Bloomingdales to Pay $1.4 million in TCPA Settlement

Bloomingdales is one of America’s largest retail chains, raking in billions in profits worldwide and domestically. By all accounts, Bloomingdales is doing well in the retail space, but it may have overstepped its boundaries. To avoid a lengthy court battle, some of the company’s massive profit shares will be going towards a settlement of over $1.4 million over alleged Telephone Consumer Protection Act (TCPA) violations.

The Telephone Consumer Protection Act (TCPA) protects consumers from harassing telephone calls, spam text messages, and a myriad of other unsavory telephonic practices. Accused of sending spam text messages to customers’ cellphones, Bloomingdales is just one example from a long list of companies settling over TCPA missteps.

Understanding the TCPA

The TCPA has been a longstanding piece of legislation since its implementation in 1992. The TCPA is the first line of defense for consumers against overbearing collection agents and frustrating robocalls. While the vast majority of companies comply with the requirements outlined in the TCPA, allegations against companies like Bloomingdales are common.

The TCPA protects against the following violations:

  • Robocalls
  • Autodialers
  • Calling consumers on the Do Not Call List
  • Spam text messages
  • Calling consumers after they directly opt out

Penalties Under the TCPA

If a company violates the TCPA, there are two overlying penalty types:

 

  • Unintentional Violations- If it cannot be proven a company willfully and intentionally violated the TCPA, the maximum amount of money per penalty is $500. 
  • Intentional Violations- If a company willfully and intentionally violates the TCPA, violations can be worth $1,500 per violation.

 

Companies often settle out of court to avoid lengthy and costly court battles, even if accusations of TCPA violations are difficult to prove. 

Exploring the Bloomingdales TCPA Settlement

Bloomingdales allegedly committed text message violations that have landed countless companies in hot water over the TCPA. Plaintiff Eli Ashkenazi, alleges that Bloomingdales sent him text messages as part of a Loyalty Program. Originally intended to reward loyal Bloomingdale’s customers, members of the loyalty program would receive regular notifications about accumulated purchases and upcoming deals. To comply with the TCPA, Bloomingdales should’ve sent its customers a consent agreement giving the company permission to send them text messages. 

Ashkenazi alleges that Bloomingdales never asked Ashkenazi or other members of the settlement class for consent to receive text messages. Failure to ask for consumer permission before sending a text message is a clear-cut violation of the TCPA.

Results of Bloomingdales TCPA Settlement

Bloomingdales denied all allegations of wrongdoing but reached a final agreement with lead plaintiff Eli Ashkenazi and the remainder of the plaintiff class. The settlement would be a cumulative amount of $750,000 in the form of cash and $600,000 in cash-back vouchers. Each member of the class would receive their choice of a $25 check or a $50 voucher.

Over $450,000 would go toward attorneys’ fees and Ashkenazi would receive $10,000 as the lead plaintiff of the class. If you’ve received spam text messages from Bloomingdales or another company, you may be eligible for compensation.

Hire an Experienced TCPA Settlement Lawyer

Spam text messages can cost consumers money on phone bills and lead to pervasive frustration. Stop letting companies get away with spam texts and unsavory telephone practices. You may be eligible for compensation upwards of $500 to $1,500 per call or text.

At the Law Offices of Jibrael S. Hindi, we fight on the behalf of clients victimized by predatory TCPA violators and have recovered over a million dollars in settlements. Let our experienced TCPA attorneys fight on your behalf. To schedule a free consultation, call 1-844-JIBRAEL or complete our online contact form.

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