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                                   Before the

                       Federal Communications Commission

                             Washington, D.C. 20554


                                         )                               
                                                                         
                                         )                               
                                                                         
                                         )                               
     In the Matter of                                                    
                                         )   File No. EB- 06-TC-120      
     Hot Lead LLC                                                        
                                         )   NAL/Acct. No. 200732170072  
     d/b/a The Hot Lead Company                                          
                                         )   FRN: 0016773533             
     Apparent Liability for Forfeiture                                   
                                         )                               
                                                                         
                                         )                               
                                                                         
                                         )                               


                  NOTICE OF APPARENT LIABILITY FOR FORFEITURE

   Adopted: July 23, 2008 Released: July 24, 2008

   By the Commission:

   I. INTRODUCTION

    1. In this Notice of Apparent Liability for Forfeiture ("NAL"), we find
       that The Hot Lead LLC ("Hot Lead") apparently willfully or repeatedly
       violated section 227 of the Communications Act of 1934, as amended
       ("Act"), and the Commission's related rules and orders, by delivering
       at least 146 unsolicited advertisements to the telephone facsimile
       machines of at least 70 consumers. Based on the facts and
       circumstances surrounding these apparent violations, we find that Hot
       Lead is apparently liable for a forfeiture in the amount of $739,500.

   II. BACKGROUND

    2. Section 227(b)(1)(C) of the Act makes it "unlawful for any person
       within the United States, or any person outside the United States if
       the recipient is within the United States . . . to use any telephone
       facsimile machine, computer, or other device to send, to a telephone
       facsimile machine, an unsolicited advertisement."  The term
       "unsolicited advertisement" is defined in the Act and the Commission's
       rules as "any material advertising the commercial availability or
       quality of any property, goods, or services which is transmitted to
       any person without that person's prior express invitation or
       permission in writing or otherwise." Under the Commission's rules, an
       "established business relationship" exception permits a party to
       deliver a message to a consumer if the sender has an established
       business relationship with the recipient and the sender obtained the
       number of the facsimile machine through the voluntary communication by
       the recipient, directly to the sender, within the context of the
       established business relationship, or through a directory,
       advertisement, or a site on the Internet to which the recipient
       voluntarily agreed to make available its facsimile number for public
       distribution.

    3. On May 5, 2006, in response to one or more consumer complaints
       alleging that Hot Lead had faxed unsolicited advertisements, the
       Enforcement Bureau ("Bureau") issued a citation to Hot Lead, pursuant
       to section 503(b)(5) of the Act. The Bureau staff cited Hot Lead for
       using a telephone facsimile machine, computer, or other device, to
       send unsolicited advertisements for mortgage financing, health and
       life insurance, credit and debit card services, interior shutters,
       custom-logo shirts/T-shirts, fax advertising and sales leads to
       telephone facsimile machines, in violation of section 227 of the Act
       and the Commission's related rules and orders. The citation, which was
       served by certified mail, return receipt requested, warned Hot Lead
       that subsequent violations could result in the imposition of monetary
       forfeitures of up to $11,000 per violation, and included a copy of the
       consumer complaints that formed the basis of the citation. The
       citation informed Hot Lead that within 30 days of the date of the
       citation, it could either request an interview with Commission staff,
       or could provide a written statement responding to the citation. Hot
       Lead did not request an interview or otherwise respond to the
       citation.  

    4. Despite the citation's warning that subsequent violations could result
       in the imposition of monetary forfeitures, we have received additional
       consumer complaints indicating that Hot Lead continued to engage in
       such conduct. We base our action here specifically on complaints filed
       by 70 consumers establishing that Hot Lead continued to send 146
       unsolicited advertisements to telephone facsimile machines after the
       date of the citation.

    5. Section 503(b) of the Act authorizes the Commission to assess a
       forfeiture of up to $11,000 for each violation of the Act or of any
       rule, regulation, or order issued by the Commission under the Act by a
       non-common carrier or other entity not specifically designated in
       section 503 of the Act. In exercising such authority, we are to take
       into account "the nature, circumstances, extent, and gravity of the
       violation and, with respect to the violator, the degree of
       culpability, any history of prior offenses, ability to pay, and such
       other matters as justice may require."

