British Propose Opt-In E-Mail Regulation

Officials in the United Kingdom have laid out plans that would severely
limit unsolicited electronic communications, part of an effort to fight spam
and unwanted SMS marketing.

“Just as the Internet and mobile technology have become a firm feature of
our lives, spam is threatening that status. It is in danger of becoming a
real deterrent to online communication,” E-Commerce Minister Stephen Timms
said in announcing the proposals. “When used properly, direct marketing is a
powerful business tool. But badly targeted messages, whether by e-mail,
phone, fax or text are a global concern. Not only are they a great nuisance,
they are eroding trust in legitimate and valuable business services.”

The government’s proposals are aimed at implementing the European Directive
on Privacy and Electronic Communications, a wide-ranging document passed in
1999 by the European Parliament.

Currently the Department of Trade and Industry (DTI) is seeking public
comment on the proposals, which require businesses to obtain explicit opt-in
permission before initiating electronic communication, except when there is
an existing customer relationship. They also require that businesses clearly
indicate when they’re using “cookies” or other tracking devices, and allow
users to reject them. Companies failing to comply could face government
penalties,
or could be sued by the individuals who receive unsolicited commercial
e-mail.

E-mails and SMS messages sent on an opt-out basis would be allowed, provided
a previous relationship between the company and the customer existed. The
question of what constitutes a “previous relationship,” however, will be
part of the discussion.

The British government is seeking input on its proposals though June 19. It
will take comments into consideration and enforcement will likely begin
October 31.

The British Direct Marketing Association has said it welcomes the chance to
give input, and is chiefly concerned that companies in the United Kingdom
not be disadvantaged when competing with others that need not comply with
such rules. It has also expressed concern that small businesses may be
harmed by excessive regulation.

“This is a crucial time for the e-mail marketing industry,” the British DMA
said in a statement. “Innovation and creativity may be stifled by excessive
regulation, and the DMA therefore urges the DTI to ensure an appropriate
balance between commercial freedom and consumer interests.”

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