HOUSE BILL No. 4126


     January 31, 2001, Introduced by Rep. Kolb and referred to the Committee on Energy and Technology.


        A bill to amend 1971 PA 227, entitled

   "An act to prescribe the rights and duties of parties to home
   solicitation sales,"

   by amending the title and section 1a (MCL 445.111a).

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

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                                    TITLE

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           An act to prescribe the rights and duties of parties to home

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      solicitation sales AND CERTAIN TELEPHONE SOLICITATIONS.

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           Sec. 1a.  (1) A  home solicitation sale shall not be made by

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      telephonic solicitation using  PERSON SHALL NOT MAKE A TELEPHONE

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      SOLICITATION THAT CONSISTS in whole or in part OF a recorded

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      message.

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           (2) A TELEPHONE SOLICITOR SHALL NOT USE TELEPHONE EQUIPMENT

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      OR TELECOMMUNICATIONS NETWORK ELEMENTS THAT BLOCK OR OTHERWISE

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      INTERFERE WITH THE CALLER ID FUNCTION ON THE TELEPHONE OF A



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      RESIDENTIAL TELEPHONE SUBSCRIBER TO WHOM A TELEPHONE SOLICITATION

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      IS MADE SO THAT THE TELEPHONE NUMBER OF THE CALLER IS NOT DIS-

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      PLAYED ON THE TELEPHONE OF THE RESIDENTIAL TELEPHONE SUBSCRIBER.

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           (3) A LOCAL EXCHANGE PROVIDER OR INTEREXCHANGE TOLL PROVIDER

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      SHALL NOT PROVIDE ANY NETWORK ELEMENT OR SERVICE TO A TELEPHONE

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      SOLICITOR THAT WOULD BLOCK OR OTHERWISE INTERFERE WITH, ON A PER

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      LINE BASIS, THE DISPLAY OF THE TELEPHONE SOLICITOR'S NAME AND

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      TELEPHONE NUMBER ON A RESIDENTIAL SUBSCRIBER'S CALLER ID

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      EQUIPMENT.  LOCAL EXCHANGE PROVIDERS AND INTEREXCHANGE PROVIDERS

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      SHALL MODIFY THEIR TARIFFS TO REFLECT THE REQUIREMENTS OF THIS

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      ACT WITHIN 60 DAYS AFTER THE EFFECTIVE DATE OF THE AMENDATORY ACT

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      THAT ADDED THIS SECTION.

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           (4) AS USED IN THIS SECTION:

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           (A) "ADAD" OR "AUTOMATIC DIALING AND ANNOUNCING DEVICE"

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      MEANS ANY DEVICE OR SYSTEM OF DEVICES THAT IS USED, WHETHER ALONE

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      OR IN CONJUNCTION WITH OTHER EQUIPMENT, FOR THE PURPOSE OF AUTO-

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      MATICALLY SELECTING OR DIALING TELEPHONE NUMBERS.

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           (B) "CALLER IDENTIFICATION SERVICE" OR "CALLER ID" MEANS

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      TELEPHONE SERVICE THAT NOTIFIES TELEPHONE SUBSCRIBERS OF THE

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      TELEPHONE NUMBER OF INCOMING TELEPHONE CALLS.

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           (C) "COMMISSION" MEANS THE PUBLIC SERVICE COMMISSION IN THE

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      DEPARTMENT OF CONSUMER AND INDUSTRY SERVICES.

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           (D) "EXISTING CUSTOMER" INCLUDES A RESIDENTIAL TELEPHONE

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      SUBSCRIBER WITH WHOM THE PERSON OR ENTITY MAKING A TELEPHONE

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      SOLICITATION HAS HAD A BUSINESS RELATIONSHIP WITHIN THE PRIOR 12

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      MONTHS.





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           (E) "GOODS" MEANS ALL TANGIBLE PROPERTY PURCHASED PRIMARILY

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      FOR PERSONAL, FAMILY, OR HOUSEHOLD USE AND NOT FOR COMMERCIAL,

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      AGRICULTURAL, OR BUSINESS USE.  GOODS INCLUDE PROPERTY THAT IS

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      FURNISHED OR USED FOR THE MODERNIZATION, REHABILITATION, REPAIR,

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      ALTERATION, IMPROVEMENT, OR CONSTRUCTION OF REAL PROPERTY.  GOODS

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      INCLUDE MERCHANDISE CERTIFICATES OR COUPONS ISSUED BY A RETAIL

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      SELLER THAT ARE NOT REDEEMABLE IN CASH AND THAT ARE TO BE USED IN

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      THEIR FACE AMOUNT INSTEAD OF CASH, IN EXCHANGE FOR GOODS OR SERV-

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      ICES SOLD BY THE SELLER.  GOODS DO NOT INCLUDE A MOTOR VEHICLE,

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      MONEY, A THING IN ACTION, INTANGIBLE PERSONAL PROPERTY, OR THEIR

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      EQUIVALENT.

