72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
 
NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .
 
LC 1714
 
                         House Bill 2438
 
Sponsored by Representative ZAUNER (at the request of Erin
  Thurber)
 
 
                             SUMMARY
 
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
 
  Requires person who solicits application for issuance of charge
or credit card to communicate with individual who signs
application. Requires person who solicits application for credit
disability insurance for charge or credit card to communicate
with individual who signs application. Requires person who
solicits application for issuance of charge or credit card to
offer credit disability insurance to individual who signs
application. Defines charge card and credit card.
 
                        A BILL FOR AN ACT
Relating to card solicitations; creating new provisions; and
  amending ORS 646.608.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + (1) As used in this section:
  (a) 'Charge card' has the meaning given that term in ORS
646.897.
  (b) 'Credit card' has the meaning given that term under the
federal Consumer Credit Protection Act (P.L. 90-321, 82 Stat.
146, 15 U.S.C. 1602).
  (2) A person who asks or urges an individual to apply for the
issuance of a charge card or credit card shall, upon request of
an individual who has signed the application for the charge card
or credit card, communicate with the individual making the
request for the communication.
  (3) A person who asks or urges an individual to apply for
credit disability insurance for a charge card or credit card
shall, upon request of an individual who has signed the
application for the insurance, communicate with the individual
making the request for the communication.
  (4) A person who asks or urges an individual to apply to the
person for the issuance of a charge card or credit card shall
offer credit disability insurance following standard underwriting
criteria to all individuals who sign the application for the
charge card or credit card. + }
  SECTION 2. ORS 646.608 is amended to read:
  646.608. (1) A person engages in an unlawful practice when in
the course of the person's business, vocation or occupation the
person does any of the following:
  (a) Passes off real estate, goods or services as those of
another.
  (b) Causes likelihood of confusion or of misunderstanding as to
the source, sponsorship, approval, or certification of real
estate, goods or services.
  (c) Causes likelihood of confusion or of misunderstanding as to
affiliation, connection, or association with, or certification
by, another.
  (d) Uses deceptive representations or designations of
geographic origin in connection with real estate, goods or
services.
  (e) Represents that real estate, goods or services have
sponsorship, approval, characteristics, ingredients, uses,
benefits, quantities or qualities that they do not have or that a
person has a sponsorship, approval, status, qualification,
affiliation, or connection that the person does not have.
  (f) Represents that real estate or goods are original or new if
they are deteriorated, altered, reconditioned, reclaimed, used or
secondhand.
  (g) Represents that real estate, goods or services are of a
particular standard, quality, or grade, or that real estate or
goods are of a particular style or model, if they are of another.
  (h) Disparages the real estate, goods, services, property or
business of a customer or another by false or misleading
representations of fact.
  (i) Advertises real estate, goods or services with intent not
to provide them as advertised, or with intent not to supply
reasonably expectable public demand, unless the advertisement
discloses a limitation of quantity.
  (j) Makes false or misleading representations of fact
concerning the reasons for, existence of, or amounts of price
reductions.
  (k) Makes false or misleading representations concerning credit
availability or the nature of the transaction or obligation
incurred.
  (L) Makes false or misleading representations relating to
commissions or other compensation to be paid in exchange for
permitting real estate, goods or services to be used for model or
demonstration purposes or in exchange for submitting names of
potential customers.
  (m) Performs service on or dismantles any goods or real estate
when not authorized by the owner or apparent owner thereof.
  (n) Solicits potential customers by telephone or door to door
as a seller unless the person provides the information required
under ORS 646.611.
  (o) In a sale, rental or other disposition of real estate,
goods or services, gives or offers to give a rebate or discount
or otherwise pays or offers to pay value to the customer in
consideration of the customer giving to the person the names of
prospective purchasers, lessees, or borrowers, or otherwise
aiding the person in making a sale, lease, or loan to another
person, if earning the rebate, discount or other value is
contingent upon occurrence of an event subsequent to the time the
customer enters into the transaction.
  (p) Makes any false or misleading statement about a prize,
contest or promotion used to publicize a product, business or
service.
  (q) Promises to deliver real estate, goods or services within a
certain period of time with intent not to deliver them as
promised.
  (r) Organizes or induces or attempts to induce membership in a
pyramid club.
  (s) Makes false or misleading representations of fact
concerning the offering price of, or the person's cost for real
estate, goods or services.
  (t) Concurrent with tender or delivery of any real estate,
goods or services fails to disclose any known material defect or
material nonconformity.
  (u) Engages in any other unfair or deceptive conduct in trade
or commerce.
  (v) Violates any of the provisions relating to auction sales,
auctioneers or auction marts under ORS 698.640, whether in a
commercial or noncommercial situation.
  (w) Manufactures mercury fever thermometers.
  (x) Sells or supplies mercury fever thermometers unless the
