Lead Expiration Under the One-to-One Consent Rule
Lead Expiration and the One-to-One Consent Rule
As the one-to-one consent rule approaches implementation, businesses need to prepare for significant changes in handling, managing, and utilizing leads. On January 27, 2025, the Federal Communications Commission’s (FCC) new definition of express written consent will take effect. This rule requires that webforms "clearly and conspicuously authorize no more than one identified seller" to make telemarketing calls. This change has major implications for existing lead portfolios.
Why Your Leads Expire on January 27, 2025
One critical misunderstanding among marketers is the assumption that leads obtained under previous consent rules can still be used after January 27, 2025. However, this is incorrect. The new rule applies to all telemarketing calls made on or after this date, regardless of when the lead was generated. Here’s why:
- Prospective Rule Application:
- While the FCC’s ruling is prospective and does not retroactively apply to calls made before January 27, 2025, it does apply to all calls made after this date. The legality of the call is determined by the consent in place at the time of the call, not when the lead was obtained.
- New Definition of Consent:
- Starting January 27, 2025, express written consent must meet the one-to-one standard. Leads that do not comply with this updated definition are considered expired and cannot be contacted using regulated technology after this date.
The Consequences of Non-Compliance
Failure to adhere to the new rule can lead to severe consequences, as demonstrated by historical cases like ViSalus. In 2013, an FCC rule change required express written consent for telemarketing calls. Companies like ViSalus, which relied on previously valid consents, faced massive legal penalties—including a $900 million jury verdict—when their calls became non-compliant under the updated rules.
Similarly, after January 27, 2025, any calls made to old leads without updated one-to-one consent will be illegal if made using regulated technologies such as:
- Prerecorded or artificial voice systems
- Soundboard technology
- Ringless voicemail (RVM)
- Interactive voice response (IVR) systems
- Automated dialing systems (regulated under the TCPA)
Stricter Consent Requirements for Lead Sales
Leads collected under older, broader consent agreements that allowed multiple or unspecified sellers are no longer compliant. These leads cannot be legally sold or used for telemarketing calls using regulated technology.
What This Means for Your Lead Portfolio
- Manual Calls:
- Manual calls or calls made using human-selection technology may still be permissible after January 27, 2025, even for old leads. However, businesses cannot use any form of regulated technology to contact these leads without obtaining new, compliant consent.
- Re-Consent Campaigns:
- Businesses must act now to re-engage with their lead database and secure one-to-one compliant consent. This involves updating consent agreements and ensuring clear, conspicuous language in all lead-generation forms.
Steps to Prepare
- Audit Your Database:
- Identify leads obtained under prior consent rules and assess their compliance with the new standard.
- Update Consent Forms:
- Ensure all lead capture forms explicitly authorize telemarketing calls for a single identified seller.
- Educate Your Team:
- Train marketing, sales, and compliance teams on the new rules and the importance of maintaining proper documentation.
- Leverage Technology:
- Use lead management systems that track consent details and automate workflows for re-consent campaigns.
January 27, 2025, marks a pivotal shift in telemarketing regulations. Businesses that fail to adapt to the one-to-one consent rule risk significant legal and financial consequences. Take proactive steps now to ensure compliance, protect your business, and maintain trust with your audience. Don’t let outdated consent ruin your outreach—start preparing today.
Lead buyers face legal risks when purchasing non-compliant leads. The one-to-one consent rule requires explicit, seller-specific consent for telemarketing using regulated technology. Compliance is critical to avoid liability. While manual calls are exempt from the one-to-one consent rule, they remain subject to Do-Not-Call (DNC) registry regulations and internal opt-out requests. Businesses must ensure all outreach methods comply with applicable telemarketing laws.
Disclaimer: This content is provided as a guide and is not intended to replace legal counsel on compliance matters. Telemarketing regulations and requirements vary and evolve. Each business's obligations differ based on specific operations and state(s) of operation. Please consult with appropriate legal counsel for advice or clarification on your unique compliance needs.