In a recent hearing, a case against Build-A-Beer has reached its conclusion. The company was taken to court with regards to some text messages that they had sent to their customers. The company has now agreed to make a one-time payment to qualified customers as compensation and would spend $4.1 million in doing so.
Credits: National Harbor
The Lawsuit and Settlement:
According to the allegations, Build-A-Bear had broken the Telephone Consumer Protection Act (TCPA). The act does not allow companies to call or text customers who have chosen not to use their services. Companies must include a formal opt-out option on all consumer interactions in order to comply with the TCPA. As per the conditions of the settlement, Build-A-Bear will issue one-time checks up to $500 to qualified customers who received two or more text messages from the business between September 24, 2017 and March 28, 2023. Although the company had denied all allegations of misconduct in the complaint, it has accepted the settlement.
Build-A-Bear, An Overview:
Build-A-Bear, a company established in 1997 has since gained popularity in the market. It allows its customers to design and build their own plush bears. The company has several stores across the world and has grown to be a well-liked attraction for both kids and adults. Customers can pick their own fuzzy companion from the company’s selection, load it with stuffing, and customize it with clothes and other items.
The Telephone Consumer Protection Act (TCPA):
In order to shield customers against unsolicited telemarketing calls, faxes, and text messages, the TCPA is a federal statute that was passed in 1991. Before making automated calls or sending texts to customers for marketing purposes, businesses must get their customers’ express permission in advance. The law also requires businesses to give customers the option to unsubscribe from future communications by including an opt-out mechanism in their communications.
Steps to Claim the Cash Payment:
- Not all customers are eligible to receive money from the company. The settlement will only benefit the customers who received two or more text messages from Build-A-Bear between September 24, 2017 and March 28, 2023 after they opted out i.e. did not want to receive texts from the company.
- Proof that you had opted out: In order to be eligible for the payout, customers must show proof that they texted Build-A-Bear the words “Stop” or “Quit” in order to indicate their want to stop receiving further communications.
- Get in touch with Build-A-Bear: Eligible customers will get emails and text messages from the company. Therefore, all customers are advised to check their inboxes frequently for any additional instructions or updates regarding the claim procedure.
- Claim Submission: Customers must follow the instructions given by the company in order to submit their claims via emails or text messages. The final date to submit the claims is July 7th, 2023.
Payment Timeline:
As of now, it is anticipated that the payments will be made on September 6th, 2023. The exact amount that a customer who was able to prove his claim would also vary depending upon the total number of people who are eligible to receive the settlement money.
Conclusion:
In conclusion, Build-A-Bear has decided to repay qualified customers who received over two text messages between September 2017 and March 2023 by providing one-time cash payments of up to $500. The settlement terms must be carefully read by eligible consumers, who must also submit their claims by the deadline with the necessary supporting information. Customers can do this to make sure they get the settlement money that they are to receive because of the alleged violation of the TCPA Act by the company. Even though Build-A-Bear has denied any wrongdoing, the settlement ends the legal dispute. Customers should pay close attention to email and SMS messages from Build-A-Bear as the payment process gets underway and act quickly to receive their cash payment.