The Hooters $11,889,000 class action jury verdict
Nicholson v. Hooters of Augusta, Inc.
“The above stated case came on regularly for trial on March 19. 2001. Defendant Clark failed to answer the complaint and is in default. Defendant Hooters appeared at trial and presented a defense. Through a special verdict returned on March 21, 2001, the jury found that defendants violated the Telephone Consumer Protection Act ("TCPA") by unlawfully transmitting six (6) unsolicited Hooters facsimile advertisements to the 1,321 members of the certified class. Based on this finding, each class member is entitled to recover $3,000. 47 U.S.C. §227(b)(3)(B). However, the jury made the additional determination that defendants transmitted the Hooters facsimile advertisements willfully or knowingly. Based on this additional finding, the Court must increase the damages to $9,000 for each class member. 47 U.S.C. §227(b)(3)(C). ...”
If you’re interested in attorneys fees, read this ruling. The attorneys got 33%. It sounds like a lot of money, but do the math:
Would you prefer a $3,000 award because you had crummy attorneys and then give them 20% and net $2,400?
Or net $6,000 of the $9,000 award? Well, that’s a no brainer.
How about $9,000 suing pro se for years? Another no brainer, I really would have liked to be part of this class.
Why don’t we see more of these class actions?
“13) NON-MONETARY BENEFITS.
Another consideration in this case under Friedrich is the non-monetary benefits that the class (and other members of the public) might derive from the results achieved in this case. In all probability other facsimile advertisers and telemarketers throughout the state and the rest of the country will be deterred from violating the TCPA in the future because of the results in this case. Accordingly, the public at large may well benefit because of this case. ...”
One would hope so. How many more junk faxes would I get if it wasn’t for the class actions?
“… ACCORDINGLY, IT IS HEREBY ORDERED, DECREED AND ADJUDGED that plaintiffs shall have judgment against defendants jointly and severally in the sum of $11,889,000. From that sum, attorneys’ fees and expenses in the sum of $3,931,035.62 shall be deducted and paid to class counsel, Burnside, Wall, Daniel, Ellison & Revell. ...”
Why are there no lawyers looking for class actions?
Why are the existing class actions kept a secret?
If there was more publicity about class actions we’d see a lot fewer junk faxes.
The plaintiffs sure had to wait a long time:
Nicholson originally brought suit in state court and Hooters removed to federal district court.
[Nicholson v. Hooters of Augusta, Inc., No. CV 195-101 (S.D. Ga. Sept. 4, 1996),
(11th Cir. 1998), modified, 140 F.3d 898 (11th Cir. 1998).
1998 U.S. 11th Circuit Court of Appeals: NICHOLSON v HOOTERS
“JOHN R. GIBSON, Senior Circuit Judge:
Sam Nicholson appeals the district court’s dismissal of his action against Hooters of Augusta, Inc. for failure to state a claim. Nicholson alleged that Hooters violated the Telephone Consumer Protection Act, 47 U.S.C. § 227 (1994), by sending unsolicited advertisements to Nicholson’s facsimile machine. Nicholson contends the court erred in concluding that the Telephone Consumer Protection Act covers only interstate, and not intrastate, transmissions of unsolicited advertisements by facsimile, and that individual citizens may not bring suit under the Act. Because we conclude that Congress granted state courts exclusive subject matter jurisdiction over private actions under the Act, we vacate the judgment of the district court and remand with directions to dismiss this case for lack of subject matter jurisdiction. ...”
Of course now we have new class action rules.
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