Telephone Consumer Protection Act (TCPA) -

Delaware

Does your state have its own version of the TCPA?

Chapter 25A of Title 6 of Delaware’s Code covers Telemarketing Registration and Fraud Prevention.

If so, please explain the distinction between the state’s iteration of the TCPA.

Delaware’s statute, unlike the TCPA, focuses on the contents of the communications and also contains provisions regarding registration with the state. Delaware’s statute prohibits a telemarketer to obtain or submit a payment in the form of a negotiable paper drawn on an individual’s account without that person’s express authorization. 6 Del.C. § 2507A. It further prohibits advertising that registration as a telemarketer equates to an endorsement by the government. Id. The statute also prohibits willfully calling or contacting a customer for a purpose relating to the sale of merchandise for 10 years after having been directed by that customer to cease contact. Id. Furthermore, during the call, the telemarketer must disclose certain information to the customer. 6 Del.C. § 2506A. This information includes stating at the beginning of the call that the purpose of the call is to sell merchandise and providing an accurate description of the merchandise that is to be sold as well as the name of the seller and telemarketer. Id. The telemarketer must also make various other disclosures during the call depending on the nature of the product being sold. Id. The telemarketer must also provide a written notice, which is laid out in the statute. Id. Delaware’s statute provides a requirement for telemarketers to register with the state. 6 Del.C. § 2503A. It further provides requirements relating to record keeping. 6 Del.C. § 2504A. Delaware’s statute also allows customers to recover for prohibited or voidable acts under the statute and allows for the recovery of actual and punitive damages, attorney’s fees, court costs and any other remedies provided by law, including equitable relief. 6 Del.C. § 2508A. Delaware’s statute further allows enforcement of the statute by Delaware’s attorney general. 6 Del.C. § 2509A.

Please address state specific consumer protection statutes that are often paired with TCPA or its state iterations and the additional element and penalties.

There are no additional consumer protection statutes that are often paired in Delaware with the TCPA or with the Delaware’s statute on Telemarking Registration and Fraud Prevention.

What are the current best practices to comply with the State’s iteration of the TCPA?

Unless exempted, telemarketers must register with the state of Delaware. 6 Del.C. § 2503A. As part of the registration, the telemarketer must file a $50,000 bond that will act as a surety for any violation of the statute.  In addition, all telemarketers and sellers must preserve records for 24 months after the records were produced. 6 Del.C. § 2504A. The seller and telemarketer can enter into an agreement as to who has the responsibility to maintain these records but absent this agreement, the seller shall have the responsibility to maintain these records. Id. Lastly, in addition to the other disclosures that must be made during a call, a telemarketer must provide the following written notice to the customer in 12-point boldface type:

“You, the purchaser, may cancel this transaction without any penalty or obligation at any time prior to midnight of the seventh business day after receipt of this notice. If you cancel, any payments made by you under the sale will be returned within 10 business days following receipt by the seller of your written notice of cancellation and any security interest arising out of the transaction will be canceled.

If you cancel, you must make available to the seller at your residence, in substantially as good condition as when received, any merchandise delivered to you under this contract of sale; or you may, if you wish, comply with the instructions of the seller regarding the return shipment of the goods at the seller’s expense and risk.

If you do make the merchandise available to the seller and the seller does not pick the merchandise up within 20 days of the date of your notice of cancellation, or agree to pay the expense for its return, you may retain or dispose of the merchandise without any further obligation. If you fail to make the merchandise available to the seller, or if you agree to return the merchandise to the seller and fail to do so, then you remain liable for performance of all obligations under the contract.

To cancel this transaction, mail or deliver a written notice of cancellation or send a telegram to (name of seller) at the following address (address of seller). The effective time of any cancellation is deemed to be the postmarked date upon which the notice was mailed to the seller, the date upon which the notice was delivered to any commercial document or parcel service for delivery to the seller or the date upon which any telegram was sent to the seller.”

6 Del.C. § 2506A.