March 10, 1992
TO: STATE SECURITIES MEMBERS NO. 10-92
BROKER/DEALER ASSOCIATE MEMBERS NO. 3-92
RE: TEXAS TELEMARKETING LAW GOES INTO EFFECT
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A telemarketing bill was enacted by the Texas Legislature
during the 1991 legislative session which took effect January 1,
1992. The legislation provides that brokers who make "cold
calls" and who do not follow the state guidelines risk a $10,000
fine.
Cold callers must immediately identify themselves and the
purpose of the call. Cold calls may only be made between the
hours of 9:00 a.m. and 9:00 p.m., Monday through Saturday and
12:00 p.m. and 9:00 p.m. on Sunday. In addition, cold callers
are prohibited from contacting individuals who request that no
further contact be made and in-house systems and procedures
should be implemented to ensure that such individuals are not
called again.
Telephone calls made to individuals in response to an
express request of the person called, or to a person with whom
the caller has a prior or existing business relationship are
exempt from the provisions of the statute.
A copy of the Texas bill is attached.
Patricia Louie
Assistant General Counsel
Attachment