Attorneys General from 48 states and the District of Columbia have collectively filed a lawsuit against Avid Telecom, an Arizona-based company, for alleged robocall violations.
Lawsuit Claims Avid Telecom Violated Telemarketing Laws and Did Not Call Registry
According to a report by CBS News, the lawsuit claims that Avid Telecom made over 7.5 billion calls to individuals on the National Do Not Call Registry, highlighted by Business Insider, which is considered illegal under telemarketing and consumer protection laws.
According to the story by Engadget, Arizona Attorney General Kris Meyes revealed that nearly 197 million robocalls were made to phone numbers in her state between December 2018 and January 2023, highlighting the extensive nature of the alleged violations.
The lawsuit against Avid Telecom alleges that the company engaged in deceptive practices by spoofing phone numbers. The company allegedly used various disguises, including phone numbers that appeared to be from government agencies, law enforcement, Amazon, DirecTV, and other well-known entities.
Avid Telecom Accused of Impersonating Trusted Organizations in Robocall Scheme
By impersonating trusted organizations, Avid Telecom allegedly attempted to deceive recipients and increase the likelihood of their response. The legal action against Avid Telecom is based on violations of the Telephone and Consumer Act, the Telemarketing Sales Rule, and other consumer protection regulations.
The Attorneys General involved in the lawsuit are seeking several outcomes. First, they aim to obtain a court injunction to prevent Avid Telecom from making illegal robocalls. Second, they seek damages and restitution for the individuals who received unauthorized calls from the company.
Lastly, they are pursuing statutory penalties on a per-violation basis. Given the significant volume of alleged robocalls by Avid Telecom, these penalties could amount to a substantial financial burden for the company.
Recent Fines and Enforcement Actions Signal Regulatory Determination to Curb Robocalling
It is worth noting that similar enforcement efforts have been made in the past against entities engaged in illegal robocalling practices. In late 2021, Sumco Panama was fined nearly $300 million by the Federal Communications Commission (FCC) for making approximately 5 billion robocalls.
These enforcement actions highlight the determination of regulatory authorities to combat the growing menace of robocalls and protect consumers from unwanted intrusions.
The lawsuit against Avid Telecom follows a broader trend of increased scrutiny and legal action against companies involved in illegal robocalling activities. The Federal Trade Commission (FTC) has also targeted companies like XCast Labs, which allegedly aided other firms in making unauthorized calls to individuals on the National Do Not Call Registry.
Severe Consequences Await Companies Engaging in Deceptive Robocalling Practices
The ongoing legal action against Avid Telecom reflects the commitment of the Attorneys General to hold violators accountable and send a strong message that unlawful robocalling practices will face severe consequences.
As the case progresses, the outcome of the lawsuit against Avid Telecom could have far-reaching implications for the robocalling industry. It has the potential to establish important legal precedents, shape future regulatory efforts, and deter other companies from engaging in similar deceptive practices.
Related Article : Meta Rolls Out Final Phase of 10,000 Job Cut Plan, Accelerating Restructuring Efforts
