$3 Million “Fax Blast” Settlement Reached for Client Craftwood Lumber Co.

Payne & Fears client Craftwood Lumber Co. struck a $3 million settlement with Senco Brands Inc. over alleged violations of the Telephone Consumer Protection Act and the Junk Fax Protection Act.

In 2014, Craftwood, a regional hardware and lumber chain, sued power tool manufacturer, Senco, in the Northern District of Illinois claiming that between 2010 and 2014 it had been targeted in a “fax blasting” campaign advertising Senco’s air compressors, nail guns and other tools. The cover page of the fax contained the message “Attention Senco Dealers!! NEW!!!!!!!! AIR COMPRESSOR AND 3 TOOL COMBO KIT!!! … Please see attached flyer!!” followed by an advertising leaflet.

After contentious argument over discovery, two motions to stay, a motion to dismiss and a motion for summary judgment, the parties settled avoiding years of litigation if the case were to continue.

On June 9, 2017, Payne & Fears obtained final approval for the $3 million settlement and the court certified a settlement class. Under the settlement terms, each class member is anticipated to receive about $800 to be paid automatically without the need to opt-in to the class.

In 2014, the same year Craftwood filed the current suit, our firm helped Craftwood reach a $40 million settlement with Interline Brands Inc., to put to rest a similar class action over junk faxes.