1.0 PURPOSE AND APPLICABILITY
1.1 PURPOSE
The purpose of these Consumer Protection
Regulations is to establish consumer protection/rules and responsibilities
of current or potential customers who take service from CLCs registered
to operate within the State of California as authorized by the
California Public Utilities Commission.
1.2 APPLICABILITY
These Consumer Protection Regulations
apply to CLCs and, where noted, to LECs.
The provisions here shall be observed
subject to the jurisdiction of the California Public Utilities
Commission, except if an exemption is made by the Commission,
either on its own motion or after investigation of the facts and
circumstances involved in a complaint.
In case of emergency where public interest
requires immediate action, the rules shall not prevent immediate
corrective action by the CLC; that action, however, shall be subject
to review by the Commission.
2.0 DEFINITION AND TERMS
2.1 APPLICANT (Customer)
Any person, corporation or other entity
that has applied for service.
2.2 COMMISSION
Public Utilities Commission of the State
of California.
2.3 INFORMAL COMPLAINT
Informal request for assistance made
to the Commission's Consumer Affairs Branch (CAB) with supporting
documentation concerning a CLC's service, rates or other matters.
CAB staff investigates and tries to arrive at an informal adjustment
without public hearing or Commission order. Informal complaint
files are not available for public inspection.
2.4 FORMAL COMPLAINT
A formal charge that a CLC has violated
the Public Utilities Code or some order or regulation of the Commission.
The complaint must be in writing, be in accordance with the Commission's
Rules of Practice and Procedure and made under oath. The proceeding
ordinarily requires public hearing and a Commission decision.
2.5 COMPLETED CALL OR
TELEPHONIC COMMUNICATION
A call, or other telephonic communication,
originated by a person or mechanical/electrical device from a
number to another number which is answered by a person or mechanical/electrical
device. The numbers may be located any distance apart within California;
and the communication may consist of voice, data, the combination
of both, or other transmission via a wire or wireless medium;
and may be for any duration of time.
2.6 CONSUMER AFFAIRS
BRANCH (CAB)
The Consumer Affairs Branch of the California
Public Utilities Commission.
2.7 DATE OF PRESENTATION
Postmark date on billing envelope.
2.8 AGENT
A business representative, whose function
is to bring about, modify, affect, accept performance of, or terminate
contractual obligations between a CLC and applicants or customers.
2.9 MINOR RATE INCREASE
Minor increases are those which are both
less than 1% of the CLC's total California intrastate revenues
and less than 5% of the affected service's rates. Increases shall
be cumulative, such that if the sum of the proposed rate increase
and rate increases that took effect during the preceding 12-month
period for any service exceeds either parameter above, then the
filing shall be treated as a major increase.
2.10 MAJOR RATE INCREASES
Major increases are increases which are
greater than the increases described in Section 2.9 of these rules.
3.0 RULES
RULE 1 CLC INFORMATION
CLCs shall, on request, provide each
applicant for service or customer the following:
A. The California Public Utilities Commission
identification number of its registration to operate as a telecommunications
corporation within California.
B. The address and telephone number of
the California Public Utilities Commission to verify its authority
to operate.
C. A copy of these Consumer Protection
Regulations.
D. A tollfree number to call for
service or billing inquiries, along with an address where the
customer may write the CLC.
E. A full disclosure of all fictitious
i.e., Adba@
names.
F. The names of billing agents it uses
in place of performing the billing function itself.
G. Rate information as required by Rule
6(A).
RULE 2 INITIATION
OF SERVICE
During the initial contact all applicants
for residential service must be given information regarding the
Universal Lifeline program and its availability.
Service may be initiated based on a written or oral agreement between the CLC and the customer. In either case, prior to the agreement, the customer shall be informed of all rates and charges for the services the customer desires and any other rates or charges which will appear on the customer's first bill.
If the agreement is oral, within 10 days
of initiating the service order, the CLC will provide a confirmation
letter setting forth a brief description of the services ordered
and itemizing all charges which will appear on the customer*s
bill. The letter must be in a language other than English if the
sale was in another language.
