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Committee considers changes to consumer service contract statute; industry amendment adopted in committee
Summary
The committee considered SB318, which would revise disclosure and refund rules for service contracts and make technical updates to Code section 39‑1‑160; an industry amendment was accepted in committee and senators expect a substitute on the floor.
Senators reviewed SB318, a bill that would revise the consumer‑protection provisions governing service contracts and require clearer disclosure of refund rights and limitations when service contracts are advertised and sold.
A committee presenter summarized the bill’s key points: it would require disclosures about refund rights and would allow a refund limited to the provider’s cost to repair or replace covered property. The bill also makes non‑substantive, technical updates to existing code language. The presenter said the bill updates appear under current code section 39‑1‑160.
An amendment sponsored by the telecommunications/phone industry (described as in the packet) was accepted as a friendly amendment in committee after staff circulated the text. Committee members agreed to use the previous roll procedure; senators indicated they expected a floor substitute at a later point. The committee advanced the bill with the industry amendment.
