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H.B. 165

This document includes House Floor Amendments incorporated into the bill on Thu, Feb 19, 2004 at 4:11 PM by kholt. -->              1     

CHILD PROTECTION REGISTRY

             2     
2004 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Sponsor: Michael R. Styler

             5     
             6      LONG TITLE
             7      General Description:
             8          This bill enacts provisions within the Commerce and Trade Code related to a child
             9      protection registry.
             10      Highlighted Provisions:
             11          This bill:
             12          .    defines terms;
             13          .    requires the Division of Consumer Protection to establish a registry of contact
             14      points for minors;
             15          .    prohibits a person from sending certain materials to a registered contact point; and
             16          .    provides criminal, administrative, and civil penalties.
             17      Monies Appropriated in this Bill:
             18          None
             19      Other Special Clauses:
             20          None
             21      Utah Code Sections Affected:
             21a      H AMENDS:
             21b          13-2-1, as last amended by Chapter 222, Laws of Utah 2002 h
             22      ENACTS:
             23          13-39-101, Utah Code Annotated 1953
             24          13-39-102, Utah Code Annotated 1953
             25          13-39-201, Utah Code Annotated 1953
             26          13-39-202, Utah Code Annotated 1953
             27          13-39-203, Utah Code Annotated 1953


             28          13-39-301, Utah Code Annotated 1953
             29          13-39-302, Utah Code Annotated 1953
             30          13-39-303, Utah Code Annotated 1953
             31          13-39-304, Utah Code Annotated 1953
             32     
             33      Be it enacted by the Legislature of the state of Utah:
             33a           H Section 1. Section 13-2-1 is amended to read:
             33b          13-2-1.   Consumer protection division established -- Functions.
             33c          (1) There is established within the Department of Commerce the Division of Consumer
             33d      Protection.
             33e          (2) The division shall administer and enforce the following:
             33f          (a) Chapter 5, Unfair Practices Act;
             33g          (b) Chapter 10a, Music Licensing Practices Act;
             33h          (c) Chapter 11, Utah Consumer Sales Practices Act;
             33i          (d) Chapter 15, Business Opportunity Disclosure Act;
             33j          (e) Chapter 20, New Motor Vehicles Warranties Act;
             33k          (f) Chapter 21, Credit Services Organizations Act;
             33l          (g) Chapter 22, Charitable Solicitations Act;
             33m          (h) Chapter 23, Health Spa Services Protection Act;
             33n          (i) Chapter 25a, Telephone and Facsimile Solicitation Act;
             33o          (j) Chapter 26, Telephone Fraud Prevention Act;
             33p          (k) Chapter 28, Prize Notices Regulation Act;
             33q          (l) Chapter 30, Utah Personal Introduction Services Protection Act; [and]
             33r          (m) Chapter 34, Utah Postsecondary Proprietary School Act[.]; AND
             33s          (n) CHAPTER 39, CHILD PROTECTION REGISTRY. h
             34          Section H [ 1 ] 2 h . Section 13-39-101 is enacted to read:
             35     
CHAPTER 39. CHILD PROTECTION REGISTRY

             36     
Part 1. General Provisions

             37          13-39-101. Title.
             38          This chapter is known as the "Child Protection Registry."
             39          Section H [ 2 ] 3 h . Section 13-39-102 is enacted to read:
             40          13-39-102. Definitions.
             41          As used in this chapter:
             42          (1) "Contact point" means an electronic identification to which a communication may
             43      be sent, including:
             44          (a) an email address;
             45          (b) an instant message identity, subject to rules made by the division under Subsection


             46      13-39-203 (1);
             47          (c) a telephone number;
             48          (d) a facsimile number; or
             49          (e) an electronic address:
             50          (i) similar to a contact point listed in this Subsection (1); and
             51          (ii) defined as a contact point by rule made by the division under Subsection
             52      13-39-203 (1).
             53          (2) "Division" means the Division of Consumer Protection in the Department of
             54      Commerce.
             55          (3) "Registry" means the child protection registry established in Section 13-39-201 .
             56          Section H [ 3 ] 4 h . Section 13-39-201 is enacted to read:
             57     
Part 2. Operation of the Child Protection Registry

             58          13-39-201. Establishment of child protection registry.


             59          (1) The division shall:
             60          (a) establish and operate a child protection registry to compile and secure a list of
             61      contact points the division has received pursuant to this section; or
             62          (b) contract with a third party to establish and secure the registry described in
             63      Subsection (1)(a).
             64          (2) (a) A person may register a contact point with the division pursuant to rules
             65      established by the division under Subsection 13-39-203 (1) if:
             66          (i) the contact point belongs to a minor; or
             67          (ii) a minor has access to the contact point.
             68          (b) A school or other institution that primarily serves minors may register its domain
             69      name with the division pursuant to rules made by the division under Subsection 13-39-203 (1).
             70          (3) A person desiring to send a communication described in Subsection 13-39-202 (1)
             71      to a contact point or domain shall:
             72          (a) use a mechanism established by rule made by the division under Subsection
             73      13-39-203 (2); and
             74          (b) pay a fee for use of the mechanism described in Subsection (3)(a) determined by
             75      the division in accordance with Section 63-38-3.2 .
             76          Section 4. Section 13-39-202 is enacted to read:
             77          13-39-202. Prohibition of sending certain materials to a registered contact point.
             78          (1) A person may not directly or indirectly send, cause to be sent, or conspire with a
             79      third party to send, a communication to a contact point or domain that has been registered for
             80      more than 30 calendar days with the division under Section 13-39-201 if the communication:
             81          (a) advertises a product or service that a minor is prohibited by law from purchasing; or
             82          (b) contains or advertises material that is harmful to minors, as defined in Section
             83      76-10-1201 .
             84          (2) The consent of a minor is not a defense to a violation of this section.
             85          Section 5. Section 13-39-203 is enacted to read:
             86          13-39-203. Rulemaking authority.
             87          In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
             88      division shall make rules to establish procedures under which:
             89          (1) (a) a person may register a contact point with the division under Section 13-39-201 ,


