Plaintiff David Greenley commenced this class action
BACKGROUND
Greenley’s amended complaint alleges that during a sixteen-month period from November 14, 2014, through March 16, 2016, LIUNA both negligently (Count I) and knowingly and/or willfully (Count II) made one unsolicited telephone call and sent four unsolicited text messages to his cellular telephone using an automatic telephone dialing system :(ATDS), in violation of the TCPA.
The unsolicited telephone call involved an automated prerecorded message, the content of which is not described in the amended complaint. The first two unsolicited text messages stated:
Msg 1 of 2: This confirms yr consent to receive msgs from LIUNA & affiliates including any autodialed call & txt msg about important matters Reply STOP to quit.
Msg 2 of 2: Important matters include yr contract, benefits, union operations, political; & legislative, matters. Reply STOP to quit. Msg & data rates may apply.
The third unsolicited text message stated: “Msg from your union: Join us next week for Laborers Day @the Capitol. Reception Tues & meet w/legislators on Wed. Register at http://bit.ly/lpsyeOy.” Greenly replied “STOP” to this message, which prompted a fourth text message that stated: “LIUNA: You have been removed from mobile alerts. Info: txt@mcom.ms Removed by mistake? Reply OOPS to rejoin.”
According to the amended complaint, Greenley has never been a member or prospective member of LIUNA, and he has never had or expressed any interest in being a member of LIUNA or receiving the unsolicited communications described above. The amended complaint alleges that LIUNA’s violations of the TCPA harmed Greenley by causing him to incur cellular telephone charges; invading his privacy; frustrating, distressing, harassing, and annoying him; and forcing him “and other similarly, situated' class, members to live without the utility of their cellular phones because they were occupied by calls, or text messages, causing annoyance and lost time.” ' .
LIUNA moves to dismiss the amended complaint on alternative grounds. LIUNA argues that Greenley lacks statutory and constitutional standing, the amended complaint fails to state a claim on which relief can be granted, the relief Greenley seeks is barred in whole or in part by the Noerr-Pennington doctrine and the Norris-La-Guardia Act, and the TCPA violates the First Amendment to the United States Constitution. On May 10, 2017, the United States filed a notice of intervention and
ANALYSIS
LIUNA moves to dismiss under Federal Rules of Civil Procedure 12(b)(1) and 12(b)(6) on several grounds.. Under Rule 12(b)(1), a defendant may challenge the plaintiffs complaint for lack of subject-matter jurisdiction either on its face or on the factual truthfulness of its averments. See, e.g., Titus v. Sullivan,
A complaint must be dismissed if it fails to state a claim on which relief can be granted. Fed. R. Civ. P. 12(b)(6). To survive a Rule 12(b)(6) motion, the complaint must allege sufficient facts that, accepted as true, state a facially plausible claim to relief. Ashcroft v. Iqbal,
I. Standing
LIUNA moves to dismiss the amended complaint because Greenley lacks both constitutional and statutory standing. “When a plaintiff alleges injury to rights conferred by. statute, two separate standing-related inquiries are implicated: whether the plaintiff has Article III standing (constitutional standing) and whether the.statute gives, that plaintiff authority to sue (statutory standing).” Miller v. Redwood Toxicology Lab., Inc.,
A. Constitutional Standing
Article III of the United States Constitution limits federal jurisdiction to actual cases or controversies. U.S. Const. art. III, § 2, cl. 1; Lujan v. Defenders of Wildlife,
To satisfy the requirements of standing, a plaintiff must (1) have suffered an injury in fact, (2) establish a causal relationship between the defendant’s conduct and the alleged injury, and (3) show that the injury would be redressed by a favorable decision. Id. at 560-61,
LIUNA asserts that Greenley lacks standing because he has not alleged a “concrete” injury in fact. Relying on the recent decision of the Supreme Court of the United States in Spokeo, Inc. v. Robins, — U.S. —,
In Spokeo, the plaintiff alleged a violation of the Fair Credit Reporting Act.
