National Do Not Call Registry
The National Do Not Call Registry is a U.S. initiative aimed at reducing unsolicited telemarketing calls to consumers. Established in 2003 following the Do-Not-Call Implementation Act, the registry allows individuals to list their phone numbers to indicate their preference not to receive such calls. Telemarketers are prohibited from contacting numbers on the registry, with strict penalties imposed for violations. This effort arose from growing concerns over the increasing volume of telemarketing calls, which escalated from 18 million daily in 1991 to 104 million in 2002.
While the registry effectively curtailed many unsolicited calls, it does not apply to calls from political campaigns, nonprofits, or companies with whom consumers have established relationships. Initially set to keep numbers active for five years, subsequent legislation made listings permanent, and the registry has seen substantial participation, with over 62 million numbers registered in its first year alone. Although the initiative has benefitted consumers, it has also led to job losses in the telemarketing sector and prompted some companies to shift to other marketing strategies, such as email spam.
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National Do Not Call Registry
The Law: Database formed upon passage of the Do-Not-Call Implementation Act
Date: Signed March 11, 2003
Established following the passage of the Do-Not-Call Implementation Act of 2003, the National Do Not Call Registry collected the phone numbers of individuals who did not wish to receive unsolicited sales calls. Telemarketers were prohibited from calling numbers listed within the registry except under specific circumstances, and violation of these regulations resulted in heavy penalties.
Although the US government implemented the Telephone Consumer Protection Act (TCPA) in 1991, requiring telemarketers to set up their own do-not-call lists and limit calls to between the hours of 8:00 a.m. and 9:00 p.m., unsolicited calls remained a concern and annoyance for many Americans in the early 2000s. Despite legislation and the establishment of state do-not-call registries, the number of telemarketing calls increased from an estimated 18 million calls per day in 1991 to 104 million calls in 2002.
Lawmakers had long discussed developing a national do-not-call registry, but the cost was viewed as prohibitive, and existing computer software did not meet the needs of such a registry. However, advancements in technology soon made the development of a registry possible, and on March 11, 2003, President George W. Bush signed the Do-Not-Call Implementation Act. This act authorized the Federal Trade Commission (FTC) to create the National Do Not Call Registry and charge telemarketing companies a fee to access the database. Regulated jointly by the Federal Communications Commission (FCC) and the FTC, the registry went into effect after the US Court of Appeals ruled that its provisions were constitutional.
To add their residential or mobile phone numbers to the registry, consumers could either call a designated toll-free number or fill out an online form. Listings remained active for five years, during which time many telemarketers were prohibited from calling. The law did not apply to calls from political campaigns, nonprofit organizations, organizations conducting surveys, or companies with whom an individual had already established a business relationship. In 2007, the Do-Not-Call Improvement Act made listings permanent, while the Do-Not-Call Fee Extension Act extended the FTC’s authorization to collect fees from telemarketers.
Impact
In the National Do Not Call Registry’s first year of operation, more than 62 million phone numbers were registered. By the end of the decade, that number had grown to roughly 190 million. The FCC fined dozens of companies for violations over the course of the decade, notably levying a $5.3 million penalty against the satellite service provider DirecTV. While the regulation of telemarketing benefited consumers, it also resulted in the loss of jobs in the telemarketing industry and led some companies to consider new tactics such as spam e-mail marketing, which remained a significant concern into the next decade.
Bibliography
Bacon, Perry, Jr., and Eric Roston. “Stop Calling Us.” Time 28 Apr. 2003: 56. Print.
Clark, Kim, et al. “Give It Up!” US News and World Report Dec. 2005: 96. Print.
Horvath, August, et al. “Telemarketing Practices.” Consumer Protection Law Developments. Chicago: ABA, 2009. Print.