State of Illinois
91st General Assembly
Legislation

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91_SB0349

 
                                              LRB9101743SMdvA

 1        AN ACT regarding telemarketing.

 2        Be  it  enacted  by  the People of the State of Illinois,
 3    represented in the General Assembly:

 4        Section 1.  Short title.  This Act may be  cited  as  the
 5    Telemarketing Registration and Fraud Prevention Act.

 6        Section 5.  Definitions.  As used in this Act, unless the
 7    context otherwise requires:
 8        "Emergency  telephone  number" means any telephone number
 9    that accesses or calls a  fire  department,  law  enforcement
10    agency,  ambulance,  hospital, medical center, poison control
11    center, rape crisis center, suicide prevention center, rescue
12    service, or the 911 emergency access number provided  by  law
13    enforcement agencies and police departments.
14        "Investment   opportunity"  means  anything  tangible  or
15    intangible, that is offered for sale, sold, or  traded  based
16    wholly  or  in  part  on  representations,  either express or
17    implied, about past, present, or future  income,  profit,  or
18    appreciation.
19        "Person"  includes  any individual, group of individuals,
20    firm, association, corporation, partnership,  joint  venture,
21    sole proprietorship, or any other business entity.
22        "Prize" means anything offered or purportedly offered and
23    given or purportedly given to a person by chance.
24        "Prize  promotion"  means  a sweepstakes or other game of
25    chance  or  an  oral   or   written,   express   or   implied
26    representation  that  a  person has won, has been selected to
27    receive, or is eligible  to  receive  a  prize  or  purported
28    prize.
29        "Seller"  means  any  person  who,  in  connection with a
30    telemarketing transaction, provides, offers  to  provide,  or
31    arranges  for  others  to  provide  goods  or services to the
 
                            -2-               LRB9101743SMdvA
 1    customer in exchange for consideration.
 2        "Solicitation" means a written or  oral  notification  or
 3    advertisement that meets any one of the following terms:
 4             (1)  The    notification    or    advertisement   is
 5        transmitted by or on behalf of  the  seller  and  by  any
 6        printed,   audio,   video,   cinematic,   telephone,   or
 7        electronic means.
 8             (2)  In  the case of a notification or advertisement
 9        other  than  by  telephone,  either  of   the   following
10        conditions is met:
11                  (A)  The   notification   or  advertisement  is
12             followed by a telephone call from a telemarketer; or
13                  (B)  The notification or advertisement  invites
14             a  response by telephone, and through that response,
15             a telemarketer attempts to make a sale of  goods  or
16             services.
17        "Telemarketer"  means  any person who, in connection with
18    telemarketing,  initiates  telephone  calls  to  or  receives
19    telephone calls from a person in this State.   "Telemarketer"
20    also  means  any  person  located  within  this State who, in
21    connection  with   telemarketing,   initiates   or   receives
22    telephone  calls.  "Telemarketer" includes but is not limited
23    to, any person who is an owner, operator, officer,  director,
24    or partner to the management activities of a business.
25        "Telemarketing"  means a plan, program, or campaign which
26    is conducted to induce the purchase of goods or  services  by
27    use  of  one  or more telephones and which involves more than
28    one telephone call.  "Telemarketing"  may  also  include  the
29    notification of a prize award.

30        Section  10.   Exemptions.   For purposes of registration
31    under Section 15, "telemarketer" does not include any of  the
32    following:
33        (1)  Any  securities, commodities, or investment brokers,
 