The Spokeo Court elaborated on the “concreteness” requirement, explaining that a “concrete injury must be de facto’, that fis, it must actually exist” and it must be “real, and not abstract.” Id. at 1548 (citations omitted) (internal quotation marks omitted): The Court reasoned that “a bare procedural violation, divorced from any concrete harm,” does not satisfy the injury-in-fact requirement. Id. at 1549. As such, a plaintiff does hot “automatically satisffy] the injury-in-fact requirement
An injury need not be tangible to be concrete; the concreteness requirement can be satisfied , by “the. risk of real harm.” Id. (emphasis added). “[T]he violation of a procedural right granted by statute can be sufficient in some circumstances to constitute injury in fact,” and in those circumstances, ■ a plaintiff “need not allege any additional harm beyond the one Congress has identified.” Id. 'When determining whether an intangible harm is an injury in fact, the Supreme Court reasoned, “both history and the judgment of Congress play important roles” because “.Congress may elevat[e] to the status of legally cognizable injuries concrete, de facto injuries that were previously inadequate in law.” Id. (alteration in original) (internal quotation marks omitted).
Although it has not analyzed Spokeo in the context of alleged TCPA violations, the Eighth Circuit recently interpreted Spokeo and applied it to an alleged violation of the Cable Communications Policy Act, 47 U.S.C. § 551. Braitberg v. Charter Commc’ns, Inc.,
The “vast majority of post-Spokeo TCPA cases have concluded that the invasion of privacy, annoyance and wasted time associated with robocalls is sufficient to demonstrate concrete injury.” Sandusky Wellness Ctr.,
Both Congress and the Federal Communications Commission (FCC) “have recognized the harms inherent in the receipt of automated calls, in particular the invasion of privacy and the intrusion upon seclusion.” Ung,
The cases that LIUNA cites to thé contrary are distinguishable. For example, in Stoops v. Wells Fargo Bank, N.A., the plaintiff “purchased at least thirty-five cell phones ..'. for the [sole] purpose of filing lawsuits under' the [TCPA].”
In Romero v. Department Stores National Bank, the harms the plaintiff alleged, such as headaches, sleeping issues, and weight loss, were “divorced from the alleged violation of the TCPA.”
In summary, Greenley allegedly received multiple unsolicited automated communications from LIUNA. Greenley has alleged conduct that violated his substantive right, established by the TCPA, to be free from the invasion of privacy and intrusion upon seclusion caused by unsolicited automated, communications. This injury is neither hypothetical nor uncertain, and it demonstrates a harm or,- at a minimum, a material risk of harm that is not merely a procedural violation.
■For these reasons, the Court concludes that Greenley has Article III standing and denies LIUNA’s motion to dismiss on this ground.
B. Statutory Standing
LIUNA also argues that Greenley lacks statutory standing. According to LIUNA, only a “called party” has statutory standing to raise a TCPA claim, and Greenley has neither' alleged that he is a “called party” nor is he in fact a “called party.”
In contrast to Article III standing, which addresses, “the constitutional power of a federal court to resolve a dispute,” statutory standing “is simply statutory interpretation: the question it asks is whether Congress ... has accorded this injured plaintiff the right to sue the defendant to redress [the plaintiffs] injury.” Miller,
The TCPA creates a private right of action, stating:
A person or entity may, if otherwise permitted by the laws or rules of court of a State, bring in an appropriate court of that State—
(A) an action based on a violation of this subsection or the regulations prescribed under this subsection to enjoin such violation,
(B) an action to recover for actual monetary loss from such a violation, or to receive $500 in damages for each such violation, whichever is greater, or
(C) both such actions.
