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Do-Not-Call List Gets OK To Proceed

Federal Appeals Court Overrules Judge

POSTED: Tuesday, October 7, 2003
UPDATED: 6:26 pm EDT October 7, 2003

A federal appeals court is giving a ringing endorsement to the "do-not-call" list, clearing the way for the Federal Trade Commission to enforce it.

The 10th U.S. Circuit Court of Appeals in Denver blocked U.S. District Judge Edward Nottingham's Sept. 24 order barring the FTC from putting the registry into effect.

Nottingham had said the list violates the free-speech rights of the telemarketing industry. He said the government couldn't block businesses from making telemarketing calls, while allowing calls from charities.

But the appeals court says that's too broad a reading of the First Amendment. The ruling says there's a "substantial government interest" in preventing "abusive and coercive" sales calls and in protecting privacy in the home.

The registry, which attracted some 50 million phone numbers, went into effect Oct. 1, as the government tried to deal with the objections of the courts.

Under the rules imposed by the FTC, violations of the rules for telemarketers could result in a fine of $11,000 per call. Charities, political groups, surveys and businesses that already have a relationship with those they call would be exempt from the rules.

Callers were told to file complaints with the Federal Communications Commission, rather than the FTC.

Telemarketers had argued the list could cut their business in half and cost a lot of jobs.


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