                            -3-               LRB9101743SMdvA
 1    dealers, or investment advisers or associates of  securities,
 2    commodities,  or  investment  brokers, dealers, or investment
 3    advisers subject to license or registration by the Securities
 4    and  Exchange  Commission,   the  National   Association   of
 5    Securities Dealers, or any other self regulatory organization
 6    as defined by 15 U.S.C. 78l, or by an agency of this State or
 7    any other state, who are soliciting within the scope of their
 8    license or registration.
 9        (2)  A  person  engaged  in solicitation for a religious,
10    charitable, political, educational,  or  other  noncommercial
11    purpose  or  a  person  soliciting  for a domestic or foreign
12    nonprofit corporation that is registered  with  the  Illinois
13    Secretary of State.
14        (3)  A business making a sale to another business.
15        (4)  A   person   that  solicits  sales  by  periodically
16    publishing  and  delivering  a  catalog   of   the   person's
17    merchandise to prospective purchasers, if the catalog:
18             (A)  Contains  a written description or illustration
19        of each item offered for sale;
20             (B)  Includes the business or home  address  of  the
21        person soliciting the sale;
22             (C)  Includes  at least 20 pages of written material
23        and illustrations;
24             (D)  Is distributed in more than one state; and
25             (E)  Has a circulation by mailing of not  less  than
26        150,000.
27        (5)  A  person  who solicits contracts for maintenance or
28    repair of goods previously purchased from that person or from
29    the person on whose behalf the solicitation is made.
30        (6)  A person soliciting a transaction regulated  by  the
31    Commodity   Futures  Trading  Commission  if  the  person  is
32    registered or temporarily licensed with the Commodity Futures
33    Trading Commission under the Commodity Exchange Act (7 U.S.C.
34    1 et seq.), and the person's registration or license  is  not
 
                            -4-               LRB9101743SMdvA
 1    expired, suspended, or revoked.
 2        (7)  A   supervised  financial  organization  or  parent,
 3    subsidiary,  or   affiliate   of   a   supervised   financial
 4    organization.
 5        (8)  A  person  licensed  as  an insurance producer under
 6    Article XXXI of the Illinois Insurance Code.
 7        (9)  A person soliciting the sale of services provided by
 8    a satellite or cable  television  system  authorized  by  the
 9    federal  government or this State to provide services in this
10    State.
11        (10)  A telephone company or its subsidiary or agent,  or
12    other  business,  regulated  by  the  Illinois public service
13    commission, or a federally  licensed  cellular  telephone  or
14    radio telecommunication service provider.
15        (11)  A  person  soliciting  business from consumers that
16    have  an  existing  business  relationship   with   or   have
17    previously  purchased  from the business enterprise for which
18    the person is soliciting.
19        (12)  A person operating a retail business  establishment
20    under the same name as that used in the solicitation:
21             (A)  Whose  goods  or  services  are  displayed  and
22        offered for sale at the business establishment; and
23             (B)  A  majority  of  whose  business  involves  the
24        consumer  obtaining the goods or services at the business
25        establishment.
26        (13)  A person soliciting for the sale of a  magazine  or
27    newspaper of general circulation.
28        (14)  An  issuer  or  a  subsidiary  of an issuer that is
29    authorized to offer securities for sale in this State.
30        (15)  A seller who offers:
31             (A)  A book, video, record, multimedia  club  offer,
32        contractual  plan,  or  arrangement  along with which the
33        seller provides the consumer with a form the consumer may
34        use to instruct  the  seller  not  to  ship  the  offered
 
                            -5-               LRB9101743SMdvA
 1        merchandise;
 2             (B)  A  book,  video, record, multimedia club offer,
 3        contractual plan, or arrangement  that  is  regulated  by
 4        Part  425  of  the  Federal  Trade  Commission regulation
 5        concerning the use of negative option plans by sellers in
 6        commerce (16 CFR 425); or
 7             (C)  Books, records, videos, multimedia products, or
 8        other goods for sale that are not covered by subdivisions
 9        (A)  or (B)  of  this  item  (15),  including  continuity
10        plans,    subscription   arrangements,   standing   order
11        arrangements,  single  sales,  supplements,   or   series
12        arrangements  under  which  the seller periodically ships
13        merchandise to a consumer who has consented in advance to
14        receive the merchandise on a periodic basis.
15        (16)  A real estate salesperson  or  broker  licensed  by
16    this State.
17        (17)  Any  person  that  has provided telemarketing sales
18    services under the same name as, and derives at least 50%  of
19    gross  telemarketing  sales  revenues  from  contracts  with,
20    persons   exempted   under  this  Section  from  registration
21    requirements.
22        (18)  A person  soliciting  the  sale  of  food  or  food
23    products  if the solicitation is not intended to and does not
24    result in a sale in excess of $100 to a single address.

