Swetlic Chiropractic & Rehabilitation Center, Inc. v. Foot Levelers, Inc.

235 F. Supp. 3d 882, 2017 WL 373514, 2017 U.S. Dist. LEXIS 11017
CourtDistrict Court, S.D. Ohio
DecidedJanuary 26, 2017
DocketCase No.: 2:16-cv-236
StatusPublished
Cited by8 cases

This text of 235 F. Supp. 3d 882 (Swetlic Chiropractic & Rehabilitation Center, Inc. v. Foot Levelers, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Swetlic Chiropractic & Rehabilitation Center, Inc. v. Foot Levelers, Inc., 235 F. Supp. 3d 882, 2017 WL 373514, 2017 U.S. Dist. LEXIS 11017 (S.D. Ohio 2017).

Opinion

OPINION AND ORDER

GEORGE C. SMITH, JUDGE, UNITED STATES DISTRICT COURT

This matter is before the Court upon Plaintiff Swetlic Chiropractic & Rehabilita[885]*885tion Center’s “Placeholder” Motion for Class Certification (“Placeholder Motion”) (Doc. 3). Defendant Foot Levelers, Inc. responded in opposition to the Placeholder Motion (Doc. 17) and Plaintiff replied in support (Doc. 21). Also before the Court is Defendant Foot Leveler, Inc.’s Motion to Stay the Case, or Alternatively to Dismiss the Complaint and Strike the Class Definition (Doc. 18). Plaintiff opposed Defendant’s Motion and requested leave to amend the Complaint (Doc. 24) while Defendant replied in support (Doc. 27). Last, both Plaintiff and Defendant filed notices of Supplemental Authority (Docs. 31 and 32). These matters are now ripe for review. For the following reasons, Defendant’s various requests for relief are DENIED, • Plaintiffs request for leave to amend the Complaint is GRANTED, and the Court reserves judgment on the Plaintiffs Placeholder Motion.

I. BACKGROUND

This lawsuit arises out of allegedly unsolicited faxes sent by Foot Levelers and John Doe Defendants (“Defendants”) to Swetlic Chiropractic and Rehabilitation Center, Inc. (“Swetlic”). Swetlic alleges Defendants violated the Telephone Consumer Protection Act (“TCPA”) as amended by the Junk Fax Prevention Act when Defendants sent advertising faxes without insufficient opt-out notices or without prior express invitation or permission by the recipients.

■Swetlic alleges that it received three unsolicited faxes in 2014 from Defendants on May 19, May 27, and June 2. (Doc. 1, Compl. at ¶ 11). The May faxes appear to be relatively straightforward advertisements for stabilizing orthotics available for sale. (Doc. 1-1, Faxes at 2-3). However the June fax is advertising a free webinar and gives information on receiving free promotional material for Foot Levelers and a giveaway contest for an iPad Air and a Michael Kors clutch. (Id. at 4). Both the giveaway and the registration for the webi-nar direct interested parties to the Foot Levelers website and the free promotional material directs interested parties to contact Foot Levelers’ Customer Service department. (Id.).

Swetlic alleges that at least twenty five other recipients received these and other faxes without permission. (Id. at ¶ 14). Swetlic specifically alleges that the first fax did not display a proper opt-out notice but then later also alleges that all three faxes failed to comply with the opt-out notice requirements. (Id. at ¶¶ 14, 29). Swetlic alleges that these faxes caused damages including the loss of paper, toner, and the use of fax machine lines. (Id. at ¶ 34). Swetlic also alleges that it lost time “receiving, reviewing and routing the Defendants’ unauthorized faxes.” (Id.). Last, Swetlic alleges that the faxes imposed on Swetlic’s privacy interests. (Id.).