   III. DISCUSSION

   A. Violations of the Commission's Rules Restricting Unsolicited Facsimile
   Advertisements

    6. We find that Hot Lead apparently violated section 227 of the Act and
       the Commission's related rules and orders by using a telephone
       facsimile machine, computer, or other device to send at least 146
       unsolicited advertisements to the 70 consumers identified in the
       Appendix. This NAL is based on evidence that 70 consumers received
       unsolicited fax advertisements from Hot Lead after the Bureau's
       citation. The facsimile transmissions advertise copiers, life
       insurance, health insurance, security systems, shirts, mortgages and
       mortgage refinancing, sales leads, and promotional products. Further,
       according to the complaints, the consumers neither had an established
       business relationship with Hot Lead nor gave Hot Lead permission to
       send the facsimile transmissions. The faxes at issue here therefore
       fall within the definition of an "unsolicited advertisement."  Based
       on the entire record, including the consumer complaints, we conclude
       that Hot Lead apparently violated section 227 of the Act and the
       Commission's related rules and orders by sending 146 unsolicited
       advertisements to 70 consumers' facsimile machines.

    B. Proposed Forfeiture

    7. We find that Hot Lead is apparently liable for a forfeiture in the
       amount of $739,500. Although the Commission's Forfeiture Policy
       Statement does not establish a base forfeiture amount for violating
       the prohibition against using a telephone facsimile machine to send
       unsolicited advertisements, the Commission has previously considered
       $4,500 per unsolicited fax advertisement to be an appropriate base
       amount. We apply that base amount to each of 131 of the apparent
       violations. In addition, where the consumer requests the company to
       stop sending facsimile messages, and the company continues to send
       them, the Commission has previously considered $10,000 per unsolicited
       fax advertisement the appropriate forfeiture for such egregious
       violations. Here, eight consumers specifically requested that Hot Lead
       cease sending facsimiles. Notwithstanding these requests, an
       additional 15 facsimiles were sent to these consumers. Thus, we apply
       the $10,000 amount to each of these 15 apparent violations. Thus, a
       total forfeiture of $739,500 is proposed. Hot Lead will have the
       opportunity to submit evidence and arguments in response to this NAL
       to show that no forfeiture should be imposed or that some lesser
       amount should be assessed.

   IV. CONCLUSION AND ORDERING CLAUSES

    8. We have determined that The Hot Lead LLC apparently violated section
       227 of the Act and the Commission's related rules and orders by using
       a telephone facsimile machine, computer, or other device to send at
       least 146 unsolicited advertisements to the 70 consumers identified in
       the Appendix. We have further determined that The Hot Lead LLC is
       apparently liable for a forfeiture in the amount of $739,500.

    9. Accordingly, IT IS ORDERED, pursuant to section 503(b) of the Act, 47
       U.S.C. S: 503(b), and section 1.80 of the rules, 47 C.F.R. S: 1.80,
       that The Hot Lead LLC is hereby NOTIFIED of this APPARENT LIABILITY
       FOR A FORFEITURE in the amount of $739,500 for willful or repeated
       violations of section 227(b)(1)(C) of the Communications Act, 47
       U.S.C. S: 227(b)(1)(C), sections 64.1200(a)(3) of the Commission's
       rules, 47 C.F.R. S: 64.1200(a)(3), and the related orders described in
       the paragraphs above.

   10. IT IS FURTHER ORDERED THAT, pursuant to section 1.80 of the
       Commission's rules, within thirty (30) days of the release date of
       this Notice of Apparent Liability for Forfeiture, The Hot Lead LLC
       SHALL PAY the full amount of the proposed forfeiture or SHALL FILE a
       written statement seeking reduction or cancellation of the proposed
       forfeiture.

