Eaze Solutions, Inc. ("Eaze"), a prominent marijuana delivery company located in California, was recently named as a defendant in a nationwide class action lawsuit alleging violations of federal telemarketing law. The company operates a mobile application that allows its customers to have marijuana delivered on demand and facilitates customer acquisition of medical marijuana cards.
What violations of telemarketing law are alleged against the marijuana company?
The putative class representative alleges that the marijuana delivery company engaged in aggressive growth tactics involving the mass text messaging of existing and prospective customers to advertise its services. The complaint alleges that the subject text message advertisements were transmitted through use of automatic dialing systems, without the consent of the recipients, and sent in bulk. The complaint attributes Eaze's rapid rise within the industry to an overly-ambitious growth operation that the class representative characterizes as merely the "relentless transmission of text message advertisements without the recipients' consent." As a result of such marketing practices, the self-proclaimed "Uber of Weed" is now the subject of a nascent nationwide class action.
Prevent Telemarketing Law Violations
As this Telephone Consumer Protection Act ("TCPA") lawsuit demonstrates, it is critical for businesses to understand the scope of the TCPA and its implementing regulations before commencing any telemarketing campaign. Given the staggering exposure to liability that companies face in today's TCPA-regulatory environment, it is imperative to have telemarketing practices and procedures examined by experienced counsel in order to mitigate risk.
If you are interested in learning more about this topic or need to review your telemarketing practices, please e-mail us at info@kleinmoynihan.com, or call us at (212) 246-0900.
The material contained herein is provided for informational purposes only and is not legal advice, nor is it a substitute for obtaining legal advice from an attorney. Each situation is unique, and you should not act or rely on any information contained herein without seeking the advice of an experienced attorney.
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