Federal Law Prohibits Unwanted Cell Phone Calls from Companies

Federal Law Prohibits Unwanted Cell Phone Calls from Companies

By Robert J. Boumis

Under federal law, it is illegal for a company to call or text you on your cellular phone without your permission. Under the Telephone Consumer Protection Act or TCPA, a violator can be fined as much as $500 dollars per violation. At the same time, cell phone users who can prove the violation was intentional may sue for up to 1,500 dollars for every time a company unlawfully contacted them.

The TCPA was passed by the United States Congress in 1991, and signed into law by President George Herbert Walker Bush. This act was intended to limit the use of automatic dialing systems, SMS text messages, and recorded messages to contact consumers. If you’ve been contacted via one of these methods, you may have a case to file a class action lawsuit against the offending company and receive compensation for these violations.

Additionally, the TCPA generally prevented solicitors from calling before 8 a.m. or after 9 p.m. local time, prohibited using automated calls that charge the consumer, and prohibited unsolicited faxes. The act also required that solicitors provide their name, the name of the company they represent, and a means of contacting that company. These laws apply to telemarketers and other business. They are enforced by the United States Federal Communications Commission or FCC.

Most importantly, this law laid the foundation for the National Do Not Call Registry. This registry went into effect in 2004 and allows consumers to put limits on the types of phone solicitations they may receive.

Telemarketers almost immediately challenged the TCPA and related laws in court. The cases Moser v. FCC (1995) and Destination Ventures Ltd v. FCC (1995) were both brought before the federal court alleging this act was unconstitutional. It was found that enforcing the TCPA was well within the federal government’s authority to enforce. This act made it potentially very costly for business to make unwanted telemarketing calls. Other court cases determined that violations of the TCPA could be tried in state court instead of federal court, simplifying the matter of seeking recourse against companies that violated this law.

The TCPA and National Do Not Call Registry have greatly limited unsolicited calls by imposing stiff penalties for violators. Despite this, several major companies have allegedly violated key statues of the TCPA. Companies ranging from debt collectors to restaurants to financial institutions and more have been accused to violating TCPA provisions. Other companies accused of violating the TCPA include PNC Bank, Vivint Inc., AllianceOne, Wells Fargo, and Hyundai Motor Finance. Alleged violations include text message spam, unsolicited marketing calls, and using illegal robo-dialing systems to place calls.

If you have received unwanted, unsolicited contact from a telemarketer or other company, you do have rights under the TCPA. While it can be daunting to take steps against a large company, you can take steps to take control of the situation. You can start by visiting the Text Message Spam, Cell Phone Call TCPA Class Action Lawsuit Settlement Investigation. Here, you can submit your information for review by a lawyer who specializes in this type of lawsuit. Your information will be reviewed, free of charge. From here, you may receive guidance on the next steps to take in your situation.

Updated May 3rd, 2013

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