15 U.S.C. § 5721 — Regulations

Page 2214 TITLE 15—COMMERCE AND TRADE § 5721 1 See References in Text note below. sion determines that such services are suscep- tible to the unfair and deceptive practices that are prohibited by the rules prescribed pursu- ant to section 5711(a) of this title. (2) The term ‘‘attorney general’’ means the chief legal officer of a State. (3) The term ‘‘State’’ means any State of the United States, the District of Columbia, Puer- to Rico, the Northern Mariana Islands, and any territory or possession of the United States. (4) The term ‘‘Commission’’ means the Fed- eral Trade Commission. (Pub. L. 102–556, title II, § 204, Oct. 28, 1992, 106 Stat. 4191; Pub. L. 104–104, title VII, § 701(b)(1), Feb. 8, 1996, 110 Stat. 147.) Editorial Notes AMENDMENTS 1996—Par. (1). Pub. L. 104–104 amended par. (1) gen- erally. Prior to amendment, par. (1) read as follows: ‘‘The term ‘pay-per-call services’ has the meaning pro- vided in section 228 of title 47.’’ SUBCHAPTER II—BILLING AND COLLECTION § 5721. Regulations (a) In general (1) Rules required The Commission shall, in accordance with the requirements of this section, prescribe rules establishing procedures for the correc- tion of billing errors with respect to tele- phone-billed purchases. The rules prescribed by the Commission shall also include provi- sions to prohibit unfair or deceptive acts or practices that evade such rules or undermine the rights provided to customers under this subchapter. (2) Substantial similarity to credit billing The Commission shall promulgate rules under this section that impose requirements that are substantially similar to the require- ments imposed, with respect to the resolution of credit disputes, under the Truth in Lending and Fair Credit Billing Acts [15 U.S.C. 1601 et seq., 1666 et seq.]. (3) Treatment of rule A rule issued under paragraph (1) shall be treated as a rule issued under section 57a(a)(1)(B) of this title. (b) Rulemaking schedule and procedure The Commission shall prescribe the rules under subsection (a) within 270 days after Octo- ber 28, 1992. Such rules shall be prescribed in ac- cordance with section 553 of title 5. (c) Enforcement Any violation of any rule prescribed under subsection (a) shall be treated as a violation of a rule under section 45 of this title regarding un- fair or deceptive acts or practices. Notwith- standing section 45(a)(2) of this title, commu- nications common carriers shall be subject to the jurisdiction of the Commission for purposes of this subchapter. (d) Correction of billing errors and correction of credit reports In prescribing rules under this section, the Commission shall consider, with respect to tele- phone-billed purchases, the following: (1) The initiation of a billing review by a customer. (2) Responses by billing entities and pro- viding carriers to the initiation of a billing re- view. (3) Investigations concerning delivery of telephone-billed purchases. (4) Limitations upon providing carrier re- sponsibilities, including limitations on a car- rier’s responsibility to verify delivery of audio information or entertainment. (5) Requirements on actions by billing enti- ties to set aside charges from a customer’s billing statement. (6) Limitations on collection actions by bill- ing entities and vendors. (7) The regulation of credit reports on billing disputes. (8) The prompt notification of credit to an account. (9) Rights of customers and telephone com- mon carriers regarding claims and defenses. (10) The extent to which the regulations should diverge from requirements under the Truth in Lending and Fair Credit Billing Acts [15 U.S.C. 1601 et seq., 1666 et seq.] in order to protect customers, and in order to be cost ef- fective to billing entities. (Pub. L. 102–556, title III, § 301, Oct. 28, 1992, 106 Stat. 4191.) Editorial Notes REFERENCES IN TEXT The Truth in Lending Act, referred to in subsecs. (a)(2) and (d)(10), is title I of Pub. L. 90–321, May 29, 1968, 82 Stat. 146, which is classified generally to subchapter I (§ 1601 et seq.) of chapter 41 of this title. For complete classification of this Act to the Code, see Short Title note set out under section 1601 of this title and Tables. The Fair Credit Billing Act, referred to in subsecs. (a)(2) and (d)(10), is title III of Pub. L. 93–495, Oct. 28, 1974, 88 Stat. 1511, which is classified principally to part D (§ 1666 et seq.) of subchapter I of chapter 41 of this title. For complete classification of this Act to the Code, see Short Title of 1974 Amendment note set out under section 1601 of this title and Tables. § 5722. Relation to State laws (a) State law applicable unless inconsistent This subchapter does not annul, alter, or af- fect, or exempt any person subject to the provi- sions of this subchapter from complying with, the laws of any State with respect to telephone billing practices, except to the extent that those laws are inconsistent with any provision of this subchapter, and then only to the extent of the inconsistency. The Commission is authorized to determine whether such inconsistencies exist. The Commission may not determine that any State law is inconsistent with any provision of this subchapter 1 if the Commission determines