25        Section 15.  Registration of telemarketers.
26        (a)   No person shall act as  a  seller  or  telemarketer
27    without  first  having  registered with the Attorney General.
28    The initial application for registration  shall  be  made  at
29    least  60  days  prior to offering consumer goods or services
30    and an application for renewal shall be  made  on  an  annual
31    basis thereafter.
32        (b)     The   Attorney   General's  Office  shall  charge
33    reasonable application and renewal fees for administration of
 
                            -6-               LRB9101743SMdvA
 1    the registration requirements pursuant to this Section.   All
 2    fees  collected  under this Section shall be deposited in the
 3    State  Treasury   in  the   special   fund   known   as   the
 4    Telemarketing  Fraud  Enforcement Fund and shall be used only
 5    for the purposes described in Section 70.  The certificate of
 6    registration or registration renewal shall  expire  one  year
 7    after  the  date  on which it is issued.  The application and
 8    renewal fees and process shall  be  established  through  the
 9    promulgation of a rule.
10        (c)    The  application for a certificate of registration
11    or  renewal  shall  include,  but  not  be  limited  to,  the
12    following information:
13             (1)  The true name, date of birth, driver's  license
14        number,  social  security  number  or  tax identification
15        number,  business  address,  and  home  address  of   the
16        applicant (post office boxes or commercial mail receiving
17        agencies  are  not  permitted), including each name under
18        which  the  applicant  intends  to  engage  in  telephone
19        solicitations.
20             (2)  Each business or occupation engaged in  by  the
21        applicant  during  the  2 years immediately preceding the
22        date of the application, and the location  of  each  such
23        business or occupation.
24             (3)  Whether,  in  a court of competent jurisdiction
25        in this State, any other state, or the United States, any
26        principal or manager has been convicted of,  has  pleaded
27        guilty  to,  has  entered a plea of no contest for, or is
28        being  prosecuted  by  indictment  or   information   for
29        racketeering,   any   violation   of   state  or  federal
30        securities law, or a theft offense.
31             (4)  Whether, in any jurisdiction,  there  has  been
32        entered  against the applicant an injunction, a temporary
33        restraining  order,  or  a  final  judgment   or   order,
34        including  an  agreed  judgment or order, an assurance of
 
                            -7-               LRB9101743SMdvA
 1        voluntary compliance, or any similar instrument,  in  any
 2        civil  or  administrative  action involving fraud, theft,
 3        racketeering,   embezzlement,   fraudulent    conversion,
 4        misappropriation  of property, or any consumer protection
 5        law or telemarketing law, or  if  there  is  any  pending
 6        litigation against the applicant involving these matters.
 7             (5)  Whether, in any jurisdiction, the applicant has
 8        been  arrested  for,  has  been convicted of, has pleaded
 9        guilty to, has entered a plea of no  contest  to,  or  is
10        being  prosecuted  by  indictment  or  information  for a
11        felony and, if so, the nature of the felony.
12             (6)  Whether in a court of competent jurisdiction of
13        this State, any other state, or the  United  States,  the
14        applicant  has  been convicted of, has pleaded guilty to,
15        has entered a  plea  of  no  contest  for,  or  is  being
16        prosecuted by indictment or information for engaging in a
17        pattern of corrupt activity, racketeering, a violation of
18        federal  or  state  securities law, or a theft offense as
19        defined in Section 16-1 of the Criminal Code of  1961  or
20        in similar law of any other state or the United States.
21             (7)  Whether  the  applicant, at any time during the
22        previous 7 years, has filed for bankruptcy, been adjudged
23        bankrupt, or been reorganized because of insolvency.
24             (8)  The true name, current home  address,  date  of
25        birth,  social  security  number, and all others by which
26        known or previously known, of each of the following:
27                  (A)  Each principal officer,  director,  owner,
28             or  partner  of the applicant, and each other person
29             participating in or responsible for  the  management
30             of the applicant's business.
31                  (B)  Each   office   manager  or  other  person
32             principally responsible for each location from which
33             the applicant will do business.
34             (9)  The name and address of every institution where
 