thermometer is required by federal law, or is:
  (A) Prescribed by a person licensed under ORS chapter 677; and
  (B) Supplied with instructions on the careful handling of the
thermometer to avoid breakage and on the proper cleanup of
mercury should breakage occur.
  (y) Sells a thermostat that contains mercury unless the
thermostat is labeled in a manner to inform the purchaser that
mercury is present in the thermostat and that the thermostat may
not be disposed of until the mercury is removed, reused, recycled
or otherwise managed to ensure that the mercury does not become
part of the solid waste stream or wastewater. For purposes of
this paragraph, 'thermostat' means a device commonly used to
sense and, through electrical communication with heating, cooling
or ventilation equipment, control room temperature.
  (z) Violates the provisions of ORS 803.375, 803.385 or 815.410
to 815.430.
  (aa) Violates ORS 646.850 (1).
  (bb) Violates any requirement of ORS 646.661 to 646.686.
  (cc) Violates the provisions of ORS 128.801 to 128.898.
  (dd) Violates ORS 646.883 or 646.885.
  (ee) Violates any provision of ORS 646.195.
  (ff) Violates ORS 646.569.
  (gg) Violates the provisions of ORS 646.859.
  (hh) Violates ORS 759.290.
  (ii) Violates ORS 646.872.
  (jj) Violates ORS 646.553 or 646.557 or any rule adopted
pursuant thereto.
  (kk) Violates ORS 646.563.
  (LL) Violates ORS 759.690 or any rule adopted pursuant thereto.
  (mm) Violates the provisions of ORS 759.705, 759.710 and
759.720 or any rule adopted pursuant thereto.
  (nn) Violates ORS 646.892 or 646.894.
  (oo) Violates any provision of ORS 646.249 to 646.259.
  (pp) Violates ORS 646.384.
  (qq) Violates ORS 646.871.
  (rr) Violates ORS 822.046.
  (ss) Violates ORS 128.001.
  (tt) Violates ORS 646.649 (2) to (4).
  (uu) Violates ORS 646.877 (2) to (5).
  (vv) Violates ORS 87.686.
  (ww) Violates ORS 646.651.
  (xx) Violates ORS 646.879.
  (yy) Violates ORS 646.402 or any rule adopted under ORS 646.402
or 646.404.
   { +  (zz) Violates section 1 of this 2003 Act. + }
  (2) A representation under subsection (1) of this section or
ORS 646.607 may be any manifestation of any assertion by words or
conduct, including, but not limited to, a failure to disclose a
fact.
  (3) In order to prevail in an action or suit under ORS 646.605
to 646.652, a prosecuting attorney need not prove competition
between the parties or actual confusion or misunderstanding.
  (4) No action or suit shall be brought under subsection (1)(u)
of this section unless the Attorney General has first established
a rule in accordance with the provisions of ORS 183.310 to
183.550 declaring the conduct to be unfair or deceptive in trade
or commerce.
  SECTION 3. ORS 646.608, as amended by section 13, chapter 924,
Oregon Laws 2001, is amended to read:
  646.608. (1) A person engages in an unlawful practice when in
the course of the person's business, vocation or occupation the
person does any of the following:
  (a) Passes off real estate, goods or services as those of
another.
  (b) Causes likelihood of confusion or of misunderstanding as to
the source, sponsorship, approval, or certification of real
estate, goods or services.
  (c) Causes likelihood of confusion or of misunderstanding as to
affiliation, connection, or association with, or certification
by, another.
  (d) Uses deceptive representations or designations of
geographic origin in connection with real estate, goods or
services.
  (e) Represents that real estate, goods or services have
sponsorship, approval, characteristics, ingredients, uses,
benefits, quantities or qualities that they do not have or that a
person has a sponsorship, approval, status, qualification,
affiliation, or connection that the person does not have.
  (f) Represents that real estate or goods are original or new if
they are deteriorated, altered, reconditioned, reclaimed, used or
secondhand.
  (g) Represents that real estate, goods or services are of a
particular standard, quality, or grade, or that real estate or
goods are of a particular style or model, if they are of another.
  (h) Disparages the real estate, goods, services, property or
business of a customer or another by false or misleading
representations of fact.
  (i) Advertises real estate, goods or services with intent not
to provide them as advertised, or with intent not to supply
reasonably expectable public demand, unless the advertisement
discloses a limitation of quantity.
  (j) Makes false or misleading representations of fact
concerning the reasons for, existence of, or amounts of price
reductions.
  (k) Makes false or misleading representations concerning credit
availability or the nature of the transaction or obligation
incurred.
  (L) Makes false or misleading representations relating to
commissions or other compensation to be paid in exchange for
permitting real estate, goods or services to be used for model or
demonstration purposes or in exchange for submitting names of
potential customers.
  (m) Performs service on or dismantles any goods or real estate
when not authorized by the owner or apparent owner thereof.
  (n) Solicits potential customers by telephone or door to door
as a seller unless the person provides the information required
under ORS 646.611.
  (o) In a sale, rental or other disposition of real estate,
goods or services, gives or offers to give a rebate or discount
or otherwise pays or offers to pay value to the customer in
consideration of the customer giving to the person the names of
prospective purchasers, lessees, or borrowers, or otherwise
aiding the person in making a sale, lease, or loan to another
person, if earning the rebate, discount or other value is
contingent upon occurrence of an event subsequent to the time the
customer enters into the transaction.
  (p) Makes any false or misleading statement about a prize,
contest or promotion used to publicize a product, business or
service.
  (q) Promises to deliver real estate, goods or services within a
certain period of time with intent not to deliver them as
promised.
  (r) Organizes or induces or attempts to induce membership in a
pyramid club.
 
