Federal Appeals Court Issues Favorable Ruling Under the Telephone Consumer Protection Act
August 21, 2017

Compliance Bulletin

The Telephone Consumer Protection Act (TCPA) prohibits companies from initiating any telephone call to any residential telephone line using an artificial or prerecorded voice to deliver a messages without the prior express consent of the called party. In this case, Reyes v. Lincoln Automotive Financial Services, the court considered the novel question whether a consumer may revoke a consent to receive calls when that consent had been given as consideration under a contract. Earlier cases only addressed revocation of consent where a consumer had given consent gratuitously in an application for a service. In such instances, a consent may be revoked. Here, the 2nd Circuit Court ruled that the TCPA does not permit a party who agrees to be contacted as part of a bargained-for exchange to unilaterally revoke that consent.

 See CBA’s Regulatory Compliance Bulletin for more information.