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September 01, 2009

By Dennis Dayman


FTC bans robocalls without written permission

Wow, what a summer... As your probably already feeling it, it's quite difficult getting back into the normalcy of things these past weeks after that nice long holiday. For Jennifer and I, kids started school these past few weeks, a lot of the email/privacy alliances and coalitions are spinning up their regular meeting schedules, I'm trying to get back into habit's of blogging producing/research on a regular schedule, and today September 1, 2009 is the day that many new laws either federal or state will take effect and will have some sort of impact on your work and personal lives.

For us here in Texas, there are SEVERAL new laws taking effect today (wear your seatbelt no matter where you’re sitting in the car. Don’t talk on a cell phone in a school zone. Put your kid in a car seat if the child is 8 years old or younger and not taller than 4-foot-9, etc) that will have an impact on us as citizens, but if you haven't been monitoring there are also a few new federal ones that will have an impact on your marketing process

The biggest one that you might have heard is the new Federal Trade Commissions (FTC) rule covering unwanted "Robocalls".The new requirements are a part of the larger FTC's Telemarketing Sales Rule (TSR) that begins September 1, 2009 prohibiting prerecorded commercial telemarketing calls to consumers, or robocalls, unless the telemarketer has obtained permission in WRITING from consumers who want to receive such calls. This was announced a year ago by the FTC.

 The rules look something like this.

  • If you send robocall, telemarketer must have permission IN WRITING before calling the target
  • If your a seller or telemarketer and you transmit without written permissions, the fine is $16,000 per call.
  • it DOES prohibit robocalls even if you have previously done business before with them
  • the pre-recorded call must tell the user how to opt-out st the start of the message
  • provide an automated opt-out mechanism that os voice or keypress-activated
  • If your pre-recorded message is left on an answering machine or voicemail, it must also provide a number that connects to the automated opt-out system.
The new regulations will not affect consumers' ability to continue to receive calls that deliver purely "informational" prerecorded messages notifying recipients, for example:

  • that their flight has been cancelled
  • they have a service appointment, or similar messages

Such purely "informational" calls are not covered by the TSR because they do not attempt to sell the called party any goods or services. Others not covered and by no surprise are politicians, banks, survey's, debt collectors, health care/prescription refill messages, telephone/utility carriers, and most charitable organizations.

After September 1, sellers and telemarketers who transmit prerecorded messages to consumers who have not agreed in writing to accept such messages will face penalties of up to $16,000 per call.

Calls made by humans will still be allowed, but not if the phone number is on the National Do Not Call Registry.

After September 1, consumers who receive prerecorded telemarketing calls but have not agreed to get them should file a complaint with the Commission, either on the donotcall.gov Web site or by calling 1-888-382-1222.

If you want all the details about the robocalls regulations please read the Federal Register Telemarketing Sales Rules Final Rule Amendments. The FTC also published a site that helps business comply with the TSR's which is very lengthy, but should answer most of your burning questions that I did not touch on here like telemarketing calls to business.

Your now asking why I'm telling you about this and it doesn't impact digital communications like email? Think really hard now........

How many of you send out an email invite to a customers about something like a conference or webinar and then follow-up with a robocall telling the user to look for the email? For some of you, the email open rates are significantly higher than those that did not get the robocall in these situations and thus you regularly use this process. Can you still use this process? Probably not.

-Dennis
Eloqua

Don't Just Send, Deliver!

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Great post. I have mixed thoughts on this reformed regulation becoming a reality for consumers and businesses, but I propose that more legislation and laws aren't the solution, but rather permission for the courts to handle such discretion within the litigation that would occur between consumer/AG and companies.

Ineffective: A majority of automated recorded phone calls are not eligible to be enforced by the provisions of the TSR.

International: Much like trying to regulate the Internet, the telephone system is an inter-connected network to the world. Obviously a company who engages in automated outbound recorded calls would be much safer and free to operate outside of the United States.

Confusing: Consumers don't know the difference between eligible or ineligible calls that fall outside the guidelines. They simply care they are interrupted by a lame, insincere and cold automated calls from companies they barely respect. I venture that as this becomes mainstream for consumers, AGs will be hit with frivolous claims from consumers citing violations from companies.


~Joe

They robocall to see if someone read their email? Is there anyone who wouldn't find that horribly rude?

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