Do Not Call list registration has changed the way for-profit companies do business. But it hasn't changed much for nonprofits, right? Wrong. Do Not Call list registration is affecting nonprofits, even though they're technically exempt from Do Not Call list registration rules.
According to Do Not Call list registration law, nonprofits may call those whose numbers appear on the list. But they are also legally bound by some Do Not Call list registration laws. These include abiding by time-of-day limits, keeping an in-house no-call list, disclosure requirements, abandoned-call limits, and caller ID requirements. So Do Not Call list registration does affect nonprofits as well.
One of the more dramatic cases involving Do Not Call list registration law as it pertains to nonprofits was the 2005 case National Federation of the Blind v. FTC. The National Federation of the Blind and Special Olympics of Maryland had outsourced its fundraising campaign to a for-profit telefunding company, and was calling numbers listed under Do Not Call list registration. The state of Maryland cried foul, and the case wound up in court.
The PATRIOT Act had altered the Do Not Call list registration law in 2003 to include jurisdiction over for-profit telefunders making calls on behalf of charities, but the charities were still allowed to make these calls in-house. The National Federation of the Blind argued that the FTC's regulation of telefunder calls, while charities make identical calls in-house, was unconstitutional. However, the court held that the discrepancy arose out of the FTC's inability to regulate charities under Do Not Call list registration law. It could regulate all for-profit activity, and telefunders were for-profit entities. The discrepancy was not discriminatory, but arose out of the FTC's regulating limits.
There was a dissent among the court judges that believed, under Do Not Call list registration law, that the decision to make a discrepancy between charities making in-house calls and those using telefunders had a detrimental impact on charities limited to hiring telefunders to make their calls. They believed that the Do Not Call list registration limits to these charities were unconscionable. However, the dissenters were in the minority.
Do Not Call list registration is having a tangible effect on nonprofits. One of the largest involves the court's decision regarding telefunders, which the court determined were accountable to Do Not Call list registration law, regardless of whether they were calling on behalf of charities. However, some states are further regulating charities under state-level Do Not Call list registration law. Under Do Not Call list registration law, charities are being asked to abide by time-of-day and holiday limits on when they can make their calls. Ethical charities for the most part understand that this is not merely a matter of Do Not Call list registration law, but also one of courtesy-people have expressed a desire not to be called during these times, and the charities try to honor those requests.
Do Not Call list registration law is having an effect on nonprofits and charities all over the country. Although the Do Not Call list registration restrictions are not as severe for nonprofits as those for for-profit enterprises, they definitely change the way nonprofits solicit donations. If you have concerns about how your nonprofit can conduct its fundraising without running afoul of the Do Not Call list registration law, it's advisable to contact a lawyer.
Also read about state do not call lists
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