   11. Payment of the forfeiture must be made by check or similar instrument,
       payable to the order of the Federal Communications Commission. The
       payment must include the NAL/Account Number and FRN Number referenced
       above. Payment by check or money order may be mailed to Federal
       Communications Commission, P.O. Box 979088, St. Louis, MO 63197-9000.
       Payment by overnight mail may be sent to U.S. Bank - Government
       Lockbox #979088, SL-MO-C2-GL, 1005 Convention Plaza, St. Louis, MO
       63101. Payment by wire transfer may be made to ABA Number 021030004,
       receiving bank TREAS/NYC, and account number 27000001. For payment by
       credit card, an FCC Form 159 (Remittance Advice) must be submitted.
        When completing the FCC Form 159, enter the NAL/Account number in
       block number 23A (call sign/other ID), and enter the letters "FORF" in
       block number 24A (payment type code). SOS Marketing will also send
       electronic notification on the date said payment is made to
       Johnny.drake@fcc.gov. Requests for full payment under an installment
       plan should be sent to: Chief Financial Officer -- Financial
       Operations, 445 12th Street, S.W., Room 1-A625, Washington, D.C. 
       20554. Please contact the Financial Operations Group Help Desk at
       1-877-480-3201 or Email: ARINQUIRIES@fcc.gov with any questions
       regarding payment procedures.

   12. The response, if any, must be mailed both to the Office of the
       Secretary, Federal Communications Commission, 445 12th Street, SW,
       Washington, DC 20554, ATTN: Enforcement Bureau - Telecommunications
       Consumers Division, and to Colleen Heitkamp, Chief, Telecommunications
       Consumers Division, Enforcement Bureau, Federal Communications
       Commission, 445 12th Street, SW, Washington, DC 20554, and must
       include the NAL/Acct. No. referenced in the caption.

   13. The Commission will not consider reducing or canceling a forfeiture in
       response to a claim of inability to pay unless the petitioner submits:
       (1) federal tax returns for the most recent three-year period; (2)
       financial statements prepared according to generally accepted
       accounting practices; or (3) some other reliable and objective
       documentation that accurately reflects the petitioner's current
       financial status. Any claim of inability to pay must specifically
       identify the basis for the claim by reference to the financial
       documentation submitted.

   14. IT IS FURTHER ORDERED that a copy of this Notice of Apparent Liability
       for Forfeiture shall be sent by Certified Mail Return Receipt
       Requested and by regular mail to: The Hot Lead LLC, Attention: Mr.
       Greg Horne, 16901 Dallas Parkway, Addison, Texas 75001; The Hot Lead
       Company, Attention: Mr. Greg Horne, 1400 Preston Road #300, Plano,
       Texas; and The Hot Lead Company, Attention: Mike Horne, Manager, PO
       Box 12057, Las Vegas, NV 89112.

   FEDERAL COMMUNICATIONS COMMISSION

   Marlene H. Dortch

   Secretary

                                    APPENDIX

                        Complainants and Violation Dates


     Complainant received facsimile   Violation Date(s)                      
     advertisements                                                          

     Mike Thielen                     9/13/2007                              

     Harry Schultz                    8/15/2007; 9/02/2007                   

     James Dallas, National           9/26/2007                              
     Computing Group                                                         

                                      8/09/2007; 8/10/2007; 9/01/2007;       
     Jan Deswik, D&A Infotech         9/03/2007; 9/09/2007; 10/08/2007;      
                                      10/17/2007                             

                                      8/25/2007 (three faxes); 8/31/2007     
                                      (two faxes); 8/25/2007; 9/08/2007;     
     Wayne Smith                      9/09/2007; 9/12/2007; 9/19/2007 (two   
                                      faxes); 9/08/2007; 9/30/2007;          
                                      10/01/2007                             

     Jonathan Meltz, Esq., The        9/11/2007                              
     Meltz Law Firm                                                          

     Melissa Spencer, Prodigy         8/07/2007; 8/08/2007; 8/09/2007;       
     Mortgage Corporation             8/10/2007; 9/29/2007                   

     Mark Walden, West Lawn Chamber   9/04/2007                              
     of Commerce                                                             

     Constance Elliot                 9/13/2007 (two faxes); 9/30/2007;      
                                      10/27/2007                             

     Dan Silva, Hewlett-Packard       9/02/2007; 9/07/2007; 9/08/2007;       
     Company                          9/24/2007                              

