Appeals Court Widens Split of Authority on Federal Court Jurisdiction Over Telemarketing Litigation While Raising Financial Stakes for Defendants

In Charvat v. NMP, the Sixth Circuit split the baby. Noting the differing language in the TCPA’s provision providing for private causes of action for automated/prerecorded-call and other technical violations, as compared to that providing the private cause of action for do-not-call violations, it held that statutory damages for do-not-call violations are limited to $500 per call ($1500 where willful), but for other types of violations, each separate failure to comply – even if on the same call – are separately compensable. As quickly as statutory TCPA damages can add up, especially where companies may place multiple calls to a given number, this ruling makes them add up that much faster if the calls involve violations of anything other than the do-not-call restrictions.