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Series 7: Seeks Business for the Broker-Dealer
Series 7 practice questionhardCold Calling Rules and Telemarketing — Time Zone Compliance

A New York-based registered representative plans to cold call prospects in three different states: California (PST), Texas (CST), and Florida (EST). If the representative begins calling at 8:30 p.m. Eastern Time, which group of clients is the representative permitted to call under the Telephone Consumer Protection Act (TCPA) regulations?

  1. AOnly clients in Texas
  2. BClients in Texas and Florida
  3. CClients in California, Texas, and Florida✓ Correct answer
  4. DOnly clients in California
Explanation

Why CClients in California, Texas, and Florida

The TCPA restricts calls to between 8 a.m. and 9 p.m. in the recipient's local time. At 8:30 p.m. Eastern, it is 5:30 p.m. in California, 7:30 p.m. in Texas, and 8:30 p.m. in Florida, so all three groups are within the permitted calling window.

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