     Robert Josefek                   9/02/2007                              

     John Findlater                   9/07/2007                              

     James Scielzo                    9/19/2007; 9/28/2007;10/17/2007        

     Ashley Anderson                  8/02/2007; 9/19/2007                   

     Linda Garrett, Christ United     9/12/2007                              
     Methodist Church                                                        

     Barbara Floering                 9/18/2007; 10/07/2007                  

     Chester Roberts                  9/08/2007                              

     Katie Williams                   8/31/2007; 9/04/2007                   

     David Seror                      8/09/2007; 8/25/2007; 9/21/2007        

     Albert Chi                       9/22/2007; 10/10/2007; 10/13/2007      

     Phil Robinson, The Robinson      8/09/2007; 9/09/2007                   
     Company                                                                 

     Phyllis Heisler, AMP             9/08/2007; 9/09/2007                   
     Promotional Products                                                    

     George McDonald                  8/16/2007; 9/04/2007                   

     Paul Zibits                      9/04/2007                              

     Karen Blake, NASA-Kennedy        8/06/2007; 8/15/2007                   
     Space Center                                                            

     Michael Spedick                  8/04/2007                              

     Bruce Zucker                     8/03/2007                              

     Robert Schlussler                8/01/2007                              

     Daniel Krop                      8/04/2007; 8/07/2007                   

     Cary Pine, Broward County                                               
     Environmental Protection         8/01/2007; 8/09/2007                   
     Department                                                              

     I. Meyers, Coast                 8/09/2007; 8/10/2007; 8/13/2007;       
     Hematology-Oncology Associates   8/14/2007; 8/15/2007                   
     Medical Group                                                           

     Lori Millard                     8/01/2007; 8/14/2007                   

     Martha Marcon                    8/20/2007; 8/21/2007                   

     Thomas Fitzpatrick               8/20/2007                              

     Marla Goldstein                  8/22/2007                              

     Cheryl Porto                     8/14/2007                              

     Catherine Byal                   8/28/2007                              

     Gregory Cogen                    8/08/2007; 8/09/2007                   

     Susan Duncan                     8/13/2007                              

     Susan Reyes                      8/14/2007                              

     D'Auric Gladney                  8/15/2007                              

     Peter Zec                        8/17/2007; 8/19/2007 8/21/2007;        
                                      8/23/2007                              

     Alan MacIntyre                   8/29/2007                              

     Todd Arnold                      9/09/2007                              

     Mona Ewest                       8/07/2007; 8/18/2007; 8/22/2007        

     Wanda Schiavone                  10/03/2007; 10/10/2007; 10/17/2007;    
                                      10/25/2007                             

     Thomas Anderson                  9/30/2007; 10/01/2007                  

     Kathleen Gleason                 9/13/2007; 9/30/2007                   

     Tammy Kloser                     9/15/2007; 9/25/2007; 10/02/2007       

     Carlos Ramirez                   10/13/2007                             

     Thomas Abbott                    8/15/2007                              

     Richard Chambers                 10/20/2007                             

     Jay Deandrade                    10/24/2007                             

     Laura West                       8/30/2007; 9/04/2007                   

     Kathryn Han                      10/01/2007                             

     Thorsten Claus                   10/08/2007                             

     Ben English                      9/24/2007; 9/28/2007; 10/09/2007       

     Jenelle Terwilliger              10/06/2007                             

     Angel Graf, Language and         10/18/2007                             
     Culture Worldwide LLC                                                   

     Don Chivas, Fleetwood Sales,     10/20/2007                             
     Inc.                                                                    

     Thomas Young                     10/25/2007                             

     Adam Shapiro                     10/27/2007                             

     Dominick Morra                   10/28/2007                             

     Martin Karamian                  10/28/2007                             



     Complainant received facsimile advertisements   Violation Date(s)       
     after requesting no more be sent                                        

     Harry Schultz                                   9/27/2007 (two faxes)   

     Melissa Spencer, Prodigy Mortgage Corporation   9/08/2007; 9/12/2007    

     Randal Miles, Raleigh Studios                   8/25/2007; 9/22/2007;   
                                                     10/19/2007; 10/23/2007  

     Don Waller                                      9/24/2007               

     Michael Mantovani                               8/02/2007               

     David Seror                                     8/02/2007               

     Scott McPherson                                 8/07/2007               

     Allan Gelbard                                   9/14/2007; 10/02/2007;  
                                                     10/13/2007              


