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90_SB1567sam001 LRB9010645JSgcam04 1 AMENDMENT TO SENATE BILL 1567 2 AMENDMENT NO. . Amend Senate Bill 1567 by replacing 3 the title with the following: 4 "AN ACT concerning subscription to telecommunications 5 services, amending named Acts."; and 6 by replacing everything after the enacting clause with the 7 following: 8 "Section 5. The Public Utilities Act is amended by 9 changing Section 13-902 as follows: 10 (220 ILCS 5/13-902) 11 (Section scheduled to be repealed on July 1, 2001) 12 Sec. 13-902. Rules for verification of a subscriber's 13 change in telecommunications carrier or addition to a 14 subscriber's service. 15 (a) As used in this Section, "subscriber" means a 16 telecommunications carrier's retail business customer served 17 by not more than 20 lines and a retail residential customer. 18 (b) A subscriber of a telecommunications carrier may not 19 be switched to another telecommunications carrier without the 20 subscriber's authorization. 21 (c) A telecommunications carrier shall not effectuate a -2- LRB9010645JSgcam04 1 change to a subscriber's telecommunications services by 2 providing an additional telecommunications service that 3 results in a recurring additional monthly charge to the 4 subscriber (herein referred to as an "additional 5 telecommunications service") without following the subscriber 6 notification procedures set forth in this Section. An 7 "additional telecommunications service" does not include 8 making available any additional telecommunications services 9 on a subscriber's line when the subscriber activates and pays 10 for the services on a per use basis. 11 (d) It is the responsibility of the company or carrier 12 requesting a change in a subscriber's telecommunications 13 carrier to obtain the subscriber's authorization for the 14 change whenever the company or carrier acts as a subscriber's 15 agent with respect to the change. 16 (e) A company or carrier requesting a change in a 17 subscriber's telecommunications carrier as described in 18 subsection (d) shall be solely responsible for providing 19 written notice of the change to the subscriber in accordance 20 with this Section. In addition, a telecommunications carrier 21 that provides any additional telecommunications service to a 22 subscriber shall be solely responsible for providing written 23 notice of the additional telecommunications service to the 24 subscriber in accordance with this Section. The notice 25 shall be provided as follows: 26 (1) A letter to the subscriber must be mailed using 27 first class mail, postage prepaid, no later than 72 hours 28 after implementation of a change in the subscriber's 29 telecommunications carrier or the installation of an 30 additional telecommunications service. 31 (2) The letter must be a separate document sent for 32 the sole purpose of describing the changes or additions 33 authorized by the subscriber. 34 (3) The letter must be printed with 10 point or -3- LRB9010645JSgcam04 1 larger type and contain clear and plain language that 2 confirms the details of a change in carrier or the 3 additional telecommunications service and provides the 4 subscriber with a toll free number to call should the 5 subscriber wish to delete services or make additional 6 changes. 7 (f) The Commission shall promulgate any rules necessary 8 to ensure that a subscriber of a telecommunications carrier 9 is not switched to another telecommunications carrier or that 10 an additional telecommunications service is not added without 11 the subscriber's authorization. The rules promulgated under 12 this Section shall comport with the rules, if any, 13 promulgated by the Attorney General pursuant to the Consumer 14 Fraud and Deceptive Business Practices Act. 15 (g) Complaints may be filed with the Commission under 16 this Section by a subscriber who has been switched to another 17 telecommunications carrier without authorization or has been 18 provided an additional telecommunications service not ordered 19 by the subscriber, by a telecommunications carrier that has 20 been removed as a subscriber's telecommunications carrier 21 without authorization, or by the Commission on its own 22 motion. Upon filing of the complaint, the parties may 23 mutually agree to submit the complaint to the Commission's 24 established mediation process. Remedies agreed to during the 25 mediation process may include, but shall not be limited to, 26 remedies set forth below in paragraphs (1) through (5). The 27 Commission may in its discretion deny the availability of the 28 mediation process to parties, who in its judgment, may have 29 engaged in a pattern of conduct inconsistent with this 30 Section. If no agreement is reached to submit the complaint 31 or if no agreement is reached during the mediation process, 32 hearings shall be held pursuant to Article 10 of this Act. 33 If after notice and hearing, the Commission finds that a 34 telecommunications carrier has violated this Section or a -4- LRB9010645JSgcam04 1 rule promulgated under this Section, the Commission may in 2 its discretion order any one or more of the following: 3 (1) In case of an unauthorized switch to a 4 telecommunications carrier, require the violating 5 telecommunications carrier to refund to the subscriber 6 all fees and charges collected from the subscriber for 7 services up to the time the subscriber receives written 8 notice of the fact that the violating carrier is 9 providing telecommunications service to the subscriber. 10 Notice consistent with paragraph (1) of subsection (e) 11 shall be deemed to satisfy the notice requirement of this 12 paragraph. 13 (2) In case of an unauthorized switch to a 14 telecommunications carrier, require the violating 15 telecommunications carrier to refund to the subscriber 16 charges collected in excess of those that would have been 17 charged by the subscriber's previous telecommunications 18 carrier. 