47 U.S.C. § 227(b)(3) (emphasis added). Thus, the plain language of the TCPA grants statutory standing to any “person or entity.” Id.; see also Swope v. Credit Mgmt., LP, No. 4:12CV832, 2013 WL
LIUNA cites two appellate decisions in support of the proposition that the TCPA limits the right to sue to “called parties.” See Breslow v. Wells Fargo Bank,
Even if statutory standing under the TCPA were limited to a “called party,” as LIUNA argues, Greenley adequately alleges that he is a “called party.” Courts have not uniformly defined the term “called party.” Some courts have defined “called part/’ as the subscriber to the cellular telephone service. See, e.g., Breslow,
Here, Greenley has satisfied the narrowest interpretation of “called party” — namely, that the meaning of “called party” is limited to the “subscriber” of the cellular telephone service. The amended complaint alleges that LIUNA sent the unsolicited communications to “Plaintiffs cellular telephone number” and that Greenley answered or read those messages. In the amended complaint, Greenley also refers to the telephone records as “his.” Because LIUNA has raised a factual challenge to jurisdiction, the facts, on which this Court is permitted to rely are not limited to the pleadings. Greenley has submitted a declaration stating that the cellular telephone number described in the amended complaint has been his personal number, in his name, used by him regularly, and paid for with his personal funds since at least 2006. Although LIUNA submitted public records indicating that the same number is used by a small business, Greenley’s declaration explains that he may have listed his-personal cellular telephone number as a contact number with the Minnesota Secretary of State when he formed a business entity. On this record, even if statutory standing under the TCPA were limited to a “called party” defined narrowly as the “subscriber” to the cellular telephone service, Greenley satisfies this requirement.
The Court concludes, for the foregoing reasons, that Greenley has statutory standing under the TCPA and denies LIU-NA’s motion to dismiss on this ground.
II. Failure to State a Claim
LIUNA argues that the amended complaint fails to state a claim for three reasons: (1) it fails to allege that Greenley is a “called party” or subscriber, (2) LIUNA is a “labor organization” and therefore is not a “person” subject to liability under the TCPA, and (3) the “confirmation text” sent by LIUNA cannot form the basis of TCPA liability. The Court addresses each argument in turn.
A. “Called Party”
LIUNA’s first argument — that the amended complaint fails to allege that Greenley is a “called party” — is unavailing for the same reasons addressed above with respect to statutory standing. Although this Court may not look outside to pleadings or weigh the evidence on a' Rule 12(b)(6) motion as it may with respect to a factual challenge to jurisdiction, Greenley has adequately alleged that he is a “called party” even if the Court looks solely at the facts alleged in the amended complaint. The amended complaint alleges that LIU-NA sent the unsolicited communications to “Plaintiffs cellular telephone number,” that' Greenley answered or read - those messages, and that the telephone records are “his.”
Importantly, to withstand a motion to dismiss for failure to state a claim, the factual allegations in a complaint néed not be detailed; rather, they must be sufficient to “raise a right to relief above the speculative level” and “state a claim to relief that is plausible on its face.” Twombly,
Accordingly, the Court denies LIUNA’s motion to dismiss on this ground.
B. “Person”
LIUNA also argues that, because it is a labor organization, it is not a “person” subject to liability under the TCPA. The TCPA prohibitions apply to “any person,” and thus subject “any person” to liability. See 47 U.S.C. § 227(b)(1). The TCPA provides that “[t]he term ‘person’ includes an individual, partnership, association, joint-stock company, trust, or corporation.” 47 U.S.C. § 153(39). LIUNA argues that, because it is none of these things, it cannot be sued under the TCPA
Notably, the.TCPA’s definition of “person” prefaces its list with the word “includes.” Id. This term “suggests Con
Greenley asserts that a “labor organization” is akin to an “association,” which .is expressly included in the TCPA’s definition of “person.” The Court agrees. An “association” means, among other definitions, “[a] gathering of people for a common purpose.” Black’s Law Dictionary (10th ed. 2014); accord Sweezy v. State of N.H. by Wyman,
Based on the preceding analysis, the Court concludes that LIUNA is a “person” subject to liability under the TCPA and denies LIUNA’s motion to dismiss on this ground.
C. Confirmatory Texts
LIUNA also argues that the fourth text- message described in the amended complaint is not actionable because it merely confirmed Greenley’s request to stop receiving text messages. This argument lacks mérit. The “safe harbor” for confirmatory texts on which LIUNA relies is applicable only when a confirmatory message is sent “to consumers from whom [the sender] ha[s] obtained prior express consent” to subsequently “confirm receipt of a consumer’s opt-out request.” Soundbite Communications, 27 FCC Rcd. 15391 (F.C.C.), 27 F.C.C.R. 15391, 57 Communications Reg. (P&F) 107 (2012), Here, because the amended complaint alleges that Greenley never consented to receiving communications from LIUNA, this safe harbor does not apply.
