Context
Claims Management Company, Crosfill & Archer Claims Limited, has been fined £110,000 by the FCA.
Key points to note
- The company had been making unsolicited telemarketing calls to people who registered not to receive this type of sales call, where the firm had no evidence they had consented to receive the call or where the firm was unable to confirm what consent had been obtained on customer data purchased from third party data providers.
- The fine was originally imposed by the Ministry of Justice (MoJ) in 2018 but had been appealed by the firm.
- The appeal was struck out by the Upper Tribunal after the firm failed to file relevant documents in time.
- The FCA has stated: “Cold calling customers who elected not to receive sales calls is an example of the type of cavalier behaviour claims management firms should not be engaging in. Firms need to ensure they have the right governance and due diligence in place, and we will take action when we see behaviour that threatens legitimate consumer rights and interests”.
Next actions
We have included this item for information only but firms should ensure they have the appropriate and documented consent or rationale for their marketing methods.