54-8b-18 - Definitions -- Unauthorized change of telecommunications provider -- Unauthorized charges -- Procedures for verification -- Penalties -- Authority of commission.
54-8b-18. Definitions -- Unauthorized change of telecommunications provider --Unauthorized charges -- Procedures for verification -- Penalties -- Authority ofcommission.
(1) For purposes of this section:
(a) "Agents" includes any person, firm, or corporation representing a telecommunicationscorporation for purposes of requesting a change in a subscriber's telecommunications provider,but does not include a local service provider when executing a request submitted by anotherservice provider or its agents.
(b) "Freeze" means a directive from a subscriber to retain the provider of publictelecommunications services selected by the subscriber until the subscriber provides authorizationfor a change to another provider of public telecommunications services through any means bywhich a freeze is implemented.
(c) "Small commercial subscriber" is a person or entity conducting a business,agriculture, or other enterprise in the state having less than five telecommunications lines.
(d) "Subscriber" means a corporation, person, or government, or a person acting legallyon behalf of a corporation, person, or government who has purchased public telecommunicationsservices from a telecommunications corporation.
(2) No telecommunications corporation or its agents shall make any change or authorize adifferent telecommunications corporation to make any change in the provider of any publictelecommunications service to a subscriber unless it complies, at a minimum, with Subsections(2)(a) through (e). This Subsection (2) does not apply to a telecommunications corporation thateffectuates a change in service provider pursuant to a change authorization submitted or requestedby another telecommunications corporation.
(a) The telecommunications corporation or its agents shall, at a minimum, inform thesubscriber of the nature, extent, and rates of the service being offered and any charges associatedwith the change.
(b) Notwithstanding Section 13-26-4, changes in provider of telecommunication serviceaccomplished through telephone solicitation shall comply with the Telephone Fraud PreventionAct, Sections 13-26-2, 13-26-8, 13-26-10, and 13-26-11.
(c) For sales of residential service or small commercial subscriber service, thetelecommunications corporation or its agents shall confirm that the subscriber is aware of anycharges that the subscriber must pay associated with the change and that the subscriber authorizesthe change of provider. The subscriber's authorization to change the provider shall be confirmedby any one of the following methods:
(i) obtaining the subscriber's written authorization;
(ii) having the subscriber's oral authorization verified by an independent third party; or
(iii) any means provided by rule of the Federal Communications Commission or thecommission.
(d) If the subscriber is not an individual, an authorization shall be valid only if given by anauthorized representative of the subscriber.
(e) (i) The written authorization to change the provider shall be signed by the subscriberand shall contain a clear, conspicuous, and unequivocal request by the subscriber for a change oftelecommunications provider.
(ii) A written authorization is not valid if it is presented to the subscriber for signature inconnection with a sweepstakes, game of chance, or any other means prohibited by commission
rule.
(iii) Nothing in this section shall be construed to prohibit any person from offering apremium, incentive, or a thing of value to another as consideration for authorizing a change oftelecommunications service provider, provided that no element of chance or skill is associatedwith the offer of the premium, incentive, or thing of value or its receipt.
(3) The confirmation by a third-party verifier shall, at a minimum:
(a) confirm the subscriber's identity with information unique to the customer, unless thecustomer refuses to provide identifying information, then that fact shall be noted;
(b) confirm that the subscriber agrees to the requested change in telecommunicationsservice providers; and
(c) confirm that the subscriber has the authority to select the provider as the provider ofthat service.
(4) A third-party verifier shall meet each of the following criteria:
(a) any criteria for third-party verifiers set by the Federal Communications Commission;
(b) not be directly or indirectly managed, controlled, directed, or owned wholly or in part:
(i) by the telecommunications corporation or its agents that seek to provide thetelecommunications service or by any corporation, firm, or person who directly or indirectlymanages, controls, directs, or owns more than 5% of the telecommunications corporation; or
(ii) by the marketing entity that seeks to market the telecommunications service or by anycorporation, firm, or person who directly or indirectly manages, controls, directs, or owns morethan 5% of the marketing entity;
(c) operate from facilities physically separated from:
(i) those of the telecommunications corporation or its agents that seek to provide thesubscriber's telecommunications service; or
(ii) those of the marketing entity that seeks to market a telecommunications service to thesubscriber; and
(d) not derive commissions or compensation based upon the number of changeauthorizations verified.
(5) A telecommunications corporation or its agents seeking to verify the changeauthorization shall connect the subscriber to the third-party verifier or arrange for the third-partyverifier to call the subscriber to verify the change authorization.
(6) A third-party verifier that obtains the subscriber's oral verification regarding thechange shall record that verification by obtaining appropriate verification data.
(7) (a) The record verifying a subscriber's change of provider shall be available to thesubscriber upon request.
(b) Information obtained from the subscriber through verification may not be used for anyother purpose.
(c) Any intentional unauthorized release of the information in Subsection (7)(b) isgrounds for penalties or other action by the commission or remedies provided by law to theaggrieved subscriber against the telecommunications corporation, third-party verifier, their agents,or their employees who are responsible for the violation.
(8) The third-party verification shall occur in the same language as that in which thechange was solicited.
(9) The verification requirements described in this section shall apply to all changes in theprovider of any public telecommunications service.
(10) The commission may promulgate rules:
(a) necessary to implement this section;
(b) consistent with any rules promulgated by the Federal Communications Commission;and
(c) in a nondiscriminatory and competitively neutral manner.
(11) (a) Each subscriber may elect to require the telecommunications corporationproviding the subscriber's local exchange service to implement a freeze until the subscriberprovides authorization for a change to another provider of public telecommunications services.
(b) Once a subscriber has elected the freeze option under Subsection (11)(a), thetelecommunications corporation providing the subscriber's local exchange service may notprocess a request to change the subscriber to another provider of telecommunications serviceswithout prior authorization directly from the subscriber.
(12) (a) Whenever the subscriber's provider of a telecommunications service changes, thenew provider shall:
(i) retain a record of the verified change authorization consistent with requirements of theFederal Communications Commission or rules issued by the commission; and
(ii) be responsible for providing a conspicuous notice of the change within 30 days of theeffective date of the change of service.
(b) At a minimum, the notice in Subsection (12)(a)(ii) shall identify the new provider,contain a general description of the service and price, and provide information necessary for thesubscriber to have questions answered or to rescind the change.
(13) Any bill shall identify each telecommunications service provider oftelecommunication service for which billing is rendered.
(14) (a) Any person or provider of telecommunications service inadvertently orknowingly designating or changing the subscriber's telecommunications service provider inviolation of this section shall refund to the subscriber any amounts required by the rules of theFederal Communications Commission and the commission.
(b) The unauthorized provider in Subsection (14)(a) additionally shall:
(i) bear all costs of restoring the customer to the service of the subscriber's originalservice provider; and
(ii) pay to any other telecommunications provider any fees set by the commission for thedesignation or change.
(15) Proceedings for violations of this section may be commenced by request for agencyaction filed with the commission by a subscriber, a telecommunications corporation, the Divisionof Public Utilities, or by the commission on its own motion.
(16) Any telecommunications corporation, its agents, or a third-party verifier whoviolates this section or rules adopted to implement this section shall be subject to the provisions ofSections 54-7-23 through 54-7-29.
(17) The commission is granted authority to enforce provisions relating to anunauthorized telecommunication service provider change in interstate and intrastatetelecommunication service involving telecommunications corporations operating in the state.
Enacted by Chapter 113, 1999 General Session