On Point

FCC has made it official - AI is an artificial/pre-recorded voice under the TCPA. https://lnkd.in/gzHJvnwS

The FCC's recent ruling on the TCPA's express consent definition received significant attention, but another crucial decision was made in December regarding data breach notification requirements. Wireless carriers and VOIP service providers are now federally mandated to notify government officials of any data breach within 7 days and consumers promptly if the breach may result in harm. The rule applies to any unauthorized access or use of data linked to a specific individual, and even minor inadvertent disclosures require notifications, without a good faith exception. https://lnkd.in/gVZ6vP_E

The FCC's latest move, outlined in a Second Report and Order on November 22, 2023, signals a significant shift in rules governing the Telephone Consumer Protection Act (TCPA). Proposed rules set for consideration on December 13, 2023, could reshape how businesses engage with consumers. The key change is a requirement for businesses to secure prior express written consent from a consumer for calls and texts made using automated systems, limiting consent to "a single seller at a time." This targets the prevalent "Lead Generator Loophole," impacting lead generation and comparison shopping websites. Additionally, the proposed rules extend Do-Not-Call provisions to text messages, mandate prior express invitation for calls and texts to numbers on the DNC Registry, introduce a "block-upon-notice" requirement for certain providers, and encourage email-to-text opt-in services to combat fraudulent messages. These proposed changes aim to enhance consumer protection but pose challenges for businesses and consumers alike.

There is a lot to unpack in the FCC's new ruling. The ruling states that the express consent by a consumer can only be applied to ONE specific provider of goods or services. One question currently being raised is - if there is a company with multiple subsidiaries - would the consumer only need to permit consent to the parent company? An example of this would be for insurance brokers. It seems that if the consumer consents to receiving calls from Allstate, an independent broker calling them could not offer any type of coverage other than Allstate's. This new ruling will certainly cause trouble for many small businesses. https://lnkd.in/g6v_w9Qd

Attention all lead generators/telecommunications companies!! Stay vigilant about new TCPA rules - their newest bill could cause jail time for violators - and doubled fines. https://lnkd.in/gGFE_kQk

Here is something to think about if you are a lead generator: the FCC has proposed a new rule that states lead generators must obtain a consumer's prior express written consent from a single seller at a time. For example: if a lead generator collects leads from a website, that website should offer a consumer a check box list that allows them to specifically choose each individual seller they wish to hear from. This new rule has not been approved yet and will be voted on in December 2023. If it is passed, the new rule would go into effect around August 2024. https://lnkd.in/gJAcrwgX