             90      including:
             91          (i) the information necessary to register an instant message identity; and
             92          (ii) for purposes of Subsection 13-39-102 (1)(e), an electronic address that is similar to
             93      a contact point listed in Subsection 13-39-102 (1); and
             94          (b) a school or other institution that primarily serves minors may register its domain
             95      name with the division under Section 13-39-201 ; and
             96          (2) the division shall:
             97          (a) provide a mechanism under which a person described in Subsection 13-39-201 (3)
             98      may verify compliance with the registry to remove registered contact points from the person's
             99      communications; and
             100          (b) establish the mechanism described in Subsection (2)(a) in a manner that protects
             101      the privacy and security of a contact point registered with the division under Section
             102      13-39-201 .
             103          Section 6. Section 13-39-301 is enacted to read:
             104     
Part 3. Enforcement

             105          13-39-301. Criminal penalty.
             106          (1) A person who violates Section 13-39-202 commits a computer crime and:
             107          (a) is guilty of a class B misdemeanor for a first offense with respect to a contact point
             108      registered with the division under Subsection 13-39-201 (2)(a); and
             109          (b) is guilty of a class A misdemeanor:
             110          (i) for each subsequent violation with respect to a contact point registered with the
             111      division under Subsection 13-39-201 (2)(a); or
             112          (ii) for each violation with respect to a domain name registered with the division under
             113      Subsection 13-39-201 (2)(b).
             114          (2) A person commits a computer crime and is guilty of a second degree felony if the
             115      person:
             116          (a) uses information obtained from the division under this chapter to violate Section
             117      13-39-202 ;
             118          (b) improperly:
             119          (i) obtains contact points from the registry; or
             120          (ii) attempts to obtain contact points from the registry; or


             121          (c) uses, or transfers to a third party to use, information from the registry to send a
             122      solicitation.
             123          (3) A criminal conviction or penalty under this section does not relieve a person from
             124      civil liability in an action under Section 13-39-302 .
             125          (4) Each communication sent in violation of Section 13-39-202 is a separate offense
             126      under this section.
             127          Section 7. Section 13-39-302 is enacted to read:
             128          13-39-302. Civil action for violation.
             129          (1) For a violation of Section 13-39-202 , an action may be brought by:
             130          (a) a user of a contact point or domain name registered with the division under Section
             131      13-39-201 ; or
             132          (b) a legal guardian of a user described in Subsection (1)(a).
             133          (2) In each action under Subsection (1):
             134          (a) a person described in Subsection (1) may recover the greater of:
             135          (i) actual damages; or
             136          (ii) $1,000 for each communication sent in violation of Section 13-39-202 ; and
             137          (b) the prevailing party shall be awarded costs and reasonable attorney fees.
             138          Section 8. Section 13-39-303 is enacted to read:
             139          13-39-303. Administrative enforcement.
             140          (1) The division shall:
             141          (a) investigate violations of this chapter; and
             142          (b) assess cease and desist orders and administrative fines under this section for
             143      violations of this chapter.
             144          (2) A person who violates this chapter is subject to:
             145          (a) a cease and desist order; and
             146          (b) an administrative fine of not more than $2,500 for each separate communication
             147      sent in violation of Section 13-39-202 .
             148          (3) (a) A person who intentionally violates this chapter is subject to an administrative
             149      fine of not more than $5,000 for each communication intentionally sent in violation of Section
             150      13-39-202 .
             151          (b) For purposes of this section, a person intentionally violates this chapter if the


             152      violation occurs after the division, attorney general, or a district or county attorney notifies the
             153      person by certified mail that the person is in violation of this chapter.
             154          (4) All administrative fines collected under this section shall be deposited in the
             155      Consumer Protection Education and Training Fund created in Section 13-2-8 .
             156          Section 9. Section 13-39-304 is enacted to read:
             157          13-39-304. Defenses.
             158          It is a defense to an action brought under this chapter that a person:
             159          (1) reasonably relied on the mechanism established by the division under Subsection
             160      13-39-203 (2); and
             161          (2) took reasonable measures to comply with this chapter.




Legislative Review Note
    as of 1-29-04 3:06 PM



This bill regulates, among other things, the sending of certain commercial email messages to
addresses contained on a registry. Congress recently passed the CAN-SPAM Act of 2003 that,
with some exemptions, preempts a state from regulating commercial email. The act permits
state regulations of commercial email that:
        .    prohibit falsity or deception;
        .    are not specific to email; or
        .    relate to acts of fraud or computer crime.
If this bill were challenged, a court would evaluate whether this bill falls into one of those
exemptions.

Office of Legislative Research and General Counsel


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