BREAKING NEWS: FCC’s 1:1 Consent Rule Overturned
Court Invalidates FCC's 2023 1:1 Consent Mandate
In a landmark decision, the United States Court of Appeals for the Eleventh Circuit has struck down key components of the Federal Communications Commission's (FCC) 2023 Order, including the controversial "one-to-one consent" rule governing robocalls and robotexts. The court found that the FCC overstepped its statutory authority by redefining "prior express consent" in a manner inconsistent with the language and intent of the Telephone Consumer Protection Act (TCPA).
Trade Policy Upheaval: What E-comm Businesses Need to Know Now!
The e-commerce landscape is constantly evolving, and recent shifts in global trade policies are adding a whole new layer of complexity. To help our members navigate these changes, the Ecommerce Innovation Alliance’s President & CEO, David Carter, partnered with founding member, Postscript, to host a webinar featuring Ned Steiner, Senior Director of International Trade at Sandler Travis & Rosenberg.
What New Trade Policies Mean for Ecomm Companies Today: A Live Q+A
Wednesday, January 22 | 2pm ET
Register at: https://register.postscript.io/tariffs/
If your ecommerce business is potentially impacted by President Trump’s new trade and tariff policies and you’re struggling to figure out what to do, join us in a conversation with David Carter, Postscript’s Head of Litigation and Regulatory Policy and President of the Ecommerce Innovation Alliance, and Edward "Ned" Steiner, Senior Director, International Trade and Governmental Relations, for Sandler, Travis & Rosenberg, P.A. Ned will offer practical advice for how companies can engage with the administration to advocate for tariff exclusions on the products they import.
New York Senate Bill 859: The Robocall Prevention Act
New York Senate Bill 859, known as the Robocall Prevention Act, was recently introduced and aims to amend existing state law related to the use of autodialers. The Robocall Prevention Act would significantly expand the scope of current law, apply it to text messages, and increase the statutory damages individuals can seek for violations.
11th Circuit Hears Oral Arguments on FCC's "1:1 Consent" Rule
The 11th Circuit Court of Appeals heard oral arguments today in a case brought by the Insurance Marketing Coalition (IMC) against the Federal Communications Commission (FCC) regarding the FCC's new 1:1 consent rules under the Telephone Consumer Protection Act (TCPA), which are currently set to become effective on January 27, 2024. The arguments focused on the FCC's rule requiring consumers to give consent to receive marketing robocalls on a one-to-one basis, for each individual company, and that this consent must be logically and topically related to the website where the consent was given.
Following EIA Advocacy, MI Senate Committee Fails to Advance Mini-TCPA
As we reported last month, the unexpected introduction of a “mini-TCPA” in the Michigan Senate late in the legislative year raised significant concerns for EIA. Against this backdrop, EIA embarked on a campaign to ensure that the bill was not rushed through without adequate consideration for its impact on ecommerce businesses nationwide. EIA was pleased to see that the Michigan Senate Committee on Finance, Insurance, and Consumer Protection decided to hold no hearings on SB 1037, declined to vote it out of committee, and never progressed the bill to the full Senate for consideration.
EIA Engages with FCC on Key Issues Regarding AI
EIA is committed to fostering a regulatory environment that encourages innovation and growth within the ecommerce sector. As part of this commitment, the EIA recently participated in two meetings with the FCC to discuss proposed rules that would require ecommerce companies to potentially gain new consent from existing subscribers to continue to use AI tools to send marketing SMS and or use AI-generated voices.
FCC’s 1:1 Consent Rule Takes Effect January 27, 2025
In December 2023, the Federal Communications Commission (“FCC”) voted to adopt a new “one-to-one” consent requirement for telemarketing texts and autodialed phone calls. While the goal of this change is "to protect consumers from unwanted and illegal text messages and calls", the Order may impact ecommerce brands that collaborate with other companies for joint list growth initiatives, including joint giveaways or contests. This new regulation takes effect on January 27, 2025.
EIA Leads Opposition to FCC's AI-Generated Text Messaging Proposal
The Ecommerce Innovation Alliance (EIA) has been a vocal critic of the Federal Communications Commission's (FCC) proposed rulemaking concerning "AI-generated calls," which would impose new consent requirements for ecommerce companies using AI to improve the text messages they send to their subscribers. In its Reply Comments, filed with the FCC last week, EIA reiterated its stance, arguing that the proposed definition is overly broad, lacks a legal basis for regulating text message marketing, and risks stifling innovation within the ecommerce industry.