                            -8-               LRB9101743SMdvA
 1        banking or any other monetary transactions  are  done  by
 2        the seller.
 3             (10)  A   copy   of   all   scripts,   outlines,  or
 4        presentation  material  the  applicant  will  require  or
 5        suggest be used by a salesperson when soliciting as  well
 6        as  all sales information to be provided by the applicant
 7        to a purchaser in connection with any solicitation.

 8        Section 20.  Surety bond.
 9        (a)   No person  shall  act  as  a  telemarketer  without
10    having  first  obtained  a  surety  bond  issued  by a surety
11    company that holds a certificate of authority to do  business
12    in this State issued by the Department of Insurance under the
13    Illinois Insurance Code.  With regard to the surety bond, the
14    following conditions must be met before a person may act as a
15    telemarketer:
16             (1)  A  copy  of  the  bond  must  be filed with the
17        Attorney General.
18             (2)  The bond must be in favor of any person, and of
19        the State for the benefit of any person, that is  injured
20        by  violation  of  this  Act or a rule adopted under this
21        Act.
22             (3)  The bond must be in the amount of $100,000.
23             (4)  The bond must be maintained and in  effect  for
24        at least 2 years after the date on which the telemarketer
25        ceases to engage in telephone solicitations.
26        (b)  Any  person  making  a  claim  against  the bond for
27    violation of any provision of this Act or rule adopted  under
28    this Act may maintain a civil action against the telemarketer
29    and  the  surety  company.  The surety company is liable only
30    for damages awarded under Section 65 and is  not  liable  for
31    attorney's  fees  awarded  under  Section  65.  The aggregate
32    liability of the surety company to all persons injured  by  a
33    telemarketer's  violation  of  this  Act shall not exceed the
 
                            -9-               LRB9101743SMdvA
 1    amount of the bond.
 2        (c)  The registration of any telemarketer shall  be  void
 3    upon termination of the bond of the surety company or loss of
 4    the  bond  unless,  prior to such termination, a new bond has
 5    been filed with the Attorney General's Office.   The  surety,
 6    for  any  cause,  may  cancel  the  bond upon giving a 60 day
 7    written notice  to  the  telemarketer  and  to  the  Attorney
 8    General.   Unless  the  bond  is  replaced by that of another
 9    surety  before  the  expiration  of  the  60  day  notice  of
10    cancellation, the registration of the telemarketer  shall  be
11    treated  as lapsed.  For 2 years after the cancellation takes
12    effect, a person may make a claim  against  the  bond  for  a
13    violation that occurred while the bond was in effect.
14        (d)  Any  business required under this Act to file a bond
15    with a registration application may  file,  in  lieu  of  the
16    bond,  a  certificate of deposit, in cash or government bond,
17    in the amount of $100,000.
18        (e)  The  Attorney   General   shall   hold   the   cash,
19    certificate  of  deposit, or government bond for 2 years from
20    the period the telemarketing business ceases  to  operate  or
21    registration  lapses  in order to pay out claims made against
22    the telemarketing business during its period of operation.

