Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 63 (2024GS)

Sponsor

Rep. Maloy, A. Cory

Final action

House/ filed 3/1/2024

Outcome

Failed / filed without passage

Summary

What it does

• This bill:
• defines terms;
• prohibits a party from offering a form contract that contains a clause that prohibits a consumer from creating or sharing a consumer review; and
• provides enforcement and penalties related to a violation of this bill.

Every vote on this bill

Bill text

CONSUMER REVIEW FAIRNESS AMENDMENTS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: A. Cory Maloy
Senate Sponsor: 
Curtis S. Bramble
LONG TITLE
Committee Note:
The Business and Labor Interim Committee recommended this bill.
Legislative Vote: 8 voting for 5 voting against 8 absent
General Description:
This bill prohibits certain restrictions in consumer contracts. 
Highlighted Provisions:
This bill:
▸ defines terms;
▸ prohibits a party from offering a form contract that contains a clause that prohibits a
consumer from creating or sharing a consumer review; and
▸ provides enforcement and penalties related to a violation of this bill.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a special effective date.
Utah Code Sections Affected:
AMENDS:
13-2-1
 (Superseded 05/02/24)
, as last amended by Laws of Utah 2023, Chapters 31,
36, 377, 458, 477, 498, and 509
13-2-1
 (Effective 05/02/24)
, as last amended by Laws of Utah 2023, Chapters 31, 36,
377, 458, 477, 498, 509, and 536
ENACTS:
13-70-101
, Utah Code Annotated 1953
13-70-201
, Utah Code Annotated 1953
13-70-202
, Utah Code Annotated 1953
13-70-203
, Utah Code Annotated 1953
13-70-301
, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
13-2-1 (Superseded 05/02/24)
 is amended to read:
13-2-1 (Superseded 05/02/24).
Consumer protection division established --
Functions.
(1) There is established within the Department of Commerce the Division of Consumer
Protection.
(2) The division shall administer and enforce the following:
(a) Chapter 10a, Music Licensing Practices Act;
(b) Chapter 11, Utah Consumer Sales Practices Act;
(c) Chapter 15, Business Opportunity Disclosure Act;
(d) Chapter 20, New Motor Vehicle Warranties Act;
(e) Chapter 21, Credit Services Organizations Act;
(f) Chapter 22, Charitable Solicitations Act;
(g) Chapter 23, Health Spa Services Protection Act;
(h) Chapter 25a, Telephone and Facsimile Solicitation Act;
(i) Chapter 26, Telephone Fraud Prevention Act;
(j) Chapter 28, Prize Notices Regulation Act;
(k) Chapter 32a, Pawnshop, Secondhand Merchandise, and Catalytic Converter
Transaction Information Act;
(l) Chapter 34, Utah Postsecondary School and State Authorization Act;
(m) Chapter 41, Price Controls During Emergencies Act;
(n) Chapter 42, Uniform Debt-Management Services Act;
(o) Chapter 49, Immigration Consultants Registration Act;
(p) Chapter 51, Transportation Network Company Registration Act;
(q) Chapter 52, Residential Solar Energy Disclosure Act;
(r) Chapter 53, Residential, Vocational and Life Skills Program Act;
(s) Chapter 54, Ticket Website Sales Act;
(t) Chapter 56, Ticket Transferability Act;
(u) Chapter 57, Maintenance Funding Practices Act;
(v) Chapter 61, Utah Consumer Privacy Act;
(w) Chapter 63, Utah Social Media Regulation Act;
(x) Chapter 64, Vehicle Value Protection Agreement Act;
(y) Chapter 65, Utah Commercial Email Act; [
and
]
(z) Chapter 67, Online Dating Safety Act[
.
]
; and
(aa) Chapter 70, Utah Consumer Review Fairness Act.
Section 2. Section 
13-2-1 (Effective 05/02/24)
 is amended to read:
13-2-1 (Effective 05/02/24).
Consumer protection division established --
Functions.
(1) There is established within the Department of Commerce the Division of Consumer
Protection.
(2) The division shall administer and enforce the following:
(a) Chapter 10a, Music Licensing Practices Act;
(b) Chapter 11, Utah Consumer Sales Practices Act;
(c) Chapter 15, Business Opportunity Disclosure Act;
(d) Chapter 20, New Motor Vehicle Warranties Act;
(e) Chapter 21, Credit Services Organizations Act;
(f) Chapter 22, Charitable Solicitations Act;
(g) Chapter 23, Health Spa Services Protection Act;
(h) Chapter 25a, Telephone and Facsimile Solicitation Act;
(i) Chapter 26, Telephone Fraud Prevention Act;
(j) Chapter 28, Prize Notices Regulation Act;
(k) Chapter 32a, Pawnshop, Secondhand Merchandise, and Catalytic Converter
Transaction Information Act;
(l) Chapter 34, Utah Postsecondary School and State Authorization Act;
(m) Chapter 41, Price Controls During Emergencies Act;
(n) Chapter 42, Uniform Debt-Management Services Act;
(o) Chapter 49, Immigration Consultants Registration Act;
