SUMMARY--Revises provisions governing use of devices for automatic dialing and announcing on telephones. (BDR 52-971)
FISCAL NOTE: Effect on Local Government: Yes.
Effect on the State or on Industrial Insurance: Yes.
EXPLANATION - Matter in italics is new; matter in brackets [ ] is material to be omitted.
AN ACT relating to trade practices; revising the provisions governing the use of a device for automatic dialing and announcing on telephones; prohibiting the use of such a device under certain circumstances; providing that the dissemination of an unsolicited prerecorded message is a deceptive trade practice under certain circumstances; providing penalties; and providing other matters properly relating thereto.
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1 Chapter 597 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 5, inclusive, of this act.
Sec. 2 As used in NRS 597.930 and sections 2 to 5, inclusive, of this act, "device for automatic dialing and announcing" means any equipment that:
1. Incorporates a storage capability of telephone numbers to be called or a random or sequential number generator capable of producing telephone numbers to be called; and
2. Has the capability, working alone or in conjunction with other equipment, to disseminate a prerecorded message to the telephone number called.
Sec. 3 1. The provisions of NRS 597.930 do not prohibit the use of a device for automatic dialing and announcing by any person exclusively on behalf of:
(a) A school or school district to contact the parents or guardians of a pupil regarding the attendance of the pupil.
(b) A nonprofit organization to contact its members.
(c) A company that provides cable television services to contact its customers regarding a previously arranged installation of such services at the premises of the customer.
(d) A public utility to contact its customers regarding a previously arranged installation of utility services at the premises of the customer.
(e) A facility that processes or stores petroleum, volatile petroleum products, natural gas, liquefied petroleum gas, combustible chemicals, explosives, high-level radioactive waste or other dangerous substances to advise local residents, public service agencies and news media of an actual or a potential life-threatening emergency.
2. The provisions of NRS 597.930 do not prohibit any state or local governmental agency, or any private entity operating under contract with and at the direction of such an agency, from placing telephone calls through the use of a device for automatic dialing and announcing to provide:
(a) Information relating to public safety.
(b) Information relating to a police or fire emergency.
(c) Warnings of impending or threatening emergencies.
Sec. 4 1. A person shall not connect a device for automatic dialing and announcing to any telephone line in this state without first making a written application to and receiving written authorization from a provider of telecommunication services that offers telecommunication services in the area in which the device for automatic dialing and announcing will be operated.
2. An application for authorization to connect a device for automatic dialing and announcing to a telephone line must include:
(a) A description of the type of device for automatic dialing and announcing proposed to be connected to the telephone line;
(b) The period during which the telephone calls are proposed to be placed using the device, including the days and times of such calls;
(c) The number of telephone calls proposed to be placed by the device for automatic dialing and announcing during the specified period;
(d) The average length of a completed telephone call; and
(e) Such other information as the provider of telecommunication services may require.
3. Upon receiving an application for authorization to connect a device for automatic dialing and announcing to a telephone line pursuant to this section, the provider of telecommunication services shall review the application and shall:
(a) Approve the application; or
(b) Deny or modify the application if, based on its review of the application, it determines that:
(1) The calling patterns that would be generated by the proposed use of the device for automatic dialing and announcing would create an overload on the telephone lines of the provider of telecommunication services; or
(2) The proposed use of the device for automatic dialing and announcing would be detrimental to the telecommunication services provided by the provider of telecommunication services or to the other customers of the provider of telecommunication services.
4. As used in this section, "provider of telecommunication services" means a public utility subject to the jurisdiction of the public service commission of Nevada that provides telecommunication services.
Sec. 5 1. A person who violates any provision of NRS 597.930 and sections 2, 3 and 4 of this act is guilty of a misdemeanor.
2. If a person is found guilty of, or has pleaded guilty or nolo contendere to, violating any provision of NRS 597.930 and sections 2, 3 and 4 of this act, his telephone service to which a device for automatic dialing and announcing has been connected must be suspended for a period determined by the court.
