106 STAT. 4192

PUBLIC LAW 102-556—OCT. 28, 1992

15 USC 5722.

scribed in accordance with section 553 of title 5, United States
Code,

(c) ENFORCEMENT.—Any violation of any rule prescribed under
subsection (a) shall be treated as a violation of a rule under section
5 of the Federal Trade Commission Act (15 U.S.C. 45) regarding
unfair or deceptive acts or practices. Notwithstanding section 5(aX2)
of such Act (15 U.S.C. 45(aX2)), communications common carriers
shall be subject to the jurisdiction of the Commission for purposes
of this title.

(d) CORRECTION OF BILLING ERRORS AND CORRECTION OF
CREDIT REPORTS.—In prescribing rules under this section, the
Commission shall consider, with respect to telephone-billed pur-
chases, the following:

(1) The initiation of a billing review by a customer.

(2) Responses by billing entities and providing carriers
to the initiation of a billing review.

(3) Investigations concerning delivery of telephone-billed
purchases.

(4) Limitations upon providing carrier responsibilities,
including limitations on a carrier's responsibility to verify deliv-
ery of audio information or entertainment.

(5) Requirements on actions by billing entities to set aside
charges from a customer's billing statement.

(6) Limitations on collection actions by billing entities and
vendors.

(7) The regulation of credit reports on billing disputes.

(8) The prompt notification of credit to an account.

(9) Rights of customers and telephone common carriers
regarding claims and defenses.

(10) The extent to which the regulations should diverge
from requirements under the Truth in Lending and Fair Credit
Billing Acts in order to protect customers, and in order to
be cost effective to billing entities.

SEC. 302. RELATION TO STATE LAWS.

(a) STATE LAW APPLICABLE UNLESS INCONSISTENT.—This title
does not annul, alter, or affect, or exempt any person subject to
the provisions of this title from complying with, the laws of any
State with respect to telephone billing practices, except to the
extent that those laws are inconsistent with any provision of this
title, and then only to the extent of the inconsistency. The Commis-
sion is authorized to determine whether such inconsistencies exist.
The Commission may not determine that any State law is inconsist-
ent with any provision of this chapter if the Commission determines
that such law gives greater protection to the consumer.

(b) REGULATORY EXEMPTIONS.—The Commission shall by regu-
lation exempt from the requirements of this title any class of
telephone-billed purchase transactions within any State if it deter-
mines that under the law of that State that class of transactions
is subject to requirements substantially similar to those imposed
under this chapter or that such law gives greater protection to
the consumer, and that there is adequate provision for enforcement.
SEC. 303. ENFORCEMENT.

The Commission shall enforce the requirements of this title.
For the purpose of the exercise by the Commission of its functions
and powers under the Federal Trade Commission Act, a violation
of any requirement imposed under this title shall be deemed a