Call Compliance, Inc. - Consequences of Non-Compliance

Failure to fully comply with the complex and ever-changing federal and state DNC rules is no longer an option for companies engaging in outbound telephone solicitation. The ramifications of non-compliance have grown increasingly strict. Enforcement agencies at the state level now routinely levy fines against companies for DNC violations. Depending on the state, penalties can reach $25,000 per infraction. The federal rules in the United States (promulgated by both the FTC and the FCC) pose even more serious challenges, with fines ranging up to $11,000 per violation, and vigorous enforcement a certainty. Consumers continue to have the authority to bring a civil action against the violating party and potentially recover civil penalties inclusive of court costs, attorney fees and monetary fines. In Canada, CRTC can levy penalties of up to $1,500 for an individual and up to $15,000 for a corporation, for each violation. Over and above these fines, any entity violating these rules faces substantial negative repercussions from a public relations viewpoint, as the agencies that enforce these laws promulgate press releases, which include the names of the entities fined, and the fine amount. Generally speaking, the consequences of non-compliance are more severe than ever.