Oregon has enacted a law (HB 2759) that specifically assesses penalties to entities which know or consciously avoid knowing of businesses that violate state or federal “do-not-call” laws and provide substantial assistance or support to the violator. The Telemarketing Sales Rule (“TSR”) enforced by the Federal Trade Commission (“FTC”) has long used the same standard of “accomplice liability”.
Thus, a company which assists another company which violated the law could be held liable for the actions of its business partner. There are several steps you should take to protect your business, including: 1) require that all parties to a contract comply with the law; 2) state that illegal actions are outside the scope of any contract; and 3) cut a business partner off if you know it is violating the law.
Civil class action plaintiffs often argue for “strict liability” meaning all parties to a contract are absolutely liable for the actions of the other parties, but that argument generally can be defeated if the contract is properly drafted.
The law takes effect 91 days after June 25, 2023, which is September 25, 2023.
