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S.B. 27 Enrolled

                 

TELEPHONE AND FACSIMILE

                 
SOLICITATION ACT

                 
2004 GENERAL SESSION

                 
STATE OF UTAH

                 
Sponsor: David L. Thomas

                 
                  LONG TITLE
                  General Description:
                      This bill modifies the Telephone and Facsimile Solicitation Act.
                  Highlighted Provisions:
                      This bill:
                      .    provides that the state no-call database applies only to unsolicited telephone calls;
                      .    modifies the methods by which the Division of Consumer Protection establishes,
                  maintains, and administers the state no-call database; and
                      .    makes technical changes clarifying the persons and entities that are exempt from
                  certain aspects of the chapter.
                  Monies Appropriated in this Bill:
                      None
                  Other Special Clauses:
                      None
                  Utah Code Sections Affected:
                  AMENDS:
                      13-25a-103, as last amended by Chapter 263, Laws of Utah 2003
                      13-25a-108, as enacted by Chapter 263, Laws of Utah 2003
                      13-25a-109, as enacted by Chapter 263, Laws of Utah 2003
                      13-25a-111, as enacted by Chapter 263, Laws of Utah 2003
                 
                  Be it enacted by the Legislature of the state of Utah:
                      Section 1. Section 13-25a-103 is amended to read:


                       13-25a-103. Prohibited conduct for telephone solicitations -- Exceptions.
                      (1) Except as provided in Subsection (2), a person may not operate or authorize the
                  operation of an automated telephone dialing system to make a telephone solicitation.
                      (2) A person may operate an automated telephone dialing system if a call is made:
                      (a) with the prior express consent of the person who is called agreeing to receive a
                  telephone solicitation from a specific solicitor; or
                      (b) to a person with whom the solicitor has an established business relationship[; or].
                      [(c) by or on behalf of a charitable organization as defined in Section 13-22-2 .]
                      (3) A person may not make a telephone solicitation to a residential telephone without
                  prior express consent during any of the following times:
                      (a) before 8 a.m. or after 9 p.m. local time;
                      (b) on a Sunday; or
                      (c) on a legal holiday.
                      (4) A person may not make or authorize a telephone solicitation in violation of Title 47
                  U.S.C. 227.
                      (5) Any telephone solicitor who makes an unsolicited telephone call to a telephone
                  number shall:
                      (a) identify themselves;
                      (b) identify the business on whose behalf the person is soliciting;
                      (c) identify the purpose of the call promptly upon making contact by telephone with the
                  person who is the object of the telephone solicitation;
                      (d) discontinue the solicitation if the person being solicited gives a negative response at
                  any time during the telephone call; and
                      (e) hang up the phone, or in the case of an automated telephone dialing system operator,
                  disconnect the automated telephone dialing system from the telephone line within 25 seconds of
                  the termination of the call by the person being called.
                      (6) A telephone solicitor may not withhold the display of the telephone solicitor's
                  telephone number from a caller identification service when that number is being used for

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                  telemarketing purposes and when the telephone solicitor's service or equipment is capable of
                  allowing the display of the number.
                      Section 2. Section 13-25a-108 is amended to read:
                       13-25a-108. Objections to telephone solicitations.
                      [(1)] A person may not make or cause to be made [a] an unsolicited telephone
                  [solicitation] call within Utah to a telephone number contained in the no-call database established
                  under Section 13-25a-109 .
                      [(2) It is an affirmative defense to a violation of this section that the person making the
                  telephone call in violation of this section made the telephone call in reliance on a current
                  database:]
                      [(a) established by any federal agency; and]
                      [(b) that establishes a national database of telephone numbers of persons who object to
                  receiving telephone solicitations.]
                      [(3) This section does not apply to a telephone solicitation made by or on behalf of a
                  charitable organization as defined in Section 13-22-2 .]
                      Section 3. Section 13-25a-109 is amended to read:
                       13-25a-109. No-call database.
                      (1) (a) [The] In accordance with Subsection (1)(b), the division shall establish and
                  provide for the operation of a no-call database to compile a list of telephone numbers of persons
                  who have provided notice [to the division] of the person's objection to receiving [a] an unsolicited
                  telephone [solicitation] call.
                      [(2) A person that requests to have the person's telephone number included in the no-call
                  database shall pay an annual registration fee determined by the division in accordance with
                  Section 63-38-3.2 .]
                      [(3) A person desiring to make telephone solicitations may obtain a copy of the no-call
                  database maintained by the division under this section if the person pays an annual registration fee
                  determined by the division in accordance with Section 63-38-3.2 .]
                      (b) The no-call database described in Subsection (1)(a) shall consist of the Utah telephone

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                  numbers contained in the national "do-not-call" registry established and maintained by the Federal
                  Trade Commission pursuant to 16 C.F.R. 310.4(b)(1)(iii)(B).
                      [(4)] (2) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act,
                  the division [shall] may adopt rules to:
                      [(a) establish the methods by which a person may give notice to the division, including
                  notice by telephone, Internet, mail, or in-person communication, of:]
                      [(i) the person's objection to receiving a telephone solicitation; or]
                      [(ii) the person's lifting of the person's objection to receiving a telephone solicitation;]
                      [(b) specify the amount of time after a person provides notice to the division, not to
                  exceed 90 calendar days, after which the inclusion of the person's telephone number in the no-call
                  database shall be effective against a person making a telephone solicitation;]
                      [(c) establish the effect of a change of telephone number by a person whose telephone
                  number is contained in the no-call database;]
                      [(d) establish methods by which a person desiring to make telephone solicitations may
                  obtain a copy of the no-call database;]
                      [(e)] (a) define the improper use of the no-call database;
                      [(f)] (b) define [penalties] administrative fines for the improper use of the no-call
                  database, which may not be greater than those imposed for a violation of the national [database]
                  "do-not-call" registry described in Subsection [(5)] (1)(b); and
                      [(g)] (c) define [penalties] administrative fines against a person that registers another
                  person to the no-call database without that person's consent.
                      [(5) If any federal agency establishes a national database of telephone numbers of persons
                  who object to receiving telephone solicitations, the division shall:]
                      [(a) include Utah telephone numbers from the national database in the no-call database
                  maintained under this section; and]
                      [(b) at least once every three months, forward to the national database all telephone
                  numbers contained in the no-call database maintained under this section.]
                      [(6)] (3) Information contained in the no-call database maintained under this section shall

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                  be classified as private under Title 63, Chapter 2, Government Records Access and Management
                  Act, and shall be used only for purposes of:
                      (a) compliance with this chapter; or
                      (b) a proceeding or action to enforce this chapter.
                      Section 4. Section 13-25a-111 is amended to read:
                       13-25a-111. Exemptions.
                      Notwithstanding any other provision of this chapter, the provisions of Sections
                  13-25a-103 and 13-25a-108 do not apply to [a person that holds a license or registration]:
                      (1) a telephone call made by or on behalf of a charitable organization as defined in Section
                  13-22-2 ; or
                      (2) a person that holds a license or registration:
                      [(1)] (a) under Title 31A, Insurance Code;
                      [(2)] (b) issued by the Division of Real Estate established in Section 61-2-5 ; or
                      [(3) by or on behalf of a charitable organization as defined in Section 13-22-2 ; or]
                      [(4)] (c) issued by the National Association of Securities Dealers.

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