23        Section 25.  Record keeping requirements.
24        (a)  Any telemarketer shall keep,  for  a  period  of  24
25    months  from  the date the record is produced, records of all
26    financial  transactions,  written  notice,  disclosures,  and
27    acknowledgments, including but not limited to:
28             (1)  One of each advertisement, brochure, and  other
29        promotional materials.
30             (2)  The  name  and last known address of each prize
31        recipient and the prize awarded.
32             (3)  The  name  and  last  known  address  of   each
33        customer,  the goods or services purchased, the date such
 
                            -10-              LRB9101743SMdvA
 1        goods or services  were  shipped  or  provided,  and  the
 2        amount paid by the customer for the goods or services.
 3             (4)  The  name,  last  known home address, telephone
 4        number,  and  job  title  for  all  current  and   former
 5        employees directly involved in telephone sales.
 6             (5)  All   written  authorizations  required  to  be
 7        provided or received under this Act.
 8             (6)  A   copy   of   all   scripts,   outlines,   or
 9        presentation  material  the  seller  will   require   the
10        telemarketer to use when soliciting, as well as all sales
11        information  to  be provided by the seller to a purchaser
12        in connection with any solicitation.
13        (b)  In the event of any dissolution  or  termination  of
14    the   telemarketer's   business,   the   principal   of  that
15    telemarketer shall maintain all  records  as  required  under
16    this Section.  In the event of any sale, assignment, or other
17    change  in  ownership of the seller's business, the purchaser
18    shall maintain all records required under this Section.

19        Section 30.  Mandatory disclosures.
20        (a)  Within the first 60 seconds of a telephone call  and
21    prior  to  any  sales pitch, request for financial or payment
22    information,  or   conveyance   of   prize   information,   a
23    telemarketer shall:
24             (1)  State the true identity of the telemarketer and
25        the  name of the company on whose behalf the solicitation
26        is being made.
27             (2)  State that the purpose  is  to  sell  goods  or
28        services.
29             (3)  Identify the goods or services being sold.
30             (4)  Inquire  whether  the person called consents to
31        the solicitation.
32        (b)  Before a consumer pays for  the  goods  or  services
33    offered  for  sale  or  provides  any  financial  or  payment
 
                            -11-              LRB9101743SMdvA
 1    information   to   a  telemarketer,  the  telemarketer  shall
 2    disclose, clearly and conspicuously, the  following  material
 3    information:
 4             (1)  The total cost to purchase, receive, or use the
 5        consumer  goods  or  services that are the subject of the
 6        telemarketing communication.
 7             (2)  The quantity of the consumer goods that are the
 8        subject of the telemarketing solicitation.
 9             (3)  All  material  restrictions,  limitations,   or
10        conditions  to  purchase,  receive,  or  use the consumer
11        goods  or  services  that  are   the   subject   of   the
12        telemarketing solicitation.
13             (4)  All   material   aspects  of  the  performance,
14        quality, efficacy, nature, or  basic  characteristics  of
15        the  consumer  goods  or services that are the subject of
16        the telemarketing solicitation.
17             (5)  All material aspects of the nature or terms  of
18        the  telemarketer's  refund,  cancellation,  exchange, or
19        repurchase policies.
20             (6)  All  material   aspects   of   any   investment
21        opportunity being offered, including, but not limited to,
22        a description of the following factors:
23                  (A)  Risk.
24                  (B)  Liquidity.
25                  (C)  Earnings potential.
26                  (D)  Profitability.
27                  (E)  Benefits.
28                  (F)  If   applicable,  the  value,  price,  and
29             location of any real or personal property  that  the
30             consumer will acquire by investing.
31             (7)  All  material  aspects  of  a  prize promotion,
32        disclosed prior to requesting the consumer to enter  into
33        a  sale  or  lease,  including,  but  not limited to, the
34        following:
 
                            -12-              LRB9101743SMdvA
 1                  (A)  A description of the prize or prizes.
 2                  (B)  A statement of the  market  value  of  the
 3             prize or prizes.
 4                  (C)  A  clear  identification  of the person or
 5             entity on whose behalf the contest or  promotion  is
 6             conducted.
 7                  (D)  A  statement of all material conditions to
 8             receive or redeem the prize.
 9                  (E)  The odds of receiving a prize, and if  the
10             odds  are not calculable in advance, the factors and
11             methods used in calculating the odds.
12                  (F)  The actual number  of  each  prize  to  be
13             awarded or given.
14                  (G)  A clear statement that the consumer is not
15             required  to  make  any  purchase  to win a prize or
16             participate in  the  prize  promotion,  including  a
17             statement  that  the consumer is not required to pay
18             any shipping or handling costs.
19                  (H)  A     clear     explanation     of     the
20             no-purchase/no-payment method  of  participating  in
21             the prize promotion.