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           (F) "INTEREXCHANGE PROVIDER" MEANS A COMPANY THAT IS AUTHO-

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      RIZED BY THE COMMISSION TO PROVIDE LONG DISTANCE TOLL TELEPHONE

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      SERVICE.

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           (G) "NOT-FOR-PROFIT" MEANS AN ORGANIZATION THAT IS EXEMPT

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      FROM PAYING TAXES UNDER SECTION 501(c) OF THE INTERNAL REVENUE

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      CODE OF 1986.

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           (H) "RESIDENTIAL TELEPHONE SUBSCRIBER" MEANS A PERSON RESID-

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      ING IN THIS STATE WHO HAS RESIDENTIAL TELEPHONE SERVICE.

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           (I) "SERVICES" MEANS WORK, LABOR, ADVICE, COUNSELING, OR

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      INSTRUCTION IF PURCHASED PRIMARILY FOR PERSONAL, FAMILY, OR

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      HOUSEHOLD USE AND NOT FOR COMMERCIAL OR BUSINESS USE.  SERVICES

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      DO NOT INCLUDE ANY OF THE FOLLOWING:

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           (i) WORK, LABOR, ADVICE, COUNSELING, OR INSTRUCTION FOR

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      WHICH THE COST IS FIXED BY LAW OR SUBJECT TO THE APPROVAL OR DIS-

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      APPROVAL OF THE UNITED STATES OR THIS STATE.





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           (ii) EDUCATIONAL COUNSELING OR INSTRUCTION PROVIDED BY AN

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      ACCREDITED COLLEGE OR UNIVERSITY OR A PRIMARY OR SECONDARY SCHOOL

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      PROVIDING EDUCATION REQUIRED BY THE STATE.

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           (iii) COUNSELING OR INSTRUCTION OF A KINDERGARTEN OR NURSERY

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      SCHOOL.

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           (J) "TELEPHONE SOLICITATION" MEANS ANY VOICE COMMUNICATION

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      OVER A TELEPHONE FOR THE PURPOSE OF MAKING A HOME SOLICITATION

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      SALE OR ENCOURAGING THE PURCHASE OR RENTAL OF, OR INVESTMENT IN,

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      GOODS OR SERVICES.  TELEPHONE SOLICITATION DOES NOT INCLUDE ANY

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      OF THE FOLLOWING:

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           (i) ANY VOICE COMMUNICATION TO ANY RESIDENTIAL TELEPHONE

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      SUBSCRIBER WITH THAT SUBSCRIBER'S PRIOR EXPRESS INVITATION OR

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      PERMISSION.

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           (ii) ANY VOICE COMMUNICATION TO A RESIDENTIAL TELEPHONE SUB-

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      SCRIBER IF THE COMMUNICATION IS MADE ON BEHALF OF A

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      NOT-FOR-PROFIT ORGANIZATION, PROVIDED THAT A BONA FIDE MEMBER OF

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      THE EXEMPT ORGANIZATION MAKES THE VOICE COMMUNICATION.

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           (iii) ANY VOICE COMMUNICATION TO ANY RESIDENTIAL TELEPHONE

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      SUBSCRIBER WHO IS AN EXISTING CUSTOMER OF THE SOLICITOR.

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           (iv) OCCASIONAL AND ISOLATED VOICE COMMUNICATIONS TO A RESI-

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      DENTIAL TELEPHONE SUBSCRIBER PROVIDED ALL OF THE FOLLOWING CONDI-

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      TIONS ARE MET:

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           (A) A DIRECT EMPLOYEE OF THE BUSINESS MAKES THE VOICE

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      COMMUNICATION.

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           (B) THE VOICE COMMUNICATION IS NOT MADE AS PART OF A TELE-

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      COMMUNICATIONS MARKETING PLAN.





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           (C) THE BUSINESS HAS A REASONABLE BELIEF THAT THE SPECIFIC

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      PERSON WHO IS RECEIVING THE VOICE COMMUNICATION IS CONSIDERING

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      PURCHASING A GOOD OR SERVICE SOLD OR LEASED BY THE BUSINESS AND

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      THE CALL IS SPECIFICALLY DIRECTED TO THE PERSON.

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           (D) THE BUSINESS DOES NOT SELL OR ENGAGE IN TELEPHONE

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      SOLICITATIONS.

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           (E) THE BUSINESS DOES NOT MAKE MORE THAN 3 OF THE VOICE COM-

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      MUNICATIONS IN ANY 1 CALENDAR WEEK.

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           (K) "TELEPHONE SOLICITOR" MEANS ANY PERSON DOING BUSINESS IN

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      THIS STATE WHO MAKES OR CAUSES TO BE MADE A TELEPHONE SOLICITA-

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      TION FROM WITHIN OR OUTSIDE OF THIS STATE, INCLUDING, BUT NOT

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      LIMITED TO, CALLS MADE BY USE OF AUTOMATED DIALING AND ANNOUNCING

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      DEVICES OR BY A LIVE PERSON.































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