Featured Article: LEST WE FORGET - Issues in Wireless Call Compliance:
State Holiday Alerts: State DNC Restrictions for December and January.
More In-Depth Compliance Information Now Available from DNC.com
FCC Rescinds Citation After Established Business Relationship Proved.
New FTC Procedure Could Result in Removal of 5% of the DNC List.
Mississippi Confirms Monthly Updates of the State's Do-Not-Call List.

Compliance with state and federal rules has come a long way in the teleservices industry. There was a time not too many years ago where few, if any, telemarketing companies had one individual tasked with managing compliance issues. Today most of the big players in the industry have a dedicated Compliance Officer, very often with his or her own staff, whose job it is to stay one step ahead of the regulations. There was also a time when "compliance" meant "we still haven't been fined yet, so we must be doing something right"; today, telemarketers understand that a comprehensive, proactive compliance program is necessary in order to even have a chance at claiming the protection of statutory "safe harbor" provisions.

There is one area, however, that many in the industry have yet to properly address: wireless calling compliance. A brief history: in June of 2003, the FCC adopted changes to its regulations implementing the Telephone Consumer Protection Act of 1991 (TCPA). Among many other changes, the FCC also clarified its definition of the term "automatic telephone dialing equipment." Specifically, the FCC made it clear for the first time that a predictive dialer "falls within the meaning and statutory definition of 'automatic telephone dialing equipment' and the intent of Congress." This clarification, coupled with the FCC's affirmation of its rule that "under the TCPA, it is unlawful to make any call using an automatic telephone dialing system . . . to any wireless telephone number," meant that telemarketers using predictive dialers had to ensure that no calls were made to wireless numbers.

An additional, and ultimately more complex, problem was presented by Wireless Number Portability (WNP). Since the start of WNP on November 24, 2003, United States consumers have had the ability to "port" their phone numbers from one wireless service to another, as well as to port numbers between wireless and wireline services.

Prior to WNP, the majority of wireless numbers were trackable via area code and exchange (NPA - NXX-(X); after WNP, for each number ported, the number of potentially untrackable wireless numbers increased.

There are several options to identify the "trackable" wireless numbers, including the list maintained by the Direct Marketing Association, and Telcordia's "Local Exchange Routing Guide." For "ported" wireless numbers (especially those that were ported from the landline universe), the only source is Neustar's "Intermodal Ported Telephone Number Identification Service". Under the FCC's rules, companies have a 15-day implementation period to ensure that no calls are placed to numbers ported from landline to wireless services. Managing these lists, and properly incorporating them into calling campaigns, can be a frustrating and complex experience for even the most sophisticated of companies.

To add a little more fuel to the wireless compliance fire, individual states have their own rules with regard to such calls. The FCC regulates these calls based upon the method by which the calls are made (i.e., predictive dialers). The states, meanwhile, regulate such calls based upon the intent of the call (i.e., whether the call is made for the purpose of making a sale.) For example, New Jersey prohibits all telemarketing sales calls to wireless numbers, regardless of how the phone call is made. In addition, the wireless companies themselves have taken action to stop illegal telemarketing calls to their subscribers. In September of 2005, Verizon Wireless filed lawsuits against two telemarketers that allegedly had made calls in violation of FCC rules.

The dangers associated with wireless calling issues come from many angles, and teleservices professionals would be well advised to take heed of them. Where a company lacks the internal resources to properly address these issues, it would be proper to seek out the advice and assistance of outside third-party experts.

Looking for information on "Red Flag Rules", or the FCC rules on express consent in regards to cell phones? DNC.com offers a growing collection of in-depth articles,
webinars, and white papers on a wide range of compliance topics. Visit our Compliance Information archive at: http://www.dnc.com/info/.

To get answers to specific questions contact our knowledgeable compliance officers at
866-362-5478, or by email to info@dnc.com.

The following holiday restrictions have been verified for the months of December and January:

Outbound calling is prohibited in Alabama, Louisiana, Mississippi, Rhode Island and Utah on
Thursday, December 25, 2008 in observance of Christmas Day.

Outbound calling is prohibited in Alabama, Louisiana, Mississippi, Rhode Island and Utah on
Thursday, January 1, 2009 in observance of New Year's Day.

Outbound calling is prohibited in Alabama, Louisiana, Mississippi, Rhode Island and Utah on
Monday, January 19, 2009 in observance of Martin Luther King's birthday.

FCC Rescinds Citation After Established Business Relationship Proved:
A citation against an issuer of major credit cards has been rescinded by the Federal Communications Commission (FCC) after that company was able to prove they had an established business relationship (EBR) with the consumer. The FCC further stated that the company's calls did not violate the the Telephone Consumer Protection Act (TCPA).

New FTC Procedure Could Result in Removal of 5% of the DNC List:
A new procedure implemented by the Federal Trade Commission (FTC) could result in the removal of approximately 5% of the numbers on the DNC list. This procedure would purge telephone numbers that have been disconnected and reassigned, and will be applied retroactively.


Mississippi Confirms Monthly Updates of the State's Do-Not-Call List:
The state of Mississippi 's Public Service Commission has clarified it will be updating its state Do Not Call List on a monthly basis, and not quarterly as originally stated.