BILL NUMBER: SB 437 AMENDED
BILL TEXT
AMENDED IN SENATE DECEMBER 15, 2009
INTRODUCED BY Senator Pavley
FEBRUARY 26, 2009
An act to amend Section 2891.1 of the Public Utilities
Code, relating An act to add Section 2898 to the
Public Utilities Code, relating to telecommunications.
LEGISLATIVE COUNSEL'S DIGEST
SB 437, as amended, Pavley. Unlisted telephone numbers.
Telecommunications: local exchange service: notice to
subscribers.
The Public Utilities Commission has regulatory authority over
public utilities, including telephone corporations. The
Telecommunications Customer Service Act of 1993 requires the
commission to require telephone corporations to provide certain
customer services to telecommunication customers, as specified.
This bill would require a local exchange service provider to
provide prescribed notice to affected subscribers in advance of a
proposed change to its services, subscribers' service agreements, or
nonterm contracts that may result in higher rates or charges or more
restrictive terms or conditions. The bill would prohibit a local
exchange service provider from assessing an early termination penalty
otherwise applicable under the contract if the subscriber terminates
service within 30 days from the effective date of the change. Under
the bill, a proposed contract change subject to the notification
requirement would not be enforceable unless the provider has complied
with that requirement.
Under existing law, the Public Utilities Commission has regulatory
authority over public utilities, including telephone corporations.
Existing law prohibits a telephone corporation selling or licensing
lists of residential subscribers, from including the telephone number
of any subscriber assigned an unpublished or unlisted access number,
as defined, without his or her written waiver of this protection.
Existing law prohibits a provider of mobile telephony services, as
defined, or any affiliate or agent of the provider, providing the
name and dialing number of a subscriber for inclusion in a directory
or directory database, from including the dialing number of any
subscriber without first obtaining the express consent of that
subscriber. Existing law establishes certain requirements for the
provider's form for obtaining the subscriber's express consent.
Existing law prohibits a subscriber from being charged for making the
choice to not have his or her name and mobile telephony dialing
number listed in a publicly available directory assistance database.
This bill would, instead, prohibit a subscriber from being charged
for making the choice to not have his or her name or telephone
number listed in a directory or publicly available directory
assistance database.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. It is the intent of the Legislature
that local exchange service providers give subscribers clear and
conspicuous notice of contract changes, including, but not limited
to, changes in rates, charges, terms, or conditions, and that
subscribers be given sufficient time to respond to changes by
changing or opting out of their contracts, as permitted under the
terms of the contract.
SEC. 2. Section 2898 is added to the
Public Utilities Code , to read:
2898. (a) A local exchange service provider shall notify
subscribers of changes to terms or conditions of service in a clear
and conspicuous manner, in accordance with all of the following:
(1) A local exchange service provider shall notify all affected
subscribers at least 60 days, or two billing cycles, whichever period
is longer, in advance of a proposed change to its services,
subscribers' service agreements, or nonterm contracts that may result
in higher rates or charges or more restrictive terms or conditions.
(2) The notice to a subscriber shall appear on the front page of
the subscriber's paper or online billing statement with the following
statement:
"Your Rates, Terms or Services Will Change Effective (DATE OF
CHANGE)."
(3) The notice shall present, in a clear and conspicuous manner,
all of the following:
(A) The current term or condition.
(B) The change being made in that term or condition. The notice
shall describe the proposed change to a rate or charge in dollar and
percentage terms. The portion of the notice describing the actual
change being made shall be in a font that is in bold type and at
least two points larger than surrounding type.
(C) The following statement:
"The terms of your contract have changed, and you may terminate
the contract, or make changes as allowed under the existing contract,
within 30 days from the effective date of the change, without
penalty."
(D) If the change of rates, charges, or conditions applies to
contract features that are not basic local exchange services and are
optional features, the notice shall include instructions for how a
subscriber may opt out of those optional features without canceling
the contract.
(b) If the subscriber terminates service within 30 days from the
effective date of the change, the local exchange service provider
shall not assess the subscriber any early termination penalty
otherwise applicable under the contract.
(c) A proposed change to a current contract term or condition that
is subject to the notification requirements imposed in subdivision
(a) shall not be enforceable unless the local exchange service
provider has complied with that subdivision.
SECTION 1. It is the intent of the Legislature
to prohibit telephone companies, including mobile telephony service
providers, from charging customers to have an unlisted or unpublished
telephone number.
