N.Y. Public Service Law § 224-a: Consumer protection

§ 224-a. Consumer protection. 1. Notification of commission. Every

cable television company shall notify the commission of any network

change or significant programming change no later than the later

occurring of forty-five days prior to the network change or significant

programming change or five business days after the cable television

company first knows of such change.

2. Notification of subscribers. (a) Every cable television company

shall notify each of its subscribers who are receiving the network of

programming subject to change or are affected by a network change or

significant programming change of such change no later than the later

occurring of thirty-days prior to such change or thirty days after the

cable television company first knows of such change.

(b) Such notice shall be given to each affected subscriber in any one

of the following forms:

(1) (i) by the mailing of separate written notice to the subscriber's

billing address of record;

(ii) by a written notation printed on the subscriber's regular billing

statement; or

(iii) by a written notice accompanying the subscriber's regular

billing statement.

(2) Such notice shall also promptly be given by a written on-screen

visual message prominently displayed on the affected television program

channel or channels, and on the program listing channel of the cable

system, if one is provided, at least once each hour for no less than a

thirty-day period.

(c) Upon application of a cable television company, the commission may

order that no notice need be provided pursuant to this subdivision upon

a written finding under standards to be promulgated by the commission

that a change was not a network change or significant programming change

as defined in subdivisions thirteen and fourteen of section two hundred

twelve of this article.

(d) Upon application of a cable television company, the commission may

order that an applicable form of notice as defined in paragraph (b) of

this subdivision or notice period as provided for in paragraph (a) of

this subdivision be changed for a particular notice, upon a written

finding that such an order is in the best interests of the subscribers

or is otherwise warranted for reasons of practicality. Upon a written

finding that a cable television company's compliance with subparagraph

two of paragraph (b) of this subdivision is technically unfeasible, the

commission may grant to such company a general waiver of compliance. Any

cable television company granted a general waiver pursuant to this

paragraph shall notify the commission within three days if compliance

becomes technically feasible.

(e) Upon application of a subscriber or upon its own motion, the

commission may order that a particular notice be sent to subscribers as

the commission shall determine to be appropriate. The commission shall

make such order only upon finding that the subscribers who shall receive

notice thereunder are receiving the network or programming subject to

the change or will be affected by the network change or significant

programming change.

(f) Notification under this subdivision shall include a description of

the subscriber's rights under this section, as applicable.

3. Failure to give notice. If a cable television company fails to

comply with the notice requirements of subdivision two of this section,

any subscribers affected thereby may downgrade or terminate their

service without charge at any time up to thirty-days after the date on

which proper notice of such change is provided and such downgrade or

termination shall be deemed effective for billing purposes on the date

of such change.

4. Rate, programming, service and equipment information. (a) Each

cable television company shall provide to each of its subscribers at the

time of the initial subscription and at least semi-annually thereafter a

written description, materially accurate as of the first day of the

previous month, of all programming and other services offered on the

cable television system and of the rates and charges relating to such

programming and other services; provided however, that with respect to

the provision of such description to new subscribers the cable

television company shall also provide any notices required by this

article not included in such written description that have been provided

to current subscribers as of the date of the initial subscription. Such

written description shall, in addition, contain a statement of

significant rights accorded the subscriber pursuant to this article and

any other law, or rules and regulations promulgated pursuant thereto,

such statement to be in a form approved by, or at the option of the

cable television company, prepared and revised as appropriate on a

quarterly basis, by the commission. The commission may extend the time

within which a cable television company must make its semi-annual

mailing where such an extension is in the interest of such company's

subscribers or is otherwise warranted for reasons of practicality. Upon

a finding that a cable television company bills its subscribers only on

an annual basis by use of a coupon book, and makes no other regular

mailing to subscribers more often than quarterly, the commission shall

allow such cable television company to mail such written description to

its subscribers annually.

(b) Each cable television company shall provide to each person who

requests information concerning rates, programming, service charges or

procedures, or who requests any change of service, a written

description, materially accurate as of the first day of the previous

month, of the programs and services offered and of the rates and charges

relating to such programs and services. Such written description shall,

in addition, contain a statement of significant rights accorded the

subscriber pursuant to this article and any other law, or rules and

regulations promulgated pursuant thereto, such statement to be in a form

approved by, or at the option of the cable television company, prepared

and revised as appropriate on a quarterly basis, by the commission. Any

person who makes such a request in person to a cable television customer

service representative or salesperson must immediately be supplied with

a copy of such written description. Any person who makes a request by

telephone must be supplied with such written description sent by first

class mail within ten business days of such request.

