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Tag: Telemarketing

  • FCC Issues Record-Breaking $225 Million Robocall Fine

    The Federal Communications Commission (FCC) has issued a whopping $225 million fine to two telemarketing firms in Texas.

    John C. Spiller and Jakob A. Mears used a number of business names in their operation, including Rising Eagle and JSquared Telecom, spoofing robocalls during the first four and a half months of 2019. They falsely claimed to offer health insurance from well-known providers. To make matters worse, the telemarketers intentionally broke the law in an effort to be more profitable.

    Mr. Spiller admitted to the USTelecom Industry Traceback Group that he made millions of spoofed calls per day and knowingly called consumers on the Do Not Call list as he believed that it was more profitable to target these consumers.

    The companies made some 23.6 million robocalls per day, across the nation’s four largest wireless carriers (since the calls happened before T-Mobile and Sprint’s merger).

    “This isn’t just frustrating—it’s dangerous,” said Acting Chairwoman Jessica Rosenworcel. “When we can’t trust that the number we see is the number that is truly calling, we’re less likely to pick up the phone and more likely to miss important calls from those we really care about.”

    Rosenworcel also announce the creation of a dedicated Robocall Response Team at the FCC, consisting “of over 50 attorneys, economists, engineers, and analysts from the agency, including the Enforcement Bureau, the Consumer and Governmental Affairs Bureau, the International Bureau, the Wireline Competition Bureau, the Office of Economics and Analytics, and the Office of General Counsel.”

    Hopefully the FCC’s record-breaking fine will discourage other telemarketers from engaging in such behavior.

  • Supreme Court Strengthens Anti-Robocalling Laws

    Supreme Court Strengthens Anti-Robocalling Laws

    Consumers tired of robocalls can breath a sigh of relief, as the Supreme Court has shored up a law banning the practice.

    Polling and political organizations had sought to have a law banning robocalls overturned, in their efforts to reach voters. To bolster their case, they cited an exemption that allows the federal government to robocall individuals to collect debts, specifically loans held or guaranteed by the government. As Reuters points out, this would include many mortgages and student loans.

    Needless to say, the argument didn’t go the way the political groups wanted. Not only did the Supreme Court not overturn they law, they instead struck down the amendment exempting the federal government. Even the FCC, while supporting the ban, had wanted the federal exemption to be left in place.

    “Americans passionately disagree about many things. But they are largely united in their disdain for robocalls. The federal government receives a staggering number of complaints about robocalls – 3.7 million complaints in 2019 alone. The states likewise field a constant barrage of complaints,” Justice Kavanaugh wrote.

    Consumers are the real winners in this decision. It’s clear that united disdain for robocalls was a large motivating factor in the Supreme Court strengthening this particular law.