Telecommunications Act of 1996

In the massive Telecommunications Act of 1996, Congress included a provision addressing wide-spread concern over telephone companies' misuse of personal records, requiring telephone companies to obtain the approval of customers before using information about users' calling patterns (or CPNI) to market new services. While the statute requires telephone companies to obtain approval before using customer's information, Congress did not specify how companies should obtain such approval. Responding to several requests from the telecommunications industry for guidance, the FCC issued an order interpreting the "approval" requirements in February of 1998. Under the FCC's rule, telephone companies must give customers explicit notice of their right to control the use of their CPNI and obtain express written, oral or electronic approval for its use. In August of 1999, the U.S. Court of Appeals for the Tenth Circuit abandoned the FCC privacy regulations regarding use and disclosure of CPNI. FCC's interpretation of the "approval" requirements U.S. West v. FCC.