Watson v. Manhattan Luxury Automobiles, Inc. d/b/a Lexus Of Manhattan

Background

Plaintiffs and Defendant filed pretrial memoranda concerning damages under Section 227(c) of the Telephone Consumer Protection Act, a federal law governing certain telephone communications. Plaintiffs argued that the statute required an award of $500 for each violation. They also argued that the judge, rather than a jury, should determine the amount of statutory damages.

The opinion states that Section 227(c)(5)(B) allows a plaintiff to recover actual monetary loss or receive up to $500 for each violation, whichever is greater. Section 227(c)(5)(C) permits the court, in its discretion, to award treble damages for a willful or knowing violation. The opinion distinguishes Section 227(c) from another TCPA provision that states a plaintiff may receive $500 for each violation.

Ruling

The court rejected Plaintiffs’ argument that $500 was mandatory. It ruled that, at trial, Plaintiffs may recover up to $500 per violation. The court also rejected Plaintiffs’ argument that the judge must determine the statutory-damages amount, ruling that the jury will determine the amount.

The opinion further states that the court previously granted summary judgment to Defendant on Plaintiffs’ claim for treble damages because no reasonable finder of fact could find that Defendant knowingly or willfully violated the TCPA and its regulations. This order addresses the amount of damages for the remaining violations at trial; it does not state the final amount of damages.

Disposition

The court ordered that, at trial, Plaintiffs may recover up to $500 in damages per violation, with the amount to be determined by the jury. Judge Lorna G. Schofield signed the order.