FTC amends Telemarketing Sales Rule, proposes more changes

The Federal Trade Commission has published [89 FR 26760] a final rule with amendments to the Telemarketing Sales Rule (“TSR”) that, among other things, require telemarketers and sellers to maintain additional records of their telemarketing transactions, prohibit material misrepresentations and false or misleading statements in business to business (“B2B”) telemarketing calls, and add a new definition for the term “previous donor.” The amendments are being made to address technological advances and to continue protecting consumers, including small businesses, from deceptive or abusive telemarketing practices.

The amendments are effective May 16, 2024. However, compliance with 16 CFR 310.5(a)(2) — a recordkeeping requirement — is not required until October 15, 2024.

The Commission also published [89 FR 26798] a proposed rulemaking that would extend the coverage of the TSR to inbound telemarketing calls by consumers to technical support services—i.e., calls that consumers make in response to an advertisement through any medium or to a direct mail solicitation. The FTC said the proposed amendment is necessary in light of the widespread deception and consumer injury caused by tech support scams. The amendment would provide the Commission with the ability to obtain stronger relief in cases involving tech support scams, including civil penalties and consumer redress. Comments on the proposed amendments will be accepted through June 17, 2024.