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Financial Services Law Insights and Observations

District Court grants preliminary approval of class action in robocall suit

Courts Class Action TCPA Settlement Robocalls

Courts

On September 28, the U.S. District Court for the District of Utah granted preliminary approval of a TCPA class action settlement with a digital finance company. According to the plaintiff’s unopposed motion for preliminary approval, the plaintiff alleged that the defendant sent unwanted phone calls to approximately 64,845 unique cellular telephone numbers. The plaintiff’s motion noted that the district court granted, in part, the plaintiff’s motion for class certification and appointment of class counsel, and certified that the class consists of: “[a]ll persons throughout the U.S. (1) to whom [defendant] placed, or caused to be placed, a call, (2) directed to a number assigned to a cellular telephone service, but not assigned to a current or former [defendant] accountholder, (3) in connection with which [defendant] used an artificial or prerecorded voice, (4) from September 1, 2019 through September 21, 2021.” The Tenth Circuit Court of Appeals denied the defendant’s petition for permission to appeal the court’s order certifying the class. After that, the district court approved Plaintiff’s Rule 23(c)(2) class notice plan. After more than two years of “vigorously contested litigation, and as a result of extensive arm’s-length negotiations” the parties agreed to resolve this matter on behalf of a settlement class. The order further noted that the parties’ agreement “calls for the creation of a non-reversionary, all-cash common fund in the amount of $5 million, from which participating settlement class members will receive substantial payments.”