Reference no: EM131870793

Question: Ethics Case Pursuant to enabling statutes, two federal administrative agencies-the Federal Trade Commission (FTC) and the Federal Communications Commission (FCC)-created the national do-not-call registry. The national do-not-call registry is a list that contains the personal telephone numbers of telephone users who have voluntarily placed themselves on this list, indicating that they do not want to receive unsolic­ited calls from commercial telemarketers. Commercial telemarketers are prohibited from calling phone num­bers that have been placed on the do-not-call registry. Telemarketers must pay an annual fee to access the phone numbers on the registry so that they can delete those numbers from their solicitation lists. The national do-not-call registry restrictions apply only to telemar-keters' calls made by or on behalf of sellers of goods or services. Charitable and fund-raising calls are exempt from the do-not-call registry's restrictions. Persons who do not voluntarily place their phone numbers on the do-not-call registry may still receive unsolicited tele-marketers' calls. Mainstream Marketing Services, Inc., and other tele-marketers sued the FTC and the FCC in several law­suits, alleging that their free speech rights were violated and that the do-not-call registry was unconstitutional. The FTC and FCC defended the list, arguing that un­solicited telemarketing calls constituted commercial speech that could properly be regulated by the govern­ment's do-not-call registry's restrictions. The separate lawsuits were consolidated for appeal. Mainstream Marketing Services, Inc. v. Federal Trade Commission and Federal Communications Commission, 358 F.3d 1228, 2004 U.S. App. Lexis 2564 (United States Court of Appeals for the Tenth Circuit, 2004)

1. What is commercial speech?

2. Do telemarketers act ethically in calling persons with their promotions and sales pitches? Did the telemarketers act ethically in challenging the law?

3. Can unsolicited telemarketing calls be called com­mercial speech that is constitutionally regulated by the do-not-call registry restrictions?