FTC Announces Winners of Robocall Challenge

FTC Announces Winners of Robocall Challenge

By Anne Bucher

The Telephone Consumer Protection Act of 1991 (TCPA) is a federal law that restricts telephone solicitations. Unsolicited phone communications are disruptive, annoying and can cost you money. Many companies are illegally contacting people via cell phone, causing the person they contact to be responsible for any costs associated with the call or text message. As a result, the Federal Trade Commission has instituted laws to protect consumers.

Companies Pay Hefty Fee per TCPA Violation

Companies that violate the TCPA may be liable for $500 per violation.

When you consider the thousands or even millions of people who receive telephone solicitations, these fines can add up to substantial penalties for companies in violation of the law. Federal prosecutors have attempted to crack down on the telemarketers and scammers who illegally contact millions of Americans, invading their privacy and putting them at risk. Some of these callers attempt to gather identifying information from individuals in attempt to commit identity theft. Other calls are simply prerecorded sales calls.

Some companies use computerized auto-dialers to deliver pre-recorded messages via telephone. Because these calls come from a computer, they have become known as “robocalls.” Robocalls are often associated with political campaigns and telemarketers. Under federal law, all phone calls that use pre-recorded messages must include a telephone number or address at which the initiator of the call can be reached.

FTC Announces Robocall Blocking Contest Winners

The Federal Trade Commission (FTC) receives about 200,000 complaints about robocalls each month. In an effort to combat unsolicited communications from businesses, the FTC recently announced a national contest inviting the public to contribute ideas about how to put an end to robocalling. The agency received nearly 800 eligible submissions. On April 2, the FTC announced two winners: Aaron Foss and Serdar Danis. Each will receive $25,000.

The technologies developed by Foss and Danis involve software that has the ability to analyze calls to determine if they were being placed from a computer or an unwanted caller. The software is able to filter calls and block any unsolicited calls.

The FTC also issued a Robocall Challenge Technology Achievement Award to two Google employees, who created a program that used automated algorithms to identify robocalls.

The FTC hopes that these promising technologies will be developed and put on the market to help prevent robocalls and provide relief to the millions of Americans who receive them.

Exercise Your Legal Rights

As a consumer, companies are prohibited from contacting you without your permission.  Frustrated consumers are beginning to take legal action. TCPA lawsuits have been filed against the Huffington Post and Yahoo. Plaintiffs in these lawsuits complained that these companies sent unsolicited text messages without prior or express consent.

If you have received unwanted text messages, automated phone calls or any other unsolicited communications from a company, you may be able to receive financial compensation. Under the TCPA, you may receive up to $1,500 for each unsolicited text message you receive. Visit the Text Message Spam, Cell Phone Call TCPA Class Action Lawsuit Settlement Investigation page for more information. After you submit your information on this page, a TCPA lawyer will conduct an assessment to determine whether you qualify for compensation under the TCPA.

Updated April 3rd, 2013

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