Reliable Money Order, Inc. v. McKnight Sales Co.

281 F.R.D. 327, 2012 WL 1117992, 2012 U.S. Dist. LEXIS 54504
CourtDistrict Court, E.D. Wisconsin
DecidedMarch 30, 2012
DocketNo. 10-C-242
StatusPublished
Cited by9 cases

This text of 281 F.R.D. 327 (Reliable Money Order, Inc. v. McKnight Sales Co.) is published on Counsel Stack Legal Research, covering District Court, E.D. Wisconsin primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Reliable Money Order, Inc. v. McKnight Sales Co., 281 F.R.D. 327, 2012 WL 1117992, 2012 U.S. Dist. LEXIS 54504 (E.D. Wis. 2012).

Opinion

DECISION AND ORDER GRANTING PLAINTIFF’S MOTION FOR CLASS CERTIFICATION

WILLIAM E. CALLAHAN, JR., United States Magistrate Judge.

I. PROCEDURAL BACKGROUND

On February 11, 2010, Reliable Money Order, Inc. (“Reliable Money” or “plaintiff’) filed this lawsuit in the Milwaukee County Circuit Court, individually and as the representative of a class of similarly-situated persons (collectively “plaintiffs”), against McKnight Sales Company, Inc. (“McKnight” or “defendant”) alleging violations of the TCPA and common law conversion. (Def.’s Notice of Removal 5, ECF No. 1.) On March 22, 2010, McKnight removed the action to federal court pursuant to 28 U.S.C. §§ 1331, 1367, 1441, and 1446. (Def.’s Notice of Removal 1, ECF No. 1.)

On July 1, 2011, Reliable Money filed a motion for Rule 23 class certification arguing that it satisfies the requirements of Fed. R.Civ.P. 23(a) and (b)(3). (Pl.’s Mot. 1-3, ECF No. 33.) The motion has been fully briefed and is ready for resolution by this court. For the reasons that follow, the plaintiffs motion for class certification will be granted.

[330]*330II. FACTUAL BACKGROUND

On April 6, 2006, or April 7, 2006, Reliable Money and members of the proposed class were faxed an advertisement by Business to Business Solutions (“B2B”), a fax advertising business operated by Caroline Abraham (“Abraham”). (Pl.’s Mem. in Support 8, 7, ECF No. 34.) The fax advertised a “Direct Magazine Service” offered by McKnight. (Pl.’s Mem. in Support 1, ECF No. 34.) Though the issue is disputed, the plaintiff alleges that McKnight authorized B2B to fax thousands of McKnight’s form advertisement, which included the language “20% OFF Cover of Magazines” and “30% OFF Cover of Books.” (Def.’s Notice of Removal 15.)

Reliable Money does not remember receiving the specific fax at issue in this case. (Def.’s Mem. in Opp’n, Ex. S 26-29, ECF No. 41-19.) However, the plaintiffs attorneys discovered through a similar ease involving B2B, CE Design Ltd. v. Cy’s Crabhouse North, Inc., No. 07 C 5456, 2010 WL 2365162 (N.D.Ill. June 11, 2010), that B2B’s faxing campaigns created numerous violations of the Telephone Consumer Protection Act (“TCPA”) (as amended by the Junk Fax Prevention Act of 2005), 47 U.S.C. § 227. The plaintiffs attorneys used the information disclosed by B2B to contact potential class action plaintiffs.

Reliable Money received an advertisement letter from the plaintiffs attorneys describing “junk fax” violations and informing the plaintiff that it may be entitled to damages. (Def.’s Resp. to PL’s Supp. Br., Ex. O, ECF No. 52-16.) Reliable Money contacted the plaintiffs attorneys in response to the letter. (PL’s Supp. Br., Ex. EE 54, ECF No. 49-31.) Thereafter, the plaintiff initiated the present action.

III. DISCUSSION

Generally, only individual named parties may conduct litigation. Gen. Tele. Co. of Southwest v. Falcon, 457 U.S. 147, 155, 102 S.Ct. 2364, 72 L.Ed.2d 740 (1982). However, a class action is appropriate in situations where the “issues involved are common to the class as a whole” and when they “turn on questions of law applicable in the same manner to each member of the class.” Califano v. Yamasaki, 442 U.S. 682, 701, 99 S.Ct. 2545, 61 L.Ed.2d 176 (1979). Litigating such cases as a class, as opposed to individually, saves the resources of the courts and the parties by deciding similar issues that affect all class members. Id.