Within 10 days of initiating service,
the CLC shall state in writing for all new customers all material
terms and conditions that could affect what the customer pays
for telecommunications services provided by the CLC.
Potential customers who are denied service
for failure to establish credit or pay deposit as described in
Rule 12 must be given the reason for the denial in writing within
10 days of service denial.
RULE 3 SPECIAL INFORMATION
REQUIRED ON FORMS
A. Customer Bills
The CLC shall be identified on each bill.
Each bill must prominently display a toll-free number for service
or billing inquiries, along with an address where the customer
may write. If the CLC uses a billing agent, the carrier must also
include the name of the billing agent it uses. Each bill for telephone
service will contain notations concerning the following areas:
(1) When to pay your bill;
(2) Billing detail including the period
of service covered by the bill;
(3) Late payment charge and when applied;
(4) How to pay your bill;
(5) Questions about your bill;
(6) Network access for interstate calling;
(7) In addition to the above, each bill shall include the following statement:
"This bill is now due and payable;
it becomes subject to a late payment charge if not paid within
15 [15 days is the minimum number of days in which the CLC can
require payment; a CLC may elect to allow customers a longer time
to pay the bill.] calendar days of presentation date. Should you
question this bill, please request an explanation from (name of
CLC).
If you believe you have been billed incorrectly
you may file a complaint with the California Public Utilities
Commission, Consumer Affairs Branch, 505 Van Ness Avenue, San
Francisco, CA 94102, or 107 South Broadway, Room 5109, Los Angeles,
CA 90012. To avoid having service disconnected, payment
of the disputed bill should be made "under protest"
to the CPUC or payment arrangements should be made agreeable to
the CLC pending the outcome of the Commission's Consumer Affairs
Branch review. The Consumer Affairs Branch shall review the basis
of the billed amount, communicate the results of its review to
the parties and inform you of your recourse to pursue the matter
further with the Commission."
B. Deposit Receipts
Each deposit receipt shall contain the
following provisions:
"This deposit, less the amount of
any unpaid bills for service furnished by (name of CLC), shall
be refunded, together with any interest due, within 30 calendar
days after the discontinuance of service, or after 12 months of
service, whichever comes first. However, deposits may not receive
interest if the customer has received a minimum of two notices
of discontinuance of service for nonpayment of bills in a 12-month
period.
RULE 4 CREDIT ESTABLISHMENT
Each applicant for service shall provide
credit information satisfactory to the CLC or pay a deposit. Deposits
shall not be required if the applicant:
A. Provides credit history acceptable
to the CLC. Credit information contained in the applicant's account
record may include, but shall not be limited to, account established
date, "canbereached" number, name of employer,
employer's address, customer's driver*s
license number or other acceptable personal identification, billing
name, and location of current and previous service. Credit cannot
be denied for failure to provide social security number.
B. A cosigner or guarantor may be used
providing the cosigner or guarantor has acceptable credit history
with the serving CLC or another acceptable local carrier.
C. A CLC cannot refuse a deposit to establish
credit for service. However, it may request the deposit to be
in cash or other acceptable form of payment (e.g., cashier*s
check, money order, bond, letter of credit).
RULE 5 DEPOSITS
In the event the customer fails to establish
a satisfactory credit history, deposits are a form of security
that shall be required from customers to ensure payment of bills.
Deposits shall be no greater than twice
the estimated average monthly bill for the class of service applied
for.
In the event a customer requests services
in addition to basic service, the average bill will reflect the
aggregate services requested by the customer. Deposits will be
refunded with interest within 30 days after discontinuance of
service or after 12 months of service, whichever comes first.
Interest will be added to the deposit using the 3-month commercial
paper rate published by the Federal Reserve Board, except under
the following conditions: no interest shall be given if the customer
has received a minimum of two notices in a 12-month period as
provided under Rule No. 6(B)(2).