22        Section  35.  Do not call list.  It is an unlawful act or
23    practice and violation of this Act for  any  telemarketer  to
24    initiate   a   telephone   solicitation  to  a  consumer  who
25    previously has requested the  telemarketer  to  refrain  from
26    calling  the  consumer.   Compliance with Section 310.4(b) of
27    the Federal Trade Commission's Telemarketing Sales Rule shall
28    constitute compliance with this Section.

29        Section 40.  Written confirmation.
30        (a)  Except  as   provided   in   subsection   (e),   the
31    telemarketer shall furnish the consumer, in the same language
32    as that principally used in the sales presentation, a written
 
                            -13-              LRB9101743SMdvA
 1    contract  to  be  returned  to the seller with the consumer's
 2    signature.
 3        (b)  The contract furnished under  subsection  (a)  shall
 4    be in duplicate, and contain, in at least 12-point, bold face
 5    type, the following information:
 6             (1)  The  name, address, and telephone number of the
 7        telemarketer or seller.
 8             (2)  The  total  price  of  the  goods  or  services
 9        offered.
10             (3)  A detailed description of the consumer goods or
11        services offered, which shall match the oral  description
12        given in the telemarketing solicitation.
13             (4)  Any oral or written representations made during
14        the telemarketing solicitation.
15             (5)  A  statement  that reads "You are not obligated
16        to pay any money unless you sign this contract and return
17        it to the seller."
18        (c)  A   telemarketing   solicitation   shall   only   be
19    considered final after the consumer returns a signed, written
20    contract.
21        (d)  If the seller makes the  goods  available  prior  to
22    receipt  of  the  signed  contract  from  the  consumer,  the
23    consumer  may  retain  or  dispose  of  the goods without any
24    further liability.
25        (e)  A signed, written contract is not  required  if  the
26    solicitation is regulated by other laws of the State.

27        Section  45.   Acts  and practices not covered under this
28    Act.  The following acts and practices are not covered  under
29    this Act:
30        (1)  Telephone  calls  in  which  the  sale  of  goods or
31    services is not completed, and payment  or  authorization  of
32    payment   is   not   required,  until  after  a  face-to-face
33    presentation by the telemarketer.
 
                            -14-              LRB9101743SMdvA
 1        (2)  Telephone calls initiated by a customer that are not
 2    the result of any telephone solicitation by a telemarketer.
 3        (3)  Telephone calls made by an autodialer as defined  in
 4    the Automatic Telephone Dialers Act.

 5        Section 50.  Unlawful acts or practices.
 6        (a)  It is an unlawful act or practice and a violation of
 7    this  Act  for  any  telemarketer  to engage in the following
 8    conduct:
 9             (1)  To obtain  a  certificate  of  registration  or
10        registration  renewal  through  any  false  or fraudulent
11        representation or make any material misrepresentation  in
12        any registration or registration renewal application.
13             (2)  To  fail  to  maintain  a  valid certificate of
14        registration or registration renewal.
15             (3)  To provide inaccurate or incomplete information
16        to the Attorney General when making an application for  a
17        certificate of registration or registration renewal.
18             (4)  To  misrepresent that a person is registered or
19        that a person has a valid certificate number.
20             (5)  To misrepresent, directly  or  by  implication,
21        any of the following information:
22                  (A)  The  total  cost  to purchase, receive, or
23             use, and the quantity of, any goods or services that
24             are the subject of a solicitation.
25                  (B)  A  material  restriction,  limitation,  or
26             condition to purchase,  receive,  or  use  goods  or
27             services that are the subject of a solicitation.
28                  (C)  A  material  aspect  of  the  performance,
29             efficacy,  nature,  or  characteristics  of goods or
30             services that are the subject of a solicitation.
31                  (D)  A material aspect of the nature  or  terms
32             of    the   telemarketer's   refund,   cancellation,
33             exchange, or repurchase policies.
 
