Bill would tighten the reins on
telemarketers
Proposal goes further
than federal law does
ANDREW
SHAIN
Consumer Writer,
Charlotte Observer
North Carolinians could stop more
telemarketing calls under a bill that won preliminary legislative
approval Tuesday.
The vote by the Senate Commerce Committee
is another victory for consumers weary of asking telemarketers to remove
their names from call lists. The bill follows a federal move to let
consumers register to halt sales calls.
The national registry, set to start this
fall, exempts calls from banks, insurers, airlines, phone providers and
cable companies as well as businesses inside the state where a consumer
lives.
North Carolina's no-call registry bill,
as currently written, would close those loopholes.
It would still exempt charities,
businesses with fewer than 10 employees and companies that consumers
have done business with during the past 18 months.
Consumers signing up for the N.C. list
would see their telemarketing calls slashed by 60 percent to 90 percent,
experts and regulators estimate.
"They're invading your privacy and your
time," said Dennis Saunders of Charlotte, who gets up to four sales
calls during the dinner hour. "(The registry) will end a lot of hang-ups
and a lot of interruptions. I wish it were here now."
Thirty-two states either have passed or
introduced no-call legislation. S.C. lawmakers are not expected to
consider a no-call bill this year.
The N.C. bill is expected to go before
the full Senate this week.
The bill is similar to a compromise that
ended opposition by most business groups last year. It has yet to be
introduced in the House.
The bill will allow consumers to stop
calls by contacting the Federal Trade Commission.
Consumers who sign up for the national
registry will join the state list automatically, N.C. Attorney General
Roy Cooper said. Telemarketers are required to get an updated list from
the FTC every three months.
Sign-up for the national registry should
start in early July and participants should see calls start to level off
by early October. Registration by phone or Web will be free.
Details have not been announced.
Companies that break the N.C. law face
fines up to $5,000 for each violation. Consumers also can file lawsuits
in their home counties.
Enforcement could be stiff considering
the large number of people who complain about telemarketing calls, said
Kiki Dunton, staff attorney for the N.C. Public Interest Research Group.
"Now that the federal government has
taken steps ... there's two watchdogs out there," she said.
Telemarketers say they prefer existing
methods to reduce unwanted calls, such as a registry run by a trade
group. But they accept no-call legislation.
"It's good for people so they don't keep
getting harassed from phone calls," said Kevin Hovey, who owns Mailing
Solutions Plus, a Mooresville telemarketer. "It's not good from my
perspective, (but) we need to conform to what the law says."