ARIZONA STATE SENATE
Phoenix, Arizona
private
investigators; exemptions; business observations
Exempts individuals hired to observe purchases of products or services and individuals certified or registered by the Supreme Court from the licensure requirements of a private investigator.
Currently, any person other than an insurance investigator or a peace officer who, for any consideration, engages in business or accepts employment to furnish, or agrees to make, or makes, any investigation for the purpose of obtaining information with reference to the location, disposition, or recovery of lost or stolen property or to the identity, habits, conduct, business, occupation, honesty, integrity, or character of a person must be licensed as a private investigator. Licensure of private investigators is administered by the Department of Public Safety and applicants must meet licensure requirements, including posting of a bond.
Many businesses, especially in the service area, utilize mystery shoppers to improve their customer service. Mystery shoppers are hired by a company to observe interactions between customers and employees. The services provided by mystery shoppers and other similar services often require them to be licensed as a private investigator. H.B. 2444 exempts an individual hired to observe purchases of products or services from the licensure requirements of a private investigator provided certain conditions are met.
A confidential intermediary is a person certified by the Supreme Court who, on request of an adoptive parent, adoptee or birth parent, conducts a search for the purpose of arranging a contact or sharing information between the individual who initiates the search or the subject of the search. A private fiduciary is a person registered by the Supreme Court who is appointed by the Superior Court to serve as a guardian or conservator for incapacitated or protected persons, or as a personal representative for the estate of a deceased person. According to the Administrative Office of the Courts, both confidential intermediaries and private fiduciaries are screened by the court and must meet and maintain minimum standards of conduct and rules adopted by the court. H.B. 2444 exempts individuals certified or registered by the Supreme Court from the licensure requirements of a private investigator.
There is no anticipated fiscal impact to the state general fund associated with this measure.
Provisions
1. Exempts from private investigator licensure requirements a person, firm or corporation that observes consumer purchases of products or services for the purpose of evaluating customer service, operational procedures, cleanliness, product quality and availability.
2. Requires all of the following to apply for the exemption:
a) the information obtained comes from questionnaires pre-approved by the business
establishment.
b) the obtained information is used for employee training or incentives.
c) the obtained information is not used for prosecution of an employee.
d) the business establishment does not use a single evaluation as the only basis for an employee’s termination from employment.
3. Exempts from private investigator licensure requirements a person who is currently certified or registered by the Supreme Court.
4. Makes technical changes.
5. Provides for a general effective date.
CED 1/29/01 DPA 8-0-0-2
3rd Read 2/6/01 57-0-3-0
Prepared by Senate Staff
March 23, 2001