Thus, the Court denies LIUNA’s motion to dismiss on this ground.
III. The Norris-LaGuardia Act
LIUNA argues that the Norris-LaGuar-dia Act, 29 U.S.C. § 102, prohibits federal courts from exercising equitable jurisdiction over labor disputes and, therefore, bars Greenley from seeking injunctive relief in this case.
Congress enacted the Norris-LaGuardia Act in 1932 to “curtail[ ] the authority of a district court to issue injunctions in a labor dispute.” Brady v. Nat’l Football League,
“The critical element in determining whether the provisions of the "Norris-LaGuardia Act apply is whether the employer-employee relationship is the matrix of the controversy.” Jacksonville Bulk Terminals, Inc. v. Int’l Longshoremen’s Ass’n,
Because the Norris-LaGuardia Act does not bar Greenley from seeking injunctive relief, the Court ‘denies LIUNA’s motion to dismiss on this ground.
IV. The Noerr-Pennington Doctrine
LIUNA also argues that the Noerr-Pennington doctrine* bars Green-ley’s lawsuit. Whether the Noerr-Penning-ton doctrine applies in the TCPA context appears to be an issue of first impression.
The Noerr-Pennington doctrine “is a defense to liability premised on the defendant’s actions of exercising [the defendant’s] own private rights to free speech and'to petition the government.” Hinshaw v. Smith,
But “[t]his limited extension of the Noerr-Pennington doctrine does-.not
Here, LIUNA asserts that because the messages it sent to Greenley pertained to lobbying activity, LIUNA’s conduct falls within the Noerr-Pennington doctrine as reasonably attendant to petitioning activity. In advancing this argument, LIUNA relies on Sosa v. DirectTV, Inc.,
The circumstances in Sosa are in-apposite for at least two reasons. First, the conduct in Sosa — sending prelitigation demand letters — was not, in itself, unlawful. In contrast, by enacting the TCPA, Congress has prohibited the manner in which LIUNA allegedly sent unsolicited automatic communications to Greenley.
Second, the Noerr-Pennington doctrine immunizes a defendant from “liability [that is] premised on the defendant’s actions of exercising [the defendant’s] own private rights to free speech and to petition the government.” Hinshaw,
Accordingly, the Court concludes that the Noerr-Pennington doctrine does not immunize LIUNA from liability and, therefore, denies LIUNA’s motion to dismiss on this ground.
Y. The First Amendment
LIUNA argues that the TCPA violates the First Amendment to the United States Constitution both on its face and as applied to the messages LIUNA sent to Greenley.
A. LIUNA’s Facial Challenge
LIUNA first contends that the TCPA is facially unconstitutional. To prevail on a typical facial challenge, LIUNA must establish that “no set of circumstances exists under which [the TCPA] would be valid, or that the statute lacks any plainly legitimate sweep.” Minn. Majority v. Mansky,
The First Amendment prohibits Congress from enacting laws “abridging the freedom of speech.” U.S. Const, amend. I. Congress “has no power to restrict expression .because of its message, its ideas, its subject matter, or its content.” Reed v. Town of Gilbert, — U.S. —,
1. Content Neutrality
The Eighth Circuit has not addressed whether the TCPA is a content-neutral law or a content-based law. Consequently, Greenley and the United States rely heavily on Van Bergen v. State of Minnesota, in which the Eighth Circuit addressed a First Amendment challenge to Minnesota’s state-law analogue to the TCPA.
