46th legislature - STATE OF NEW MEXICO - first session, 2003

RELATING TO UNFAIR TRADE PRACTICES; PROHIBITING AUTOMATED DIALING EQUIPMENT FROM DIALING TELEPHONE NUMBERS WHEN THE CALLED PARTY MAY NOT BE CONNECTED TO THE CALLER; AMENDING A SECTION OF THE NMSA 1978.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

Section 1. Section 57-12-22 NMSA 1978 (being Laws 1989, Chapter 309, Section 2) is amended to read:

"57-12-22. TELEPHONE SOLICITATION SALES--AUTOMATED TELEPHONE DIALING SYSTEMS FOR SALES RESTRICTED--DISCLOSURE AND OTHER REQUIREMENTS ESTABLISHED FOR AUTHORIZED TELEPHONE SOLICITATION SALES.--

A. A person shall not utilize an automated telephone dialing or push-button or tone-activated address signaling system with a prerecorded message to solicit persons to purchase goods or services unless there is an existing business relationship between such persons and the person being called consents to hear the prerecorded message.

B. It is unlawful under the Unfair Practices Act for [any] a person to [solicit by means of] make a seller-initiated telephone sale [of goods or services]:

(1) without promptly disclosing the name of the sponsor and the primary purpose [or purposes] of the contact;

(2) [in which offers or solicitations in] under the guise of research or a survey [are made] when the real intent is to sell goods or services;

(3) without disclosing, prior to commitments by customers, the cost of the goods or services, all terms, conditions, payment plans and the amount or existence of any extra charges such as shipping and handling;

(4) [which are received] before 9:00 a.m. or after 9:00 p.m.;

(5) using automatic dialing equipment unless the telephone immediately releases the line when the called party disconnects; [and]

(6) using automatic dialing equipment that dials and engages the telephone numbers of more than one person at a time but allows the possibility of a called person not being connected to the calling person; and

[(6) asking for] (7) in which credit card numbers [until and unless the customer has committed to make the purchase and expressed] are requested before the prospective purchaser expresses a desire to use a credit card to pay for the purchase."

Section 2. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2003.