General Securities Sales Supervisor (Series10) Practice Exam

How long must a client's "Do Not Call" request be retained by the firm?

1. 1 year

2. 3 years

3. 5 years

4. 7 years

The correct answer is: 5 years

A client's "Do Not Call" request must be retained by the firm for 5 years. This requirement is established to ensure that companies respect the wishes of individuals who do not wish to receive unsolicited telephone calls regarding sales or promotions. The 5-year retention period allows firms to maintain a comprehensive record of clients' preferences, ensuring compliance with regulations aimed at protecting consumer privacy. In the event of an audit or inquiry from regulatory bodies, firms are required to provide documentation of the requests made by clients to demonstrate adherence to the "Do Not Call" policies. This duration also aligns with the guidelines set forth by the Telephone Consumer Protection Act (TCPA) and related regulations, reinforcing the importance of respecting consumer choices in communication practices. Maintaining these records helps build trust and goodwill between firms and their clients, as it shows a commitment to consumer rights.