19 (3) In case of an unauthorized switch to a 20 telecommunications carrier, require the violating 21 telecommunications carrier to pay to the subscriber's 22 previous telecommunications carrier the amount the 23 previous telecommunications carrier would have collected 24 for the telecommunications service. 25 (4) Require the violating telecommunications 26 carrier to pay a fine of up to $1,000 into the Public 27 Utility Fund for each repeated and wilful violation of 28 this Section. 29 (5) In the case of an unauthorized additional 30 telecommunications service, require the violating carrier 31 to refund all charges for telecommunications products and 32 services provided without a subscriber's authorization. 33 (6) Issue a cease and desist order. 34 (7) For a pattern of violation of this Section, -5- LRB9010645JSgcam04 1 revoke the violating telecommunications carrier's 2 certificate of service authority.The Commission may3adopt rules prescribing procedures for the verification4of a change in a subscriber's selection of a5telecommunications carrier for the provision of6telecommunications service, whether local exchange or7interexchange. The rules shall be compatible with the8verification procedures established by the Federal9Communications Commission under the Communications Act of101996.11 (Source: P.A. 89-497, eff. 6-27-96.) 12 Section 10. The Consumer Fraud and Deceptive Business 13 Practices Act is amended by adding Section 2II as follows: 14 (815 ILCS 505/2II new) 15 Sec. 2II. Prohibition of sweepstakes boxes and 16 conditions upon use of prize promotions to solicit authority 17 to provide telecommunications or related service. 18 (a) As used in this Section, the following terms have 19 the meaning set forth herein: 20 (1) "Telecommunications carrier" has the meaning 21 given in Section 13-202 of the Public Utilities Act. 22 (2) "Telecommunications service" has the meaning 23 given in Section 13-203 of the Public Utilities Act. 24 (3) "Enhanced telecommunications service" means any 25 service or merchandise, other than interLATA, intraLATA, 26 or local exchange service for which any charge or 27 assessment appears on a billing statement directed to a 28 consumer by a telecommunications carrier. 29 (4) "Sweepstakes box" means the box or receptacle 30 into which consumers place entry forms or documents used 31 to enter sweepstakes, contests, or drawings of any 32 description, and promotional materials attached thereto. -6- LRB9010645JSgcam04 1 (b) It is an unfair or deceptive act or practice within 2 the meaning of Section 2 of this Act for any person to 3 solicit authority to execute a change of telecommunications 4 carrier or to solicit authority to provide any 5 telecommunications service or enhanced telecommunications 6 service through the use of any sweepstakes box. 7 (c) Forms or documents used or intended to be used by 8 consumers to enter sweepstakes, contests, or drawings of any 9 description may not be used by any person as written 10 authority to execute a change of any person's 11 telecommunications carrier or to render any 12 telecommunications service or enhanced telecommunications 13 service. 14 (d) Any person who solicits any authority to execute a 15 change of any person's telecommunications carrier or to 16 render any telecommunications service or enhanced 17 telecommunications service through or in conjunction with any 18 sweepstakes, contest, or drawing shall clearly, 19 conspicuously, and fully disclose in all direct mail 20 solicitations to consumers the fact that the sweepstakes, 21 contest, or drawing is intended to solicit authority to 22 execute a change of telecommunications carrier or render 23 telecommunications service or enhanced telecommunications 24 service. The disclosure shall include, at the least, the 25 following information: 26 (1) that no purchase or change of 27 telecommunications carrier or service is required to 28 enter the sweepstakes, contest, or drawing; 29 (2) the alternative means by which a person may 30 enter the sweepstakes, contest, or drawing without 31 authorizing a change of telecommunications carrier or 32 service or making a purchase; 33 (3) the name and telephone number of the entity 34 soliciting consumers to make a purchase or to authorize a -7- LRB9010645JSgcam04 1 change of telecommunications carrier or service through 2 the use of or in conjunction with the sweepstakes, 3 contest, or drawing; and 4 (4) a brief description of the nature of the 5 telecommunications services or enhanced 6 telecommunications services for which authorization is 7 sought through the use of or in conjunction with the 8 sweepstakes, contest, or drawing. 9 (e) It is an unfair or deceptive act or practice within 10 the meaning of Section 2 of this Act for any person to use a 11 form or document used or intended to be used by consumers to 12 enter sweepstakes, contests, or drawings of any description 13 as written authority to execute a change of any person's 14 telecommunications carrier or to render any 15 telecommunications service or enhanced telecommunications 16 service or for any person to solicit authority to execute a 17 change of telecommunications carrier or to solicit authority 18 to provide any telecommunications service or enhanced 19 telecommunications service through or in conjunction with any 20 sweepstakes, contest, or drawing in a manner not in 21 compliance with this Section. Nothing in this Section shall 22 be construed to prohibit any person from offering a premium, 23 incentive, or thing of value to another as consideration for 24 authorizing a change of telecommunications carrier or the 25 rendition of any telecommunications service or enhanced 26 telecommunications service, provided that no element of 27 chance or skill is associated with the offer of the premium, 28 incentive, or thing of value or the receipt thereof. 29 Section 99. Effective date. This Act takes effect upon 30 becoming law.".