RULE 6 - NOTICES
Notices provided to the customer by the
CLC shall be as follows:
A. Rate Information
(1) Rate information and information
regarding the terms and conditions of service shall be provided
in writing upon request by a current or potential customer. Notice
of major increases in rates shall be provided in writing to customers
and postmarked at least 30 days prior to the effective date of
the change. No customer notice shall be required for minor rate
increases or for rate decreases. Customers shall be advised of
optional service plans in writing as they become available. In
addition, customers shall be advised of changes to the terms and
conditions of service no later than the company's next periodic
billing cycle.
(2) When a CLC provides information to
a consumer which is allegedly in violation of its tariffs, the
consumer shall have the right to bring a complaint against the
CLC.
B. Discontinuance of Service
Notice
(1) Notice by customers
Customers are responsible for notifying the CLC of their desire to discontinue service on or before the date of disconnection. Such notice may be either verbal or written.
2) Notice by CLC
Rules in Commission Decision 91188, regarding
discontinuance of service related to criminal prosecution, will
remain in effect for CLCs.
Notices to discontinue service for nonpayment
of bills shall be provided in writing by first class mail to the
customer not less than 7 calendar days prior to termination. Each
notice shall include all of the following information:
1. The name and address of the customer
whose account is delinquent.
2. The amount that is delinquent.
3. The date when payment or arrangements
for payment are required in order to avoid termination.
4. The procedure the customer may use
to initiate a complaint or to request an investigation concerning
service or charges.
5. The procedure the customer may use
to request amortization of the unpaid charges.
6. The telephone number of a representative
of the CLC, who can provide additional information or institute
arrangements for payment.
7. The telephone number of the Commission*s
Consumer Affairs Branch (CAB) where the customer may direct inquiries.
8. Local service may not be discontinued
for nonpayment of Category III or other unregulated competitive
services.
C. Change in Ownership or Identity
Notice
CLCs shall notify their customers in
writing of a change in ownership or identity of the customer's
service provider on the customers*
next monthly billing cycle.
D. Rules for CLC Notices
Notices the CLC sends to customers, or
the Commission, shall be a legible size and printed in a minimum
point size type of 10 and are deemed made on date of presentation
(Sec. 2.7).
RULE 7 PRORATING
OF BILLS
Any prorated bill shall use a 30-day
month to calculate the prorata amount. Prorating shall apply
only to recurring charges. All nonrecurring and usage charges
incurred during the billing period shall be billed in addition
to prorated amounts.
RULE 8 DISPUTED BILLS
In case of a billing dispute between
the customer and the CLC as to the correct amount of a bill, which
cannot be adjusted with mutual satisfaction, the customer can
make the following arrangement:
A. First, the customer may make a request,
and the CLC will comply with the request, for an investigation
and review of the disputed amount.
B. The undisputed portion of the bill
must be paid by the Due By Date (No sooner than 15 days of the
date of presentation) shown on the bill or the service will be
subject to disconnection if the CLC has notified the customer
by written notice of such delinquency and impending termination.
C. If there is still disagreement after the investigation and review by a manager of the CLC, the customer may appeal to CAB for its investigation and decision. To avoid disconnection of service, the customer must submit the claim and, if the bill has not be paid, deposit the amount in dispute with CAB within 7 calendar days after the date the CLC notifies the customer that the investigation and review are completed and that such deposit must be made or service will be interrupted. However, the service will not be disconnected prior to the Due By Date shown on the bill.
D. The CLC may not disconnect the customer's
service for nonpayment as long as the customer complies with (B)
and (C) above.
E. The CLC shall respond to CAB's requests
for information within 10 business days.
F. CAB will review the claim of the disputed
amount, communicate the results of its review to the customer
and CLC and make disbursement of the deposited amount.
G. After the investigation and review
are completed by the CLC as noted in (A) above, if the customer
elects not to deposit the amount in dispute with CAB, such amount
becomes due and payable at once. In order to avoid disconnection
of service, such amount must be paid within 7 calendar days after
the date the CLC notifies the customer that the investigation
and review are completed and that such payment must be made or
service will be interrupted. However, the service will not be
disconnected prior to the Due By Date shown on the bill.
RULE 9 BILLS PAST
DUE
Bills are due and payable on the date
of presentation. A late payment charge may be applied if payment
is not received by the utility on or before the late payment date
which date will be prominently displayed on the customer's bill.