(c) Each cable television company shall provide each customer service

representative and each salesperson with copies of the most current

written description and shall advise them of the requirements of this

section.

5. Downgrade and termination following notice of a network change or a

significant programming change. Where an affected subscriber, following

receipt of the notice required under paragraph (a) of subdivision two of

this section, elects in person, in writing or by telephone within

forty-five days of receiving such notice to have service terminated or

to downgrade, no charge may be imposed by the cable television company

for such downgrade or termination.

6. Discontinuance of significantly promoted programming. (a) All cable

television companies shall maintain for one year or such longer period,

not to exceed three years, as the commission shall deem necessary for

the enforcement of this section, and make available to the commission on

request, copies of all advertisements, lists or other notifications

regarding programming sent to or made available to the public.

(b) Any cable television company which promotes repeatedly, and in a

significant manner, the availability of a network on its basic service

tier and within a period of six months following such promotion, makes a

network change by moving such network from the basic service tier to a

more expensive service tier, shall:

(1) for a period of ninety days immediately following such network

change, provide oral and written notification prior to any commitment to

subscribe and prior to installation, that such network is not available,

or is not offered at the service tier where it was previously available,

or was advertised as being available; and

(2) offer to all affected subscribers who request modification of

service within thirty days following notification pursuant to

subdivision two of this section and who commenced their subscription to

the basic service tier within the ninety day period immediately

preceding the final day of such promotion or immediately preceding the

date on which such network was moved to the premium tier, whichever is

earlier, or who commenced their subscription prior to the date on which

such network was moved but within the ninety day period immediately

following the final day of such promotion and provide to all such

subscribers: either (i) refunds of all installation, upgrade, and other

one time charges, imposed on such subscribers within six months prior to

such moving of such network, upon request by an affected subscriber for

termination of service, or (ii) (A) an upgrade at no charge to the

premium service tier which carries such network, and (B) the premium

service tier which carries such network at no charge for the time period

between the last day of the promotion and six months hence.

(c) Where any cable television company promotes repeatedly, and in a

significant manner, the availability on the basic service tier of a

network which is subject to the notice requirements of subdivision two

of this section and, within six months of such promotion, fails, except

in circumstances described in paragraph (b) of this subdivision, to make

available such network as promoted, and the discontinued network was (1)

a substantial inducement to a significant number of subscribers, and (2)

continues to be reasonably available to the cable television company,

such cable television company shall, within thirty days following

notification pursuant to subdivision two of this section, offer to all

affected subscribers who commenced their subscription to the basic

service tier within the ninety day period immediately preceding the

final day of such promotion or immediately preceding the date on which

such network was discontinued, whichever is earlier, or who commenced

their subscription prior to the date on which such network was

discontinued but within the ninety day period immediately following the

final day of such promotion, and upon the request of such subscribers

provide: either (i) a termination of service and the refund of all

installation, upgrade, and other one time charges, imposed on such

subscribers within six months prior to the discontinuance of such

network, or (ii) the continuation of service and a credit to all

subscribers who request such credit equal to a portion of the

subscriber's basic service tier charges for each month or portion of a

month that such network is not available in the period of time between

the last day of the promotion and six months hence, provided however,

that any such subscriber who elects to receive such a credit of basic

service tier changes and who disputes the amount of such credit may

petition the commission for a higher amount of credit within thirty days

of the offer of credit made by the cable television company. Upon any

such petition the commission shall determine the amount of credit, if

any, which shall be provided to all qualified subscribers unless such

group relief is unreasonable in the circumstances. In determining the

amount of the credit, if any, to be provided to such subscribers by a

cable television company, the commission shall fix a fair and equitable

amount.

In fixing such fair and equitable amount the commission shall

consider:

(I) the nature, type, frequency and impact of any notices provided

subscribers that may have provided warning that such a network might be

removed or replaced or lack of such notice, (II) the value to the

affected subscribers of such network, (III) the relative cost to the

cable television company of such network as determined from published

network rate cards, (IV) the value to subscribers, and the cost to the

cable television company, of any network which has been substituted for

the terminated network or provided in lieu of such network, (V) the

availability or nonavailability, at no additional cost to the

subscriber, of any continuing program or network offerings which may be

similar in type or nature to that provided by the terminated network,

and (VI) the nature, type, frequency and impact of the promotion by the

cable television company of the terminated network and, (VII) any other

factor which the commission shall expressly find to be fairly

applicable. Notwithstanding any other provision of this subdivision, in

no event shall the commission require that such a credit be made by a

cable television company in an amount to exceed thirty-three and

one-third percent of the basic service tier charges billed or billable

to the subscriber who requests such credit for each month or portion of

a month that the subject network is not available in the period of time

between the last day of the promotion and six months hence. If the

commission is prevented by law from considering some or all of these

factors the remainder of this subdivision shall continue in effect. For

purposes of this paragraph, the term "credit" shall mean an amount of

money payable to a subscriber under the terms of this paragraph, which

amount may be paid, at the option of the cable television company, in

the form of a reduction in monthly service charges over a period of time

not to exceed six months.

