When endeavoring to engage in a sale with a consumer over the
telephone, it is important that sellers and telemarketers comply
with traditional state and federal contracting laws. Equally, if
not more, important is that sellers and telemarketers comply with
applicable state and federal telemarketing sales rules. This
Practice Guide addresses compliance issues associated with the
federal Telemarketing Sales Rule (the "TSR"), as
promulgated by the Federal Trade Commission ("FTC").
Material Information
The TSR requires sellers and telemarketers, both on outbound and
inbound calls, to provide certain "material information"
before consumers order/pay for the applicable goods or services
that are the subject of the telemarketing calls. Material
information is information that a consumer needs in order to make
an informed decision about whether to purchase the applicable
seller's or telemarketer's goods or services. Failure to
provide this material information before the