  (s) Makes false or misleading representations of fact
concerning the offering price of, or the person's cost for real
estate, goods or services.
  (t) Concurrent with tender or delivery of any real estate,
goods or services fails to disclose any known material defect or
material nonconformity.
  (u) Engages in any other unfair or deceptive conduct in trade
or commerce.
  (v) Violates any of the provisions relating to auction sales,
auctioneers or auction marts under ORS 698.640, whether in a
commercial or noncommercial situation.
  (w) Manufactures mercury fever thermometers.
  (x) Sells or supplies mercury fever thermometers unless the
thermometer is required by federal law, or is:
  (A) Prescribed by a person licensed under ORS chapter 677; and
  (B) Supplied with instructions on the careful handling of the
thermometer to avoid breakage and on the proper cleanup of
mercury should breakage occur.
  (y) Sells a thermostat that contains mercury unless the
thermostat is labeled in a manner to inform the purchaser that
mercury is present in the thermostat and that the thermostat may
not be disposed of until the mercury is removed, reused, recycled
or otherwise managed to ensure that the mercury does not become
part of the solid waste stream or wastewater. For purposes of
this paragraph, 'thermostat' means a device commonly used to
sense and, through electrical communication with heating, cooling
or ventilation equipment, control room temperature.
  (z) Sells or offers for sale a motor vehicle manufactured after
January 1, 2006, that contains mercury light switches.
  (aa) Violates the provisions of ORS 803.375, 803.385 or 815.410
to 815.430.
  (bb) Violates ORS 646.850 (1).
  (cc) Violates any requirement of ORS 646.661 to 646.686.
  (dd) Violates the provisions of ORS 128.801 to 128.898.
  (ee) Violates ORS 646.883 or 646.885.
  (ff) Violates any provision of ORS 646.195.
  (gg) Violates ORS 646.569.
  (hh) Violates the provisions of ORS 646.859.
  (ii) Violates ORS 759.290.
  (jj) Violates ORS 646.872.
  (kk) Violates ORS 646.553 or 646.557 or any rule adopted
pursuant thereto.
  (LL) Violates ORS 646.563.
  (mm) Violates ORS 759.690 or any rule adopted pursuant thereto.
  (nn) Violates the provisions of ORS 759.705, 759.710 and
759.720 or any rule adopted pursuant thereto.
  (oo) Violates ORS 646.892 or 646.894.
  (pp) Violates any provision of ORS 646.249 to 646.259.
  (qq) Violates ORS 646.384.
  (rr) Violates ORS 646.871.
  (ss) Violates ORS 822.046.
  (tt) Violates ORS 128.001.
  (uu) Violates ORS 646.649 (2) to (4).
  (vv) Violates ORS 646.877 (2) to (5).
  (ww) Violates ORS 87.686.
  (xx) Violates ORS 646.651.
  (yy) Violates ORS 646.879.
  (zz) Violates ORS 646.402 or any rule adopted under ORS 646.402
or 646.404.
   { +  (aaa) Violates section 1 of this 2003 Act. + }
  (2) A representation under subsection (1) of this section or
ORS 646.607 may be any manifestation of any assertion by words or
conduct, including, but not limited to, a failure to disclose a
fact.
 
 
  (3) In order to prevail in an action or suit under ORS 646.605
to 646.652, a prosecuting attorney need not prove competition
between the parties or actual confusion or misunderstanding.
  (4) No action or suit shall be brought under subsection (1)(u)
of this section unless the Attorney General has first established
a rule in accordance with the provisions of ORS 183.310 to
183.550 declaring the conduct to be unfair or deceptive in trade
or commerce.
  SECTION 4.  { + The amendments to ORS 646.608 by sections 2 and
3 of this 2003 Act apply to violations occurring on or after the
effective date of this 2003 Act. + }
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