The United Arab Emirates has introduced new regulations governing telemarketing activities through Cabinet Resolution No. 56 of 2024. These regulations, along with Cabinet Resolution No. 57 of 2024 addressing violations and penalties, aim to protect consumers from intrusive and misleading marketing practices while ensuring adherence to ethical and legal standards.
They apply to all companies operating within the UAE, including those based in free zones, that engage in telemarketing activities. They also apply to individuals that market their products or services through telemarketing.
Key Provisions:
- Definition and Scope: Telemarketing is defined as any phone call made by a company or individual to consumers for the purpose of marketing, advertising, or promoting products or services. It covers calls made via both landline and mobile numbers, including marketing text messages and marketing messages through social media applications.
- Consumer Protection: The regulations establish a " Do Not Call Registry" (DNCR) managed by the Telecommunications and Digital Government Regulatory Authority (TDRA). Consumers have the right to register themselves on the DNCR to avoid receiving unsolicited marketing calls. Companies are prohibited from contacting consumers listed on the DNCR and must respect consumer preferences regarding marketing communications. Consumers can file a complaint to the competent authority concerning unwanted marketing phone calls. These regulations also protect consumers' personal data by prohibiting its disclosure without consent and by forbidding its trade for reprocessing by companies aiming to market their products or services to the consumer through marketing phone calls.
- Obligations for Telemarketers: Companies engaging in telemarketing must:
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- Obtain prior approval from the competent authority to conduct telemarketing activities.
- Provide training to their telemarketing staff on ethical conduct and the use of the DNCR.
- Use local phone numbers registered under their commercial license for telemarketing purposes.
- Maintain records of all marketing calls made, using the form provided by the competent authority.
- Respect designated calling hours (from 9:00 am to 6:00 pm).
- Disclose their identity and the purpose of the call at the beginning of each marketing call.
- Obtain explicit consent from consumers before proceeding with marketing communications.
Enforcement and Penalties
Resolution 57 of 2024 outlines administrative penalties for violations of the Telemarketing Regulations. Penalties may include warnings, fines, suspension, or cancellation of licenses, and other measures depending on the severity and repetition of the offence.
Implementation and Compliance
The regulations were officially published on 28 June 2024 and will be enforced 60 days after publication in the Official Gazette, which is anticipated to be on 27 August 2024. Companies and individuals involved in telemarketing activities are advised to review their practices and ensure full compliance with these new regulations to avoid legal repercussions.
The new UAE Telemarketing Regulations represent a significant step towards enhancing consumer protection and promoting ethical business practices in telemarketing. By setting clear guidelines and enforcing strict penalties for non-compliance, the UAE aims to create a transparent and respectful environment for marketing communications.
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