                            -15-              LRB9101743SMdvA
 1                  (E)  A material aspect of  a  prize  promotion,
 2             including,  but  not  limited  to, the odds of being
 3             able to receive a prize, the nature of a prize,  the
 4             actual  number of each prize to be awarded or given,
 5             or that  a  purchase  or  payment  of  any  kind  is
 6             required  to  win  a prize or participate in a prize
 7             promotion.
 8                  (F)  A  material  aspect   of   an   investment
 9             opportunity,  including,  but  not limited to, risk,
10             liquidity, earnings potential, or profitability.
11                  (G)  The  telemarketer's  affiliation  with  or
12             endorsement  by  any   government   or   third-party
13             organization.
14             (6)  To  make  a  false  or  misleading statement to
15        induce a consumer to pay for goods or services.
16             (7)  To fail to discontinue a solicitation  after  a
17        consumer  has  expressed  the  desire to not continue the
18        solicitation.
19             (8)  To fail to notify the Attorney  General  within
20        15  days if, in a court of competent jurisdiction of this
21        State or any  other  state  or  the  United  States,  the
22        telemarketer is convicted of, pleads guilty to, or enters
23        a  plea of no contest for a felony, engaging in a pattern
24        of corrupt activity, racketeering, a violation of federal
25        or state securities law, or a theft offense.
26             (9)  To advertise or represent that registration  as
27        a telemarketer is an endorsement or approval by the State
28        or any governmental agency of the State.
29             (10)  To  request  or  receive payment of any fee or
30        consideration for goods or services represented to remove
31        derogatory information from or improve a person's  credit
32        history, credit record, or credit rating until:
33                  (A)  The  time  frame in which the telemarketer
34             has represented all of the goods or services will be
 
                            -16-              LRB9101743SMdvA
 1             provided to that person has expired; and
 2                  (B)  The telemarketer has provided  the  person
 3             with  documentation in the form of a consumer report
 4             from a consumer reporting agency demonstrating  that
 5             the promised results have been achieved, such report
 6             having  been  issued  more  than  6 months after the
 7             results were achieved.
 8             (11)  Obtain or submit for payment a  check,  draft,
 9        or  other  form  of  negotiable paper drawn on a person's
10        checking, savings, bond, or  other  account  without  the
11        consumer's express written authorization.
12             (12)  To  procure  the  services of any professional
13        delivery, courier, or other  pick-up  service  to  obtain
14        immediate  receipt and possession of a consumer's payment
15        unless:
16                  (A)  Such service is requested by the consumer;
17             and
18                  (B)  The  consumer  is  actually  afforded   an
19             opportunity  to  inspect the goods or services prior
20             to payment.
21             (13)  To request or receive payment in advance  from
22        a  person  to  recover  or otherwise aid in the return of
23        money or any other item lost by the consumer in  a  prior
24        telemarketing transaction.
25             (14)  To   misrepresent  the  requirements  of  this
26        Section.
27             (15)  To assist,  support,  or  provide  substantial
28        assistance  to  any telemarketer when the seller knows or
29        should know that the telemarketer is engaged in  any  act
30        or practice which violates this Section or Section 30.
31             (16)  To  make  or cause to be made a telephone call
32        to any emergency telephone number.

