Requires any person or entity operating telephone numbers, the use of which causes the caller to be billed a fee on his or her telephone bill, to provide the caller with notice of the fee to be imposed for such call and advise the caller to hang up if he or she does not want to pay the fee.

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S7652-2011 Actions

• Oct 3, 2012: SIGNED CHAP.490
• Sep 21, 2012: DELIVERED TO GOVERNOR
• Jun 18, 2012: returned to senate
• Jun 18, 2012: passed assembly
• Jun 18, 2012: ordered to third reading rules cal.175
• Jun 18, 2012: substituted for a4636b
• Jun 18, 2012: referred to corporations, authorities and commissions
• Jun 18, 2012: DELIVERED TO ASSEMBLY
• Jun 18, 2012: PASSED SENATE
• Jun 14, 2012: ORDERED TO THIRD READING CAL.1265
• Jun 12, 2012: REFERRED TO RULES

S7652-2011 Meetings

Rules: Jun 18, 2012

S7652-2011 Calendars

Active List: Jun 18, 2012 , Floor Calendar: Jun 14, 2012 , Floor Calendar: Jun 18, 2012

S7652-2011 Votes

S7652-2011 Memo

BILL NUMBER:S7652

TITLE OF BILL:
An act to amend the general business law, in relation to requiring
persons or entities operating a telecommunications services system,
access to which causes the caller to be charged a fee on his or her
telephone service bill, to provide notice of the imposition of such fee

PURPOSE:
To stop the victimization of unsuspecting telephone callers who falsely
believe they are dialing information and resources telephone numbers,
only to fall victim to costly phone scams. This bill will put a stop to
telephone scammers that are using local numbers in advertisements to
lure in unsuspecting callers. These scammers are then forwarding the
calls to pay-per-call lines and then billing the unsuspecting caller for
the phone charge.

This bill will require a notice of warning of fee/charge imposition for
calling certain telephone numbers. The warning message will be in same
language as advertisement for such call line.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1. The general business law is amended by adding a new
subsection to 336-b to read as follows: When applicable, providers of
interactive information network services shall cause the following
message or words to the effect of the following to be provided to the
caller, in the language in which information during such call will be
provided:

"The call you are placing will cost (rate at which fees or charges are
incurred). In order for you to receive the information you are calling
for, that fee will be charged to your telephone bill. If you do not want
to pay this amount, please hang up."

The calculation of any applicable fees by the provider of an interactive
information network service shall not commence until ten seconds after
the provision of the notice of fees to be charged to the consumer
required by this subsection.

This act shall take effect on the thirtieth day after it shall have
become a law.

JUSTIFICATION:
On a daily basis, telephone scammers post advertisements throughout
neighborhoods in New York State showing a local number to call for a
variety of information requests of possible interest to consumers.

The local number prompts a call to a second number, which then charges
the caller a hefty fee for the phone call. Many if not most times the
caller receives worthless information after making calls looking for
employment, affordable housing, child care, educational opportunities

and other subjects of interest to people searching to improve their
living conditions.

This type of scam has been labeled "remote call forwarding" by the tele-
phone companies.  Since the area codes are local, they seem legitimate
to any persons requesting information about the advertisement, however
it is the second three numbers that are where the scam is hidden. Since
the three digit exchange is not always advertised, the scammers prompt
callers to a second number with the exchange that will charge a hefty
fee to the caller.

This legislation will help stop these types of phone scams by keeping
consumers informed of what they would be charged in the language that
they could understand.

PRIOR LEGISLATIVE HISTORY:
New Bill.

FISCAL IMPLICATIONS:
None.

EFFECTIVE DATE:
This act shall take effect on the 30th day after it shall become a law.

S7652-2011 Text

                      S T A T E   O F   N E W   Y O R K
  ________________________________________________________________________

                                    7652

                              I N  SENATE

                                June 12, 2012
                                 ___________

  Introduced  by Sen. GRISANTI -- read twice and ordered printed, and when
    printed to be committed to the Committee on Rules

  AN ACT to amend the general  business  law,  in  relation  to  requiring
    persons  or  entities  operating a telecommunications services system,
    access to which causes the caller to be charged a fee on  his  or  her
    telephone  service  bill,  to provide notice of the imposition of such
    fee

    THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
  BLY, DO ENACT AS FOLLOWS:


    Section  1. Subdivisions 5 and 6 of section 336-b of the general busi-
  ness law, as added by chapter 495 of the laws of  1991,  are  renumbered
  subdivisions  6  and  7,  and  a  new  subdivision 5 is added to read as
  follows:

    5. WHEN  APPLICABLE,  PROVIDERS  OF  INTERACTIVE  INFORMATION  NETWORK
  SERVICES SHALL CAUSE THE FOLLOWING MESSAGE OR WORDS TO THE EFFECT OF THE
  FOLLOWING  TO BE PROVIDED TO THE CALLER, IN THE LANGUAGE IN WHICH INFOR-
  MATION DURING SUCH CALL WILL BE PROVIDED:

    "THE CALL YOU ARE PLACING WILL COST (RATE AT WHICH FEES OR CHARGES ARE
  INCURRED). IN ORDER FOR YOU TO RECEIVE THE INFORMATION YOU  ARE  CALLING
  FOR, THAT FEE WILL BE CHARGED TO YOUR TELEPHONE BILL. IF YOU DO NOT WANT
  TO PAY THIS AMOUNT, PLEASE HANG UP."
    THE  CALCULATION OF ANY APPLICABLE FEES BY THE PROVIDER OF AN INTERAC-
  TIVE INFORMATION NETWORK SERVICE SHALL NOT COMMENCE  UNTIL  TEN  SECONDS
  AFTER  THE PROVISION OF THE NOTICE OF FEES TO BE CHARGED TO THE CONSUMER
  REQUIRED BY THIS SUBDIVISION.  THE PROVISIONS OF THIS SUBDIVISION  SHALL
  NOT  APPLY  TO  ANY  SERVICE PROVIDED BY: (A) A TELEPHONE CORPORATION AS
  THAT TERM IS DEFINED IN SECTION TWO OF THE PUBLIC  SERVICE  LAW,  (B)  A
  PROVIDER OF MOBILE SERVICE AS DEFINED IN 47 U.S.C. S 153, OR (C) A CABLE
  TELEVISION  COMPANY  AS  DEFINED  IN  SECTION  TWO HUNDRED TWELVE OF THE
  PUBLIC SERVICE LAW, OR THE AFFILIATES OF ANY OF THE FOREGOING.
    S 2. This act shall take effect on the thirtieth day  after  it  shall
  have become a law.

   EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                        [ ] is old law to be omitted.
                                                             LBD00013-04-2