In its briefing and at oral argument on its motion, LIUNA argued that Van Bergen was abrogated by Reed v. Town of Gilbert, — U.S. —,
The inquiry does not end, with that conclusion, however. The Van Bergen decision addressed the constitutionality of Minnesota’s state law, not the TCPA, Although the Van Bergen court observed that the Minnesota law is “virtually identical to the TCPA,” that statement referred to the' issue of preemption, not to whether the law is content-neutral. See Van Bergen,
LIUNA argues that the Supreme Court’s decision' in Reed fundamentally changed the manner in which courts must determine whether a chállenged law is content-neutral. In Reed, the Court addressed a constitutional challenge to a municipal sign code that prohibited the display of outdoor signs without a permit, for the ostensible purpose of promoting traffic safety and the town’s aesthetics.
According to LIUNA, the framework articulated in Reed represents a fundamental change in the law. This Court is mindful that other courts have grappled with this question. See, e.g., Cahaly v. Larosa,
The challenged TCPA restriction limits “any person” from using an ATDS “to make any call” to a cellular telephone, 47 U.S.C. § 227(b)(1). This restriction is akin to the state-law restriction at issue in Van Bergen in that all callers, whatever the content of their messages may be, must have the consent of the subscriber before sending an ATDS message. See
As relevant to these circumstances, the TCPA contains three exceptions to its general prohibition: an exception that applies to any “call made for emergency purposes,” 47 U.S.C. § 227(b)(1)(A); an exception that applies to any call “made solely to collect a debt owed to or guaranteed by the United States,” id. § 227(b)(1)(A)(iii); and a provision that empowers the FCC to exempt calls made with an ATDS to a cell phone number-if the calls “are not charged to’ the called party” and are “in the interest of the privacy rights [the TCPA] is intended to protect,” id. § 227(b)(2)(C). Only four federal district courts have analyzed whether the TCPA, in light of its statutory exceptions, is content-neutral under the Reed framework. Two of those courts concluded
In Mey v. Venture Data, LLC, the Northern District of West Virginia concluded that the TCPA “does not draw distinctions based on the content of the speech or any message expressed,” and that the three statutory exceptions “are based on the relationship of the speaker and recipient of the message rather than the content of the message.”
By contrast, in Brickman v. Facebook, Inc., the Northern District of California concluded that .the third TCPA exception is content-neutral but that the first two exceptions are not.
Exceptions are relationship-based when they “depend on the relationship between the caller and the subscriber, not on what the caller proposes to say.” Gresham,
The TCPA’s government-debt exception presents a closer question because in one sense it is relationship based — it arises-from a creditor-debtor relationship between the government and the recipient of the communication. But that relationship is between the debtor and the government, whereas the debt collector initiating a telephone call often may be a third party that has no preexisting relationship, with the debtor. Moreover, the government-debt exception includes a content-based component; it requires the content of the message to pertain to the collection of a government debt. This content-based component effectively elevates government-debt communications above other communication’s, such as messages that pertain to private debts or messages that do not pertain to debts at all.
The third exception does not substantively exempt any communications. Instead, it empowers the FCC to create additional exceptions for communications that promote the privacy interests that the TCPA is intended to protect and do not result in charges to the called party. As the Brickman court reasoned, this provision is not facially or inherently content-based because there are content-neutral ways for the FCC to implement it, including relationship-based exceptions. Id. at 1045. LIUNA argues that, pursuant to this provision, the FCC has promulgated content-based exceptions through FCC orders. The Administrative Orders Review Act, 28 U.S.C. §§ 2341, et seq., confers jurisdiction on United States appellate courts to review final orders of certain federal agencies. See Brown v. Nuclear Regulatory Comm’n,
In summary, consistent with the conclusions reached in Brickman and Holt, this Court concludes that the first two TCPA exceptions render the TCPA content-based. For this reason, the Court must apply strict scrutiny to evaluate LIUÑA’s First Amendment challenge to the TCPA,
2. Strict Scrutiny Analysis
To survive strict scrutiny, “the government [must] prove that the restriction furthers a compelling interest and is narrowly tailored to achieve that interest.” Reed,
a. Compelling Interest
The first part of the strict scrutiny. inquiry. considers whether , the TCPA serves a compelling interest. Here, both Greenley and the United States argue— and LIUNA does not dispute — that the TCPA serves a compelling interest in protecting residential privacy. That this is a compelling interest is well-established in the Eighth Circuit and elsewhere. See, e.g., Van Bergen,
b. Narrowly Tailored
A law that serves a compelling interest also must be narrowly tailored to achieve that interest. Reed,
LIUNA first asserts that the TCPA is . underinclusive because it exempts “an array of communications” and leaves the public open to the concerns about privacy and unwanted intrusion that the TCPA was intended to address. As previously explained, this Court lacks jurisdiction to address the validity of exceptions created by an- FCC order. Consequently, this Court’s analysis necessarily is limited to the statutory . exceptions described above.