33        Section 55.  Abusive acts and  practices  unlawful  under
 
                            -17-              LRB9101743SMdvA
 1    this  Act. It is an abusive telemarketing act or practice and
 2    a violation of this Act for any telemarketer to engage in the
 3    following conduct:
 4             (1)  Threaten, intimidate, or use profane or obscene
 5        language.
 6             (2)  Engage any person  repeatedly  or  continuously
 7        with  behavior  a  reasonable  person  would  deem  to be
 8        annoying, abusive, or harassing.
 9             (3)  Initiate an outbound telephone call to a person
10        when that person previously has stated  that  he  or  she
11        does  not wish to receive an outbound telephone call made
12        on behalf of the telemarketer whose goods or services are
13        being offered.
14             (4)  Engage in telemarketing to a person's residence
15        at any time other than between 8 a.m. and  9  p.m.  local
16        time,  Monday  through  Sunday,  at  the  called person's
17        location.

18        Section 60.  Enforcement by Attorney General.   Violation
19    of  any of the provisions of this Act is an unlawful practice
20    under the Consumer Fraud  and  Deceptive  Business  Practices
21    Act.   All  remedies, penalties, and authority granted to the
22    Attorney General by that Act shall be available  to  him  for
23    the enforcement of this Act.

24        Section  65.  Criminal penalties.  A knowing violation of
25    Section 15, 20, 25, 30, 35, 40,  50,  or  55  is  a  Class  4
26    felony.

27        Section 70.  Private right of action.
28        (a)    Any  person who suffers actual damages as a result
29    of a violation of this Act committed by any other person  may
30    bring  an  action  against  that  person.   The court, in its
31    discretion, may award actual economic damages  or  any  other
 
                            -18-              LRB9101743SMdvA
 1    relief which the court deems proper.
 2        (b)   Such action may be commenced in the county in which
 3    the  person  against  whom  it  is  brought  resides, has his
 4    principal place of business, or is doing business, or in  the
 5    county  where  the  transaction or any substantial portion of
 6    the transaction occurred.
 7        (c)   In any  action  brought  by  a  person  under  this
 8    Section,   the   court  may  grant  injunctive  relief  where
 9    appropriate and may award, in addition to the relief provided
10    in this Section, reasonable attorney's fees and costs to  the
11    prevailing party.
12        (d)    Upon commencement of any action brought under this
13    Section, the plaintiff shall mail a copy of the complaint  or
14    other  initial  pleading  to  the  Attorney General and, upon
15    entry of any judgment or order in the action,  shall  mail  a
16    copy of the judgment or order to the Attorney General.
17        (e)    Any action for damages under this Section shall be
18    forever barred unless commenced  within  3  years  after  the
19    cause  of  action accrued; provided that, whenever any action
20    is brought by the Attorney General or a State's Attorney  for
21    a  violation  of  this  Act,  the  running  of the statute of
22    limitations, with respect to every private  right  of  action
23    for  damages which is based in whole or in part on any matter
24    complained of in  the  action  by  the  Attorney  General  or
25    State's  Attorney,  shall be suspended during the pendency of
26    the action, and for one year thereafter.

27        Section 75.  Telemarketing Fraud Enforcement Fund.  There
28    is hereby created in the State Treasury the Attorney  General
29    Telemarketing  Fraud  Enforcement  Fund.  The State Treasurer
30    shall deposit in the fund registration fees paid pursuant  to
31    this  Act.   The Attorney General shall use the monies in the
32    fund for the administration and enforcement of the program of
33    registration established in this Act and also for educational
 
                            -19-              LRB9101743SMdvA
 1    activities that advance the purposes of this Act.

 2        Section 80.  Rules.  The Attorney General may  promulgate
 3    any  rules necessary to implement this Act, which rules shall
 4    have the force of law.

 5        Section 85.  Construction of  Act.   This  Act  shall  be
 6    liberally construed to effect its purposes.

 7        Section  905.  The State Finance Act is amended by adding
 8    Section 5.490 as follows:

 9        (30 ILCS 105/5.490 new)
10        Sec. 5.490.  The  Attorney  General  Telemarketing  Fraud
11    Enforcement Fund.

12        (815 ILCS 413/Act rep.)
13        Section   910.    The   Telephone  Solicitations  Act  is
14    repealed.

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