ELLA Example Answer .pdf

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ELLA Response to IBC Question

IBC Project Manager: Kevin Kim
ELLA Member: Jake Wiesen
Date: October 15, 2015

**DISCLAIMER: This response provided to IBC from ELLA is NOT LEGAL ADVICE. This response is
not exhaustive; other relevant statutes, cases, and information might exist. This response only
provides legal information.**

Question Presented:

(1) What are the certain advantages nonprofits have (if any) in terms of marketing (i.e.
soliciting, emailing, etc.) due their legal status? Ex. Nonprofit A can do this in terms of
marketing while a Corporation B cannot.

Short Answer:

The Federal Trade Commission (FTC) regulates trade in the United States. Under the
regulatory law of the FTC, it is an abusive telemarketing act to call a person who is listed on the
national “do-not-call” registry. However, this rule does not apply to non-profit organizations –
meaning that non-profits can call people on the do-not-call registry, whereas for-profit
organizations cannot. However, calls by non-profits must still follow certain regulatory
restrictions, as provided in 47 C.F.R. § 64.1200. Provisions of this regulation apply except for
where non-profits are explicitly exempted.
Many states have adopted the national “do-not-call” registry in establishing their own
registry. This means that, for example, if an Illinois resident signs up for the national “do-notcall” registry, she will also be considered to be on the Illinois registry.
Depending on the nature of this non-profit business, other regulations may apply.
Please feel free to ask additional questions regarding the applicable industry, if needed.

Further Explanation (if needed) and Sources Used:
Please read this blog post, which describes in detail the regulatory restrictions for non-profit
telemarketing.
http://www.asaecenter.org/Resources/whitepaperdetail.cfm?ItemNumber=12205

Journal article: http://www.fclj.org/wp-content/uploads/2013/01/Cain.pdf

Relevant statutory provisions:
16 C.F.R. § 310.4(b)(1)(iii)(B)
16 C.F.R. § 310.6
47 C.F.R. § 64.1200
815 ILCS 402/20(a)


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