Adopted _______; Effective _________
(Decision __________ in Rulemaking 00-02-004)
IT IS ORDERED that all Commission-regulated telecommunications utilities shall
respect the consumer rights and comply with the rules set forth in this General
Order.
TABLE OF CONTENTS
PART 1 – Bill of Rights
PART 2 – Consumer Protection Rules
A. Applicability
B. Definitions
C. Rules
Rule 1: Carrier Disclosure Rule 2: Marketing Practices Rule 3: Service Initiation and Changes
Rule 4: Prepaid Calling Cards and Services Rule 5: Deposits to Establish or Re-establish Service
Rule 6: Billing
Rule 7: Late-Payment Penalties, Backbilling, and Prorating Rule 8: Tariff Changes, Contract Changes, Transfers, Withdrawals
and Notices Rule 9: Service Termination
Rule 10: [Reserved]
Rule 11: Billing Disputes Rule 12: Privacy
Rule 13: Consumer Affairs Branch Requests for Information
Rule 14: Employee Identification
Rule 15: Emergency 911 Service
PART 3 — Rules Governing Billing for Non-communications-Related Charges
A. Scope and Purpose
B. Definitions
C. Authorization Requirements
D. Revocation of Opt-in Authorization
E. Billing Telephone Companies’ Obligations to Screen and Monitor Entities
for Whom They Bill
F. No Disconnection of Basic Telephone Service for Nonpayment of Non-communications
Charges
G. Complaint Procedures
H. Bill Format
I. Confidential Subscriber Information
J. Penalties
PART 4 — Rules Governing Slamming Complaints
A. Purpose and Scope of Rules
B. Definitions
C. Authorization and Verification of Orders for Telecommunications Services
D. Unauthorized Local Exchange Carrier Changes
E. Carrier Liability for Slamming
F. Procedures for Resolution of Unauthorized Changes in Preferred Carrier
G. Absolution Procedure Where the Subscriber Has Not Paid Charges
H. Reimbursement Procedures Where the Subscriber Has Paid Charges
I. Informal Complaints
J. Reports
Rule 1: Carrier Disclosure
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(b) Every carrier that meets the $10 million revenue threshold of
Rule 1(a) above shall publish on a World Wide Web site on the Internet, and
shall thereafter keep up to date, the rates, terms and conditions of each non-tariffed
offering subject to the Commission’s jurisdiction and to which individuals
or small businesses in California may subscribe. Once so published, those rates,
terms, and conditions shall remain on the World Wide Web site for as long as
there are California subscribers to whom they apply. Carriers subject to this
requirement shall highlight the key rates, terms and conditions (e.g., printed
in larger or contrasting type, underlined, bolded, enclosed within text boxes
or some combination of those or other methods) on the same page as other rates,
terms and conditions for the specific offering.
[Comment: Carriers first setting up their Internet sites to comply with this
Rule need not initially include legacy plans (plans available only to those
already enrolled in them). However, as plans published on the Internet site
subsequently close and become legacy plans, those legacy plans must remain on
the site for as long as there are customers to whom they apply.]
Rule 2: Marketing Practices
(b) Any agreement or contract the consumer or subscriber may execute shall
be a separate document from any marketing materials used to promote other products
or services.
[Comment: Any service agreements or contracts must be unencumbered by materials,
such as advertising, which may distract or obscure. Only the elements of the
transaction belong in binding agreements. Agreements or contracts may, however,
be accompanied by other materials provided they are easily distinguishable and
separable, meet the requirements of Public Utilities Code Section 2890(b), and
the accompanying materials do not misstate or purport to restrict or enlarge
the rights or obligations of any party to the agreement or contract. In compliance
with Rule 1(h) and Rule 3(d), agreements or contracts may not refer to any accompanying
material as restricting or enlarging the rights or obligations of any party
to the agreement or contract.]
(d) Solicitations shall be truthful and not misleading. Any rate, term or condition
that is stated in a solicitation shall, in addition to the requirements set
forth below, be clearly, conspicuously and accurately disclosed. Carriers may
not fail to disclose any information which if disclosed is likely to affect
a consumer’s decision to purchase or not purchase the service or product.
This shall include any qualification or limitation directly related to a rate,
term or condition discussed in the solicitation.
(1) Any electronic media solicitations (e.g. radio/TV/billboard advertisement
or web-based advertisements, excluding carrier’s own or affiliates’
web site) which state a rate, term or condition must disclose the amount of
a monthly or periodic service charge, the per minute charge, any minimum usage
requirements, surcharges (e.g., the USF), the amount of any termination fees
(if applicable), and a minimum contract period (if applicable).
