Mirando

Papa John’s agreed on Friday to a $16.5 million class action lawsuit settlement over allegations it sent unwanted text messages to customers in violation of the Telephone Consumer Protection Act. If approved, the settlement will provide cash payments of $50 to eligible Class Members and a voucher for a free Papa John’s pizza.

Issues that Make Early Termination Fees Unlawful

By John Curran

Recurring monthly bills from a company that provides a service such as payment processing or home and business security are supposed to benefit both sides. For the service provider, they can create a stream of revenue for years to come, while users should be able to lock in a rate and get the protection or business help they deserve. Some people are wondering if the users are missing out because of onerous early termination fees.

Recent class action lawsuits over early termination fees (ETFs) argue that these contracts should be covered by the Truth in Lending Act because they cover more than four installment payments. If that is the case, consumer attorneys say these contracts do not accurately mention what costs are involved over the term of a contract that can last years. In the case of one alarm company provider, they say that the front page of the contract lists a monthly fee penciled in, but there is little other information.

Drywall Price-Fixing Class Action Lawsuits Move Forward

By John Curran

General contractors and consumers who renovated their homes may have paid too much for sheet rock, according to claims raised in a new drywall price-fixing class action lawsuit investigation. Several class action lawsuits have already reached the courtroom, with some cases citing antitrust collusion on behalf of private citizens and others focusing on vendors such as Home Depot, Lowes and other home improvement stores.

The allegations of activities are generally the same, however. Gypsum, the key component used in drywall, is a commonly occurring material that is relatively cheap to use. Therefore, with the loss of revenue due to the housing bubble bursting, several manufacturers are alleged to have fixed the prices of drywall.

Redbox Wants Text Message Class Action Lawsuit Dismissed

By Jessica Tyner

The Telephone Consumer Protection Act (TCPA) was put into effect in 1991. The law protects consumers against getting sales calls they never signed up for, but as technology has changed, so has TCPA rules. It’s now illegal for a business to send a text message unless the consumer has signed up for services or requested to be contacted. That’s why you’re not getting endless text messages from companies wanting you to buy everything from massage services to guitars.