Swetlic filed the Placeholder Motion at the same time it filed its Complaint in this case. Foot Levelers filed a Motion to Stay the case pending the Supreme Court’s ruling in Spokeo, Inc. v. Robins, 578 U.S. -, 136 S.Ct. 1540, 194 L.Ed.2d 635 (2016) because Spokeo may be decisive in determining whether Swetlic has standing to pursue this action. Foot Levelers also moves for dismissal of all of the claims and asks this Court to strike the class definition as an improper “fail-safe” class.

II. DISCUSSION

Defendant’s Motion to Stay asked the Court to stay the case pending the Supreme Court’s resolution of Spokeo, Inc. v. Robins. Because the Supreme Court’s ruling is now published, Defendant’s Motion to Stay is DENIED as moot. In addition, Defendant moved for dismissal of all of Swetlic’s claims under 12(b)(6) for failing [886]*886to identify how Foot Levelers violated the TCPA toward Swetlic, to dismiss all claims relating to the June fax because it. is not an- advertisement, and to - strike the class definition.

Before addressing Spokeo’s effect on Swetlic’s standing in this case, it is important to clarify which claims in the Complaint are brought by Swetlic. Foot Levelers originally argued that Swetlic’s Complaint did not specifically address how Foot Levelers violated the TCPA. However, Foot Levelers did not respond to Swetlic’s argument on this point. Swetlic argued that notice pleading, does not require a theory of liability and that Defendant cited no authority requiring a detailed theory of liability. (Doc. 24, Mem. Opp. at 1, 16). Even though Swetlic’s reference to notice pleading is inconsistent with Bell Atl. Corp. v. Twombly, 550 U.S. 544, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007) and Ashcroft v. Iqbal, 556 U.S. 662, 129 S.Ct. 1937, 173 L.Ed.2d 868 (2009), the Court agrees with Swetlic that a detailed and singular theory of liability is not required. Swetlic is alleging that Defendants sent unsolicited faxes, or alternatively, that the faxes lacked a proper opt-out, or both:

Defendants sent on or about May 19, 2014, May 27, 2014- and June 2, 2014, advertisements and any other advertiser ments sent to Plaintiff.. .to the telephone lines and facsimile machines of Plaintiff... .The Faxes were transmitted to persons or entities without their prior express permission or invitation and/or Defendants are precluded from asserting any prior express permission or invitation or that Defendants had an established business relationship with Plaintiff.. .because of the,failure to comply with-the Opt-Out .Notice Requirements. .

(Doc. 1, Compl. at ¶ 29 (emphasis added); see also ¶¶ 11, 14, 16). The Complaint is clear that Swetlic is alleging alternative bases of liability, a litigation strategy explicitly authorized under the Federal Rules of Civil Procedure and the Sixth Circuit. Fed R. Civ. P. 8(d)(3)) (“A party may state as many'separate claims or defenses as it has, regardless of consistency.”); Reg’l Airport Auth. of Louisville v. LFG, LLC, 460 F.3d 697, 711 (6th Cir. 2006) (“Parties may, of course, plead alternative theories of liability.”). Accordingly, Foot Levelers’s Motion to Dismiss the Complaint for lack of specificity under Rule 12(b)(6) of the Federal Rules of Civil Procedure is DENIED. The' Court will address each remaining argument in turn.

A. Standing

Although Foot Levelers. • only moved to stay the case as opposed to moving for dismissal under Rule 12(b)(1) of the Federal Rules of Civil Procedure, the Court will now consider whether Swetlic has standing. Both parties offered arguments on the issue of standing in their responses to the Foot Leveler’s Motion to Stay. This is appropriate because standing is “the threshold question in every federal case,” and if the plaintiff lacks standing, the federal, court lacks jurisdiction. Warth v. Seldin, 422 U.S. 490

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Cite This Page — Counsel Stack

Bluebook (online)
235 F. Supp. 3d 882, 2017 WL 373514, 2017 U.S. Dist. LEXIS 11017, Counsel Stack Legal Research, https://law.counselstack.com/opinion/swetlic-chiropractic-rehabilitation-center-inc-v-foot-levelers-inc-ohsd-2017.