   See 47 U.S.C. S: 503(b)(1). The Commission has the authority under this
   section of the Act to assess a forfeiture against any person who has
   "willfully or repeatedly failed to comply with any of the provisions of
   this Act or of any rule, regulation, or order issued by the Commission
   under this Act ...." See also 47 U.S.C. S: 503(b)(5) (stating that the
   Commission has the authority under this section of the Act to assess a
   forfeiture penalty against any person who does not hold a license, permit,
   certificate or other authorization issued by the Commission or an
   applicant for any of those listed instrumentalities so long as such person
   (A) is first issued a citation of the violation charged; (B) is given a
   reasonable opportunity for a personal interview with an official of the
   Commission, at the field office of the Commission nearest to the person's
   place of residence; and (C) subsequently engages in conduct of the type
   described in the citation).

   According to publicly available information, Hot Lead is also doing
   business as The Hot Lead Company. Therefore, all references in this NAL to
   "Hot Lead" encompass Hot Lead as well as The Hot Lead Company. Hot Lead
   has offices at 16901 Dallas Parkway, Addison, Texas 75001. The Hot Lead
   Company has offices at 1400 Preston Road #300, Plano, Texas 75903. Mr.
   Greg Horne, is listed as the contact person for both Hot Lead and The Hot
   Lead Company. Hot Lead also lists as a principal Mike Horne, Manager, PO
   Box 12057, Las Vegas, NV 89112. Accordingly, all references in this NAL to
   "Hot Lead" also encompass the foregoing individuals and all other
   principals and officers of the entity noted herein, as well as the
   corporate entities themselves. 

   See  47 U.S.C. S: 227(b)(1)(C); 47 C.F.R. S: 64.1200(a)(3);  see also 
   Rules and Regulations Implementing the Telephone Consumer Protection Act
   of 1991, Report and  Order and Third Order on Reconsideration, 21 FCC Rcd
   3787 (2006).

   47 U.S.C. S: 227(b)(1)(C); 47 C.F.R. S: 64.1200(a)(3).

   47 U.S.C. S: 227(a)(4); 47 C.F.R. S: 64.1200 (f)(13).

   An "established business relationship" is defined as a prior or existing
   relationship formed by a voluntary two-way communication "with or without
   an exchange of consideration, on the basis of an inquiry, application,
   purchase or transaction by the business or residential subscriber
   regarding products or services offered by such person or entity, which
   relationship has not been previously terminated by either party." 47
   C.F.R. S: 64.1200(f)(5).

   See 47 U.S.C. S: 227(b)(1)(C); 47 C.F.R. S: 64 (a)(3)(i), (ii).

   Citation from Kurt A. Schroeder, Deputy Chief, Telecommunications
   Consumers Division, Enforcement Bureau, File No. EB-06-TC-120 issued to
   Hot Lead on May 5, 2006.

   See 47 U.S.C. S: 503(b)(5) (authorizing the Commission to issue citations
   to non-common carriers for violations of the Act or of the Commission's
   rules and orders).

   Commission staff mailed the citation to 16901 Dallas Parkway, Addison,
   Texas 75001 and 1400 Preston Road #300, Plano, Texas 75903. See n.2,
   supra.

   Following the issuance of the citation, the Commission continued to
   receive complaints from multiple consumers alleging that Hot Lead faxed
   unsolicited advertisements to them. These complaints, received after the
   Commission's citation, resulted initially in the issuance of two Notices
   of Apparent Liability for Forfeiture against Hot Lead: on August 14, 2007
   in the amount of $2,168,500, The Hot Lead LLC, Notice of Apparent
   Liability For Forfeiture, 22 FCC Rcd 15924 (2007), and on December 26,
   2007 in the amount of $423,000, The Hot Lead LLC, Notice of Apparent
   Liability For Forfeiture, 22 FCC Rcd 22212 (2007). Accordingly, on March
   19, 2008, the Commission issued a Forfeiture Order to Hot Lead based on
   these NALs in the amount of $2,591,500, The Hot Lead LLC, Forfeiture
   Order, 23 FCC Rcd 5282 (2008) Subsequently, additional complaints resulted
   in the issuance of a third Notice of Apparent Liability for Forfeiture
   against Hot Lead on May 20, 2008 in the amount of $695,000, The Hot Lead
   LLC, Notice of Apparent Liability For Forfeiture, FCC 08-133, released May
   20, 2008. To date, Hot Lead has not filed a response to any of these NALs
   or to the Forfeiture Order.

