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Use of AI Call Center Without Consent Not a Federal Wiretap Violation, Court Holds

By Kathryn Cahoy, Libbie Canter & Thea McCullough on March 3, 2026
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As businesses increasingly deploy AI-powered call centers to streamline customer service, plaintiffs have turned to decades-old wiretapping laws to challenge these tools. In a recent decision, however, an Illinois federal district court held that use of an AI call analysis platform without caller consent does not violate the federal Wiretap Act because it falls within the statute’s ordinary course of business exception. Lisota v. Heartland Dental, LLC, 2026 WL 91667, at *6 (N.D. Ill. Jan. 13, 2026).

In Lisota, the plaintiff alleged that her dentist’s office used Heartland, an administrative services provider that answered incoming calls which, in turn, engaged an AI call analysis service. Because the plaintiff allegedly was neither notified of nor consented to the AI tool’s involvement, she claimed that the tool unlawfully intercepted her calls in violation of the Wiretap Act and that Heartland was liable for procuring the interception.

The Wiretap Act prohibits certain call interception, but it exempts interceptions made “by a provider of wire or electronic communication service in the ordinary course of its business.” 18 U.S.C.A. § 2510(5)(a)(ii). The parties agreed that the AI tool qualified as an electronic communication service, but they disputed whether its recording and analysis occurred in the ordinary course of business. The court held that it did, and further concluded that Heartland was not liable for simply using the AI service.

Deeming the AI tool’s automated call analysis features “critical to its pitch,” the court rejected the plaintiff’s argument that the tool served impermissible independent purposes. Lisota, 2026 WL 91667, at *5. Generating more dental appointments, for example, was the tool “integrat[ing] listening and analysis into its phone service.” Id. at *6. Refining its AI with call data was “at minimum incidental” to providing the service. Id. (cleaned up).

Heartland additionally argued that it was exempt under the Wiretap Act’s “party exception,” which permits a party to a call to record the conversation. Although the court did not decide this issue because its ruling on the ordinary-course exception resolved the case, it noted that identifying who qualifies as a “party” can become complex in such multi-step call-routing scenarios.

Photo of Kathryn Cahoy Kathryn Cahoy

Kate Cahoy specializes in defending clients in complex, high-stakes disputes including class action and antitrust cases. Her practice includes privacy, antitrust, and consumer protection matters in the technology, entertainment, financial services, and food, drug, and cosmetic industries, among others, and she has significant …

Kate Cahoy specializes in defending clients in complex, high-stakes disputes including class action and antitrust cases. Her practice includes privacy, antitrust, and consumer protection matters in the technology, entertainment, financial services, and food, drug, and cosmetic industries, among others, and she has significant experience litigating cases brought under California’s Section 17200 and other consumer protection, competition, and privacy laws.

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Photo of Libbie Canter Libbie Canter

Libbie Canter is a member of the Communications & Media, Data Privacy and Cybersecurity, and Litigation Practice Groups. She represents and advises clients on matters before Congress and various federal agencies, including the Federal Communications Commission and the Federal Trade Commission.  She has…

Libbie Canter is a member of the Communications & Media, Data Privacy and Cybersecurity, and Litigation Practice Groups. She represents and advises clients on matters before Congress and various federal agencies, including the Federal Communications Commission and the Federal Trade Commission.  She has advised clients on a broad range of privacy issues, including data security breach matters, online and mobile marketing, and social networking policies for employers.  Her legislative work focuses on the areas of communications and media, privacy law, and cloud computing policy.

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Photo of Thea McCullough Thea McCullough

Thea McCullough counsels national and multinational companies across industries as a member of the Data Privacy and Cybersecurity, Litigation, and Public Policy practice groups.

Thea advises clients on a broad range of privacy issues, such as privacy policies and data practices, responses to…

Thea McCullough counsels national and multinational companies across industries as a member of the Data Privacy and Cybersecurity, Litigation, and Public Policy practice groups.

Thea advises clients on a broad range of privacy issues, such as privacy policies and data practices, responses to regulatory inquiries, and compliance obligations under federal and state privacy regulations, including biometric privacy laws. She also represents clients before the Federal Trade Commission in privacy enforcement actions and in consumer protection litigation.

Thea draws on her past experience across all branches of government to inform her practice and to advise clients on public policy matters. Most recently, Thea served as a clerk for the U.S. District Court for the Eastern District of Texas. Prior to beginning her legal career, Thea served as the communications director for the White House National Space Council, where she spearheaded messaging campaigns for Presidential Space Policy Directives and the administration’s civil, commercial, and defense space policy initiatives, and previously as the communications director for the U.S. House Committee on Science, Space, and Technology, where she managed the communications team and developed messaging strategies for policy and legislation covering several issue areas, including cybersecurity, advanced technologies, space, energy, environment, and oversight. She also served as a national spokesperson for President Trump’s 2020 campaign.

Thea is admitted to the DC Bar under DC App. R. 46-A (Emergency Examination Waiver); Practice Supervised by DC Bar members.

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  • Posted in:
    Class Action & Mass Torts
  • Blog:
    Inside Class Actions
  • Organization:
    Covington & Burling LLP
  • Article: View Original Source

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