If your business has traditionally relied on cold-calling-or if you're a new business owner considering cold-calling as a way to get started-think again. The Do Not Call list is affecting businesses across the country. If you plan on picking up the phone, it's important to know the rules. Here are five ways the Do Not Call list will affect your business.
You'll have a lot of numbers to keep track of. The federal Do Not Call list rules prohibit cold-calling residential numbers on the national registry, the state registry, and your own, in-house Do Not Call list, which your business is required to keep-in most cases, it does not apply to business numbers. You have to "scrub" your lists every three months-meaning you'll have to update your lists against the Do Not Call lists at the federal and state level. If you call a number that isn't on the federal Do Not Call list, and that person asks not to be called again, you are required to add their number to your company's in-house Do Not Call list.
You'll need to keep records of "existing business relationships." You are allowed to call people with whom you have had an "existing business relationship" (we'll call it an "EBR") within the last 18 months-even if they're on the Do Not Call list. According to Do Not Call list law, an EBR exists with anyone who has bought, leased, or rented something from your company within the last 18 months. Additionally, you can be said to have an EBR under Do Not Call list law if the person has made an inquiry or filled out an application relating to your goods or services within the last three months. This means you'll have to keep careful records of whom you've done business with, and when, if you want to comply with the Do Not Call list.
You'll have to register with the FTC. You'll also have to download the national Do Not Call list at the FTC's website, which you can do for free for up to five area codes. If you need access to more, the cost is $62 per code. The maximum payment is $17,050 for the entire Do Not Call list of U.S. area codes.
If you work with a telemarketing firm, you're responsible for their compliance. You could wind up paying the fine if your telemarketer violates Do Not Call list rules. You'll need to ensure that your telemarketing firm scrubs its lists every three months against the federal and state Do Not Call lists, your company's in-house Do Not Call list, and its own in-house Do Not Call list, which it is required to maintain independently of yours. Your contract with a telemarketing firm should include language about their Do Not Call list compliance requirements.
You'll have to educate your staff. If your company winds up in court because of Do Not Call list violations, it's possible to reduce liability if you can show that your company has made an effort to comply with Do Not Call list laws. You'll need a written policy regarding Do Not Call practices, and to educate your staff thoroughly.
This provides an overview of the major impact the Do Not Call list will likely have on your business. However, we're not lawyers. If you want to be sure of your company's compliance with the Do Not Call list, we strongly encourage you to contact an attorney.
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