   See Appendix for a listing of the consumer complaints against Hot Lead
   requesting Commission action.

   We note that evidence of additional instances of unlawful conduct by Hot
   Lead may form the basis of subsequent enforcement action.

   Section 503(b)(2)(C) provides for forfeitures up to $10,000 for each
   violation in cases not covered by subparagraph (A) or (B), which address
   forfeitures for violations by licensees and common carriers, among others.
   See 47 U.S.C. S: 503(b). In accordance with the inflation adjustment
   requirements contained in the Debt Collection Improvement Act of 1996,
   Pub. L. 104-134, Sec. 31001, 110 Stat. 1321, the Commission implemented an
   increase of the maximum statutory forfeiture under section 503(b)(2)(C) to
   $11,000. See 47 C.F.R. S:1.80(b)(3); Amendment of Section 1.80 of the
   Commission's Rules and Adjustment of Forfeiture Maxima to Reflect
   Inflation, 15 FCC Rcd 18221 (2000); see also Amendment of Section 1.80(b)
   of the Commission's Rules and Adjustment of Forfeiture Maxima to Reflect
   Inflation, 19 FCC Rcd 10945 (2004) (amendment of section 1.80(b) to
   reflect inflation left the forfeiture maximum for this type of violator at
   $11,000); Amendment of Section 1.80(b) of the Commission's Rules,
   Adjustment of Forfeiture Maxima to Reflect Inflation, FCC 08-154, rel.
   June 13, 2008 (when effective, forfeiture maximum for this type of
   violator increased to $16,000).

   47 U.S.C. S: 503(b)(2)(D); The Commission's Forfeiture Policy Statement
   and Amendment of Section 1.80 of the Rules to Incorporate the Forfeiture
   Guidelines, Report and Order, 12 FCC Rcd 17087, 17100-01 para. 27 (1997)
   (Forfeiture Policy Statement), recon. denied, 15 FCC Rcd 303 (1999).

   See, e.g., complaint dated September 27, 2007, from Harry Schultz (stating
   that he has never done any business with the fax advertiser, never made an
   inquiry or application to the fax advertiser, never gave permission for
   the company to send the fax, and requested the company not to fax an
   advertisement). The complainants involved in this action are listed in the
   Appendix.

   See 47 U.S.C. S: 227(a)(4); 47 C.F.R. S: 64.1200(f)(13) (definition
   previously at S: 64.1200(f)(10)).

   See  Get-Aways, Inc., Notice of Apparent Liability For Forfeiture, 15 FCC
   Rcd 1805 (1999); Get-Aways, Inc., Forfeiture Order, 15 FCC Rcd 4843
   (2000); see also US Notary, Inc., Notice of Apparent Liability for
   Forfeiture, 15 Rcd 16999 (2000); US Notary, Inc., Forfeiture Order, 16 FCC
   Rcd 18398 (2001); Tri-Star Marketing, Inc., Notice of Apparent Liability
   For Forfeiture, 15 FCC Rcd 11295 (2000); Tri-Star Marketing, Inc.,
   Forfeiture Order, 15 FCC Rcd 23198 (2000).

   See Carolina Liquidators, Inc., Notice of Apparent Liability for
   Forfeiture, 15 FCC 16,837, 16,842 (2000); 21st Century Fax(es) Ltd., AKA
   20th Century Fax(es), 15 FCC Rcd 24,406, 24,411 (2000).

   See  47 U.S.C. S: 503(b)(4)(C); 47 C.F.R. S: 1.80(f)(3).

   47 C.F.R. S: 1.80.

   (...continued from previous page)

                                                              (continued....)

   Federal Communications Commission FCC 08-169

   1

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   Federal Communications Commission FCC 08-169