(d) Where an affected subscriber following receipt of any written

notice required under subdivision two of this section that concerns

change of a network on a premium service tier, elects in writing, by

telephone or in person no later than thirty days after receiving such

notice to have service terminated or to downgrade, such subscriber may

demand (1) a rebate of all installation, upgrade, and other one time

charges relating to such premium service tier, imposed on such

subscriber within six months prior to the subject network change or

programming change, and (2) a rebate of monthly service charges that

already have been paid by such subscriber for, and only for, each such

cable television service or subscription tier or level affected by a

network change or programming change, provided however, that such rebate

shall be limited to the prorated amount already paid for the period

following the date of such network change or programming change.

(e) (1) For purposes of this subdivision, the term "promotes

repeatedly and in a significant manner" and the term "reasonably

available" shall have such meanings as the commission shall by

regulation determine.

(2) In any proceeding before the commission to determine whether the

provisions of this subdivision have been complied with, where the

question of whether the availability or promotion of a network

constituted a substantial inducement to subscribers is raised, the

commission shall consider: (i) the nature, type, frequency and impact of

the promotion of such network, and (ii) the nature, type, frequency and

impact of any reasonably prominent notices provided to subscribers that

may have provided warning that such network might be deleted or

replaced.

(3) In addition to any other defenses that may be available under

statutory or common law, it shall be an affirmative defense to any claim

of rebate pursuant to paragraph (b) or (c) of this subdivision that the

notification or advertisement that is claimed to have substantially

induced the subscriber: (i) was on a national or regional network and

did not mention any specific cable company, and (ii) that such cable

television company did not authorize, request, suggest, foster or

cooperate in making such notification or advertisement, and (iii) there

was no material relationship between the cable television company, any

of its officers, or any shareholders owning ten percent or more of its

stock and the company making the advertising, any of its officers, or

any shareholders owning ten percent or more of its stock except for

relationships between or among such companies, officers, or shareholders

for the purchasing of programming.

(4) In any determination made by the commission pursuant to this

subdivision, the commission shall set forth the factors it considered

and the significance given to such factors, including, where relevant,

those factors listed in this subdivision, and the reasons for its

decision. Such requirement may not be waived by any party or counsel.

7. (a) Whenever, upon complaint or upon its own motion, and after

giving public notice and an opportunity for a public evidentiary

hearing, which accords due process to the cable television company, the

commission finds that a cable television company has not complied with

any provision of this section, the commission shall order such

compliance therewith and may order such penalty as is hereinafter

provided.

(b) A determination of the commission, after the procedures set forth

in paragraph (a) of this subdivision have been complied with, that a

cable television company has failed to comply with any provision of this

section shall be considered a violation of subdivision one of section

two hundred twenty-seven-a of this article, and shall subject such

company to the imposition of a money forfeiture pursuant to said

subdivision. Upon a determination by the commission, upon adequate

record evidence, that a cable television company has willfully or

intentionally violated the provisions of this section, or that such a

company has repeatedly violated such provisions so as to permit a fair

inference of a willful or intentional violation by such company, the

commission may direct such company to forfeit to the state of New York a

sum to be set by the commission not to exceed three thousand dollars for

each such violation. If, in any twenty-four month period, a cable

television company violates subdivision two or six of this section on

two separate occasions, such conduct shall constitute prima facie

evidence of repeated, willful violations.

(c) Nothing in this subdivision shall be construed to impair, alter,

limit, modify, enlarge, abrogate or restrict any right granted by

statutory or common law to the attorney general or any other person.

8. Other consumer protection regulations. The commission shall adopt

such other rules and regulations, providing consumer protections to

customers of cable television companies, as the commission deems

necessary and proper. The regulations shall include, but not be limited

to, provisions governing applications for service, termination,

reconnection of service, customer notice, late payment charges and

customer complaints.