Guide on UAE’s New Telemarketing Law

UAE’s New Telemarketing Law

The United Arab Emirates (UAE) has introduced new regulations aimed at enhancing consumer protection and maintaining market integrity in telemarketing practices. Effective from August 27, 2024, these regulations, under Cabinet Resolutions No. 56 and No. 57 of 2024, seek to regulate telemarketing activities by imposing stringent rules to safeguard consumer privacy and ensure ethical conduct.

The new telemarketing resolutions establish a framework for managing telemarketing practices in the UAE. Enforced by the Ministry of Economy in conjunction with several regulatory bodies, these rules are designed to address issues such as unwanted marketing calls and deceptive practices, ensuring a fair and transparent marketing environment.

The Ministry of Economy will spearhead the implementation and enforcement of the telemarketing resolutions. It will work alongside the Telecommunications and Digital Government Regulatory Authority (TDGRA), which will oversee compliance and impose penalties for violations. The Central Bank of the UAE will regulate telemarketing within the banking and financial sectors, while the Securities and Commodities Authority will oversee compliance in the securities and commodities markets. Additionally, local licensing authorities will manage enforcement within their respective jurisdictions.

Key Provisions for Companies

Approval Requirement

Under the new regulations, companies must obtain prior approval before engaging in telemarketing activities. This requirement is intended to ensure that all marketing efforts are authorized and subject to oversight, preventing unauthorized or unethical marketing practices.

Consumer Comfort and Privacy

The regulations prioritize consumer comfort and privacy. Telemarketers must adhere to approved marketing channels and times, avoiding calls outside the designated hours. Furthermore, companies are required to obtain explicit consent from consumers before making marketing calls, ensuring that consumers are not subjected to unwanted communications.

Transparency and Integrity

Transparency is a cornerstone of the new regulations. Telemarketers must clearly identify themselves and disclose the purpose of their calls. They are prohibited from using deceptive practices or making misleading claims. Additionally, calls are restricted to between 9 AM and 6 PM, and companies must limit the frequency of calls to avoid consumer harassment.

Automated Dialing Systems

For companies using automated dialing systems, the regulations mandate obtaining prior approval and using authorized local phone numbers. These systems must also provide clear communication channels for consumers who express interest in receiving marketing information, ensuring that automated calls are conducted transparently and responsibly.

Record Keeping

The regulations require companies to maintain detailed records of telemarketing calls. These records must be kept in a prescribed format and be accessible to authorities upon request. Companies are also obligated to submit periodic reports on their marketing activities to ensure ongoing compliance.

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