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Business Tip of the Month

Business Tip
of the Month
For the month of November 2003

Know how the "do not call" rules apply to your business

Millions of consumers have added their phone numbers to the national "do not call" registry since it opened for business in July. The registry is a nationwide list of phone numbers of consumers who do not want to receive telemarketing calls. Though court challenges temporarily halted registration and enforcement, a ruling by the 10th Circuit Court of Appeals put the registry back in business for the time being.

Here's what your business needs to be aware of since the "do not call" rules are now in full effect.

The biggest impact of the new rules is on professional telemarketing firms. But any business that makes sales calls to consumers is affected. And all businesses, whether they make sales calls or not, should be aware of the regulations. That's because the penalties for noncompliance are high, up to $11,000 per illegal call.

Here are some key points from the new rules. If your business is affected, make the necessary changes to your procedures to be sure you're in full compliance.
  The "do not call" registry applies to sales calls from most businesses except those in state-regulated insurance. Calls from political groups, charities, or opinion surveys are not covered.
  You may still make calls to consumers whose numbers are in the registry if you have an existing business relationship with them. That relationship is defined as lasting for 18 months after their last purchase, delivery, or payment. There's also a relationship if they've made an inquiry or an application to your company within the last three months.
  Your business must maintain its own "do not call" list. If a consumer asks to be put on that list, you must honor the request. This applies even if you have an established business relationship or if they are not listed in the national registry.
  You must check your calling lists against the national registry every three months and delete any numbers listed in the registry. The only information in the registry will be telephone numbers sorted by area code. It is illegal to use those numbers for any other purpose.
  You can access the national registry to download data via a secure Web site (http://www.telemarketing.donotcall.gov/). There is an annual fee if you access more than five area codes.
  Note that over half the states have their own "do not call" regulations. Although there is a move to coordinate with the national rules, you should also check requirements for any state where you do business.

 


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