LEGISLATIVE ALERT: Michigan SB 1037 Would Harm Ecommerce Companies Nationwide
The Ecommerce Innovation Alliance (EIA) is closely following developments with a bill that would create a Michigan mini-TCPA, including a private right of action, and which may be debated before the end of the year. Michigan Senate Bill 1037, which was introduced on October 16, 2024, is currently being considered by the Michigan Senate Committee on Finance, Insurance, and Consumer Protection. The EIA has recently met with the office of the committee chair, Senator Mary Cavanagh, who is also the bill's lead sponsor, to discuss its significant concerns and urge for a more balanced approach.
EIA Files Comments with FCC to Protect Ecommerce SMS Strategies and Use of AI Tools
The Ecommerce Innovation Alliance (EIA) filed comments with the Federal Communications Commission (FCC) in response to the agency’s recent Notice of Proposed Rulemaking (NPRM) regarding the use of Artificial Intelligence (AI) in text message marketing. This critical filing underscores EIA’s commitment to safeguarding the value that ecommerce businesses have built in their SMS marketing lists and defending their ability to use cutting-edge AI tools to drive personalization at scale.
Shifting Sands: SCOTUS Agrees to Revisit FCC Deference Under the Hobbs Act
In a significant development, the U.S. Supreme Court has granted certiorari to revisit whether federal district courts must defer to the Federal Communications Commission’s (FCC) interpretations of the Telephone Consumer Protection Act (TCPA) under the Administrative Orders Review Act, 28 U.S.C. §2342(1), commonly known as the Hobbs Act.
Ecommerce Innovation Alliance Announces Inaugural Board
The Ecommerce Innovation Alliance is thrilled to introduce its inaugural Board of Directors, bringing together leaders with diverse expertise in eCommerce, law, and digital strategy.
FCC Chair Acknowledges Limits of the FCC’s Authority Over SMS
In a recent letter to Congress, FCC Chairwoman Jessica Rosenworcel acknowledged the Commission’s limited authority over text messages and called on Congress to amend the TCPA. In light of the Supreme Court’s decision in Loper Bright, invalidating Chevron deference, this acknowledgment could impact the Commission’s ability to adopt new regulations without Congressional action.
FCC Chairwoman Seeks to Regulate E-commerce Use of AI
Last week, Federal Communications Commission (FCC) Chairwoman Jessica Rosenworcel released a draft of a Notice of Proposed Rulemaking (NPRM). If adopted, this NPRM would initiate a formal rulemaking process that could lead to regulations concerning the use of AI by marketers in automated calls and text messages.
Republican Leaders Call on FCC to Address End of Chevron Deference
The Republican Chairs of the House Committee on Energy and Commerce and House Committee on Oversight and Accountability recently sent a letter to FCC Chairwoman Jessica Rosenworcel highlighting the Supreme Court’s decision overturning the doctrine of Chevron deference, a principle that has guided judicial review of administrative agency interpretations for nearly four decades. The Republican Committee Chairs call on the FCC to identify actions that may be impacted by the Supreme Court’s recent decision.
State Legislative Roundup for June 2024
As many state legislative sessions for 2024 have reached their end, we continue to provide our periodic roundup of bills under active consideration in the states that we are monitoring because they could have an impact on the ecommerce marketing landscape.
Sen. Durbin Proposes Bill to Close Gap in the FCC’s Do-Not-Call Authority
Senator Durbin's proposed bill, Senate Bill 3991, aims to expand the FCC's authority by removing the qualifier "residential" from its Do Not Call authority, clearing up whether the FCC has authority to extend the Do-Not-Call requirements to mobile numbers. The bill also clarifies consumers' right to sue under the TCPA and revises statutory damages, gaining support from eight Senate co-sponsors.
State Legislative Roundup for March 25, 2024
As state legislative sessions for 2024 grind on and some reach their end, we continue to provide our periodic roundup of bills under active consideration in the states that we are monitoring because they could have an impact on the ecommerce marketing landscape.
FCC Clarifies that Marketing Texts are Subject to Do-Not-Call Regs: The Practical Implications
The FCC's new ruling clarifies that marketing text messages fall under Do-Not-Call regulations. While some companies already comply, others must now obtain prior written consent or face stricter scrubbing requirements.