HF 2942

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act
  1.2             relating to consumer protection; requiring telephone 
  1.3             solicitors to register with the secretary of state; 
  1.4             proposing coding for new law in Minnesota Statutes, 
  1.5             chapter 325F. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  [325F.701] [DEFINITIONS.] 
  1.8      Subdivision 1.  [SCOPE.] For the purposes of sections 
  1.9   325F.701 to 325F.703, the terms defined in this section have the 
  1.10  meanings given them. 
  1.11     Subd. 2.  [TELEPHONE SALES CALL.] "Telephone sales call" 
  1.12  means a call made by a telephone solicitor to a consumer, for 
  1.13  the purpose of soliciting a sale or rental of, or investment in, 
  1.14  any consumer goods or services, soliciting an extension of 
  1.15  credit for consumer goods or services, or obtaining information 
  1.16  that will or may be used for the direct solicitation of a sale 
  1.17  of consumer goods or services or an extension of credit for 
  1.18  those purposes. 
  1.19     Subd. 3.  [CONSUMER GOODS OR SERVICES.] "Consumer goods or 
  1.20  services" means real property or tangible or intangible personal 
  1.21  property that is normally used for personal, family, or 
  1.22  household purposes, including, without limitation, property 
  1.23  intended to be attached to or installed in real property without 
  1.24  regard to whether it is so attached or installed, as well as 
  1.25  cemetery lots and timeshare estates, and services related to 
  2.1   that property. 
  2.2      Subd. 4.  [UNSOLICITED TELEPHONIC SALES CALL.] "Unsolicited 
  2.3   telephonic sales call" means a telephonic sales call other than 
  2.4   a call made: 
  2.5      (1) in response to an express request of the person called; 
  2.6      (2) primarily in connection with an existing debt or a 
  2.7   contract, payment, or performance that has not been completed at 
  2.8   the time of the call; or 
  2.9      (3) to a person with whom the telephone solicitor or an 
  2.10  affiliate of the telephone solicitor has a prior or existing 
  2.11  business relationship. 
  2.12     Subd. 5.  [SOLICITOR.] "Solicitor" means a natural person, 
  2.13  firm, organization, partnership, association, or corporation who 
  2.14  makes or causes to be made a telephonic sales call, including, 
  2.15  but not limited to, calls made by use of automated dialing or 
  2.16  recorded message devices. 
  2.17     Subd. 6.  [CONSUMER.] "Consumer" means an actual or 
  2.18  prospective purchaser, lessee, or recipient of consumer goods or 
  2.19  services. 
  2.20     Sec. 2.  [325F.702] [REGISTRATION OF SOLICITORS REQUIRED.] 
  2.21     No solicitor shall make an unsolicited telephonic sales 
  2.22  call to any consumer residing within the state of Minnesota 
  2.23  unless the solicitor has registered with the secretary of state 
  2.24  as required in section 325F.703.  A solicitor working as an 
  2.25  employee of another solicitor is not required to register if the 
  2.26  employer is registered. 
  2.27     Sec. 3.  [325F.703] [REGISTRATION.] 
  2.28     Subdivision 1.  [CONTENTS.] In order to register as a 
  2.29  telephone solicitor, a person must submit to the secretary of 
  2.30  state: 
  2.31     (1) the name and mailing address of the solicitor; 
  2.32     (2) a copy of the no-call policy used by the solicitor to 
  2.33  comply with the federal Telephone Consumer Protection Act, 
  2.34  United States Code, title 47, section 227, as amended through 
  2.35  December 31, 1999, or a statement that the solicitor is exempt 
  2.36  from the no-call policy requirements of that act and an 
  3.1   explanation of the basis for the exemption; 
  3.2      (3) a telephone number that can be used by consumers to 
  3.3   contact the solicitor in the event of a dispute arising from a 
  3.4   solicitation, which must be a toll-free number unless the 
  3.5   solicitor calls only telephone numbers located within the same 
  3.6   local area as the solicitor; 
  3.7      (4) an agreement that the solicitor may be served with 
  3.8   process in this state in a dispute arising from a solicitation, 
  3.9   and an irrevocable appointment of the secretary of state as its 
  3.10  agent to accept service of process in any proceeding in the 
  3.11  manner provided in section 5.25 and an address to which process 
  3.12  may be forwarded; and 
  3.13     (5) except as provided in subdivision 3, a registration fee 
  3.14  of $150. 
  3.15     Subd. 2.  [RENEWAL.] A registration is valid for a period 
  3.16  of one year from the date it is received by the secretary of 
  3.17  state.  A renewal must include all information required for an 
  3.18  initial registration, and, except as provided in subdivision 3, 
  3.19  a renewal fee of $75. 
  3.20     Subd. 3.  [ELECTRONIC REGISTRATION.] The secretary of state 
  3.21  shall provide a method of registration allowing an individual to 
  3.22  register electronically on the Internet.  No registration fee or 
  3.23  renewal fee is required to be paid if the information required 
  3.24  is submitted pursuant to this process. 
  3.25     Sec. 4.  [325F.704] [INTERFERENCE WITH CALLER 
  3.26  IDENTIFICATION.] 
  3.27     No telephone solicitor who makes a telephone sales call to 
  3.28  a consumer in this state shall knowingly use any method to block 
  3.29  or otherwise circumvent the consumer's use of a caller 
  3.30  identification service. 
  3.31     Sec. 5.  [325F.705] [TELEPHONE SOLICITATIONS IN VIOLATION 
  3.32  OF FEDERAL LAW.] 
  3.33     No person shall make a telephone sales call to any person 
  3.34  in the state of Minnesota that constitutes a violation of the 
  3.35  Telephone Consumer Protection Act, United States Code, title 47, 
  3.36  section 227, as amended through December 31, 1999, or of any 
  4.1   rule promulgated by the Federal Trade Commission pursuant to 
  4.2   that act. 
  4.3      Sec. 6.  [325F.706] [VIOLATIONS; PENALTIES.] 
  4.4      (a) Any person who violates sections 325F.701 to 325F.704 
  4.5   is subject to the penalties, including a private right of action 
  4.6   to recover damages, provided in section 8.31. 
  4.7      (b) The commissioner of commerce shall enforce the 
  4.8   provisions of section 325F.705, pursuant to the provisions of 
  4.9   section 45.027, except that the commissioner may assess a civil 
  4.10  penalty of up to $15,000 per violation. 
  4.11     Sec. 7.  [325F.707] [JURISDICTION; PRIVATE ACTIONS.] 
  4.12     The courts of this state have jurisdiction over private 
  4.13  actions continued to enforce the provisions of the Telephone 
  4.14  Consumer Protection Act, United States Code, title 47, section 
  4.15  227, to the extent permitted by federal law.