ACMA puts the brakes on fax marketing

Stuart Corner
Thursday, 05 May 2011 12:37

IT Policy - Regulation

The ACMA has finalised rules governing the delivery of fax-based marketing messages, as part of the Do-Not-Call regime, limiting the times at which these can be sent and their frequency.

As originally implemented the Do-Not-Call regime did not cover faxes. The 2009 Federal Budget allocated $4.7m to expand the Register to apply to business numbers, fax numbers and numbers used by emergency service providers.

The prohibition of sending faxes to numbers on the register was introduced in early 2010 and in June 2010 the ACMA issued a discussion paper proposing rules for controlling fax based marketing to all numbers. After receiving and reviewing submission to this it released the new rules in draft form for further comment in October 2010.

Introducing the final version of the rules, ACMA chairman, Chris Chapman, said: "After consulting with the fax marketing industry, consumers and consumer organisations the standard is effective from today and will provide the community with greater certainty regarding the behaviour they can expect from fax marketers."

The standard applies to all participants in the fax marketing industry and to all marketing faxes sent to Australian fax numbers, whether or not the numbers are on the Do-Not-Call Register. "This means that any business, charity, researcher, or other organisation that sends unsolicited marketing faxes must meet the requirements in the industry standard," Chapman said.

Key conditions of the standard include:
- the times when marketing faxes cannot be sent (before 9.00am, after 8.00pm weekdays, 5.00pm Saturday and never on a Sunday and national public holidays);
- information that must be provided on a marketing fax (name, contact details and ABN of sender and destination number);
- provision of opt-out functionality, including notification of such in the fax message; and
- limiting the number of marketing faxes that can be sent to a number over a particular period (maximum 10 in any 24 hour period).

According to the explanatory memorandum the restriction on fax volume and frequency was the most controversial "[This] was supported by only one submission and other submissions noted it would be difficult and costly to implement." It said the ACMA had "sought to strike a balance between consumer interests and commercial practicalities, and "The proposed requirement for a fax marketer to make 'reasonable efforts' to meet the specified restriction is aimed at articulating and promoting best practice whilst not imposing unrealistic requirements on industry which would outweigh the level of benefit."

The ACMA has a number of enforcement options, ranging from formal warnings to penalties of up to $250,000. The standard - Fax Marketing Industry Standard 2011, made under subsection 125B (1) of the Telecommunications Act 1997 - and the explanatory memorandum can be downloaded from the ComLaw web site.