Session of 1998
                   
Substitute for Substitute for
         
HOUSE BILL No. 2649
         
By Committee on Utilities
         
2-24
          10             AN ACT concerning telecommunications; prescribing procedures for cer-
11             tain changes in a consumer's primary long distance carrier or local
12             exchange carrier and changes or additions to a consumer's other tel-
13             ecommunications services; providing penalties for violations.
14            
15       Be it enacted by the Legislature of the State of Kansas:
16           Section 1. (a) As used in this section:
17           (1) ``Express authorization'' means an express, affirmative act by a
18       consumer clearly agreeing to the change in the consumer's primary long
19       distance carrier or local exchange carrier to another carrier or to change
20       or add to the consumer's other telecommunications services.
21           (2) ``Telecommunications services'' has the meaning provided by
22       K.S.A. 66-1,187 and amendments thereto.
23           (b) No local exchange carrier or telecommunications carrier shall sub-
24       mit to a local exchange carrier an order to change a consumer's primary
25       long distance carrier or local exchange carrier to another carrier or to
26       change or add to a consumer's other telecommunications services without
27       having obtained the express authorization of the consumer authorized to
28       make the change or addition. The local exchange carrier or telecommu-
29       nications carrier requesting the change or addition shall have the burden
30       of proving the express authorization by clear and convincing evidence.
31           (c) No local exchange carrier, telecommunications carrier or third
32       party utilized to verify an order to change a consumer's primary long
33       distance carrier or local exchange carrier to another carrier or to change
34       or add to a consumer's telecommunications services shall:
35           (1) Engage in any activity, conduct or representation while soliciting
36       or verifying a change in a consumer's primary long distance carrier or
37       local exchange carrier to another carrier or a change or addition to a
38       consumer's telecommunications services that has the capacity to mislead,
39       deceive or confuse the consumer;
40           (2) employ a box or container used to collect entries for sweepstakes,
41       contests or drawings to gather letters of agency or other documents that
42       constitute authorizations by consumers to change the consumers' primary

Sub. for Sub. HB 2649

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  1       long distance carrier or local exchange carrier to another carrier or to
  2       change or add to the consumers' other telecommunications services; or
  3           (3) use any methods not approved by the federal communications
  4       commission statutes, rules and regulations (as in effect on the effective
  5       date of this act) or state corporation commission rules and regulations to
  6       change a consumer's primary long distance carrier or local exchange car-
  7       rier to another carrier or to change or add to a consumer's other telecom-
  8       munications services.
  9           (d) Any local exchange carrier or telecommunications carrier that vi-
10       olates subsection (b) or (c) shall be liable to the consumer:
11           (1) For a refund of any amounts collected and a credit for any unpaid
12       amounts charged by the carrier not properly authorized to change a con-
13       sumer's primary long distance carrier or local exchange carrier to another
14       carrier or to change or add to a consumer's other telecommunications
15       services, including any charges for local or long distance services, switch-
16       ing fees or other related charges; and
17           (2) for restoration of any premiums to which the consumer would
18       have been entitled if the unauthorized change had not occurred.
19           (e) Every local exchange carrier or telecommunications carrier that
20       submits an order for a change of a consumer's primary long distance
21       carrier or local exchange carrier to another carrier, within three business
22       days after the order to change is placed, shall mail to the consumer au-
23       thorized to make the change or addition a letter, using first class mail,
24       postage prepaid, that complies with the following:
25           (1) The letter must be the sole and separate document in the enve-
26       lope and the envelope must be clearly marked, on the front, in 12 point
27       or larger type, ``NOTICE OF SWITCH IN TELEPHONE CARRIER''.
28           (2) The letter, for which the sole purpose is to describe the change
29       in carrier authorized by the consumer, must be printed in 10 point or
30       larger type and contain clear and plain language that confirms the details
31       of the change, including the name, address and telephone number of the
32       carrier submitting the order to change; the name of the consumer re-
33       questing the change; all terms, conditions and fees applicable to the
34       change; and a toll free number that the consumer can call to cancel the
35       service.
36           (f) Any local exchange carrier or telecommunications carrier that vi-
37       olates subsection (b), (c), (d) or (e) shall be subject to a civil penalty of
38       not less than $5,000 nor more than $20,000 for each such violation.
39           (g) Any violation of this section is a deceptive and unconscionable act
40       or practice under the provisions of the Kansas consumer protection act
41       and shall be subject to any and all of the enforcement provisions of the
42       Kansas consumer protection act. Nothing in this section shall preclude
43       the state corporation commission from exerting its authority as it pertains

Sub. for Sub. HB 2649

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  1       to intrastate services nor the attorney general from pursuing violations of
  2       any other provisions of the Kansas consumer protection act by a local
  3       exchange carrier or telecommunications carrier.
  4           (h) This section shall be part of and supplemental to the Kansas con-
  5       sumer protection act.
  6           Sec. 2. This act shall take effect and be in force from and after its
  7       publication in the Kansas register.
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