HF 2983

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to telecommunications; providing consumer protections for wireless
customers; amending Minnesota Statutes 2004, section 325F.695.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2004, section 325F.695, is amended to read:

325F.695 CONSUMER PROTECTIONS FOR WIRELESS CUSTOMERS.

Subdivision 1.

Definitions.

The definitions in this subdivision apply to this section.

(a) "Contract" means an oral or written agreement of definite duration between
a provider and a customer, detailing the wireless telecommunications services to be
provided to the customer and the terms and conditions for provision of those services.

(b) new text begin "Customer" means a party to a valid current contract with a provider to receive
wireless telecommunication services.
new text end

new text begin (c) new text end "Wireless telecommunications services" means commercial mobile radio services
as defined in Code of Federal Regulations, title 47, part 20.

deleted text begin (c) deleted text end new text begin (d) new text end "Provider" means a provider of wireless telecommunications services.

deleted text begin (d) deleted text end new text begin (e) new text end "Substantive change" means a modification to, or addition or deletion of, a
term or condition in a contract that deleted text begin could result deleted text end new text begin results new text end in an increase in the charge to
the customer under that contract or that deleted text begin could result in an extension of deleted text end new text begin lengthens new text end the
term of that contract. "Substantive change" includes a modification in the provider's
administration of an existing contract term or condition. A price increase that includes
only the actual amount of any increase in deleted text begin taxes or fees deleted text end new text begin a state or federal tax, fee, or
surcharge new text end , which the new text begin state or federal new text end government new text begin authorizes or new text end requires the provider to
impose upon the customer, is not a substantive change for purposes of this section.

Subd. 2.

Copy of contract.

A provider must provide each customer with a written
copy of the customer's contract between the provider and the customer within 15 days of
the new text begin effective new text end date new text begin of new text end the contract deleted text begin is entered into deleted text end . The provider may meet the requirement to
provide a written copy of the contract by providing an electronic copy of the contract at
the customer's request. A provider must maintain verification that the customer accepted
the terms of the contract for the duration of the contract period.

Subd. 3.

deleted text begin Provider-initiated deleted text end new text begin Notice of new text end substantive change.

A provider must notify
the customer in writing new text begin in advance new text end of any deleted text begin proposed deleted text end substantive change new text begin proposed by
the provider new text end in deleted text begin the deleted text end new text begin an existing new text end contract between the provider and the customer new text begin . new text end deleted text begin 60 days
before the change is proposed to take effect deleted text end . deleted text begin The change only becomes effective if the
customer opts in to the change by affirmatively accepting the change prior to the proposed
effective date in writing or by oral authorization which is recorded by the provider and
maintained for the duration of the contract period. If the customer does not affirmatively
opt in to accept the proposed substantive change, then the original contract terms shall
apply. deleted text end new text begin The notification must be sent separately from other mailings and the envelope must
be labeled "NOTICE OF PROPOSED CHANGE IN CONTRACT TERMS." The font
of the notification must be of sufficient size to be clearly legible and must contain clear
and unambiguous language separately detailing each substantive change proposed by the
provider and its effective date.
new text end

Subd. 4.

deleted text begin Customer-initiated change deleted text end new text begin Customer may opt out new text end .

deleted text begin If the customer
proposes to the provider any change in the terms of an existing contract, the provider
must clearly disclose to the customer orally or electronically any substantive change
to the existing contract terms that would result from the customer's proposed change.
The customer's proposed change is only effective if the provider agrees to the proposed
change and the customer agrees to any resulting changes in the contract. The provider
must maintain recorded or electronic verification of the disclosure for the duration of
the contract period. deleted text end new text begin A customer who has received a provider's notice required under
subdivision 3 may choose to opt out of and terminate a contract without penalty, provided
that the customer notifies the provider in writing of the decision to terminate the contract
within 60 days of the effective date of the substantive change contained in the provider's
notice. A customer who does not send a provider timely written notice of a decision to opt
out of and terminate the contract is considered to have agreed to the proposed substantive
change and the contract is considered modified.
new text end

deleted text begin Subd. 5. deleted text end

deleted text begin Expiration. deleted text end

deleted text begin This section expires August 1, 2007.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2006, and applies to contracts
for wireless service entered into on or after May 1, 2006.
new text end