Hanging out right here at Lead Technology World watching an amazing panel whereas scanning the current TCPA rulings I picked up this case involving SelectQuote and it was fairly apropos.
There’s a lot MONEY on the market today. Looks like everyone seems to be in acquisition mode. Properly what occurs whenever you purchase an organization that has (maybe) made some errors up to now? Are you all the time accountable for actions that occurred earlier than the acquisition?
The reply to that query is definitely a reasonably complicated one turning on the nuance of company regulation, however in TCPAWorld a brand new case means that legal responsibility doesn’t all the time observe the cash…
In Zean v SelectQuote, Case No. 19-CV-2958 (NEB/TNL), 2022 U.S. Dist. LEXIS 6978 (Jan. 13, 2022) the Plaintiff complained that he had acquired a collection of calls designed to have him try an internet site for closing bills. He claims the calls have been made utilizing an ATDS and that he didn’t consent to their receipt.
The web site at challenge “burialexpense.com” was later bought by SelectQuote. So the Plaintiff sued SelectQuote arguing that it was each instantly and vicariously accountable for the calls made by the be.com’s distributors earlier than it was bought.
The Court docket was not shopping for it. Because the Court docket defined issues there was merely no proof that SelectQuote was instantly concerned with the web site on the time the calls have been made. And there was no proof SelectQuote was exercising any management over the web site on the time the calls have been made–so company and different vicarious legal responsibility theories fell aside on the threshold.
Notably the Court docket didn’t analyze conventional company legal responsibility theories relevant within the assert buy context–presumably as a result of the Plaintiff didn’t increase these points–so there is perhaps extra threat right here than meets the attention.
Nonetheless Zean reveals that corporations in “acquisition mode” don’t essentially purchase the dangerous with the great.
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