United States of America: Issued ruling in FTC public lawsuit against XCast Labs regarding robocalls through VoIP provider

On 2 January 2024, the Federal Trade Commission (FTC) issued a ruling banning XCast Labs from supporting illegal telemarketing practices. The FTC alleged that XCast Labs facilitated millions of unlawful robocalls. XCast Labs has agreed to settle charges by the FTC for facilitating hundreds of millions of illegal robocalls through its network. The proposed settlement, subject to court approval, prohibits XCast Labs from violating the Telemarketing Sales Rule in the future and requires XCast Labs to implement a screening process and sever ties with firms not complying with telemarketing-related laws. In addition, XCast Labs must pay a USD 10 million civil penalty, suspended based on its financial condition, with the full amount becoming due if the company misrepresented its financial condition.