Legislature(1993 - 1994)
03/19/1993 01:00 PM House JUD
| Audio | Topic |
|---|
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HB 113: CHARITABLE & TELEPHONIC SOLICITING/SALES Number 055 GAYLE HORETSKI, COMMITTEE COUNSEL, HOUSE JUDICIARY COMMITTEE, outlined changes that appeared in a draft committee substitute for HB 113 (CSHB 113 (JUD)), dated March 18, 1993. The first change was located on page 2, line 19. She stated that the phrase "solicit payment for the purchase" had been added. She commented that this language explained what a telephonic seller could and could not do regarding a written contract. Number 125 MS. HORETSKI noted that the criminal penalties section of HB 113 had been clarified, at the recommendation of the Department of Law (DOL). She called members' attention to page 3, lines 23-30 of CSHB 113 (JUD). She said that the criminal penalties' section was a two-tiered system. A person would be guilty of a class C felony if he or she violated the law by trying to sell without having the written contract for soliciting payment. If other provisions of HB 113 were violated, however, a person would be charged with a class A misdemeanor. MS. HORETSKI stated that the next change appeared on page 4, lines 6-8. She said that persons registered with the United States Securities Commission, when acting within the scope of their license, had been added to the list of exemptions in HB 113. She said that this change had been made because the securities industry was already heavily regulated under federal law. Number 140 MS. HORETSKI noted that a change had been made regarding the length of time records had to be kept. In earlier versions of HB 113, she said, records were required to be kept for three years. That period had now been extended to five years, she stated. She called members' attention to page 9, line 4, and page 11, line 3, where that particular change was contained. MS. HORETSKI cited new language in the criminal penalties provision of the charitable organization section of CSHB 113 (JUD). She said that the new language appeared on page 10, lines 7-9, and was clarifying language suggested by the DOL. Number 165 REPRESENTATIVE GAIL PHILLIPS asked why embalmers and funeral home directors were exempted from the provisions of HB 113. Number 170 JUDY MATHIS, LEGISLATIVE AIDE TO REPRESENTATIVE RON LARSON, PRIME SPONSOR OF HB 113, replied that those particular professions were already regulated by another agency. She noted that Assistant Attorney General Jim Forbes could more thoroughly answer Representative Phillips' question. Number 176 JIM FORBES, ASSISTANT ATTORNEY GENERAL, DEPARTMENT OF LAW, spoke via telephone from Anchorage. He commented that embalmers and funeral home directors were already specifically covered by the Consumer Protection Act. He said that including them in HB 113 would be duplicative. He noted that they could still solicit business over the telephone without registering with the DOL. Number 195 REPRESENTATIVE PHILLIPS asked Mr. Forbes to clarify his remarks. Number 202 MR. FORBES responded that by being exempt from HB 113's provisions, the only thing that funeral home directors and embalmers were permitted to do was solicit business by telephonic means, without registering with the DOL. If the exemption was eliminated, he noted, they would merely have to register with the DOL before soliciting business by telephonic means. Number 234 REPRESENTATIVE JOE GREEN asked if the exemption for people registered with the United States Securities Commission applied to stockbrokers. Number 245 MR. FORBES believed that the exemption applied to stockbrokers. He commented that people in the securities' business solicited two types of business over the telephone: the sale of securities, and the sale of stockbroker services. He said that the bill had been recently amended to cover both of these types of sales, as earlier versions of HB 113 had merely covered the sale of securities. He commented that the securities industry was already very heavily regulated. Number 274 CHAIRMAN BRIAN PORTER stated that HB 113 would help to deal with the problem of fraudulent use of telemarketing. Number 284 REPRESENTATIVE GREEN made a MOTION to ADOPT CSHB 113 (JUD). There being no objection, IT WAS SO ORDERED. Number 290 REPRESENTATIVE GREEN made a MOTION to MOVE CSHB 113 (JUD) out of committee, with individual recommendations and a zero fiscal note. There being no objection, IT WAS SO ORDERED. Number 309 CHAIRMAN PORTER announced that the next item of business before the committee was HB 137.
| Document Name | Date/Time | Subjects |
|---|