Door-to-Door Solicitation – A Primer
California defines "door-to-door" sellers as salespersons who sell or offer to sell consumer products or services to a consumer at a residence or elsewhere. The term "consumer" does not apply to sales by manufacturers, wholesalers, or distributors as part of a business-to-business sale, whether made through telephone solicitation or personal contact away from the merchant’s place of business. Instead, the term "consumer" only applies to individuals purchasing for personal or household use.
The term ‘door-to-door’ has many meanings in California . For example, unlike the more common types of door-to-door selling which involve personal visits to the consumer’s residence or workplace (house calls), generally in the business context, "door-to-door" selling also includes interaction with consumers over a variety of platforms including internet, phone, and email. Increasingly common forms of door-to-door selling include subscription services like Dollar Shave Club, and e-commerce businesses like StitchFix.com and WarbyParker.com that offer home deliveries of razor blades, clothing, and eye glasses respectively.
Door-to-door sellers are required to follow very strict rules, such as disclosing the right of consumers to cancel their contract. Failure to follow the door-to-door solicitation requirements can unfortunately have a major impact and nullify the contract between the door-to-door seller and the consumer.
Regulations and Requirements
Door-to-door solicitors must comply with several laws and permit requirements. Licenses are managed by each city or county government. For example, in the City of Los Angeles, a $10 fee, a written list of employees, proof of payment of City taxes and proof of a valid insurance policy are needed to obtain a license. There are additional requirements for encouraging or pressuring homeowners to buy products or services.
By California law, if you employ anyone to solicit door-to-door, that employee must carry some type of identification and show it to residents of the property. The law requires that such identification "bear a physical description of the cardholder, if such person is an individual, including sex, color of hair, color of eyes, height, weight, home address and telephone number." Since 2003, California law has required that the solicitor present that identification to the resident in one of two ways: (1) a face-to-face introduction or (2) if the solicitor was not face-to-face with the resident, then handing the ID card through the door or placing the card in the screen door. Not only must the ID card be presented, but the ID must be presented "prior to or at the same time of the solicitation."
Rights and Protections for Consumers
Consumers have many rights and protections against aggressive door-to-door sales practices in California, through the enforcement of a broad range of consumer protection laws.
For example, Mercantile California Civil Code § 1812.200 et seq., the Home Solicitation Sales Act, requires that a seller doing business by door-to-door solicitation deliver at the time of sale the written notice of the right to cancel a home solicitation sale no later than the completion of the sale. Additionally, the written notice must be in a form prescribed by California Civil Code § 1812.203. The right to cancel under this act extends to sales not only at the door, but sales made through the mail, e-mail, or telephonic solicitation. When a seller violates this act, they may be liable to the buyer for any price increases which occur while the buyer is still within his or her cancellation period. California Civil Code § 1812.206. Moreover, a buyer’s right to cancel is broadly protected by California Civil Code § 1812.209, regardless of where the transaction occurs. This section states that in every sales transaction, "[w]henever the buyer is required or requested to return goods, or otherwise cancel an agreement, the seller shall provide the buyer with any applicable cancellation rights." Failure by a seller to do so is a violation of Cal. Civ. Code § 1812.209(a) which carries strict penalties under the California Consumer Legal Remedies Act as set forth in California Civil Code §§ 1770(a)(5)&(14) and 1780(e). The penalties can be severe where there are a large number of separate violations. The California door-to-door salesman is also required to provide to the prospective buyer a copy of his or her "Certificate of Registration" no later than the buyer’s acceptance of the offer. Consumer Legal Remedies Cal. Civ. Code § 1812.216(a)(1). Furthermore, a link to the "current Sara Little Heckerman Directory of Door-to-Door Salespersons" must be provided to the buyer. Id. Consumer Legal Remedies Cal. Civ. Code § 1812.216(a)(2). In a related area, California Business & Professions Code § 7159 provides that home improvement contracts, including sales conducted at the door or just outside of the door, must be set forth in writing. Accordingly, consumers have a "specially designed" set of rights and protections set forth above to protect against abuses by door-to-door solicitors.
