Bill Text: NY S01832 | 2011-2012 | General Assembly | Amended
Bill Title: Prohibits the imposition of any charge or fee on the telephone bill of a consumer when such fee or charge is imposed by a third party, unless the consumer explicitly agrees to the nature and amount of such fee or charge; makes the unauthorized imposition of such a fee void and unenforceable; directs the public service commission to enforce such provisions.
Spectrum: Slight Partisan Bill (Republican 2-1)
Status: (Introduced - Dead) 2012-01-04 - REFERRED TO ENERGY AND TELECOMMUNICATIONS [S01832 Detail]
Download: New_York-2011-S01832-Amended.html
S T A T E O F N E W Y O R K
________________________________________________________________________
1832--A
2011-2012 Regular Sessions
I N S E N A T E
January 13, 2011
___________
Introduced by Sen. FLANAGAN -- read twice and ordered printed, and when
printed to be committed to the Committee on Energy and Telecommuni-
cations -- committee discharged, bill amended, ordered reprinted as
amended and recommitted to said committee
AN ACT to amend the public service law and the general business law, in
relation to consumer protections against cramming
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. The opening paragraph of section 92-d of the public service
2 law, as separately amended by chapters 546 and 547 of the laws of 2000,
3 is amended to read as follows:
4 Each local exchange telephone company shall inform its customers of
5 the provisions of SECTION NINETY-TWO-G OF THIS ARTICLE, sections three
6 hundred ninety-nine-p [and], three hundred ninety-nine-z and three
7 hundred ninety-nine-pp of the general business law, and article ten-B of
8 the personal property law, as such provisions relate to the rights of
9 consumers with respect to CRAMMING, telemarketers, sellers, the no tele-
10 marketing sales call statewide registry and automatic dialing-announcing
11 devices, by means of:
12 S 2. The public service law is amended by adding a new section 92-g to
13 read as follows:
