Robocalls: vicarious liability of franchisors under the TCPA
By Barry M Heller
In a FranCast issued last year, we reported on a case called Carolyn Anderson v Domino’s Pizza Inc, in which a district court dismissed a claim filed under a state version of the federal Telephone Consumer Protection Act (TCPA). In that case, a consumer sought to hold a franchisor liable for illegal robocalls made by the franchisor’s franchisee (using a telemarketing firm).
In dismissing the claim, the court relied on the fact that the state version did not contain the language ‘on whose behalf of,’ which the court noted was contained in the federal version of the Act. Franchisors have been concerned that this language in the federal act will be used by consumers in support of allegations that a franchisor should be responsible under the TCPA for violations of the act committed by its franchisees.
May parties on whose behalf telemarketing robocalls are made be held liable for that third party’s violations of the TCPA? The Federal Communications Commission, the agency with authority to interpret the TCPA, recently issued a Declaratory Ruling to answer that question. The commission concluded that sellers who did not actually place calls may only be ‘vicariously’ liable and subject to damages for third-party TCPA violations if federal common law principles of agency apply. The TCPA’s restrictions on auto-dialed calls…
If you are registered and logged in to the site, click on the link below to read the DLA Piper briefing. If not, please register or sign in with your details below.
News from DLA Piper
News from The Lawyer
Briefings from DLA Piper
DLA Piper has released the 1 September 2014 issue of its Health Alert, which focuses on judgments, legislation and reports in the health sector.
DLA Piper’s privacy experts have compiled a list of dos and don’ts for addressing privacy compliance in M&A transactions.
Analysis from The Lawyer
Shearman & Sterling is making its presence felt in the City, squaring up to magic circle firms and looking to muscle in on key relationships. Private equity house Bridgepoint is one outfit that has had its head turned by the US firm.
A new breed of lawyer is smoothing the path for companies entering emerging or unstable jurisdictions