SB 0693 Regulates telemarketing practices
LR Number:2930S.01I Fiscal Note:2930-01
Committee:Commerce and Environment
Last Action:01/06/00 - Referred S Commerce & Environment Committee Journal page:S65
Effective Date:August 28, 2000
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Current Bill Summary

SB 693 - This act regulates certain telemarketing and marketing practices.

The act requires a telemarketer to provide certain identifying information specified in the act when contacting a consumer.

The act prohibits certain practices, including: requesting a fee to remove derogatory information from a person's credit history or record, knowingly calling persons who have previously stated that they do not want to receive telemarketing calls from that seller and misrepresenting material aspects about the merchandise being offered for sale.

The act prohibits abusive conduct by telemarketers, such as the use of obscene language, intimidation, and harassment.

The act allows a consumer to give certain forms of written or oral authorization for payment from a consumer's checking or savings account.

The act requires telemarketers to maintain certain records for 24 months, such as verifiable authorizations, brochures, and the names and addresses of recipients of prizes with a value of $25 or more.

Consumers who have suffered a loss or harm due to violations of this act may recover actual and punitive damages, attorney's fees, court costs, and other lawful remedies.

The following calls are exempted from the requirements of the act: (1) Telephone calls where the sale of goods or services is not completed and payment is not required until after a face-to-face sales presentation by the telemarketer; (2) Telephone calls initiated by the customer that are not the result of any solicitation by a seller or telemarketer; and (3) Telephone calls or messages to persons who have given permission to be called, calls to persons with whom the caller has an established business relationship and calls made by a tax-exempt nonprofit organization.

The act allows the Attorney General to seek actual and punitive damages on behalf of residents who have suffered a loss or harm as a result of violations of this act.

Any violation of this portion of the act constitutes a Class A misdemeanor.

The act contains penalty provisions.

This act is similar to HB 192 from 1999.