ARIZONA STATE SENATE
Phoenix, Arizona
CORRECTED
Establishes a "no call list" in the
Office of the Secretary of State of people who do not wish to receive telephone
solicitations and requires the Attorney General to enforce the "no call
list."
Background
In response to growing concerns raised by consumers and businesses relating to unsolicited telephone solicitations, Congress enacted two laws in the 1990s that regulate telephone solicitations. The Telephone Consumer Protection Act (TCPA) of 1991 requires telemarketers to take a name off their list if requested by the consumer and to have a written policy for maintaining “do-not-call” lists. The Telemarketing and Consumer Fraud and Abuse Prevention Act (TCFAP) of 1994 also makes it illegal for telemarketers to call after a consumer has requested not to be and requires telemarketers to keep “do-not-call” lists. Under both laws, unless there is prior consent, telemarketers can only make calls to residences between 8 a.m. and 9 p.m. Under the TCFAP, all state attorneys general have authority to investigate and to pursue civil actions against telemarketers who may have harmed someone by deceptive and unfair business practices.
In Arizona, telemarketers are required to submit a full or limited registration with the Secretary of State (SOS). They are currently prohibited from using caller identification blocking devices, artificial or prerecorded voices and unsolicited telephone calls to any mobile or telephone paging system. They are also required to maintain a Ano call” list of consumers who have previously stated a desire to not receive outbound calls from, or on behalf of, the seller.
S.B. 1296 establishes an Arizona no call list program. The legislation allows Arizona consumers to register with the SOS to indicate that they do not wish to receive telephone solicitations in their homes. Businesses soliciting Arizona consumers may be required to purchase the Arizona no call list to remove the listed phone numbers from their call lists. The legislation authorizes the Arizona Attorney General (AG) to enforce violations of the Arizona no call list. Additionally, the legislation allows consumers to bring private civil action if they have received calls in violation of the no call list law. Finally, the legislation also provides for certain exemptions to the no call list law.
Although the program is self-funded, the SOS anticipates the start-up costs for the program is approximately $100,000. In addition, the Office of the AG indicates that any costs associated with hiring consumer protection attorneys for enforcing the Arizona no call list will be absorbed by the Office.
1. Establishes the Arizona no call list program to compile and maintain a database of residential telephone numbers in this state who object to receiving telephone solicitations.
2. Requires the SOS to administer the program and the AG to enforce the program.
3. Requires the SOS to establish the Arizona no call list and adopt rules for developing, maintaining and operating the list by July 1, 2003.
4. Permits the SOS to contract with a private vendor to perform all or part of the requirements of the program. Requires the contract with a private vendor to include provisions to protect confidentiality of subscriber information on the list.
5. Requires the SOS to prescribe by rule the following:
a) The method by which residential subscribers can enter their telephone numbers on the no call list and for subsequent changes, deletions and renewals. Requires the SOS to prescribe the length of time for which entries are effective.
b) The method by which sellers can obtain access to the no call list.
c) The procedure for subscribers to report violations of the no call list.
d) Other provisions that the SOS considers necessary or desirable.
6. Prohibits the SOS from charging a residential subscriber any fees for entering, changing or deleting subscriber information on the list.
7. Allows the SOS to charge a seller a graduated fee for access to all or part of the list based on the quantity of data delivered to the seller. Stipulates monies collected from the fees must be deposited into the Arizona no call list fund.
8. Stipulates that information contained in the database may be used only for authorized purposes relating to compliance and enforcement and is not subject to disclosure under the public records law.
9. Prohibits the SOS from disclosing the information from the no call list, except to a private vendor that contracts and maintains the list or to the AG for enforcement purposes.
10. Requires the SOS, if a federal agency establishes a single national no call list database, to attempt to include part of that national database that relates to this state into the Arizona no call list and make the Arizona no call list available to the appropriate federal agency.
11. Establishes the Arizona no call list fund, administered by the SOS, consisting of monies
collected from fees charged to sellers for access to the list.
12. Specifies monies in the fund are continuously appropriated and exempts the monies from lapsing.
13. Requires the State Treasurer, on notice from the SOS, to invest and divest monies in the fund. Specifies that monies earned from investment are credited to the fund.
14. Terminates the program on July 1, 2012.
15. Prohibits a seller or solicitor from making any telephone solicitation to a telephone number on the Arizona no call list.
16. Exempts certain telephone solicitations from the no call list provisions, including calls from a seller who has an established business relationship with the subscriber or from a charitable organization, calls made for the purpose of urging support for or opposition to a candidate, party or ballot issue or calls made for the purpose of conducting political polls, soliciting the expression of opinions, ideas or votes or urging voters to vote. Allows a subscriber to notify these sellers that he or she does not wish to receive further telephone solicitations.
17. Prohibits the use of information on or from the Arizona no call list, except to comply with the no call list provisions.
18. Stipulates that a failure to comply with the no call list is unlawful practice and allows the AG to investigate and take appropriate action. Specifies that the remedies provided under the no call list law are in addition to other causes of action, remedies and penalties available to this state.
19. Specifies that all monies collected from fines and civil penalties must be deposited into the consumer protection-consumer fraud revolving fund.
20. Allows a residential subscriber to bring a civil action if they receive calls in violation of the no call list.
21. Authorizes the AG to use monies in the consumer protection-consumer fraud revolving fund for enforcement of the Arizona no call list program.
22. Requires a seller to disclose to a consumer certain identifying information before beginning a solicitation or sales presentation and certain information pertaining to the premium and merchandise during a solicitation or sales presentation.
23. Defines “residential subscriber” or “subscriber”, “telephone solicitation” and “established business relationship.”
24. Makes technical and conforming changes.
25. Provides for a general effective date.
Prepared by Senate Staff
March 4, 2002