Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Telemarketing Regulation topic
No spam. Unsubscribe anytime.
Senate passes telephone-fraud bill requiring telemarketer registration and disclosures
Summary
House Bill 100, carried on the Senate floor as a committee bill, requires registration of telephone solicitors with the Division of Consumer Protection, imposes a $50 registration fee, mandates immediate disclosure of sales intent, a three-day cancellation right, and civil penalties; the Senate passed the bill by roll call.
The Utah Senate passed House Bill 100, a telemarketing and telephone-fraud measure originally introduced by Representative LeBaron and advanced by the Business, Labor and Economic Development interim committee.
On the floor, Senator Cornaby summarized the measure as requiring registration of "telephone solicitors" with the Division of Consumer Protection for a $50 fee, requiring immediate disclosure that a call is a sales pitch, permitting a three-day cancellation period for consumers and setting a civil penalty of $2,000 or actual damages for violations. The sponsor said the bill was drafted using language from similar legislation in states such as Arizona and Washington and that the industry had been consulted, including the National Direct Selling Association.
Senators debated whether routine business callers (for example, insurance agents contacting customers about business) would fall within the registration requirement; the sponsor responded the bill does not intend to sweep in those already regulated or registered under other laws. After the sponsor's explanation the question was called and roll call recorded 24 aye votes, 0 nay and 5 absent. The clerk announced the bill passed and will be held for the president's signature.
The sponsor indicated the bill was intended to regulate growth in the telemarketing industry while not closing off legitimate business activity.