Rule 3: Service Initiation and Changes
(d) For services offered on a non-tariffed basis, the carrier shall provide
the subscriber with a written contract not later than seven days after the order
is accepted. The contract shall include all applicable rates, terms and conditions
for each service ordered. Key rates, terms and conditions shall be highlighted
(e.g., printed in larger or contrasting type, underlined, bolded, enclosed within
text boxes, or some combination of those or other methods). Contracts may be
accompanied by a summary document that contains all applicable key rates, terms
and conditions. Such summary document must be affixed to the contract at the
time the subscriber receives the contract. The contract must make specific reference
to the summary document through use of titles, revision dates or versions. Contracts,
and summary documents when used, shall conform to the same requirements as set
forth for service agreements, contracts and solicitations in Rules 2(a) through
2(d). Ambiguities in any contract will be construed against the carrier.
[Comment: For Rules 3(c) and 3(d), rates, terms and conditions information
must be sufficiently specific to enable subscribers to verify the accuracy of
the charges on their bills.]
Rule 5: Deposits to Establish or Re-establish Service
(d) Carriers shall refund deposit amounts associated with basic service, with
interest, after one continuous year of timely payments for basic service, or
not later than 30 days after basic service is discontinued, whichever comes
first. Carriers shall refund deposits associated with other services not later
than 120 days after service is discontinued.
Rule 8: Tariff Changes, Contract Changes, Transfers,
Withdrawals and Notices
(b) A carrier may not make any material change in a written contract that
may result in higher rates or charges or more restrictive terms or conditions
unless the change is also communicated to the subscriber in writing and the
carrier obtains the subscriber’s verifiable, documented, and informed
consent to the change. Absent such consent, the subscriber may chose to continue
the service under the unchanged provisions for the life of the contract or may
choose to terminate the contract without penalty or fee. The written communication
informing the subscriber of the change must also inform the subscriber of these
options to maintain the original terms of the agreement or to terminate the
contract without a penalty.
[Comment: Rule 8(b) does not apply to subscriber-initiated changes. It does
not prohibit carriers from making unilateral changes to contracts where the
changes result in lower rates or charges and/or less restrictive terms or conditions.
It does not prohibit carriers from communicating notice of a change, or receiving
confirmation of subscriber acceptance of a change, through electronic media
– See Definitions for “Written; In Writing. Carriers shall retain
sample copies of the document (letter, fax or electronic) used to inform consumers
of the requested material change for the length of the contract. Carriers can
obtain “verifiable, documented and informed consent, through several different
methods including voice recording, fax signature, and electronic signature.
The imposition of discretionary fees designed to provide cost recovery for government
mandated programs would be an example of a carrier-initiated, material change
to which a subscriber would have to provide its consent before the charge is
added to the subscriber’s bill.]
Rule 9: Service Termination
(f) Where a subscriber is in arrears, a carrier must offer a reasonable alternative
payment plan. Where a subscriber is offered and agrees to an alternative payment
plan, the carrier must provide confirmation of the terms in writing if the subscriber
so requests.
Rule 12: Privacy
(f) Required Notice of Privacy Rights: Whenever a carrier seeks to collect
confidential subscriber information or to obtain a subscriber’s consent
to use or disclose that information, the carrier must first provide the subscriber,
in a clear, accurate, and non-misleading manner, sufficient information to enable
the subscriber to make an informed decision about whether to provide the information
requested and/or whether to give consent to its use or disclosure. This information
must be provided in writing, although this rule does not preclude carriers from
communicating this information and obtaining consent orally, at the time of
service initiation by telephone, in addition to the required written notice.
(1) The privacy notice shall include:
(A) A clear explanation of the purpose(s) for which the subscriber’s
confidential subscriber information may be used and to whom it may be disclosed.
(B) Notice that the subscriber has a right, and the carrier a duty, under
federal and state law, to protect the confidentiality of subscriber information,
including calling patterns, choice of services, credit history, and financial
and demographic information as defined in California Public Utilities Code
§ 2891.
(C) A clear explanation of the subscriber’s right to access the confidential
subscriber information under the carrier’s control, pursuant to these
rules, and to request that the carrier update and correct that information.
(D) Notice that the carrier must obtain the customer’s affirmative written
consent to use the information for any purpose other than to provide, or bill
for, the service requested by the customers and marketing related products
or services by the carrier. The notice must inform the subscriber of the right
to opt-out to use of confidential subscriber information for marketing related
services.
(E) Notice that the subscriber may deny or withdraw such consent
to allow the carrier to use or disclose the subscriber’s confidential
information at any time.
(F) An explanation of what steps, if any, the subscriber must take in order
to exercise these rights.
(2) Written confirmations of orders for service offered on a tariffed basis
and contracts for non-tariffed services shall include a privacy notice.
Any statements, oral or written, made by carriers to subscribers about whether
the withholding of consent to the collection, use or disclosure of confidential
subscriber information will affect the provision of service to a subscriber
must be truthful and not misleading.
Written notices of privacy rights must be clear and conspicuous. If accompanied
by a solicitation for the subscriber’s consent, the notice of rights must
be clearly and conspicuously placed so that it is noticeable to a person reading
the consent form.
and NCLC