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679 F. App'x 44
2d Cir.
2017
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Background

  • Plaintiff Mark Leyse alleged Lifetime left a prerecorded robocall voicemail on his residential answering device in August 2009, violating the TCPA, 47 U.S.C. § 227(b)(1)(B).
  • Leyse sought to certify a class of all persons whose residential lines received the same prerecorded message; he proposed identifying members via affidavits plus phone-bill evidence of residential service.
  • The district court denied class certification as unascertainable, concluding there was no reliable list of called numbers and proposed methods would require mini‑hearings and unverifiable memories/records.
  • After class denial, Lifetime deposited the full amount of Leyse’s individual TCPA damages and costs with the clerk; the court entered judgment for Leyse despite his not accepting the Rule 68 offer.
  • Leyse appealed denial of class certification and the entry of judgment; Lifetime cross‑appealed challenging standing and denial of summary judgment on merits.
  • The Second Circuit affirmed: (1) Leyse had standing based on receipt and listening to the voicemail; (2) class certification denial was not an abuse of discretion for ascertainability reasons; and (3) entry of judgment following deposit of full relief was permissible under controlling precedent.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Standing (injury in fact) Leyse argued receipt and listening to the voicemail sufficed as a concrete injury under Article III Lifetime argued statutory violation alone does not establish concrete injury Court held Leyse had standing: receipt/listening to voicemail on his device is a concrete, particularized injury
Class ascertainability Leyse argued class could be identified via affidavits plus subscribers’ phone records Lifetime argued no list of called numbers existed and the proposed method was not administratively feasible and would require mini‑hearings Court held denial of class certification was within discretion: proposed identification was unreliable and unascertainable
Entry of judgment after deposit of relief Leyse argued the unaccepted Rule 68 offer should not allow entry of judgment in his favor Lifetime relied on Second Circuit precedent permitting entry of judgment where defendant deposits full individual relief Court held entry of judgment was proper; Campbell‑Ewald did not disturb precedents allowing judgment after deposit of full relief
Effect of Campbell‑Ewald Leyse argued Campbell‑Ewald abrogated precedents permitting entry of judgment after deposit Lifetime argued Campbell‑Ewald explicitly left open the deposit/entry scenario Court held Campbell‑Ewald did not apply to the deposit/entry scenario and did not undermine controlling precedents

Key Cases Cited

  • Strubel v. Comenity Bank, 842 F.3d 181 (2d Cir. 2016) (Article III injury‑in‑fact requires concrete, particularized injury)
  • Lujan v. Defenders of Wildlife, 504 U.S. 555 (1992) (standing requires concrete and particularized, actual or imminent injury)
  • Brecher v. Republic of Argentina, 806 F.3d 22 (2d Cir. 2015) (ascertainability is an implied Rule 23 requirement)
  • Tanasi v. New Alliance Bank, 786 F.3d 195 (2d Cir. 2015) (unaccepted Rule 68 offer permitting entry of judgment when defendant deposits full relief)
  • Campbell‑Ewald Co. v. Gomez, 136 S. Ct. 663 (2016) (an unaccepted offer of judgment does not moot a plaintiff's case; did not decide deposit/entry scenario)
  • Golan v. Veritas Entertainment, LLC, 788 F.3d 814 (8th Cir. 2015) (receipt of unsolicited robocalls can suffice for standing under the TCPA)
  • In re Methyl Tertiary Butyl Ether (MTBE) Products Liability Litigation, 725 F.3d 65 (2d Cir. 2013) (an identifiable trifle can satisfy injury‑in‑fact)
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Case Details

Case Name: Leyse v. Lifetime Entertainment Services, LLC
Court Name: Court of Appeals for the Second Circuit
Date Published: Feb 15, 2017
Citations: 679 F. App'x 44; 16-1133-cv (L)
Docket Number: 16-1133-cv (L)
Court Abbreviation: 2d Cir.
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    Leyse v. Lifetime Entertainment Services, LLC, 679 F. App'x 44