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House tightens telephone-fraud law, adds performance bond and penalties

Utah House of Representatives · January 21, 1993
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Summary

House Bill 31 would amend the Telephone Fraud Prevention Act to clarify exemptions, require a $50,000 performance bond for certain solicitors and impose progressive penalties for repeat offenders; the House passed the bill 68–2.

Representative Hunsaker explained that HB31 amends the Telephone Fraud Prevention Act to clarify definitions and exemptions, require a $50,000 performance bond for some solicitations, and add escalating penalties for repeat offenders. The sponsor said the federal law has displaced some state provisions and the amendments update the statute.

Representative Howard asked whether occasional, isolated solicitation calls by a mail-order business would fall under the statute’s exemption for isolated transactions; Hunsaker said the exemption is intended for noncontinuous activity and that administrative rule could clarify frequency definitions. The floor waived formation and the House voted, the Clerk reporting HB31 passed with 68 affirmative and 2 negative votes.

HB31 now moves to the Senate for further consideration.