Marketing and TCPA Concerns

What is TCPA?

The TCPA (Telephone Consumer Protection Act) is a federal statute enacted in 1991 designed to safeguard consumer privacy. The legislation restricts telemarketing communications made through voice calls, SMS texts, and faxes.

What does it limit?

Unless the recipient has given prior express consent, the TCPA and Federal Communications Commission (FCC) rules under the TCPA generally:

Prohibits solicitors from calling residences before 8 a.m. or after 9 p.m., local time.

Requires solicitors maintain a company-specific “do-not-call” (DNC) list of consumers who asked not to be called; the DNC request must be honored for 5 years.

Requires solicitors honor the National Do Not Call Registry.

Requires solicitors provide their name, the name of the person or entity on whose behalf the call is being made, and a telephone number or address at which that person or entity may be contacted.

Prohibits solicitations to residences that use an artificial voice or a recording.

Prohibits any call made using automated telephone equipment or an artificial or prerecorded voice to an emergency line (e.g., “911”), a hospital emergency number, a physician’s office, a hospital/health care facility/elderly room, a cellular telephone, or any service for which the recipient is charged for the call.

Prohibits autodialed calls that engage two or more lines of a multi-line business.

Prohibits unsolicited advertising faxes.

In the event of a violation of the TCPA, a subscriber may (1) sue for up to $500 for each violation or recover actual monetary loss, whichever is greater, (2) seek an injunction, or (3) both.

In the event of a willful violation of the TCPA, a subscriber may sue for up to three time the damages, i.e. $1,500, for each violation

Source: Wikipedia

Reports say that the Federal Communications Commission received 4 billion complaints regarding unwanted calls in the year 2016. Many of these complaints were registered by consumers who continued to receive text messaging even after unsubscribing such services.

The Problem of Repeat Litigators

“The intent of TCPA is to stop unwanted and unsolicited calls and to protect people’s privacy. Unscrupulous attorneys and individuals have abused the regulations to make TCPA litigation a big business. They induce businesses to make multiple phone calls, then sue them for those calls. Because attorney’s fees are not recoverable in TCPA lawsuits, fighting these claims in court can be very expensive, over $10K plus.”

Source: TCPALitigatorList.com

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The world is changing. We are in an age of asymmetric advantages and efficiencies. The internet itself is one of these efficiencies. Those who don’t take advantage of it are at a severe disadvantage. Within online marketing, there are necessary efficiencies that have to be in place in order to compete. One of the reasons for this is that much of the advertising world online is based on an auction environment and things get bid up to the point where only those companies with everything in place can compete.

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