Penalties for Violations
California law is behind the doorbell: "A license is required to engage in door-to-door solicitation, and a violation is a misdemeanor." Misdemeanor is a technical criminal term meaning that non-compliance for first-time violators means a period of incarceration of up to six months (most county jails will house misdemeanor offenders for only up to 30 days). San Bernardino County charges an individual who violates the door-to-door solicitation statute with a misdemeanor that carries with it a maximum fine of $500. Los Angeles County has a similar penalty. Many cities around California provide for warnings instead of fines or jail time for first offense offenders, but often issue escalating fines and arrest for repeat offenders. Organizations like the IRS, Secretary of State, state Labor Board , and others recognize such violations as a regulatory violation and apply their own administrative fines and penalties regardless of any criminal conviction. Additionally, trespassing after warning can be a misdemeanor in California. Repeated trespassing is oftentimes charged as a felony under California law, which has much more severe penalties that include heavy prison sentences. Many people are unaware of many of these laws; however, they are prominently on display on every street corner in California. It is fairly common for solicitors to be charged with non-compliance with these laws. Not being living in California does not provide any protection whatsoever from California law. Most law enforcement agencies do not consider multiple states’ jurisdiction restrictions as challenges against this type of enforcement.
What to Do When Encountering Solicitors
California has its own door-to-door sales statute that makes illegal all door-to-door salespeople in California who do not first obtain a permit from their local police department. Some local police departments have a website on which the public can search for individuals who have been issued permits. In addition, California permits, if issued, must be renewed every 120 days and reside only within the jurisdiction of the issuance, i.e. the city or county issuing the permit. Despite these tight restrictions on the issuance of door-to-door permits, the laws are respected by very few door-to-door solicitors. Many droves of people sale through California every day asking for money for services or products and often refuse to leave when asked. What can a homeowner or residence do about illegal door-to-door salespeople? First, it is advisable to ask outside salespeople if they have a permit – the police department should have a website search to confirm or deny if the a person is issued a permit. If the person refuses to provide a permit or insists he does not need a permit, then it is advisable to call the police and ask them to send an officer to investigate. It may be necessary to photograph or video record the salesperson or make note of their physical description. It is also advisable to keep a record of the date and time the inquiring person came to the residence and any other information about the person that may assist the police in their investigation. Door-to-door canvassing is subject to anti-solicitation regulations as well. Most cities have local prohibitions against unwanted solicitation of any nature during certain hours of the day. With regard to door-to-door salespeople or solicitation, homeowners generally have the right to ask inquiring solicitors to leave, and this request should be repeated after the solicitor shows a lack of respect for the person’s request. If the person refuses to leave a property after being requested to leave, that person is likely trespassing and should be photographed or video recorded and reported to the police immediately. It is also illegal to engage in misrepresentation or other deceptive practices in the course of soliciting door-to-door in California. Those engaged in door-to-door sales must disclose their name, address and telephone number, and attempt with due diligence to inform the homeowner or resident of their business or organization affiliation if such exists. A window sticker, flyer, pamphlet or other indication of such affiliation must be offered upon request. This is not the case if the door-to-door seller is selling newspapers or magazine subscriptions which have designated delivery times. Further, all sellers must give the homeowner or resident a written receipt for all merchandise or 50 percent of any prepayment made. The receipt must state the name and address of the seller, the date of sale, the kind, quantity and price of merchandise sold, the amount paid and the balance due, if any, and the date of delivery. Door-to-door sellers who fail to comply with the Consumer Notice for door-to-door sellers are guilty of an infraction, punishable by a $250 fine. However, this is a relatively minor fine, considering the potential consumer protections violated by an illegal door-to-door seller.
The Impact of COVID-19 on Door-to-Door Solicitation
As it has with nearly every aspect of American life, the COVID-19 pandemic has brought significant changes to door-to-door and telemarketing solicitation. Amid the worldwide spread of the virus in early 2020, California Governor Newsom issued a stay-at-home order March 19, requiring all non-essential businesses and individuals not engaged in essential services to remain indoors. Since then, no-visitor policies have been strictly enforced at retirement communities and long-term care facilities throughout the state , barring non-essential personnel from entering facilities. These policies continue to be in place in many locations through the date of this writing and are likely to remain in effect as the Delta variant continues to spread. The ongoing pandemic is likely to deter people from answering their doors for fear of unwanted solicitation and subsequent exposure to the virus. Given the anxiety(s) associated with the pandemic, many potential clients would also likely find it emotional distressing to have to turn away charitable fundraisers, candidates and political advocates at their doorsteps.