FCC ACTS TO IMPLEMENT REQUIREMENTS OF SECTION 3 OF TRACED ACT

1 Comment

The Federal Communications Commission (FCC) took action today to implement elements of Section 3 of the Pallone-Thune TRACED Act, changing its existing Telephone Consumer Protection Act (TCPA) rules without seeking further public comment.

The rule changes, directed in the TRACED Act, address several enforcement-related provisions, strengthening the agency’s hand in combating illegal robocalls.

First, before the TRACED Act, the FCC had to warn robocallers that did not otherwise fall within its jurisdiction by issuing “citations” related to their alleged TCPA violations (e.g., robocalling cell phones without prior consumer consent) before the agency could move forward with an enforcement action. Further, any fine imposed could only apply to TCPA violations committed after such a warning was issued. This warning requirement did not apply to violations for illegal spoofing, however. The TRACED Act-authorized rule changes provide that TCPA robocall violations by such entities are now treated in the same fashion – no prior citation required.

Second, before the TRACED Act, the FCC’s Enforcement Bureau had either one or two years, respectively, from the day a TCPA violation took place to propose a fine. Only  violations that took place within that window could be considered when calculating a proposed forfeiture against the offender. The TRACED Act increased the statute of limitations to four years within which the FCC can propose a fine for spoofing and intentional robocall violations.

Third, per the TRACED Act, the FCC’s action today also increases the maximum fines for intentional TCPA robocall violations so that the FCC may now impose a penalty of up to $10,000 per intentional unlawful robocall in addition to the forfeiture penalty amount that may otherwise be proposed under the relevant Section of the Communications Act.

The FCC acted without seeking comment on its proposed rule changes because “implementation of Section 3 entails no exercise of our administrative discretion and, therefore, notice and comment procedures are unnecessary under the ‘good cause’ exception to the Administrative Procedure Act….”

As reflected in the FCC’s Order, these rule changes will take effect 30 days after publication of the Order in the Federal Register.

Categories:

Published by Eric J. Troutman

The Czar of TCPAWorld Eric Troutman is one of the country’s prominent class action defense lawyers and is nationally recognized in Telephone Consumer Protection Act (TCPA) litigation and compliance. He has served as lead defense counsel in more than 70 national TCPA class actions and has litigated nearly a thousand individual TCPA cases in his role as national strategic litigation counsel for major banks and finance companies. He also helps industry participants build TCPA-compliant processes, policies, and systems. Eric has built a national litigation practice based upon deep experience, rigorous analysis and extraordinary responsiveness. Eric and his team feel equally at home litigating multibillion dollar telecommunications class actions in federal court as they do developing and executing national litigation strategies for institutions facing an onslaught of individual TCPA matters. They thrive in each of these roles – delivering consistently excellent results – while never losing sight of the client experience. While many firms now tout TCPA expertise, Eric has been there from the beginning. He built one of the country’s first TCPA-only defense teams and began serving as national TCPA counsel for his clients nearly a decade ago. This perspective allows him to swiftly develop the right litigation strategies for dealing with recurring problems, without wasting time on tactics that are bound to fail. Eric’s rich historical perspective and encyclopedic knowledge of the TCPA landscape also make him an invaluable resource to institutional compliance teams struggling to comply with the shifting regulatory landscape. No task is too small – or too big. Indeed, Eric and his team have helped build TCPA-compliant systems and processes for some of the largest and most complex corporate entities in the country. He commonly works with in-house compliance counsel to build and implement enterprise and business-line specific TCPA solutions, performs TCPA audits and drafts and reviews proposed TCPA policies and procedures. He and his team also have the technical expertise necessary to assist call centers seeking to develop TCPA-resistant call path architecture or to modify existing telephony and software integration to better insulate from potential TCPA exposure. Eric has built a reputation for thought leadership. An avid blogger and speaker, he has been at the forefront of the industry’s effort to push for clarity and a return to sanity for the TCPA for years. He was selected to advocate for the financial services industry on important TCPA issues before the Federal Communications Commission and co-authored the nation’s only comprehensive practice guide on TCPA defense. In his spare time, Eric leads defense teams representing banks and other financial services companies in consumer finance litigation matters. He has experience representing clients in UCC, TILA, RESPA FCRA, CCRA, CLRA, FDCPA, RFDCPA and FCCPA claims, as well as in fraud and bank operations issues.

1 Comment

  1. Pingback: TRACED ACT INCREASED PENALTY AND STATUTE OF LIMITATIONS TO TAKE EFFECT JULY 27 – TCPAWorld

Leave a Reply