We are used to seeing the FCC and the FTC go after the big fish–larger companies who have generated numerous complaints and usually thousands of alleged violations. However, on occasion, we do see the FCC or FTC take enforcement action against much smaller companies or when far fewer violations are involved. The FCC’s January Forfeiture Order against American West Advertising, LLC is a perfect and recent example.
Based on a total of 4 alleged violations, the FCC fined AmericanWest $18,000. The FCC had previously determined that a penalty of $4,500 per message was an appropriate base amount for delivering an unsolicited prerecorded advertising message to a residential telephone line. That is still three times the maximum amount that a private consumer can ask for under the private right of action in the TCPA.
This goes to show that even small companies need to worry about their telemarketing compliance. Small brands are not immune and cannot operate “under the radar” for long.