To proceed as a class, the plaintiff must first satisfy two implicit requirements: (1) the representative plaintiff must have standing to sue and (2) the class must be definable. Bzdawka v. Milwaukee Cnty., 238 F.R.D. 469, 472 (E.D.Wis.2006). If the plaintiff can meet the two implicit requirements, then the plaintiff must also demonstrate that the class meets the prerequisites described in Rule 23 of the Federal Rules of Civil Procedure. Rosario v. Livaditis, 963 F.2d 1013,1017 (7th Cir.1992).

The defendant does not dispute that the proposed class meets the numerosity, commonality, and typicality requirements of Rule 23. However, the defendant asserts that the named plaintiff and class counsel will not adequately protect the interests of the class as a whole. Additionally, McKnight argues that the “class action is not the superior method of adjudication” of the plaintiffs claims and that “the definition proposed by [the] plaintiff is unworkable in light of the statute.” (Def.’s Mem. in Opp’n 19, 21, ECF No. 41.) Although the defendant only takes issue with a few requirements under Rule 23, it is the court’s responsibility to ensure that all the requirements are met. See Falcon, 457 U.S. at 161, 102 S.Ct. 2364 (a class may only be certified “if the trial court is satisfied, after a rigorous analysis, that the prerequisites of Rule 23(a) have been satisfied.”). I will therefore address each requirement below.

A. Implicit Requirements

In addition to the express requirements of Rule 23, courts in this circuit have recognized two implicit requirements that the plaintiffs must satisfy. Bzdawka, 238 F.R.D. at 472. First, the named representatives must have standing to bring the suit. Blihovde v. St. Croix County, Wis., 219 F.R.D. 607, 614 (W.D.Wis.2003). This means that the named [331]*331plaintiffs “must be members of the class they propose to represent.” Id. Second, the proposed class definition must be precise, objective, and presently ascertainable. Kasten v. Saint-Gobain Performance Plastics Corp., 556 F.Supp.2d 941, 958 (W.D.Wis.2008).

As discussed above, in order to have standing for purposes of a class action, the named representative must be a member of the class that he, she, or it purports to represent. Here, the record demonstrates that B2B faxed an advertisement to Reliable Money and 3,313 other persons, allegedly on behalf of McKnight. (Pl.’s Mem. in Support 1, ECF No. 34.) Reliable Money therefore fits into the class definition provided in the plaintiffs complaint.

The defendant argues that Reliable Money does not have standing because “Rehable Money was completely unaware of ever having allegedly received a facsimile ... advertisement from McKnight Sales Company, Inc.” (Def.’s Mem. Opp’n 1, ECF No. 41.) Several courts have found that the TCPA does not require knowledge of receipt, only that a fax was successfully transmitted. See CE Design Ltd. v. Cy’s Crabhouse North, Inc., 259 F.R.D.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Mohamed v. American Motor Co.
320 F.R.D. 301 (S.D. Florida, 2017)
Compressor Engineering Corp. v. Thomas
319 F.R.D. 511 (E.D. Michigan, 2016)
Palm Beach Golf Center-Boca, Inc. v. Sarris
311 F.R.D. 688 (S.D. Florida, 2015)
Hazel's Cup & Saucer, LLC v. Around The Globe Travel, Inc.
15 N.E.3d 220 (Massachusetts Appeals Court, 2014)
Avio, Inc. v. Alfoccino, Inc.
18 F. Supp. 3d 882 (E.D. Michigan, 2014)
Hawk Valley, Inc. v. Taylor
301 F.R.D. 169 (E.D. Pennsylvania, 2014)
Kristensen v. Credit Payment Services
12 F. Supp. 3d 1292 (D. Nevada, 2014)
Reliable Money Order, Inc. v. McKnight Sales Co.
704 F.3d 489 (Seventh Circuit, 2013)

Cite This Page — Counsel Stack

Bluebook (online)
281 F.R.D. 327, 2012 WL 1117992, 2012 U.S. Dist. LEXIS 54504, Counsel Stack Legal Research, https://law.counselstack.com/opinion/reliable-money-order-inc-v-mcknight-sales-co-wied-2012.