Number of TCPA Claims Up 50 Percent from Last Year
By Anne Bucher
Under the Telephone Consumer Protection Act of 1991 (TCPA), a company will be liable for a violation of the TCPA if the company initiates an unsolicited call to a consumer’s cell phone. The law was enacted to protect consumers from unsolicited telemarketing calls. As telephone and computer technology has improved over the years, enforcement of the TCPA has become increasingly challenging. The TCPA applies to any unsolicited communication that occurs via phone call, text message or fax machine.
Technology Has Increased Amount of Unsolicited Telemarketing Communication
Technological advances have made it possible for a company to make automated phone calls to thousands of consumers in less than a minute. When consumers answer the phone, they are frequently greeted with a prerecorded telemarketing message.
When these calls or text messages are sent to mobile phones, the consumer is frequently on the hook for charges by their wireless provider. As a result, the Federal Communications Commission (FCC) has cracked down on companies that use automated dialing technology to send telemarketing messages to large numbers of consumers. The agency created a National Do-Not-Call Registry for consumers to opt-out of unsolicited marketing. The FCC also enacted strict penalties on companies who violate the TCPA. These penalties include a fine ranging from $500 to $1,500 per violation. Because companies are able to contact thousands of consumers per minute, these penalties can quickly add up.
As Number of TCPA Lawsuits Continues to Rise, Companies Strive to Find Loopholes
Many people are getting fed up with the number of unsolicited communications they receive and are taking legal action against companies who violate the TCPA. As a result, the number of TCPA claims is increasing rapidly. Some reports suggest that the number of TCPA filings in 2012 increased by more than 50 percent from the previous year. Companies are quickly becoming overwhelmed by the number of TCPA claims and are spending significant legal fees to defend their claims.
Because the law is generally unable to keep up with the increasing technological advances, these companies attempt to take advantage of loopholes in the TCPA. Many companies who used third-party companies to send unwanted communications claimed that they did not violate the TCPA because the company did not make direct contact with the consumer. Earlier this month, the FCC clarified this loophole, holding that a company may be “vicariously liable” for a TCPA violation of a third-party telemarketer. This clarification has closed a loophole that many companies routinely exploited.
Exercise Your Legal Rights
If you have received an unsolicited call or text message to your cell phone, you could be entitled to receive significant compensation. Many companies, including banks, restaurants and debt collection agencies, have violated the TCPA. As a result, they have been required to pay significant penalties.
If you are interested in exercising the legal protections that were created by the FCC, visit the Text Message Spam, Cell Phone Call TCPA Class Action Lawsuit Settlement Investigation for more information. Take back your power and hold these companies accountable for violating the TCPA. You could receive a minimum of $500 for each unwanted communication.
Updated May 24th, 2013
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