Facts

John Karpilovsky and Jimmie Criollo Jr. filed a class action lawsuit against All Web Leads Inc. in relation to defendant's telemarketing practices.

PLAINTIFF'S CONTENTIONS: Plaintiffs contended that defendant used dishonest marketing practices to access consumers' cell phone numbers in order to place tens of thousands of auto-dialed telemarketing calls every day. Specifically, plaintiffs alleged defendant owned and operated websites offering insurance quotes for specific types of insurance that consumers search for online. Plaintiffs alleged that, through one of its websites, defendant unlawfully obtained consumers' cell phone numbers to call them without their express written consent, violating the Telephone Consumer Protection Act.

DEFENDANT'S CONTENTIONS: Defendant denied the allegations.

Result

The court granted preliminary approval of a settlement reached between the parties, under which defendant agreed to pay $6.5 million to settle plaintiffs' claims. Pursuant to the settlement terms, individuals who received one or more non-emergency calls from defendant or any party acting on its behalf between Feb. 21, 2013 and June 25, 2018. Defendant also agreed to change its business practices, particularly as relating to its method of obtaining user consent on its websites.