QuestionQ53

Federal Privacy Laws

Which entities are required to comply with the Telemarketing Sales Rule?

  • A For-profit organizations and for-profit telefunders regarding charitable solicitations
  • B Nonprofit organizations calling on their own behalf
  • C For-profit organizations calling businesses when a binding contract exists between them
  • D For-profit and not-for-profit organizations when selling additional services to establish customers
Explanation

The Telemarketing Sales Rule applies to for-profit entities, including for-profit telefunders that make interstate charitable-solicitation calls on behalf of nonprofit charities. Bona fide nonprofit organizations conducting their own telemarketing are not covered by the rule.

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