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CT AG Sues Avid Telecom for Billions of Illegal Robocalls

Michael D. Lansky, LLCMay 23, 2023Connecticut Attorney General

Summary

Connecticut Attorney General William Tong filed a lawsuit against Michael D. Lansky, LLC (Avid Telecom) for allegedly initiating billions of illegal robocalls, including to numbers on the National Do Not Call Registry. The company is accused of violating the Telephone Consumer Protection Act and Telemarketing Sales Rule. This action is part of a multistate task force with nearly every state attorney general.

Contract Impact

In-house legal teams should review all vendor and service provider agreements, particularly those involving telemarketing, call center services, or lead generation. Focus on clauses governing compliance with the Telephone Consumer Protection Act (TCPA) and Telemarketing Sales Rule (TSR), including representations and warranties regarding lawful calling practices, use of autodialers or pre-recorded messages, and adherence to the National Do Not Call Registry. Also scrutinize data sharing provisions for call lists, audit rights, and indemnification terms. Required changes may include adding specific compliance certifications, mandatory call recording disclosures, stricter consent verification protocols, explicit prohibitions on calling numbers on do-not-call lists, and robust termination rights for violations.

Contract Search Terms

do not call compliancerobocall restrictionsTCPA compliancecall volume limitsconsent verificationtelemarketing sales rule adherencenational do not call registry compliancecall recording disclosuresautodialer restrictionsconsumer consent documentation

Laws Cited

Telephone Consumer Protection ActTelemarketing Sales Rule

Violation Types

Entity Details

Entity

Michael D. Lansky, LLC

Also known as: Avid Telecom

Industry

Telecommunications

Multistate Coalition

Alabama AGArizona AGArkansas AGCalifornia AGColorado AGDistrict of Columbia AGDelaware AGFlorida AGGeorgia AGHawaii AGIdaho AGIllinois AGIndiana AGIowa AGKansas AGKentucky AGLouisiana AGMaine AGMaryland AGMassachusetts AGMichigan AGMinnesota AGMississippi AGMissouri AGMontana AGNebraska AGNevada AGNew Hampshire AGNew Jersey AGNew Mexico AGNew York AGNorth Carolina AGNorth Dakota AGOhio AGOklahoma AGOregon AGPennsylvania AGRhode Island AGSouth Carolina AGTennessee AGTexas AGUtah AGVermont AGVirginia AGWashington AGWest Virginia AGWisconsin AGWyoming AGFederal Trade CommissionSocial Security Administration Office of Inspector General

Official Sources

Related Enforcement Actions

NJ

Michael D. Lansky, LLC

New Jersey Attorney General Matthew Platkin joined a multistate lawsuit against Avid Telecom for allegedly initiating and facilitating billions of illegal robocalls, including to numbers on the National Do Not Call Registry, in violation of the Telephone Consumer Protection Act and Telemarketing Sales Rule. The company is accused of transmitting scam calls and ignoring warnings from the Industry Traceback Group.

CT

Frontier Communications Parent Inc.

$625K

Connecticut reached a $625,000 settlement with Frontier Communications Parent Inc. over an April 2024 breach in which compromised employee and vendor credentials were used to access internal systems and exfiltrate unencrypted personal information of 58,841 Connecticut residents. The settlement requires Frontier to strengthen its security program, implement specific safeguards and training, and obtain an independent third-party assessment.

CT

Boston Children’s Health Physicians and XTIUM

$2.6M

Connecticut and New York found that Boston Children’s Health Physicians and its security vendor, XTIUM, failed to use reasonable safeguards, resulting in hackers accessing sensitive personal, medical, and employee information. The companies agreed to pay penalties totaling $2.64 million and implement enhanced cybersecurity measures.

CT

Character Technologies, Inc.

Connecticut joined a coalition of state attorneys general filing a notice in Character Technologies, Inc.’s bankruptcy proceedings, raising concerns about the company’s safety and privacy practices and the sensitive information it holds. The states seek protections for children and consumers if the company’s business or assets are sold or transferred; the filing does not impose a fine or other remedy.

CT

Connecticut public utilities

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CT

RZ Smoke, Inc.

$2.0M

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