{"id":371712,"date":"2016-04-11T01:21:00","date_gmt":"2016-04-11T06:21:00","guid":{"rendered":"https:\/\/ability-fl-prod.internetbrands.com\/ability-law\/state\/arkansas-law\/arkansas-telemarketing-fraud-laws.html"},"modified":"2024-12-20T19:39:26","modified_gmt":"2024-12-21T00:39:26","slug":"arkansas-telemarketing-fraud-laws","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/state\/arkansas-law\/arkansas-telemarketing-fraud-laws.html","title":{"rendered":"Arkansas Telemarketing Fraud Laws"},"content":{"rendered":"\n<div class=\"wp-container-core-columns-is-layout-9d6595d7 fl-sectionWithSidebar fl-container fl-flex fl-flex-wrap fl-gap30\">\n    \n    <div class=\"fl-page-articles fl-section-main fl-section-main-full-width\">\n        <h1 class=\"fl-no-margin-top\">Arkansas Telemarketing Fraud Laws<\/h1>\n<section class=\"fl-gutenberg-byline\">\n    <div class=\"fl-gutenberg-byline-content\">\n                    <p><i>Created by <a href=\"https:\/\/www.findlaw.com\/company\/our-team.html\">FindLaw&#8217;s team<\/a> of legal writers and editors<\/i><\/p>\n\n                | Last updated\n        <time>\n                            December 20, 2024\n                    <\/time>\n    <\/div>\n\n    \n    <details class=\"fl-gutenberg-byline-toggle fl-gutenberg-byline-legally-reviewed\">\n        <summary>\n            <i class=\"fl-gutenberg-byline-icon\" aria-hidden=\"true\"><\/i>\n            Legally Reviewed\n        <\/summary>\n\n        <div class=\"fl-gutenberg-byline-toggle-content\">\n            <p><em>This article has been written and reviewed for legal accuracy, clarity, and style by <a href=\"https:\/\/www.findlaw.com\/company\/our-team.html\">FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with <a href=\"https:\/\/www.findlaw.com\/company\/company-history\/editorial-policy.html\">our editorial standards<\/a>.<\/em><\/p>\n\n        <\/div>\n    <\/details>\n\n    <details class=\"fl-gutenberg-byline-toggle fl-gutenberg-byline-fast-checked\">\n        <summary>\n            <i class=\"fl-gutenberg-byline-icon\" aria-hidden=\"true\"><\/i>\n            Fact-Checked\n        <\/summary>\n\n        <div class=\"fl-gutenberg-byline-toggle-content\">\n            <p><em>The last updated date refers to the last time this article was reviewed by FindLaw or one of our <a href=\"https:\/\/www.findlaw.com\/company\/our-team\/contributing-authors.html\">contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please <a href=\"https:\/\/lawyers.findlaw.com\/?fli=bylinelink\" target=\"_blank\" rel=\"noopener\">contact an attorney in your area<\/a>.<\/em><\/p>\n\n        <\/div>\n    <\/details>\n<\/section>\n<p>Telemarketing fraud occurs when a solicitor calls a victim and makes false statements or misrepresentations in order to talk the victim into giving the caller money or personal information. Arkansas&#8217; <a href=\"https:\/\/www.findlaw.com\/criminal\/criminal-charges\/telemarketing-fraud.html\">telemarketing fraud<\/a> laws are contained in the Home Solicitation Sales Act. This act was created to regulate home solicitation sales in order to protect victims from deceptive sales practices. The following chart highlights the main aspects of this act.<\/p>\n<table cellspacing=\"0\" cellpadding=\"0\" border=\"1\">\n<tbody><tr><td style=\"width: 109px;\"><p><b>Code Section <\/b><\/p>\n<\/td>\n<td style=\"width: 481px;\">Arkansas Code Chapter 89: <b>Home Solicitation Sales<\/b><\/td>\n<\/tr><tr><td style=\"width: 109px;\"><p><b>What&#8217;s Prohibited?<\/b><\/p>\n<p>&nbsp;<\/p>\n<\/td>\n<td style=\"width: 481px;\"><p>Knowingly and willfully committing a &quot;deceptive trade practice.&quot;<\/p>\n<\/td>\n<\/tr><tr><td style=\"width: 109px;\"><p><b>What&#8217;s a &quot;Deceptive Trade Practice?