ARTICLE
19 August 2019

U.S. District Court Enjoins Company And CEO For "Do Not Call" Violations

CW
Cadwalader, Wickersham & Taft LLP

Contributor

Cadwalader, established in 1792, serves a diverse client base, including many of the world's leading financial institutions, funds and corporations. With offices in the United States and Europe, Cadwalader offers legal representation in antitrust, banking, corporate finance, corporate governance, executive compensation, financial restructuring, intellectual property, litigation, mergers and acquisitions, private equity, private wealth, real estate, regulation, securitization, structured finance, tax and white collar defense.
The FTC obtained injunctions against a corporation and it's CEO for, among other things, telemarketing violations concerning the National Do Not Call Registry.
United States Consumer Protection

The FTC obtained injunctions against a corporation and it's CEO for, among other things, telemarketing violations concerning the National Do Not Call Registry.

The FTC's Complaint alleged that Alliance Security, Inc. ("Alliance Security") and its CEO, Jasjit Gotra, violated the FTC Telemarketing Sales Rule by contacting phone numbers listed on the National Do Not Call ("DNC") Registry. The FTC further alleged that Alliance Security and Mr. Gotra obtained reports on consumers from consumer reporting agencies without a "permissible" purpose.

The U.S. District Court for the District of Massachusetts (the "Court") permanently enjoined Alliance Security from (i) telemarketing and (ii) using consumer credit reports without obtaining written authorization. The Court suspended a $9,845,021 judgment against Alliance Security due to its inability to pay.

Separately, the Court imposed a preliminary injunction against Mr. Gotra as the case proceeds. Until there is a resolution of the litigation, the Court barred Mr. Gotra from (i) engaging in telemarketing or (ii) using consumer credit reports without obtaining written authorization.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

Mondaq uses cookies on this website. By using our website you agree to our use of cookies as set out in our Privacy Policy.

Learn More