The state telemarketing law amendment trend continues. On June 26, 2023, Connecticut Governor Ned Lamont signed S.B. 1058 into law. Connecticut General Assembly, Substitute for Raised S.B. No. 1058. This bill makes important changes to Connecticut’s telemarketing laws. See S.B. 1058, 2023 Leg., Reg. Sess. (Conn. 2023). These changes go into effect October 1, 2023. Id. Here are the highlights:
1. S.B. 1058 creates new requirements for telemarketing calls’ content and timing.
2. S.B. 1058 codifies more expansive definitions of key terms and increases the applicability of Connecticut’s telemarketing requirements.
3. S.B. 1058 likely makes it more difficult for alleged violators to avoid liability.
S.B. 1058 removes the above safe harbor, preserving only the language that “[a] violation of any of the provisions of this section shall be deemed an unfair or deceptive trade practice under subsection (a) of [the Connecticut Unfair Trade Practices Act,] section 42-110b.” S.B. 1058 § 13(k), 2023 Leg., Reg. Sess. (Conn. 2023). Section 42-110b(a), in turn, prohibits “unfair methods of competition and unfair or deceptive acts or practices in the conduct of any trade or commerce.” Conn. Gen. Stat. § 42-110b(a). While the Connecticut Department of Consumer Protection has jurisdiction over the act, “it is most commonly used as a private right of action.” State of Connecticut, About the Connecticut Unfair Trade Practices Act (CUTPA). The CUTPA allows plaintiffs “to recover actual damages” and also provides the potential for punitive damages. Conn. Gen. Stat. § 42-110g(a). For willful violations, CUTPA provides civil penalties of “not more than five thousand dollars for each violation.” Conn. Gen. Stat. § 42-110o(b). Plaintiffs may also recover “costs and reasonable attorneys’ fees based on the work reasonably performed by an attorney and not on the amount of recovery.” Conn. Gen. Stat. § 42-110g(a)).
S.B. 1058 creates new requirements that telemarketers must follow and reaches more broadly, both in terms of the callers and technologies regulated, than its predecessor. S.B. 1058 also makes it harder for alleged violators to avoid liability while establishing a presumption that telephonic sales calls to Connecticut residents and phone numbers will be subject to the statute. In light of these changes and the prospect of a private right of action, anyone engaged in telemarketing in Connecticut should ensure that they comply with S.B. 1058. See id. at § 9(d). Callers should also be attuned to discrepancies between the TCPA and Connecticut’s increased restrictions, including the differences in permissible call times, call content obligations, prior express written consent requirements and covered technologies.
We appreciate the contribution of Manatt Summer Associate Ben LaZebnik to this article.
See more »
DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.
© Manatt, Phelps & Phillips, LLP | Attorney Advertising
Refine your interests »
Back to Top
Explore 2023 Readers’ Choice Awards
Copyright © JD Supra, LLC

source