&quot;<\/b><\/p>\n<p>&nbsp;<\/p>\n<\/td>\n<td style=\"width: 481px;\">A deceptive trade practice can be any of the following acts committed by a seller in connection with a home solicitation sale:<ul>\n<li>Misrepresenting the buyer&#8217;s right to cancel a sale<\/li>\n<li>Representing that the seller is conducting a survey, quiz, contest, or in any other way misrepresenting the purpose of the call<\/li>\n<li>Misrepresenting who the solicitor is working for<\/li>\n<li>Misrepresenting that any merchandise or service is free if the consumer would in fact be required to purchase something<\/li>\n<li>Representing that a price is special or reduced, unless there is a significant reduction from the seller&#8217;s established selling price<\/li>\n<li>Failing to disclose clearly at the beginning of the call that the purpose of the solicitation is to sell goods or services, or<\/li>\n<li>Failing to disclose (both orally and in writing) the total cash price, the down payment, the unpaid balance of the cash price, the amount and due dates of any necessary payments, and an accurate description of the goods or services purchased<\/li>\n<\/ul>\n<\/td>\n<\/tr><tr><td style=\"width: 109px;\"><p><b>Penalties<\/b><\/p>\n<\/td>\n<td style=\"width: 481px;\"><p>Class A misdemeanor. Punishable by a fine of up to $2,500 and\/or imprisonment for up to one year.<\/p>\n<p>Offenders must also pay the victim:<\/p>\n<ul>\n<li>10% of the transaction total, or $100 (whichever is greater), and<\/li>\n<li>The <a href=\"https:\/\/dictionary.findlaw.com\/definition\/actual-damages.html\" target=\"_blank\" rel=\"noopener\">actual damages<\/a> (including incidental, consequential, and special damages) sustained by the victim because of the violation<\/li>\n<\/ul>\n<\/td>\n<\/tr><\/tbody><\/table>\n<h2>Valid Telemarketing Sales<\/h2>\n<p>It is important to note that not all unsolicited telemarketing calls are illegal. Arkansas&#8217; Home Solicitation Sales Act also sets out the requirements that solicitors must follow in order to conduct legal sales over the phone. Before a telemarketer&#8217;s sale is enforceable there must be:<\/p>\n<ul>\n<li>A written document that:<ul style=\"list-style-type: circle;\">\n<li>Is sufficient to indicate that a contract has been made between the parties<\/li>\n<li>Is signed by both the buyer and the seller<\/li>\n<li>Doesn&#8217;t contain any new provisions that weren&#8217;t included in the oral sales presentation<\/li>\n<li>Contains the name and address of the seller, and<\/li>\n<li>Contains the date that the buyer signed the document<\/li>\n<\/ul>\n<\/li>\n<li>A copy of this written document must be provided to the buyer when he or she signs it<\/li>\n<li>The seller must not engage in any deceptive trade practices (as outlined above), and<\/li>\n<li>When the buyer signs the written document the seller must provide the buyer with a &quot;notice of cancellation&quot; form<\/li>\n<\/ul>\n<h2>Buyer&#8217;s Right to Cancel Contract<\/h2>\n<p>Under Arkansas&#8217; telemarketing fraud laws, a buyer who enters into a contract during a telephone solicitation has the absolute right to cancel the contract until midnight of the third calendar day (excluding Sundays and holidays). The contract is cancelled when the buyer returns the notice of cancellation form back to the seller. In these situations, buyers can best protect themselves by sending the cancellation by registered mail.<\/p>\n<p>After a buyer cancels a contract, the seller must return any payments that the buyer may have already made. The buyer also has the right to keep any goods that have already been delivered to him until the seller returns the buyer&#8217;s payments in full. However, during this time period the buyer has a duty to take reasonable care of the goods in his possession.