(a) Purpose. The provisions of this section are intended to ensure that each customer in this state is protected from unauthorized charges on a customer's telecommunications utility bill. This section establishes the requirements necessary to obtain and verify customer consent for charges for any product or service before the associated charges appear on the customer's telephone bill.
(b) Application. This section applies to all "billing agents," "billing telecommunications utilities," and "service providers" as those terms are defined in §26.5 of this title (relating to Definitions) or the Public Utility Regulatory Act (PURA). This section does not apply to:
  (1) an unauthorized change in a customer's local or long distance service provider, which is addressed under §26.130 of this title (relating to Selection of Telecommunications Utilities);
  (2) message telecommunications charges that are initiated by dialing 1+, 0+, 0-, 1010XXX, or collect calls and charges for video services, if the service provider has the necessary call record detail to establish the billing for the call or service; and
  (3) a provider of commercial mobile radio service as defined in PURA §51.003(5).
(c) Definition. The term "customer," when used in this section, means the account holder, including the account holder's spouse, in whose name the telephone service is billed, including individuals, governmental units at all levels of government, corporate entities, and any other entity or person with the legal capacity to request to be billed for telephone service.
(d) Requirements for billing authorized charges. A service provider or billing agent must comply with this subsection before submitting charges for any product or service for billing on a customer's telephone bill:
  (1) Inform the customer. The service provider offering the product or service must thoroughly inform each customer of the product or service being offered, including each charge associated with the product or service, and must inform each customer that the associated charges for the product or service will appear on the customer's telephone bill.
  (2) Obtain customer consent. The service provider must obtain clear and explicit consent from the customer, verified in accordance with subsection (f) of this section, to obtain the product or service being offered and to have each charge associated with the service appear on the customer's telephone bill. A record of the customer's verified consent must be maintained by the service provider offering the product or service for at least 24 months immediately after the verified consent was obtained.
  (3) Provide contact information. The service provider offering the product or service, and any billing agent for the service, must provide each customer with a toll-free telephone number that the customer may call, and an address to which the customer may write, to resolve any billing dispute and to obtain answers to any questions.
  (4) Provide business information. The service provider, other than the billing telecommunications utility, and its billing agent must provide the billing telecommunications utility with the service provider's name, business address, and business telephone number.
  (5) Obtain billing telecommunications utility authorization. The service provider and its billing agent must execute a written agreement with the billing telecommunications utility to bill for a product or service on the billing telecommunications utility's telephone bill. Record of this agreement must be maintained by:
    (A) the service provider;
    (B) any billing agent for the service provider; and
    (C) the billing telecommunications utility for as long as the billing for the product or service continues, and for the 24 months immediately following the permanent discontinuation of the billing for that product or service.
(e) Post-termination billing. A service provider must not bill a customer for a product or service after the termination or cancellation date for that product or service unless the bill is for a product or service provided prior to the termination or cancellation date; or the service provider subsequently obtains customer consent and verification of that consent in accordance with this section.
(f) Verification requirements.
  (1) Verification of a customer's consent for an order of a product or service must include:
    (A) the date of the customer's consent;
    (B) the date of the customer's verification of consent;
    (C) the name and telephone number of the customer; and
    (D) the exact name of the service provider as it will appear on the customer's bill.
  (2) Verification of a customer's consent for an order of a product or service may not include discussion of any incentives that were or may have been offered by the service provider and must be limited to, without explanation, the identification of:
    (A) each offered product or service;
    (B) applicable charges;
    (C) how a product or service can be cancelled, including any charges associated with terminating the product or service; and
    (D) how the charge will appear on the customer's telephone bill.
  (3) During any communication with a customer to verify that the customer's consent for a product or service, the independent third-party verifier or the sales representative, of the service provider must, after sufficient inquiry, ensure that the customer is authorized to order the product or service and obtains the explicit acknowledgment from the customer that charges for the product or service ordered by the customer will be assessed on the customer's telephone bill.
  (4) Except in customer-initiated transactions with a certificated telecommunications utility for which the service provider has the appropriate documentation obtained in accordance with subsection (d) of this section, verification of customer consent to an order for a product or service must be verified by one or more of the following methods:
    (A) Written or electronically signed documentation.
      (i) Written or electronically signed verification of consent must be provided in a separate document containing only the information required by paragraphs (1) and (2) of this subsection for the sole purpose of verifying the consent for a product or service on the customer's telephone bill. A customer must be provided the option of using another form of verification as an alternative to an electronically signed verification.
      (ii) The document must be signed and dated by the customer. Any electronically signed verification must include the customer disclosures required by the Electronic Signatures in Global and National Commerce Act 47 United States Code §7001(c).
      (iii) The document must not be combined with inducements of any kind on the same document, screen, or webpage.
      (iv) If any portion of the document, screen or webpage is translated into another language, then all portions of the document must be translated into that language. Every document must be translated into the same language as any promotional materials, or oral or written descriptions or instructions provided with the document, screen, or webpage.
    (B) Toll-free electronic verification placed from the telephone number that is the subject of the product or service, except in exchanges where automatic number identification (ANI) from the local switching system is not technically possible. The service provider must:
      (i) ensure that the electronic verification confirms the information required by paragraphs (1) and (2) of this subsection for the sole purpose of verifying the customer's consent for a product or service on the customer's telephone bill; and
      (ii) establish one or more toll-free telephone numbers exclusively for the purpose of verifying the customer's consent of charges for the product or service so that the customer calling the toll-free number will reach a voice response unit or similar mechanism regarding the customer consent for the product or service and automatically records the ANI from the local switching system.
      (iii) Automated systems must provide customers the option of speaking with a live person at any time during the call.
    (C) Voice recording by service provider.
      (i) The recorded conversation with a customer must be clear and easy-to-understand, and must contain the information required by paragraphs (1) and (2) of this subsection.
      (ii) The recording must be clear and audible.
      (iii) The recording must include the entire and actual conversation with the customer on audio tape, a wave sound file, or other recording device that is compatible with the commission's equipment.
Cont'd...