January 1999

State "Do-Not-Call List" Laws: An Update

BY JERRY CERASALE, DIRECT MARKETING ASSOCIATION

"Do-not-call" lists enacted in the U.S. require either a State agency to maintain a list of residential telephone subscribers who have submitted a request not to receive telephone marketing calls or require phone companies to place a mark or some other indication in the telephone directory next to the names and telephone numbers of subscribers who do not wish to receive these calls. Marketers must purchase a copy of the list and delete from their calling lists the names and numbers of persons who do not want calls. New "do-not-call" list laws enacted last year in Georgia and Kentucky are discussed below, as well as laws enacted earlier in Florida, Alaska and Oregon.

The Georgia law requires the Public Service Commission to establish a list of residential subscribers who have informed the State that they do not wish to receive unsolicited telephone sales calls. The list, available to telephone solicitors as of January 1, 1999, costs $10 per year and may be either requested by mail or downloaded directly from the Internet. This list is updated quarterly.

Calls made with a resident's prior express invitation or permission, calls to a person with whom the caller has a prior or current relationship or calls by or on behalf of charitable organizations recognized by the state of Georgia are exempt from "no-call" provisions. A Georgia resident who receives more than one solicitation within a 12-month period in violation of the "no-call" law may recover monetary damages of up to $2,000 per offense. Marketers have established and implemented defense practices and procedures to prevent telephone solicitations in violation of the law.

Kentucky requires telemarketers, who must register under the State's telephone registration law, to obtain a quarterly "no telephone solicitation calls" list, which is maintained by the office of the Attorney General, Division of Consumer Protection. Callers must also limit calls to between the hours of 10:00 a.m. and 9:00 p.m.

Persons who violate the "do-not-call" law are guilty of a Class B misdemeanor for a first offense and a Class A misdemeanor for subsequent offenses.

Alaska requires telephone companies to establish a directory identification system for telephone customers who do not wish to receive solicitation calls. Alaska local exchange carriers (LECs) are now offering residential telephone customers who do not want unsolicited telephone calls a "black dot" beside their names in local telephone directories. Marketers must contact each LEC for its listing of subscribers who have requested the "black dot" service. Charitable calls, business-to-business calls and calls to previous customers are exempt.

A company that employs individuals to engage in telephone solicitation is not liable for violations of the "black dot" law if it is established that:

• Written procedures have been adopted and implemented to comply with the law,
• Sales personnel have been trained in the no-call procedures, and
• A call in violation was made contrary to the employer's procedures and policies, providing calls that result in violation of the law are infrequent.

Florida law allows any residential, mobile or telephonic paging device telephone subscriber to be placed on a "no sales solicitation calls" list if the subscriber does not wish to receive unsolicited telephone calls. The list is updated quarterly and available to marketers for a fee. Telephone marketers are prohibited from calling any telephone number that appears on the current listing. Telephone marketers or other persons who offer for sale consumer information that includes residential, mobile or telephonic paging device telephone numbers must also screen and exclude any telephone numbers on the current list. Calls made in response to a request of the called party, made in connection with an existing debt or contract, made to a prior existing customer or made by a newspaper publisher, its agent or employee are exempt.

The Department of Legal Affairs may bring an action to impose a civil penalty of up to $10,000 per violation and for other relief if complaints from telephone subscribers are investigated and the company is found to be in violation.

The Oregon "do-not-call" list law states that telecommunications companies may identify persons in their directories who do not wish to receive telephone solicitation calls. Telephone marketers are then prohibited from calling any person with such identification in a telephone directory. Marketers must obtain lists of persons who have requested a "do-not-call" indication from the telephone companies. Calls to previous purchasers, calls made in response to a request or inquiry from the called party, calls made by a charitable organization or a public agency, calls made for the purpose of polling or soliciting ideas, opinions or votes or business-to-business calls are exempt.

Jerry Cerasale is the senior vice president of government affairs at the Direct Marketing Association. He is in charge of DMA's contact with Congress, all federal agencies, and state and local governments.