FTC Settles with Voice Broadcasting Firm to Stop Transmitting Robocalls and Issues $75,000 Civil Penalty

As part of a settlement with the Federal Trade Commission (“FTC”), a California based company that used computers to broadcast pre-recorded messages to many recipients at one time, has agreed to stop transmitting the illegal robocalls and pay a $75,000 civil penalty. Skyy Consulting, Inc., which does business as CallFire, provided voice-over-Internet "voice broadcasting" services for its clients that, according to the FTC complaint, was in violation of the Telemarketing Sales Rule (“TSR”). The FTC charged that the defendants either knew, or consciously avoided knowing, that their clients were violating the TSR in placing outbound pre-recorded telemarketing calls to consumers without their written consent. Under the settlement, CallFire must review all pre-recorded messages it delivers and terminate its contracts with any clients who are delivering illegal pre-recorded telemarketing calls. The company must also review all existing pre-recorded messages hosted on its platform within the next 120 days to make sure those messages meet legal requirements under the TSR.