What's happening
This bill establishes a cell phone users' bill of rights, including a 30-day trial period, clear billing, and consumer protections.
Why it matters
Empowers consumers with a risk-free trial. By mandating a 30-day trial period for new phone purchases or service activations, the bill gives consumers time to assess real-world coverage, device quality, and service without fear of expensive early termination fees if unsatisfied.
Improves billing transparency and control. Providers must present a clear, itemized monthly bill that distinguishes between government-mandated charges and company-imposed fees, helping customers better understand—and potentially dispute—unexpected or unauthorized costs.
Protects against unauthorized charges and fraud. The bill prohibits companies from billing for services not expressly authorized by the customer and shields users from liability for fraudulent charges due to stolen phones or identity theft, shifting the burden of security onto the providers.
Strengthens enforcement and recourse. The legislation establishes substantial financial penalties for violations and guarantees customers the right to sue for damages and attorney's fees, incentivizing providers to comply and giving individuals a stronger footing in disputes.
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Who cares
Headline styles
Protect Cell Phone Customers
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 14
No co-sponsors yet.
History
- Referred to consumer protection
- Referred to consumer protection
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Protect Cell Phone Users
In Assembly Committee · Consumer Affairs And Protection · Sponsor Felix Ortiz
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2447
2019-2020 Regular Sessions
IN SENATE
January 24, 2019
Introduced by Sen. COMRIE -- read twice and ordered printed, and when printed to be committed to the Committee on Consumer Protection
AN ACT to amend the general business law, in relation to creating the cell phone users' bill of rights
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The general business law is amended by adding a new section 390-d to read as follows:
§ 390-d. Cell phone users' bill of rights. 1. Any person, firm, corporation, or other entity that offers cellular phones and cellular phone services to the public shall provide each customer with a thirty-day trial period. If a customer returns a phone or cancels service within that thirty-day period, he or she shall not be subject to any termination fees.
a. When a new phone is purchased, the thirty-day period shall commence when the customer physically receives the phone.
b. When a person applies for new service, the thirty-day period shall commence when the customer's account is activated.
2. Whenever a person returns a phone or cancels a service within the thirty-day trial period required pursuant to subdivision one of this section, such person shall be responsible for the monthly access fee, pro rata, and shall also be responsible for the costs of any calls made by such person if they are not included within the monthly access fee.
3. a. Any person, firm, corporation, or other entity that provides cellular phone services to a customer for a fee, such fee shall only include those services authorized by the customer. No person, firm, corporation, or other entity shall charge a customer for any service such customer did not request or authorize.
b. Any person, firm, corporation, or other entity that provides cellular phone services to a customer for a fee shall include on its monthly statement a clear and concise breakdown of all fees, costs, and taxes.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07760-01-9
S. 2447 2
Such breakdown shall further specify which fees, taxes, or surcharges are mandated by the government, and which fees, taxes, or surcharges are imposed by the company. Such monthly statement shall also include the rates and terms of the customer's service agreement.
4. A customer shall not be liable for any charges to his or her account if such charges are the result of calls or messages placed from a phone other than one owned by the customer. It shall be the responsibility of the person, firm, corporation, or other entity to ensure that all services are used solely by the phone registered to the person authorized under the service agreement. A customer shall not be liable for any charges resulting from the theft of the customer's cellular phone identification or signal.
5. Any person, firm, corporation, or other entity that violates the provisions of this section shall pay a fine of not less than five hundred dollars nor more than five thousand dollars per violation. Such person, firm, corporation, or other entity shall also be liable to the customer for civil damages in an amount of two hundred fifty dollars or the customer's actual expenses, whichever is greater. The court shall grant reasonable attorney's fees to any customer who is successful in an action brought pursuant to this subdivision.
§ 2. This act shall take effect on the one hundred twentieth day after it shall have become a law.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the general business law, in relation to creating the cell phone users' bill of rights
Purpose or general idea of bill
This bill provides consumer protection rights for cell phone users including the right to cancel. The cell phone users' bill of rights would include the following consumer protections: require that companies include a risk free thirty day trial period; require that bills contain only charges for services authorized by the consumer; require that bills contain the nature and origin of all fees, a written confirmation of any cell phone order, including rates and terms for each service ordered in easy to read format; require that the cell phone company watches the calling trends and places a "courtesy call" when calling patterns seem out of the ordinary; and require that all bills contain the nature and origin of all fees.
Summary of specific provisions
Adds a new section to the general business law that allows for a thirty day trial period beginning when a customer physically receives the phone. It will require that no person, firm, corporation, or any other entity shall charge a customer for any service such customer did not request or authorize. It will require that the cellular phone provider include on its monthly statement a clear and concise breakdown of all fees, costs and taxes; specifying which fees are mandated by the govern- ment. The section will state that a customer is not liable for any charges on the account resulting from the theft of the customer's cellu- lar phone identification or signal. It also states that any person, film, corporation or other entity that violates the provisions of this section shall pay a fine not less than five hundred dollars and not more than five thousand dollars per violation. It also requires that the film is liable to the customer for civil damages in an amount of two hundred fifty dollars or the customer's actual expenses, whichever is greater.
Justification
The cellular phone industry is booming with no end in sight. Last year, the Telecommunications Industry Association reported that the revenues exceeded $155.2 billion and more than a billion new cell phones were sold. Meanwhile, due to lack of legislation regulating these companies, consumers are at an enormous financial risk. Unlike credit cards, if a cell phone is lost or stolen, the owner is held responsible for 100% of the fraudulent charges on the phone until the account is de-activated.
Cell phone companies will not contact customers regarding suspicious use of their account because they are under no legal obligation to do so.
The cell phone users' bill of rights will help to protect consumers from fraud and from the relatively unregulated practices of cell phone compa- nies.
Prior legislative history
2018: S 7923 COMRIE Same as A 4206 Ortiz
Fiscal implications for state and local governments
None.
Effective date
This act shall take effect on the one hundred twentieth day after it shall have become a law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.