BREAKING TCPA NEWS: This is Huge! Eleventh Circuit Holds Incentive Award Payments to Class Representatives Are Per Se Forbidden

Well this was unexpected and really big news so pay attention folks.

The Eleventh Circuit Court of Appeals held today that a court may not grant incentive awards in any amount to named class members pursuing TCPA (or any) class actions to a successful resolution.

None. Zero. Not one penny.

In the Court’s view these awards have been illegal since the late 1800s when a pair of Supreme Court cases forbade the payment of personal expenses to class representatives.

The Eleventh Circuit was particularly concerned about the “bounty” aspect of the payments–ironic since just a handful of years ago that same court approved the TCPA as a “bounty” statute authorizing extremely broad standing.

So, in case you missed it, the Eleventh Circuit has made it pretty clear it does not want any more TCPA class actions. Beyond cutting off any incentive for TCPA class plaintiff’s to pursue claims today, it previously:

The Court also found that a class settlement objection period MUST run past the date a petition for fees is filed as a matter of procedure.

The ruling is here: Incentive Awards Are Gone

More analysis here.



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