Featured Article: Mixed Messages: The FTC's New Rules.
State Holiday Alerts: State DNC Restrictions for September and October.
Contact Center Compliance appoints Mike Kovatch as new Chief Executive Officer.
Canada just weeks away from launching National Do Not Call List
Wisconsin adds cell phone numbers to state Do Not Call list.

On August 19th, the Federal Trade Commission finally put an end to one its longest-running soap operas, "As the Abandoned Call Turns." Viewers across the U.S. had been watching this program for almost four years, and were finally rewarded with a final "up or down" vote on two cliff hangers: 1) when can prerecorded telemarketing calls be sent?; and 2) how does the industry measure "abandonment" rate?

For companies that send or are in the business of sending pre-recorded messages, the news is not that good. As of September 1, 2009, all prerecorded telemarketing messages are prohibited unless the sender has a signed, written agreement from the recipient. As laws go, this is of the "do not pass go" variety - that is, it starts with an overall prohibition ("it is a violation of this rule for any telemarketer to initiate any outbound call that delivers a prerecorded message"), and then allows for certain limited carve-outs (abandoned call messages, express written permission, true informational calls, and healthcare-related calls subject to HIPAA.)

The starting point for analyzing any prerecorded campaign, starting as of 9/1/09, is therefore: "Assuming that all of the calls I'm making are prohibited - does my campaign nonetheless meet any of the applicable exemptions?" (Note that charity calls by a third-party telemarketer seeking a donation from one of its members or previous donor get a free pass from the express writing requirement.)

The FTC's current practice regarding prerecorded calls (which will remain in place until 9/1/09) is to allow such calls (under certain guidelines) when made in the context of an established business relationship. Many companies have been making use of the FTC's "forbearance" policy with regard to such calls, but there's a twist starting as of December 1, 2008.

On this date, all such EBR prerecorded calls must allow the called consumer to, via an automated key press or voice-activated mechanism, assert a Do Not Call request to the company making the call. After 12/1/08, key press or voice-activated mechanisms are all that is allowed - simply providing the consumer with the ability to call a number to opt-out will no longer be enough.

As a new and interesting wrinkle, the FTC also decided to enter the previously unregulated "wild west" of answering machine messages. Specifically, the new FTC rules state that in any prerecorded telemarketing call "that could be answered by an answering machine," the telemarketer must make all required identification disclosures followed immediately by a disclosure of a toll-free number to be used for Do Not Call requests.

Interestingly, the FTC also decided that in any call "that could be answered in person," the automated key press or voice-activated Do Not Call opt-out mentioned above must be provided to the consumer answering the call. What the FTC failed to address, however, is the means by which telemarketers can reliably figure out, in real-time, which calls could be answered by an answering machine and which could be answered in person.

Mike Kovatch, a veteran telecom and enterprise level security software executive, will be responsible for all CEO corporate functions effective September 2008. Ron Allen, outgoing CEO and 20 year veteran of the teleservice industry, will remain involved as Chairman of the Board and Ron Allen Enterprises will continue to own and operate Contact Center Compliance.

Kovatch brings more than 25 years of corporate experience, including 15 years within the telecommunications and enterprise level Internet security industry. He held several key sales management positions at Eschelon Telecom and General Electric, and most recently as vice president of sales for the successful Internet Security Company, Red Condor, Inc.

"Mike has tremendous experience in the application of advanced technology and telephony solutions. His experience will compliment the introduction of several new product offerings by Contact Center Compliance that will bring much value to our clients." said Ron Allen, Chairman of the Board. "Mike's vision for Contact Center Compliance includes a range of new solutions to support the teleservice industry."

The following holiday restrictions have been verified for the months of September and October:

There are no further holiday restrictions for the Month of September following September 1st (Labor Day).

Outbound calling is prohibited in Alabama, Rhode Island and Utah on Monday, October 13, 2008 in observance of Columbus Day.

Join Contact Center Compliance for a free Webinar on ADAD, EBR, B2B, and DNC (the Alphabet Soup of Compliance).

Date: Wednesday, Sept. 10th.         Time: 10:00 AM - 11:00 AM PDT
Register today: https://www1.gotomeeting.com/register/840362664

Canada just weeks away from launching National Do Not Call List:
The Canadian Radio-television and Telecommunications Commission (CRTC) is set to launch Canada's National Do Not Call List (DNCL) on September 30, 2008. The list will be free to consumers to register with and will provide them protection against unwanted calls. However, like the National DNC in the United States, there will be exemptions for particular organization types, and established business relationships (EBRs).