Sec. 6 NRS 597.930 is hereby amended to read as follows:
597.9301. Except as otherwise provided in subsection [2,] 3 and section 3 of this act, a person shall not use [an automatic system to select and dial telephone numbers to play automatically a recorded message to:
(a) Solicit a person to purchase goods or services; or
(b) Request information for a survey if that information is to be used directly to solicit a person to purchase goods or services.] a device for automatic dialing and announcing to disseminate a prerecorded message in a telephone call unless, before the message is disseminated, a natural person:
(a) In an unrecorded natural voice:
(1) Informs the person who answers the telephone call of the nature of the call, including the fact that a device for automatic dialing and announcing will be used to disseminate the message upon the consent of the person;
(2) Provides the name, address and telephone number of the business or organization being represented by the caller, if any, to the person; and
(3) Informs the person that the caller will disconnect the device for automatic dialing and announcing from the telephone line upon the termination of the telephone call by either the caller or the person; and
(b) Obtains the express consent of that person to play the prerecorded message.
2. A person shall not operate a device for automatic dialing and announcing to place a call that is received by a telephone located in this state during the period between 9 p.m. and 9 a.m.
3. This section does not prohibit the use of [an automatic system] a device for automatic dialing and announcing to dial the number of and play a recorded message to a person with whom the [system's owner] person using the device has a preexisting business relationship.
[3. A person who violates this section is guilty of a misdemeanor.]
Sec. 7 Chapter 598 of NRS is hereby amended by adding thereto a new section to read as follows:
A person engages in a "deceptive trade practice" when, in the course of his business or occupation, he disseminates an unsolicited prerecorded message by telephone unless, before the prerecorded message is connected, a natural person:
1. In an unrecorded natural voice:
(a) Informs the person who answers the telephone call of the nature of the call; and
(b) Provides the name, address and telephone number of the business or organization being represented by the caller, if any, to the person; and
2. Obtains the express consent of that person to play the prerecorded message.
Sec. 8 NRS 598.0903 is hereby amended to read as follows:
598.0903As used in NRS 598.0903 to 598.0999, inclusive, and section 7 of this act, unless the context otherwise requires, the words and terms defined in NRS 598.0905 to 598.0947, inclusive, and section 7 of this act, have the meanings ascribed to them in those sections.
Sec. 9 NRS 598.0999 is hereby amended to read as follows:
598.09991. A person who violates any court order or injunction issued pursuant to NRS 598.0903 to 598.0997, inclusive, and section 7 of this act, upon a complaint brought by the commissioner, the director, the district attorney of any county of this state or the attorney general shall forfeit and pay to the state general fund a civil penalty of not more than $10,000 for each violation. For the purpose of this section, the court issuing any such order or injunction retains jurisdiction over the action or proceeding. Such civil penalties are in addition to any other penalty or remedy available for the enforcement of the provisions of NRS 598.0903 to 598.0997, inclusive [.] , and section 7 of this act.
2. In any action brought pursuant to NRS 598.0979 to 598.099, inclusive, and section 7 of this act, if the court finds that a person has willfully engaged in a deceptive trade practice, the commissioner, the director, the district attorney of any county in this state or the attorney general bringing the action may recover a civil penalty not to exceed $2,500 for each violation.
3. A natural person, firm, or any officer or managing agent of any corporation or association who knowingly and willfully engages in a deceptive trade practice:
(a) For the first offense, is guilty of a misdemeanor.
(b) For the second offense, is guilty of a gross misdemeanor.
(c) For the third and all subsequent offenses, is guilty of a category D felony and shall be punished as provided in NRS 193.130.
4. Any offense which occurred within 10 years immediately preceding the date of the principal offense or after the principal offense constitutes a prior offense for the purposes of subsection 3 when evidenced by a conviction, without regard to the sequence of the offenses and convictions.
5. If a person violates any provision of NRS 598.0903 to 598.0999, inclusive, and section 7 of this act, 598.100 to 598.280, inclusive, 598.281 to 598.289, inclusive, or 598.840 to 598.966, inclusive, fails to comply with a judgment or order of any court in this state concerning a violation of such a provision, or fails to comply with an assurance of discontinuance or other agreement concerning an alleged violation of such a provision, the commissioner or the district attorney of any county may bring an action in the name of the State of Nevada seeking:
(a) The suspension of the person's privilege to conduct business within this state; or
(b) If the defendant is a corporation, dissolution of the corporation.
The court may grant or deny the relief sought or may order other appropriate relief.
Sec. 10 The amendatory provisions of this act do not apply to offenses that are committed before October 1, 1997.
Sec. 11 The provisions of subsection 1 of NRS 354.599 do not apply to any additional expenses of a local government that are related to the provisions of this act.