Text: SF02232 Text: SF02234 Text: SF02200 - SF02299 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Section 1. NEW SECTION. 476B.1 TELEPHONE SOLICITATION
1 2 RESTRICTIONS – DISCLOSURES.
1 3 1. As used in this section, unless the context otherwise
1 4 requires:
1 5 a. "Board" means the utilities board created in section
1 6 474.1.
1 7 b. "Telephone solicitation" means a solicitation made by a
1 8 person using a telephone, videoconferencing, or other
1 9 interactive electronic voice communication, for the purpose of
1 10 selling consumer goods or services to a consumer who is the
1 11 recipient of such solicitation.
1 12 c. "Telephone transaction" means either of the following:
1 13 (1) A telephone solicitation.
1 14 (2) A purchase contract or other agreement or dealing that
1 15 results from a telephone solicitation.
1 16 2. A person who engages in a telephone solicitation,
1 17 before asking any questions of or making any statements other
1 18 than an initial greeting to a consumer, shall disclose all of
1 19 the following:
1 20 a. The name of the individual making the telephone
1 21 solicitation.
1 22 b. A statement that the telephone solicitation is for the
1 23 purpose of offering or promoting the sale of consumer goods or
1 24 services.
1 25 c. The name of the principal seller of the consumer goods
1 26 or services.
1 27 d. The nature of the goods or services which are being
1 28 offered or promoted.
1 29 3. A person, in a telephone transaction, shall also
1 30 disclose to a consumer before such consumer enters into any
1 31 purchase contract or other agreement or dealing, and before
1 32 the person requests a credit card number or accepts any
1 33 payment from the consumer, all of the following:
1 34 a. The nature and quantity of the consumer goods or
1 35 services included.
2 1 b. The total cost to the consumer to purchase such goods
2 2 or services.
2 3 c. All material terms and conditions affecting the sale,
2 4 receipt, or use of the consumer goods or services, including
2 5 credit terms, if any.
2 6 d. The name of the principal seller.
2 7 e. At least one of the following:
2 8 (1) The mailing address of the principal seller.
2 9 (2) A local or toll-free telephone number, answered during
2 10 regular business hours, at which the consumer may contact the
2 11 principal seller and obtain the principal seller's address.
2 12 f. The seller's policy regarding a refund, cancellation,
2 13 exchange, or repurchase, if either of the following apply:
2 14 (1) The seller has a policy that prevents or substantially
2 15 limits refunds, cancellations, exchanges, or repurchases.
2 16 (2) The seller makes a claim or representation regarding
2 17 refunds, cancellations, exchanges, or repurchases.
2 18 4. A disclosure required under subsection 3 shall be made
2 19 in writing, except that such disclosure may be made orally if
2 20 either of the following apply:
2 21 a. The seller confirms the disclosures in writing at or
2 22 before the time the seller first delivers the consumer goods
2 23 or services to the consumer, and before the seller submits any
2 24 credit card request for payment or takes any other payment
2 25 from the consumer.
2 26 b. The seller does both of the following in writing at or
2 27 before the time the seller first delivers consumer goods or
2 28 services to the consumer:
2 29 (1) Confirms the oral disclosures.
2 30 (2) Discloses that the consumer may cancel the sale after
2 31 the first delivery of any consumer goods or services and
2 32 obtain a full refund. The seller may specify a cancellation
2 33 deadline, provided that the deadline is no less than seven
2 34 days after the date of the first delivery.
2 35 5. The board shall investigate any complaints received
3 1 concerning a violation of this section. If, after
3 2 investigating a complaint, the board finds that there has been
3 3 a violation of this section, the board may bring an action
3 4 against the person engaging in the telephone solicitation or
3 5 the principal seller, as appropriate, to impose a civil
3 6 penalty not to exceed ten thousand dollars per violation, and
3 7 to seek other relief, including injunctive relief, as the
3 8 court deems appropriate.
3 9 6. The board shall adopt rules to implement this section.
3 10 EXPLANATION
3 11 This bill imposes certain disclosure requirements on
3 12 persons who engage in telephone solicitations for the sale of
3 13 consumer goods and services.
3 14 The bill provides that a person who engages in a telephone
3 15 solicitation, before asking any questions of or making any
3 16 statements other than an initial greeting to a consumer, must
3 17 disclose the name of the individual making the telephone
3 18 solicitation, a statement that the telephone solicitation is
3 19 for the purpose of offering or promoting the sale of consumer
3 20 goods or services, the name of the principal seller of the
3 21 consumer goods or services, and the nature of the goods or
3 22 services which are being offered or promoted.
3 23 The bill provides that a person, in a telephone
3 24 transaction, must also disclose to a consumer before such
3 25 consumer enters into any purchase contract or other agreement
3 26 or dealing, and before the person requests a credit card
3 27 number or accepts any payment from the consumer, the nature
3 28 and quantity of the consumer goods or services included; the
3 29 total cost to the consumer to purchase such goods or services;
3 30 all material terms and conditions affecting the sale, receipt,
3 31 or use of the consumer goods or services, including credit
3 32 terms, if any; the name of the principal seller; the mailing
3 33 address of the principal seller or a local or toll-free
3 34 telephone number, answered during regular business hours, at
3 35 which the consumer may contact the principal seller and obtain
4 1 the principal seller's address; and the seller's policy
4 2 regarding a refund, cancellation, exchange, or repurchase, if
4 3 the seller has a policy that prevents or substantially limits
4 4 refunds, cancellations, exchanges, or repurchases, or the
4 5 seller makes a claim or representation regarding refunds,
4 6 cancellations, exchanges, or repurchases.
4 7 The bill also provides that the utilities board is to
4 8 investigate any complaints received concerning a violation of
4 9 this section. If, after investigating a complaint, the board
4 10 finds that there has been a violation of this section, the
4 11 board may bring an action against the person engaging in the
4 12 telephone solicitation or the principal seller, as
4 13 appropriate, to impose a civil penalty not to exceed $10,000
4 14 per violation, and to seek other relief, including injunctive
4 15 relief, as the court deems appropriate.
4 16 LSB 5189XS 78
4 17 mj/cls/14
Text: SF02232 Text: SF02234 Text: SF02200 - SF02299 Text: SF Index Bills and Amendments: General Index Bill History: General Index
© 2000 Cornell College and League of Women Voters of Iowa
Comments about this site or page?
webmaster@legis.iowa.gov.
Please remember that the person listed above does not vote on bills. Direct all comments concerning legislation to State Legislators.
Last update: Wed Mar 1 03:35:02 CST 2000
URL: /DOCS/GA/78GA/Legislation/SF/02200/SF02233/000222.html
jhf