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Faxes Considered Damage Despite Incorrect Assumption that Recipients Had Agreed to Reception

The U.S. Court of Appeals for the 11th Circuit has ruled that in the following case the insurer had no duty to cover a class action lawsuit alleging that its insured had sent hundreds of thousands of ”junk faxes”, even if the insured took this action based on the belief that the recipients had agreed to receive the faxes. In handing down this decision the 11th Circuit agreed with the federal district court in Georgia.

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April 15, 2019

The U.S. Court of Appeals for the 11th Circuit has ruled that in the following case the insurer had no duty to cover a class action lawsuit alleging that its insured had sent hundreds of thousands of ”junk faxes”, even if the insured took this action based on the belief that the recipients had agreed to receive the faxes. In handing down this decision the 11th Circuit agreed with the federal district court in Georgia. The case is GM Sign, Inc. v. St. Paul Fire & Marine Ins. Co., No. 17-14247 (11th Cir. April 12, 2019).

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