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Telemarketing Fines: UAE Compliance Simplified

Stay compliant with UAE telemarketing fines! Discover key rules, penalties, and appeal tips. Consult experts for hassle-free guidance.

Table Of Contents

As of August 27, 2024, the United Arab Emirates has implemented new regulations directly impacting companies engaging in telemarketing activities. In addition to these rules, Cabinet Resolution No. (57) of 2024 has been introduced to outline the penalties and fines for anyone violating these telemarketing regulations. These telemarketing fines are crucial to understand for staying compliant. This blog sheds light on these penalties so you can stay informed and avoid costly mistakes.

What’s This Resolution About?

In simple terms, this resolution lays out the penalties for anyone breaking the rules set by the UAE government regarding telemarketing. It applies to companies, individuals, and even financial institutions. Whether you’re running a business or just working in marketing, you need to know these rules to avoid hefty fines or other penalties. You can find out more about the new regulations in our previous blog.

Who Does This Affect?

This resolution affects:

Companies: Especially those using telemarketing to promote their products or services.

Individuals: Anyone using personal phone numbers for marketing activities.

Financial Institutions: Banks and other entities regulated by the Central Bank.

What does the Resolution say?

1. Scope of Application

The resolution applies to anyone violating the telemarketing rules in Cabinet Resolution No. (56) of 2024. This includes businesses making marketing calls without proper consent, calling people on the “Do Not Call” list, or using unethical practices.

2. Types of Penalties

The resolution details various penalties for violators, starting with warnings and fines, suspensions, or even shutting down the business. Here’s a quick overview:

Warnings: A formal notice to stop the offending activity.
Fines: Monetary penalties as outlined in an attached table (not detailed here).
Suspensions: Temporarily halting business activities, ranging from 7 to 90 days.
License Cancellation: In severe cases, authorities may revoke a business’s license entirely and remove it from the commercial register.

3. How Penalties Are Imposed?

For Companies: The relevant authorities (like the Ministry of Economy or Central Bank) can impose penalties based on the severity of the violation. The penalties can be much harsher if a company repeats the same violation within six months.
For Individuals: Similar rules apply to individuals, especially if they are using personal numbers to make marketing calls. The penalties can include fines or even the loss of phone service.

The resolution allows the UAE Cabinet to adjust fines over time. This means the penalties can change, so it’s important to stay updated. You can consider consulting top law firms in Dubai

4. Fines Collection

Different authorities collect telemarketing fines depending on the type of violation. For instance, the Central Bank handles fines related to financial institutions, while local authorities manage fines for other types of businesses.

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5. Appeal Process

If you believe authorities have penalized you unfairly, you can follow the appeal process:

Timeline: You have 15 days to appeal after being notified of the penalty.
Submission: Appeals can be submitted in writing or electronically.
Decision: The appeal will be reviewed within 30 days. If no response is given, the appeal is considered rejected.

Why It Matters

These regulations are in place to protect consumers from unwanted and intrusive marketing practices. Understanding these rules is important for businesses to avoid penalties that could disrupt operations or damage reputations.

Conclusion

By complying with Cabinet Resolution No. (57) of 2024, your company can avoid telemarketing fines and contribute to a more trustworthy marketplace. For further guidance or legal assistance, consider consulting top law firms in Dubai or consulting with Dubai lawyers specializing in company law & compliance regulations. Dubai Lawyers can provide tailored advice and ensure that your business complies with all legal requirements in the region.

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