The late payment date will be at least 15 days after the date
of presentation on the billing envelope. CLCs shall credit payments
within 24 hours of receipt to avoid assessing late payment charges
incorrectly.
RULE 10 DISCONTINUANCE
OF SERVICE
A. Service may be discontinued
for nonpayment of bills provided:
1. The bill has not been paid by the
due date shown on the bill.
2. Notice of the proposed discontinuance
is provided pursuant to Rule 6(B)(2).
3. Service is not initially discontinued
on any Saturday, Sunday, legal holiday, or any other day CLC service
representatives are not available to serve customers.
B. Fraud
The CLC shall have the right to refuse
or discontinue service without advance notice if the acts of the
customer are such as to indicate intention to defraud the CLC.
This includes fraudulently placing and receiving calls and/or
providing false credit information.
C. For residence services disconnected
for nonpayment, the CLC must continue to provide access to 911
services to the customer.
RULE 11 - CHANGE OF SERVICE
PROVIDER
A. Solicitation of customer
authorization for service termination and transfer.
Solicitations by LECs, CLCs, or their
agents, of customer authorization for termination of service with
an existing carrier and the subsequent transfer to a new carrier
must include current rate information on the new carrier and information
regarding the terms and conditions of service with the new carrier.
Solicitations by LECs, CLCs, or their agents, must conform with
California Public Utilities Code Section 2889.5. All solicitations
sent by LECs, CLCs or their agents to customers must be legible
and printed in a minimum point size type of at least 10 points.
A penalty or fine of up to $500 may apply for each violation of
this Rule.
B. Unauthorized service termination
and transfer ("Slamming")
A LEC or CLC will be held liable for
both the unauthorized termination of service with an existing
carrier and the subsequent unauthorized transfer to their own
service. LECs and CLCs are responsible for the actions of their
agents that solicit unauthorized service termination and transfers.
A carrier who engages in such unauthorized activity shall restore
the customer's service to the original carrier without charge
to the customer. All billings during the unauthorized service
period shall be refunded to the applicant or customer. A
penalty or fine of up to $500 payable to the Commission may apply
to each violation of this Rule. As prescribed under PU Code Section
2108, each day of a continuing violation shall constitute a separate
and distinct offense. The LEC or CLC responsible for the unauthorized
transfer will reimburse the original carrier for reestablishing
service at the tariff rate of the original carrier.
RULE 12 FAILURE TO
ESTABLISH CREDIT OR PAY DEPOSIT
The CLC may refuse service if credit
is not established satisfactory to the CLC and may deny or disconnect
service if a deposit is not paid as required in Rule 5.
RULE 13 LIABILITY
OF CLC
The CLC shall not be liable for any failure
of performance due to causes beyond its control, including, without
limitation to, acts of God, fires, floods or other catastrophes,
national emergencies, insurrections, riots or wars, strikes, lockouts,
work stoppage or other labor difficulties, and any order, regulation
or other action of any governing authority or agency thereof.
RULE 14 PRIVACY
CLCs are restricted from releasing nonpublic
customer information in accordance with PU Code Sections 2891,
2891.1, and 2893. For each new customer, and on an annual basis
for continuing customers, CLCs shall provide in writing a description
of how the carrier handles the customer's private information
and a disclosure of any ways that such information might be used
or transferred that would not be obvious to the customer. CLCs
are subject to the credit information and calling record privacy
rules set forth in Appendix B of Decision Nos. 92860 and 93361,
except as modified by Decision Nos. 83-06-066, 83-06-073, and
8309-061.
RULE 15 - BLOCKING ACCESS
TO 900 AND 976 INFORMATION SERVICES
At the request of a customer, CLCs shall
block that customer's access to 900 and 976 payper call
telephone information services. CLCs shall inform their customers
of the availability of this service at the time service is ordered.
This blocking service shall be made available free of charge to
residential customers, although CLCs may impose a charge if the
customer asks for deactivation of blocking.
(END OF APPENDIX B)