<\/p>\n<h2>Federal Laws and Registries that Apply to Telemarketing<\/h2>\n<ul>\n<li><a href=\"http:\/\/www.consumer.ftc.gov\/articles\/0198-telemarketing-sales-rule\" target=\"_blank\" rel=\"noopener\">Telephone Sales Rule<\/a><\/li>\n<li>Telephone Consumer Protection Act<\/li>\n<li><a href=\"http:\/\/www.ftc.gov\/enforcement\/statutes\/federal-trade-commission-act\" target=\"_blank\" rel=\"noopener\">Federal Trade Commission Act<\/a><\/li>\n<li><a href=\"https:\/\/www.donotcall.gov\" target=\"_blank\" rel=\"noopener\">The National Do Not Call Registry<\/a><\/li>\n<\/ul>\n<h2>Additional Resources<\/h2>\n<p>State laws change frequently. For case specific information about Arkansas&#8217; telemarketing fraud laws contact a local <a href=\"https:\/\/lawyers.findlaw.com\/consumer-protection\/arkansas\/\" target=\"_blank\" rel=\"noopener\">consumer protection attorney<\/a>.<\/p>\n<div class=\"was-this-helpful\">\n    <div\n            class=\"was-this-helpful__question-container\"\n            aria-labelledby=\"was-this-helpful__question\"\n            role=\"group\"\n    >\n        <span\n                id=\"was-this-helpful__question\"\n                class=\"was-this-helpful__question fl-text-lg-bold\"\n        >Was this helpful?<\/span>\n        <button\n                class=\"was-this-helpful__button fl-text-sm\"\n                aria-label=\"Yes\"\n                value=\"yes\"\n        >\n            <span class=\"was-this-helpful__button-text fl-text-bold\">Yes<\/span>\n            <i class=\"was-this-helpful__button-icon\">\n                <svg width=\"22\" height=\"22\" viewBox=\"0 0 22 22\" fill=\"none\" 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This act was created to regulate home solicitation sales in order to protect victims from deceptive sales practices. The following chart highlights the main aspects of this act<\/p>\n","protected":false},"author":41135,"featured_media":0,"parent":371627,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"app\/Http\/Controllers\/Templates\/ArticleWithBreadcrumbsController.php","meta":{"_acf_changed":false,"_stopmodifiedupdate":true,"_modified_date":"","_autodraft_ids":[],"_cloudinary_featured_overwrite":false,"_sb_is_suggestion_mode":false,"_sb_show_suggestion_boards":false,"_sb_show_comment_boards":false,"_sb_suggestion_history":"","_sb_update_block_changes":"","_is_real_time_mode":false,"_realtime_collaborators":"","footnotes":"","cf_checklist_status":[]},"categories":[2743],"tags":[],"state_laws_tags":[3372,3370],"flmsa":[],"class_list":["post-371712","page","type-page","status-publish","hentry","category-state","state_laws_tags-statelaws_4_11","state_laws_tags-statelaws_4_1"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/pages\/371712","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/users\/41135"}],"replies":[{"embeddable":true,"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/comments?post=371712"}],"version-history":[{"count":0,"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/pages\/371712\/revisions"}],"up":[{"embeddable":true,"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/pages\/371627"}],"wp:attachment":[{"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/media?parent=371712"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/categories?post=371712"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/tags?post=371712"},{"taxonomy":"state_laws_tags","embeddable":true,"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/state_laws_tags?post=371712"},{"taxonomy":"flmsa","embeddable":true,"href":"https:\/\/www.findlaw.com\/law-api\/wp-json\/wp\/v2\/flmsa?post=371712"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}