14 S 92-G. CRAMMING PROHIBITED. 1. FOR THE PURPOSES OF THIS SECTION,
15 "CRAMMING" MEANS THE INCLUSION AND IMPOSITION OF CHARGES ON THE INVOICE
16 OR BILL OF A CUSTOMER FROM A TELEPHONE CORPORATION AT THE REQUEST OF A
17 THIRD PARTY OR BILLING AGGREGATOR THAT (A) WERE NOT AUTHORIZED BY THE
18 CUSTOMER, OR (B) IF AUTHORIZED, WERE OBTAINED THROUGH MISLEADING OR
19 DECEPTIVE MEANS.
20 2. A CUSTOMER SHALL NOT BE LIABLE FOR CHARGES APPEARING ON THE INVOICE
21 OR BILL OF A TELEPHONE CORPORATION THAT ARE THE RESULT OF CRAMMING. NO
22 CHARGES FOR ANY PRODUCTS OR SERVICES, OTHER THAN THOSE PROVIDED BY THE
23 TELEPHONE CORPORATION, ITS AFFILIATES, A THIRD PARTY VIDEO PROVIDER WITH
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04127-06-1
S. 1832--A 2
1 WHOM A TELEPHONE CORPORATION OR ITS AFFILIATE JOINTLY MARKET SERVICES,
2 OR OTHERWISE PERMITTED BY LAW, SHALL BE INCLUDED ON ANY BILL OR INVOICE
3 OF A CUSTOMER, UNLESS THE THIRD PARTY REQUESTING THE PAYMENT OF SUCH
4 CHARGES RETAINS AND PROVIDES UPON REQUEST VALID PROOF THAT:
5 (A) THE CUSTOMER WAS PROVIDED WITH CLEAR AND CONSPICUOUS DISCLOSURE OF
6 ALL MATERIAL TERMS AND CONDITIONS OF THE PRODUCT OR SERVICE BEING
7 OFFERED, INCLUDING BUT NOT LIMITED TO ALL INITIAL AND RECURRING CHARGES
8 AND THE FACT THAT SUCH CHARGES SHALL APPEAR ON THE CUSTOMER'S TELEPHONE
9 BILL;
10 (B) AFTER RECEIVING CLEAR AND CONSPICUOUS DISCLOSURE AS PROVIDED IN
11 PARAGRAPH (A) OF THIS SUBDIVISION, THE CUSTOMER EXPLICITLY CONSENTED TO
12 THE NATURE AND AMOUNT OF SUCH CHARGES; AND
13 (C) THE THIRD PARTY OFFERING THE PRODUCT OR SERVICE OR AN AGENT OF
14 SUCH THIRD PARTY PROVIDED THE CUSTOMER WITH A TOLL-FREE TELEPHONE NUMBER
15 THE CUSTOMER MAY CALL AND AN ADDRESS TO WHICH THE CUSTOMER MAY WRITE TO
16 RESOLVE ANY BILLING DISPUTE.
17 3. ANY CHARGES FOR THIRD PARTY PRODUCTS OR SERVICES THAT ARE INCLUDED
18 ON A BILL OR INVOICE BY A TELEPHONE CORPORATION WITHOUT THE CONSENT OF
19 THE CUSTOMER HAVING BEEN OBTAINED AS PROVIDED IN SUBDIVISION TWO OF THIS
20 SECTION SHALL BE VOID AND UNENFORCEABLE, AND SHALL BE REMOVED FROM THE
21 BILL OR INVOICE UPON NOTICE FROM SUCH CUSTOMER.
22 4. THE COMMISSION SHALL SUPERVISE AND ENSURE COMPLIANCE WITH THE
23 PROVISIONS OF THIS SECTION, AND MAY PROMULGATE ANY RULES AND REGULATIONS
24 IT DEEMS NECESSARY OR DESIRABLE TO ENSURE SUCH COMPLIANCE, INCLUDING BUT
25 NOT LIMITED TO ANY ADDITIONAL REQUIREMENTS FOR VERIFICATION OF CUSTOMER
26 ORDERS AND ANY ADDITIONAL STANDARDS THAT THIRD PARTIES OR AGENTS MUST
27 MEET TO BE AUTHORIZED TO RECEIVE PAYMENT THROUGH THE INCLUSION OF CHARG-
28 ES ON BILLS OR INVOICES OF TELEPHONE CORPORATIONS. ANY FAILURE BY A
29 TELEPHONE CORPORATION TO COMPLY WITH THE PROVISIONS OF THIS SECTION MAY
30 BE REDRESSED AS PROVIDED IN SUBDIVISION THREE OF SECTION NINETY-SIX OF
31 THIS ARTICLE OR AS OTHERWISE AUTHORIZED BY LAW.
32 S 3. The general business law is amended by adding a new section 390-
33 bb to read as follows:
34 S 390-BB. CRAMMING PROHIBITED. 1. FOR THE PURPOSES OF THIS SECTION,
35 "CRAMMING" MEANS THE INCLUSION AND IMPOSITION OF CHARGES ON THE INVOICE
36 OR BILL OF A CUSTOMER FROM A CABLE TELEVISION COMPANY, AS DEFINED IN
37 SECTION TWO HUNDRED TWELVE OF THE PUBLIC SERVICE LAW, AND THEIR SUBSID-
38 IARIES FURNISHING TELEPHONE SERVICE TO CUSTOMERS IN NEW YORK, AT THE
39 REQUEST OF A THIRD PARTY OR BILLING AGGREGATOR THAT (A) WERE NOT AUTHOR-
40 IZED BY THE CUSTOMER, OR (B) IF AUTHORIZED, WERE OBTAINED THROUGH
41 MISLEADING OR DECEPTIVE MEANS.
42 2. A CUSTOMER SHALL NOT BE LIABLE FOR CHARGES APPEARING ON THE INVOICE
43 OR BILL OF A CABLE TELEVISION COMPANY THAT ARE THE RESULT OF CRAMMING.
44 NO CHARGES FOR ANY PRODUCTS OR SERVICES, OTHER THAN THOSE PROVIDED BY
45 THE CABLE TELEVISION COMPANY, ITS AFFILIATES, A THIRD PARTY VIDEO
46 PROVIDER WITH WHO A CABLE CORPORATION OR ITS AFFILIATE JOINTLY MARKET
47 SERVICES, OR OTHERWISE PERMITTED BY LAW, SHALL BE INCLUDED ON ANY BILL
48 OR INVOICE OF A CUSTOMER, UNLESS THE THIRD PARTY REQUESTING THE PAYMENT
49 OF SUCH CHARGES RETAINS AND PROVIDES UPON REQUEST VALID PROOF THAT:
50 (A) THE CUSTOMER WAS PROVIDED WITH CLEAR AND CONSPICUOUS DISCLOSURE OF
51 ALL MATERIAL TERMS AND CONDITIONS OF THE PRODUCT OR SERVICE BEING
52 OFFERED, INCLUDING BUT NOT LIMITED TO ALL INITIAL AND RECURRING CHARGES
53 AND THE FACT THAT SUCH CHARGES SHALL APPEAR ON THE CUSTOMER'S CABLE
54 TELEVISION BILL;
S. 1832--A 3
1 (B) AFTER RECEIVING CLEAR AND CONSPICUOUS DISCLOSURE AS PROVIDED IN
2 PARAGRAPH (A) OF THIS SUBDIVISION, THE CUSTOMER EXPLICITLY CONSENTED TO
3 THE NATURE AND AMOUNT OF SUCH CHARGES; AND
4 (C) THE THIRD PARTY OFFERING THE PRODUCT OR SERVICE OR AN AGENT OF
5 SUCH THIRD PARTY PROVIDED THE CUSTOMER WITH A TOLL-FREE TELEPHONE NUMBER
6 THE CUSTOMER MAY CALL AND AN ADDRESS TO WHICH THE CUSTOMER MAY WRITE TO
7 RESOLVE ANY BILLING DISPUTE.
8 3. ANY CHARGES FOR THIRD PARTY PRODUCTS OR SERVICES THAT ARE INCLUDED
9 ON A BILL OR INVOICE BY A CABLE TELEVISION COMPANY WITHOUT THE CONSENT
10 OF THE CUSTOMER HAVING BEEN OBTAINED AS PROVIDED IN SUBDIVISION TWO OF
11 THIS SECTION SHALL BE VOID AND UNENFORCEABLE, AND SHALL BE REMOVED FROM
12 THE BILL OR INVOICE UPON NOTICE FROM SUCH CUSTOMER.
13 4. THE DEPARTMENT OF LAW SHALL SUPERVISE AND ENSURE COMPLIANCE WITH
14 THE PROVISIONS OF THIS SECTION, AND MAY PROMULGATE ANY RULES AND REGU-
15 LATIONS IT DEEMS NECESSARY OR DESIRABLE TO ENSURE SUCH COMPLIANCE,
16 INCLUDING BUT NOT LIMITED TO ANY ADDITIONAL REQUIREMENTS FOR VERIFICA-
17 TION OF CUSTOMER ORDERS AND ANY ADDITIONAL STANDARDS THAT THIRD PARTIES
18 OR AGENTS MUST MEET TO BE AUTHORIZED TO RECEIVE PAYMENT THROUGH THE
19 INCLUSION OF CHARGES ON BILLS OR INVOICES OF CABLE TELEVISION COMPANIES.
20 ANY FAILURE BY A CABLE TELEVISION COMPANY TO COMPLY WITH THE PROVISIONS
21 OF THIS SECTION MAY BE REDRESSED AS OTHERWISE AUTHORIZED BY LAW.
22 S 4. This act shall take effect on the one hundred eightieth day after
23 it shall have become a law.
