senate Bill S1346

Allows cell phone users to add a new phone line without having to renew the service plan and to cancel an additional line without paying any fee, charge or cost

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 06 / Jan / 2011
    • REFERRED TO CONSUMER PROTECTION
  • 04 / Jan / 2012
    • REFERRED TO CONSUMER PROTECTION

Summary

Prohibits cell phone service providers from requiring a customer to renew his or her service plan when adding a new phone line to such plan; and prohibits such provider from extending the time of services originally agreed to under contract.

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Bill Details

Versions:
S1346
Legislative Cycle:
2011-2012
Current Committee:
Senate Consumer Protection
Law Section:
General Business Law
Laws Affected:
Add §390-d, Gen Bus L
Versions Introduced in 2009-2010 Legislative Cycle:
S1079

Sponsor Memo

BILL NUMBER:S1346

TITLE OF BILL:
An act
to amend the general business law, in relation to protecting the rights
of cell phone users

PURPOSE:
Eliminates charges for the cancellation of an additional phone line and
allows for the addition of a new phone line without renewing the
original contract.

SUMMARY OF PROVISIONS:
Section 1 of the bill adds a new Section 390-d to the General Business
Law, which provides that cell phone service providers cannot cause a
user to extend their existing contract simply because they have added an
additional line to their current plan. This section also prohibits cell
phone providers from charging a user for canceling a phone line from
their account, as long as the primary line is kept active.

EXISTING LAW:
None.

JUSTIFICATION:
Cell phones have become almost as common as household phones. Most
couples and families purchase contracts and add additional lines for
their loved ones, so they can keep in touch. It is often the case that
lines are added to a customer's existing contract (a child becomes a
teenager, or a single adult becomes involved in a relationship), and
just as frequently, lines are canceled (a couple breaks up, or a child
graduates college and gets their own phone).

Cell phone providers currently charge customers a cancellation fee when
they drop an additional line which was added to their primary phone
line. Similarly, it is standard practice by most cell phone providers to
require that customers, when adding an additional phone line to their
contract, cause an automatic renewal of their contract.

The monthly cost for cell phone service, the additional charges that are
frequently incurred, and the length of the cell phone contracts, are all
quite extensive. Customers should not have to pay for the addition or
removal of a line, as long as they maintain their main line.

LEGISLATIVE HISTORY:
2009-10 - S.1079/A.4954 - Passed Senate
2007/08 - S.1497/A.6996 - Referred to Consumer Protection
2005/06 - S.8493/A.12081 - Referred to Consumer Affairs & Protection

FISCAL IMPLICATIONS:
None.

EFFECTIVE DATE:
Immediately.


view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  1346

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                             January 6, 2011
                               ___________

Introduced  by Sens. DILAN, DIAZ, HASSELL-THOMPSON, PARKER -- read twice
  and ordered printed, and when printed to be committed to the Committee
  on Consumer Protection

AN ACT to amend the general business law, in relation to protecting  the
  rights of cell phone users

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The general business law is amended by adding a new section
390-d to read as follows:
  S 390-D. CELL PHONE USERS' RIGHTS TO NOT RENEW. 1. ANY  PERSON,  FIRM,
CORPORATION,  OR  OTHER  ENTITY  THAT HAS ENTERED INTO A CONTRACT WITH A
CUSTOMER TO PROVIDE SUCH CUSTOMER WITH CELLULAR  PHONE  SERVICES  FOR  A
FEE,  SHALL NOT TREAT THE CUSTOMER'S ADDITION OF A NEW PHONE LINE TO THE
EXISTING SERVICE PLAN AS THE RENEWAL OF SUCH PLAN, AND SHALL NOT  EXTEND
THE LENGTH OF TIME OF SERVICES ORIGINALLY AGREED TO UNDER CONTRACT.
  2.  ANY  SUCH  PERSON,  FIRM,  CORPORATION,  OR OTHER ENTITY SHALL NOT
IMPOSE ON THE CUSTOMER ANY SERVICE CHARGE, ADDITIONAL FEE OR  ANY  OTHER
ADDITIONAL  COST  FOR THE CANCELLATION OF ANY PHONE LINE INCLUDED IN THE
CUSTOMER'S SERVICE PLAN OTHER THAN THE PRIMARY PHONE LINE OF SUCH PLAN.
  S 2. This act shall take effect immediately.




 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02669-01-1

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