senate Bill S7595A

Signed By Governor
2011-2012 Legislative Session

Restricts pay-per-call prize schemes

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Sponsored By

Archive: Last Bill Status Via A4365 - Signed by Governor


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

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Actions

view actions (12)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Aug 14, 2012 signed chap.370
Aug 06, 2012 delivered to governor
Jun 21, 2012 returned to assembly
passed senate
3rd reading cal.1319
substituted for s7595a
Jun 21, 2012 substituted by a4365a
Jun 19, 2012 ordered to third reading cal.1319
Jun 18, 2012 print number 7595a
amend and recommit to rules
Jun 18, 2012 committee discharged and committed to rules
Jun 06, 2012 referred to consumer protection

Votes

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Bill Amendments

Original
A (Active)
Original
A (Active)

S7595 - Bill Details

See Assembly Version of this Bill:
A4365A
Law Section:
General Business Law
Laws Affected:
Amd §369-ee, Gen Bus L
Versions Introduced in 2009-2010 Legislative Session:
S8005, A3460

S7595 - Bill Texts

view summary

Prohibits pay-per-call prize schemes from charging more for the call than that charged by a telephone corporation regulated by the appropriate regulatory commission for the same call.

view sponsor memo
BILL NUMBER:S7595

TITLE OF BILL:
An act
to amend the general business law, in relation to restricting
pay-per-call services

PURPOSE:
To prohibit the practice of holding a contest in which the
pay-per-call service, which is needed to claim the prize, charges a
higher fee for the transmission of the call as assessed by a
telephone corporation regulated by the public service commission.

SUMMARY OF PROVISIONS:
Amends Section 369-ee of the General Business
law bay adding a new subdivision 2-a to make it unlawful for any
person, firm or corporation to offer a consumer a prize, if in order
to claim the prize, the consumer must call a pay-per-call service
where the charge for such service is greater than the charge for the
transmission of the call as assessed by a telephone corporation
regulated by the public service commission.

JUSTIFICATION:
Every year, thousands of misleading phone calls are automatically
placed to consumers, by a person, firm, or corporation leading them
to believe, they had won a contest. In order to claim their prize,
which could be anything from "new watch" to a "35mm camera", they are
told that they have to place a return phone call to a given number.
In most cases, the cost of the return phone call costs up to $9.95 a
minute resulting in an excessive phone bill, which ends up being more
expensive than the prize itself.

LEGISLATIVE HISTORY:
New Bill.

FISCAL IMPLICATIONS:
None.

EFFECTIVE DATE:
This act shall take effect 30 days after the date on
which it shall have become law.

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

                                  7595

                            I N  S E N A T E

                              June 6, 2012
                               ___________

Introduced by Sen. FUSCHILLO -- 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 restricting
  pay-per-call services

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

  Section  1.  Section  369-ee of the general business law is amended by
adding a new subdivision 2-a to read as follows:
  2-A. PRIZE CLAIMS BY PAY-PER-CALL SERVICES.  IT SHALL BE UNLAWFUL  FOR
ANY PERSON, FIRM OR CORPORATION TO OFFER A CONSUMER A PRIZE, IF IN ORDER
TO  CLAIM THE PRIZE, THE CONSUMER MUST CALL A PAY-PER-CALL SERVICE WHERE
THE CHARGE FOR SUCH SERVICE IS GREATER THAN THE CHARGE  FOR  THE  TRANS-
MISSION  OF THE CALL AS ASSESSED BY A TELEPHONE CORPORATION REGULATED BY
THE PUBLIC SERVICE COMMISSION. AS USED IN THIS SUBDIVISION "PAY-PER-CALL
SERVICE" MEANS ANY TELEPHONE SERVICE FOR  WHICH  THE  CALLING  PARTY  IS
ASSESSED, BY VIRTUE OF COMPLETING THE CALL, A CHARGE FOR WHICH THE CALL-
ER  PAYS A PER-CALL OR PER-TIME CHARGE THAT IS GREATER THAN, OR IN ADDI-
TION TO, THE CHARGE FOR TRANSMISSION OF THE CALL.
  S 2. This act shall take effect on the thirtieth day  after  it  shall
have become a law.





 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08552-01-1

S7595A (ACTIVE) - Bill Details

See Assembly Version of this Bill:
A4365A
Law Section:
General Business Law
Laws Affected:
Amd §369-ee, Gen Bus L
Versions Introduced in 2009-2010 Legislative Session:
S8005, A3460

S7595A (ACTIVE) - Bill Texts

view summary

Prohibits pay-per-call prize schemes from charging more for the call than that charged by a telephone corporation regulated by the appropriate regulatory commission for the same call.

view sponsor memo
BILL NUMBER:S7595A

TITLE OF BILL:
An act
to amend the general business law, in relation to restricting
pay-per-call services

PURPOSE:
To prohibit the practice of holding a contest in which the
pay-per-call service, which is needed to claim the prize, charges a
higher fee for the transmission of the call as assessed by a
telephone corporation regulated by the public service commission.

SUMMARY OF PROVISIONS:
Amends Section 369-ee of the General Business
law bay adding a new subdivision 2-a to make it unlawful for any
person, firm or corporation to offer a consumer a prize, if in order
to claim the prize, the consumer must call a pay-per-call service
where the charge for such service is greater than the charge for the
transmission of the call as assessed by a telephone corporation
regulated by the public service commission.

JUSTIFICATION:
Every year, thousands of misleading phone calls are automatically
placed to consumers, by a person, firm, or corporation leading them
to believe, they had won a contest. In order to claim their prize,
which could be anything from "new watch" to a "35mm camera", they are
told that they have to place a return phone call to a given number.
In most cases, the cost of the return phone call costs up to $9.95 a
minute resulting in an excessive phone bill, which ends up being more
expensive than the prize itself.

LEGISLATIVE HISTORY:
New Bill.

FISCAL IMPLICATIONS:
None.

EFFECTIVE DATE:
This act shall take effect 30 days after the date on
which it shall have become law.

view full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 7595--A

                            I N  S E N A T E

                              June 6, 2012
                               ___________

Introduced by Sen. FUSCHILLO -- read twice and ordered printed, and when
  printed  to  be  committed  to the Committee on Consumer Protection --
  committee discharged and said bill committed to the Committee on Rules
  -- committee discharged, bill amended, ordered  reprinted  as  amended
  and recommitted to said committee

AN  ACT  to  amend  the general business law, in relation to restricting
  pay-per-call services

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

  Section  1.  Section  369-ee of the general business law is amended by
adding a new subdivision 2-a to read as follows:
  2-A. PRIZE CLAIMS BY PAY-PER-CALL SERVICES.  IT SHALL BE UNLAWFUL  FOR
ANY PERSON, FIRM OR CORPORATION TO OFFER A CONSUMER A PRIZE, IF IN ORDER
TO  CLAIM THE PRIZE, THE CONSUMER MUST CALL A PAY-PER-CALL SERVICE WHERE
THE CHARGE FOR SUCH PAY-PER-CALL SERVICE IS  GREATER  THAN  THE  SERVICE
CHARGE  AUTHORIZED  BY THE APPROPRIATE REGULATORY COMMISSION. AS USED IN
THIS SUBDIVISION "PAY-PER-CALL SERVICE" MEANS ANY TELEPHONE SERVICE  FOR
WHICH THE CALLING PARTY IS ASSESSED, BY VIRTUE OF COMPLETING THE CALL, A
CHARGE FOR WHICH THE CALLER PAYS A PER-CALL OR PER-TIME CHARGE.
  S  2.  This  act shall take effect on the thirtieth day after it shall
have become a law.





 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08552-02-2

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