Although “underinclusivity raises- a red flag, the First Amendment 'imposes no freestanding ‘underinclusiveness limitation.’ ” Williams-Yulee,
In Reed, the Supreme Court concluded that the challenged municipal sign code was underinclusive because, although it sought to preserve the town’s aesthetics and promote traffic safety by prohibiting outdoor signs without a permit, the sign code' included twenty-three exceptions that permitted “unlimited proliferation” of one type of sigh “while strictly limiting” a different type of sign.
LIUNA also argues that the TCPA is overinclusive because it unneces
Time-of-day limitations would not achieve the same privacy objectives because even though such a restriction may designate the span of time in which callers can intrude on an individual’s privacy, it would also designate a time for intrusive phone calls. Mandatory dis-, closure of a caller’s identity and disconnection requirements-would also not be as effective in achieving residential privacy because these would not prevent the privacy intrusion from the phone call in the first place. Do-not-call lists would also not be a plausible less restrictive alternative because placing the burden on consumers to opt-out of intrusive calls, rather than requiring consumers to -qpt-in, would obviously not be as effective in achieving residential privacy.
Holt,
•The reasoning in Brickman and Holt is persuasive. As those courts observed, the hypothetical less-restrictive alternatives advanced by LIUNA would- not' be “at least as effective in achieving the legitimate purpose” that the TCPA was enacted to serve. Reno,
In summary, the Court concludes that the TCPA is a content-based restriction on speech, but the TCPA survives strict scrutiny because it is narrowly tailored to serve a compelling interest. LIUNA’s facial challenge to the constitutionality of the TCPA is unavailing, and the. Court denies LIUNA’s motion to dismiss on this basis.
B, As-Applied Challenge
LIUNA contends that the TCPA also violatés the First Amendment as applied to the messages LIUNA sent to Greenley. Whereas a facial- challenge applies to an entire legislative enactment or provision, “[a]n as-applied challenge consists of a challenge to the statute’s application only as-applied to the party before the court.” Minn. Majority,
The parties have suggested, in their briefing and at oral argument, that LIU-
ORDER
Based on the foregoing analysis and all the files, records and proceedings herein, IT IS HEREBY ORDERED that Defendant Laborers’ International Union of North America’s motion to dismiss, (Dkt. 22), is DENIED.
Notes
. Class certification has not yet been addressed in this case.
. Although LIUNA challenges causation in connection with its statutory-standing argument, LIUNA does not do so with respect to , Article III standing. In any event, the two unchallenged requirements for Article III standing — causation and redressability — are established here. Greenley’s alleged injury traces directly to LIUNA's alleged conduct, as discussed in more detail in &e statutory standing analysis that follows, and his injury would be redressed if the Court were to grant him the statutory and injunctive relief he seeks.
. Moreover, in one labor statute to which LIUNA cites, another subsection of the statute defines "labor organization” to include : “any organization of any kind, any agency, or employee representation committee, group, association, or plan.” 29 U.S.C. § 402(i) (emphasis added). This definition belies LIUNA's argument that labor organizations cannot be considered "associations,”
. LIUNA challenges whether Congress has the authority to make such conduct illegal without running afoul of the First Amendment. That issue is addressed below in Part V of this Order. ’
. LIUNA also asserts that the TCPA is an unconstitutional prior restraint on speech. This argument “misunderstands the meaning of 'prior restraint’ and ignores the long-held distinction between prior restraints and subsequent punishments.” Nat’l Fed'n of Blind v. FTC,
. The decisions in Brickman and Holt currently are pending review by the Ninth Circuit.