SEC. 2. Section 2891.1 of the Public Utilities
Code is amended to read:
2891.1. (a) Notwithstanding Section 2891, a telephone corporation
selling or licensing lists of residential subscribers shall not
include the telephone number of any subscriber assigned an unlisted
or unpublished access number. A subscriber may waive all or part of
the protection provided by this subdivision through written notice to
the telephone corporation.
(b) Notwithstanding Section 2891, a provider of mobile telephony
services, or any direct or indirect affiliate or agent of a provider,
providing the name and dialing number of a subscriber for inclusion
in any directory of any form, or selling the contents of any
directory database, or any portion or segment thereof, shall not
include the dialing number of any subscriber without first obtaining
the express consent of that subscriber. The express consent shall
meet all of the following requirements:
(1) It shall be one of the following:
(A) A separate document that is signed and dated by the
subscriber, and that is not attached to any other document.
(B) An affirmative response made on a separate field on an
Internet Web site where there is no default. The provider of mobile
telephony services shall send a confirmation notice to the subscriber'
s electronic mail address, or to a subscriber's postal mail address
if the subscriber does not have an electronic mail account.
(2) It shall be unambiguous, legible, and conspicuously disclose
that, by opting in, the subscriber is consenting to have the
subscriber's dialing number sold or licensed as part of a list of
subscribers and the subscriber's dialing number may be included in a
publicly available directory.
(3) If, under the subscriber's calling plan, the subscriber may be
billed for receiving unsolicited calls or text messaging from a
telemarketer, the provider's form shall include an unambiguous and
legible disclosure statement that, by consenting to have the
subscriber's dialing number sold or licensed as part of a list of
subscribers or included in a publicly available directory, the
subscriber may incur additional charges for receiving unsolicited
calls or text messages.
(c) Nothing in this section prohibits a subscriber of mobile
telephony services from voluntarily entering into an agreement for
the placement of his or her name and mobile telephony dialing number
in any advertising program if the agreement satisfies the express
consent requirements of this section.
(d) A subscriber who provides express prior consent pursuant to
subdivision (b) may revoke that consent at any time. A provider of
mobile telephony services shall comply with the subscriber's request
to opt out within a reasonable period of time, not to exceed 60 days.
(e) A subscriber shall not be charged for making the choice to not
have his or her name or telephone number, or both, listed in a
directory or publicly available directory assistance database.
(f) This section does not apply to the provision of telephone
numbers to the following parties for the purposes indicated:
(1) To a collection agency, to the extent disclosures made by the
agency are supervised by the commission, exclusively for the
collection of unpaid debts.
(2) (A) To any law enforcement agency, fire protection agency,
public health agency, public environmental health agency, city or
county emergency services planning agency, or private for-profit
agency operating under contract with, and at the direction of, one or
more of these agencies, for the exclusive purpose of responding to a
911 call or communicating an imminent threat to life or property.
(B) Any information or records provided to a private for-profit
agency pursuant to this subdivision shall be held in confidence by
that agency and by any individual employed by or associated with that
agency. This information or these records shall not be open to
examination for any purpose not directly connected with the
administration of the services specified in subdivision (e) of
Section 2872 or this paragraph.
(3) To a lawful process issued under state or federal law.
(4) To a telephone corporation providing service between service
areas for the provision to the subscriber of telephone service
between service areas, or to third parties for the limited purpose of
providing billing services.
(5) To a telephone corporation to effectuate a customer's request
to transfer the customer's assigned telephone number from the
customer's existing provider of telecommunications services to a new
provider of telecommunications services.
(6) To the commission pursuant to its jurisdiction and control
over telephone and telegraph corporations.
(g) Every deliberate violation of this section is grounds for a
civil suit by the aggrieved subscriber against the organization or
corporation and its employees responsible for the violation.
(h) For purposes of this section, "unpublished or unlisted access
number" means a telephone, telex, teletex, facsimile, computer modem,
or any other code number that is assigned to a subscriber by a
telephone or telegraph corporation for the receipt of communications
initiated by other telephone or telegraph customers and that the
subscriber has requested that the telephone or telegraph corporation
keep in confidence.
(i) No telephone corporation, nor any official or employee
thereof, shall be subject to criminal or civil liability for the
release of customer information as authorized by this section.