Assigned to COM                                                                                                      FOR CAUCUS & FLOOR ACTION

 

 


 

ARIZONA STATE SENATE

Phoenix, Arizona

 

REVISED

FACT SHEET FOR S.B. 1253

 

advertising by fax

 

Purpose

 

Prohibits a person or entity conducting business in this state from transmitting unsolicited advertising material by fax unless adhering to specific requirements.

 

Background

 

In response to the growing concerns raised by consumers and businesses relating to unsolicited telephone and fax solicitations, and the costs incurred as a result of these faxes, the United States Congress enacted the Telephone Consumer Protection Act (TCPA) on December 20, 1991. This act enabled the Federal Communications Commission (FCC) to adopt regulations that restrict the use of faxes for the purpose of sending unsolicited advertisements, as well as address the growing number of unsolicited telephone marketing calls and the use of prerecorded telephone calls. Currently, the TCPA states that no person may transmit an advertisement describing the commercial availability or quality of any property, goods or services to a fax machine without prior express permission or invitation. The TCPA does not apply to tax-exempt nonprofit organizations, people who have established a business relationship or to those who have received prior express permission to solicit business.

 

Under FCC regulations, complainants are directed to notify the sender that they wish to be removed from the solicitation list.  After making such a request, complainants can file a complaint with the FCC. Once filed with the FCC, each complaint is handled on an individual basis by contacting the soliciting company and requiring it to respond in writing to the FCC and the complainant within 30 days.  With respect to sanctions, the FCC cannot award monetary damages except in very limited circumstances.

 

According to the Office of the Secretary of State, many constituents have contacted the Office regarding their concerns with the high volume of “unsolicited” faxed materials received at their private residences.

 

The legislation contains no discernable fiscal impact.

 

Provisions

 

1.      Prohibits a person or entity conducting business in this state from transmitting by fax unsolicited advertising material unless the sender complies with certain requirements.

 

2.      Requires fax advertisements to include a statement in the upper one-third of the fax that is the same size as the remainder of the document text.  This statement is to stipulate that a toll free telephone number has been established for recipients to contact the sender to request that the sender not fax the recipient any additional unsolicited documents and is to include a disclosure statement that tells recipients to call toll free if they want their fax telephone number to be removed from the sender's transmittal list.

 

3.      Requires fax advertisements sent in a language other than English to include the toll free number information in that other language.

 

4.      Requires the sender of unsolicited advertisements to maintain a list of fax numbers of persons who have requested not to receive solicitations.

 

5.      Requires local and long-distance telecommunications service providers and other entities that contract with such providers to comply with the advertising by fax provisions, and holds them liable for violations.

 

6.      States that local and long-distance telecommunications service providers are not liable for providing services to a customer who uses those services in violation of the advertising by fax provisions.

 

7.      Stipulates that it is unlawful practice as it pertains to consumer fraud for a solicitor to fax a recipient who has previously stated that the recipient does not want to receive such solicitation from the sender.

 

8.      Refers to definitions of "local telecommunication service provider" and "long-distance telecommunications service provider" already provided for in statute.

 

9.      Provides for a general effective date.

 

Amendments Adopted by Committee

 

1.      Requires the fax advertisement to include a specified disclosure statement.

 

2.      Requires a fax advertisement sent in a language other than English to include the toll free number in the language of the fax.

 

3.      Requires local and long-distance telecommunications service providers to comply with the advertising by fax provisions and holds them liable for violations, but specifies that the providers are not to be held liable for providing services to a customer who uses those services in violation.

 

Senate Action

 

COM               2/7/01              DPA    6-0-0-0

 

 

Prepared by Senate Staff

February 7, 2001