|Assembly Actions - Lowercase
Senate Actions - UPPERCASE
|Jan 08, 2014||referred to consumer protection|
|Jan 31, 2013||referred to consumer protection|
senate Bill S3275
Archive: Last Bill Status - In Senate Committee
- In Committee
- On Floor Calendar
- Passed Senate
- Passed Assembly
- Delivered to Governor
- Signed/Vetoed by Governor
S3275 - Details
- Law Section:
- General Business Law
- Laws Affected:
- Add §399-zzzz, Gen Bus L
- Versions Introduced in 2011-2012 Legislative Session:
S3275 - Sponsor Memo
BILL NUMBER:S3275 TITLE OF BILL: An act to amend the general business law, in relation to requiring authorization by the customer, and verification by the tele- communications providers, of the validity of third-party charges for products and services billed to a customer on bills issued by telecommu- nication providers to their customers PURPOSE: To help reduce the incidents of cramming and to provide reme- dies that offer greater protection to the telecommunications customers of all providers. SUMMARY OF PROVISIONS: This bill amends the general business law by adding a new section, 399-zzzz, which: defines "cramming" as a form of fraud in which charges are added to a bill by a third party without the knowledge or authorization of the subscriber; institutes a set of requirements for submitting charges to a customer's bill; institutes a set of requirements for third party verification of charges added to a customer's bill; institutes a set of requirements for maintaining records of disputed charges; requires that billing carriers and billing agents must have a protocol set in place for identifying unauthorized charges and, suspending or terminating contracts with billing agents or service providers that have submitted unauthorized charges; deems any unauthorized charges submitted by a third party to be void and unen- forceable; requires billing carriers to provide information to their customers regarding a course of action to dispute unauthorized charges.
S3275 - Bill Text download pdf
S T A T E O F N E W Y O R K ________________________________________________________________________ 3275 2013-2014 Regular Sessions I N S E N A T E January 31, 2013 ___________ Introduced by Sen. KRUEGER -- 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 requiring authorization by the customer, and verification by the telecommuni- cations providers, of the validity of third-party charges for products and services billed to a customer on bills issued by telecommunication providers to their customers THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Legislative findings and purpose. The legislature finds that some third-party companies are placing unauthorized service charges on telecommunications customers' monthly bills. The practice is commonly called "cramming". Cramming is a form of fraud in which charges are added to a bill by a third party without the customer's consent or disclosure. The legislature further finds that many New Yorkers are switching to phone service provided by cable TV or Internet companies. These companies can also offer third-party billing that may inadvertent- ly result in fraud through no fault of their own actions. Accordingly, the purpose of this act is to help reduce the level of cramming and to provide remedies that offer greater protection to the telecommunications customers of all service providers. S 2. The general business law is amended by adding a new section 399- zzzz to read as follows: S 399-ZZZZ. AUTHORIZATION AND VERIFICATION FOR PRODUCT AND SERVICE CHARGES TO BE BILLED ON A CONSUMER'S BILL. 1. DEFINITIONS. FOR PURPOSES OF THIS SECTION: (A) "BILLING AGENT" MEANS ANY ENTITY THAT SUBMITS CHARGES TO THE BILL- ING CARRIER ON BEHALF OF ITSELF OR ANY SERVICE PROVIDER. (B) "BILLING CARRIER" MEANS ANY TELEPHONE CORPORATION, AS DEFINED IN SUBDIVISION SEVENTEEN OF SECTION TWO OF THE PUBLIC SERVICE LAW, AND EVERY CABLE TELEVISION COMPANY, AS DEFINED IN SUBDIVISION ONE OF SECTION EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD01043-01-3
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