House Bill 1125

AN ACT TO AMEND SECTION 75-24-5, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT TELECOMMUNICATIONS AND TELEVISION SERVICE PROVIDERS MUST DISCLOSE CERTAIN PROVISIONS RELATING TO THE INCREASE OF SERVICE FEES AND THAT NOT DISCLOSING SUCH PROVISIONS CONSTITUTES A DECEPTIVE TRADE PRACTICE; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Section 75-24-5, Mississippi Code of 1972, is amended as follows:

75-24-5. (1) Unfair methods of competition affecting commerce and unfair or deceptive trade practices in or affecting commerce are prohibited. Action may be brought under Section 75-24-5(1) only under the provisions of Section 75-24-9.

(2) Without limiting the scope of subsection (1) of this section, the following unfair methods of competition and unfair or deceptive trade practices or acts in the conduct of any trade or commerce are hereby prohibited:

(a) Passing off goods or services as those of another;

(b) Misrepresentation of the source, sponsorship, approval, or certification of goods or services;

(d) Misrepresentation of designations of geographic origin in connection with goods or services;

(e) Representing that goods or services have sponsorship, approval, characteristics, ingredients, uses, benefits, or quantities that they do not have or that a person has a sponsorship, approval, status, affiliation, or connection that he does not have;

(f) Representing that goods are original or new if they are reconditioned, reclaimed, used, or secondhand;

(g) Representing that goods or services are of a particular standard, quality, or grade, or that goods are of a particular style or model, if they are of another;

(h) Disparaging the goods, services, or business of another by false or misleading representation of fact;

(i) Advertising goods or services with intent not to sell them as advertised;

(j) Advertising goods or services with intent not to supply reasonably expectable public demand, unless the advertisement discloses a limitation of quantity;

(k) Misrepresentations of fact concerning the reasons for, existence of, or amounts of price reductions;

(l) Advertising by or on behalf of any licensed or regulated health care professional which does not specifically describe the license or qualifications of the licensed or regulated health care professional;

(m) Charging an increased premium for reinstating a motor vehicle insurance policy that was cancelled or suspended by the insured solely for the reason that he was transferred out of this state while serving in the United States Armed Forces or on active duty in the National Guard or United States Armed Forces Reserve. It is also an unfair practice for an insurer to charge an increased premium for a new motor vehicle insurance policy if the applicant for coverage or his covered dependents were previously insured with a different insurer and canceled that policy solely for the reason that he was transferred out of this state while serving in the United States Armed Forces or on active duty in the National Guard or United States Armed Forces Reserve. For purposes of determining premiums, an insurer shall consider such persons as having maintained continuous coverage. The provisions of this paragraph (m) shall apply only to such instances when the insured does not drive the vehicle during the period of cancellation or suspension of his policy * * *.;

(n) Advertising for any telecommunications, cable television or satellite television service and not fully disclosing the fact that:

(i) The purchaser is bound by a service agreement which lasts longer than six (6) months;

(ii) The cost of service has the possibility of increasing to an amount greater than that was charged when the purchaser first purchased the service after an introductory period is over; or

(iii) Some services, which were free or at a reduced cost to the purchaser when the purchaser first purchased the service, will no longer be free or at a reduced cost, and that the purchaser must affirmatively opt out of such services.

For the purposes of this paragraph (n) "fully disclose" means the service provider must use the same size font in a print, television or internet based advertisement to advertise the introductory price and terms of service as it does the provisions contained in subparagraphs (i) through (iii) of this paragraph. In addition, a provider shall not be deemed to fully disclose the provisions contained subparagraphs (i) through (iii) of this paragraph if there is an asterisk located in proximity to any such provision.

SECTION 2. This act shall take effect and be in force from and after July 1, 2016.