Legal Challenges to Do Not Call Legislation

Legal Challenges to Do Not Call Legislation

November 13, 2007 by Steve Maclin 

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The do-not-call list was slated to take effect on October 1, 2003, but two federal district court decisions could have held it up. One from Oklahoma was overcome by special legislation giving the FTC specific jurisdiction over the matter.

The other from Colorado revolved around questions of regulation of commercial speech and threatened to delay implementation of the list. However, President Bush signed a bill authorizing the no-call list to go ahead in the waning days of September 2003. Finally, the U.S. Court of Appeals 10th Circuit on February 17, 2004, upheld the constitutionality of the Federal Trade Commission’s do not call Registry.

Some businesses have found that the use of overseas independent sales agents, whose actions can be denied by the beneficiaries, circumvent this law with almost no recourse available to consumers. Most famously, DISH Network’s began a sales drive in 2005 that blanketed individuals with calls from India pushing pay-TV packages, sometimes even threatening those who would not purchase. The combination of offshore sales centers and independent sales agents has so far been successful at circumventing the do not call Registry.


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