Rocket Mortgage Faces Potential Class Action Lawsuit

A recent lawsuit filed against Rocket Mortgage, a mortgage lender headquartered in Detroit, highlights the risks of non-compliant dialing practices and the speed at which attorneys in the industry can source potential class action damages.

The Lawsuit

The lawsuit, which was filed in the U.S. District Court for the District of Arizona in mid-November, seeks up to $500 per TCPA violation and an injunction against Rocket Mortgage. The plaintiff, Kellie Deits, claims she received an unsolicited call from Rocket Mortgage in April 2023, despite having never inquired on mortgages nor provided consent to Rocket Mortgage for the call. After the first unsolicited call and her request to not be contacted, Deits allegedly received 27 more calls over the next 10 days from the same number. She’s seeking a class action certification to expand the case to represent others who’ve received more than one call from Rocket Mortgage within a 12-month period and within five years of making a Do Not Call request.

Rocket Mortgage’s Response

Rocket Mortgage has denied the lawsuit’s claims, labeling them as baseless and reiterating their dedication to client service. It has also noted that no TCPA class action filed against the company has been certified, and expressed frustration with attorneys seeking quick settlements, stating, “Despite this, plaintiff attorneys continue to litter the industry with baseless TCPA claims in hopes of securing quick and lucrative settlements.” 

Earlier in 2023, a similar lawsuit against Rocket Mortgage was dismissed by the U.S. District Court for Eastern California.

Key Lessons

There are some critical lessons this case highlights:

1. TCPA guidelines on honoring do-not-call requests are clear. Companies must respect consumer requests to not be called, and implement systems to track, update, and suppress against these requests is crucial. For an overview of common issues companies run into when honoring do-not-call requests, you may refer to our Managing DNC List Challenges blog.
2. Even minor TCPA violations can lead to reputational and financial consequences. We’re seeing more TCPA cases focused on the National Do-Not-Call registry and internal do not call lists. In June, the FCC released an NPRM regarding potential changes to the time requirements for honoring do-not-call requests, highlighting the importance of staying up to date with changing industry requirements.

In summary, the lawsuit against Rocket Mortgage serves as a reminder of the risks of over-dialing. By adhering to consent preferences and internal controls, businesses can evade costly legal issues and protect their reputation.

CompliancePoint offers the expertise and services to bring your marketing campaigns into compliance with all applicable regulations, including the TCPA, TSR, Do Not Call lists, and all state telemarketing laws. Contact us at connect@compliancepoint.com to learn more.