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Do not call lists are changing telemarketing

Businesses should be aware the Federal Trade Commission has amended the Telemarketing Sales Rule (TSR) to give consumers a choice whether they want to receive most telemarketing calls. Consumers will now be able to put their phone numbers on a national “do not call” registry. It will be illegal for most businesses to call a number listed on the registry.

The TSR applies to any plan, program or campaign to sell goods or services through interstate phone calls. This includes telemarketers who solicit consumers, often on the behalf of third party sellers. It also includes sellers who provide, offer to provide, or arrange to provide goods or services to consumers in exchange for payment.

Some businesses remain exempt from the TSR, including long-distance phone companies and airlines, and insurance companies operating under state regulations. Although these companies are not subject to the TSR, any telemarketers they hire to make calls on their behalf are required to comply.

The national “do not call” registry took effect in July 1. Consumers can register for free online at: www.ftc.gov/donotcall or you can call toll-free, 1-888-382-1222 (TTY 1-866-290-4236), from the number you wish to register. Phone registration will open to the entire nation July 7. Registration is free. To better manage the anticipated volume of registrations, initial sign-up by phone for the national “do not call” registry will be phased in, region-by-region, over an eight-week period.

In September 2003, telemarketers and other sellers will have access to the registry. They will be required to scrub their call lists against the national “do not call” registry at least once every 90 days.

In October 2003, the FTC and the States will start to enforce the national “do not call” registry provisions of the Amended Telemarketing Sales Rule. Businesses that violate the rule are subject to a fine of up to $11,000 per violation.

When a telemarketer or seller accesses the system for the first time, they will have to provide some identifying information, such as company name and address, company contact person, and the contact person’s telephone number and e-mail address. If the telemarketer is accessing the registry on behalf of another company, the telemarketer will need to identify the company or companies.

A telemarketer or seller may call a consumer with whom it has an established business relationship for up to 18 months after the consumer’s last purchase, delivery, or payment – even if the consumer’s number is on the national “do not call” registry. In addition, a company may call a consumer for up to three months after the consumer makes an inquiry or submits an application to the company.

One caveat: if a consumer asks a company not to call, the company may not call, even if there is an established business relationship. Indeed, a company may not call a consumer – regardless of whether the consumer’s number is on the registry – if the consumer has asked to be put on the company’s “do not call” list.

For more information, go to www.ftc.gov.

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