(p) Chapter 51, Transportation Network Company Registration Act;
(q) Chapter 52, Residential Solar Energy Disclosure Act;
(r) Chapter 53, Residential, Vocational and Life Skills Program Act;
(s) Chapter 54, Ticket Website Sales Act;
(t) Chapter 56, Ticket Transferability Act;
(u) Chapter 57, Maintenance Funding Practices Act;
(v) Chapter 61, Utah Consumer Privacy Act;
(w) Chapter 63, Utah Social Media Regulation Act;
(x) Chapter 64, Vehicle Value Protection Agreement Act;
(y) Chapter 65, Utah Commercial Email Act;
(z) Chapter 67, Online Dating Safety Act; [
and
]
(aa) Chapter 68, Lawyer Referral Consultants Registration Act[
.
]
; and
(bb) Chapter 70, Utah Consumer Review Fairness Act.
Section 3. Section 
13-70-101
 is enacted to read:
CHAPTER 70. UTAH CONSUMER REVIEW FAIRNESS ACT
Part 1. General Provisions
 13-70-101.
Definitions.
As used in this chapter:
(1) (a) "Consumer review" means an individual's evaluation of a person's good, service,
or conduct after the individual purchases, uses, or experiences the good, service, or conduct.
(2) (a) "Form contract" means a contract with standardized terms that a person:
(i) uses in the course of selling or leasing the person's goods or services; and
(ii) imposes on an individual without a meaningful opportunity for the individual to
negotiate the standardized terms.
(b) "Form contract" does not include:
(i) an employer-employee contract; or
(ii) an independent contractor contract.
Section 4. Section 
13-70-201
 is enacted to read:
Part 2. Prohibited Practices
 13-70-201.
Unenforceable clauses in form contracts.
(1) Except as provided in Section 
13-70-203
, a person may not offer to an individual a
form contract containing a clause that:
(a) prohibits or restricts the individual from creating or sharing a consumer review; or
(b) imposes a penalty or fee on the individual for creating or sharing a consumer
review.
(2) Any clause in a form contract described in Subsection (1) is void.
Section 5. Section 
13-70-202
 is enacted to read:
 13-70-202.
Construction.
Nothing in this chapter affects:
(1) any duty of confidentiality imposed by law;
(2) any civil cause of action for defamation, libel, or slander, or any similar cause of
action; or
(3) a person's right to remove or refuse to display publicly a consumer review on a
website that the person owns, operates, or otherwise controls.
Section 6. Section 
13-70-203
 is enacted to read:
 13-70-203.
Exceptions.
The provisions of this chapter do not apply to a clause in a form contract that prohibits
or restricts an individual's ability to create or share a consumer review containing:
(1) a trade secret, commercial information, or financial information considered
privileged or confidential;
(2) an individual's personnel, medical, or similar information;
(3) information compiled for a law enforcement purpose; or
(4) unlawful content.
Section 7. Section 
13-70-301
 is enacted to read:
Part 3. Enforcement
 13-70-301.
Administration and enforcement -- Powers -- Legal counsel -- Fees.
(1) The division shall administer and enforce the provisions of this chapter in
accordance with Chapter 2, Division of Consumer Protection.
(2) The attorney general, upon request, shall give legal advice to, and act as counsel
for, the division in the exercise of the division's responsibilities under this chapter.
(3) (a) In addition to the division's enforcement powers under Chapter 2, Division of
Consumer Protection:
(i) the division may impose an administrative fine of up to $2,500 for each violation of
this chapter; and
(ii) the division may bring an action in a court of competent jurisdiction to enforce a
provision of this chapter.
(b) In a court action by the division to enforce a provision of this chapter, the court
may:
(i) declare that an act or practice violates a provision of this chapter;
(ii) issue an injunction for a violation of this chapter;
(iii) impose a fine of up to $2,500 for each violation of this chapter; or
(iv) award any other relief that the court deems reasonable and necessary.
(4) If a court of competent jurisdiction grants judgment or injunctive relief to the
division, the court shall award the division:
(a) reasonable attorney fees;
(b) court costs; and
(c) investigative fees.
(5) (a) A person who violates an administrative or court order issued for a violation of
this chapter is subject to a civil penalty of no more than $5,000 for each violation.
(b) A civil penalty authorized under this section may be imposed in any civil action
brought by the attorney general on behalf of the division.
(6) All money received for the payment of a fine or civil penalty imposed under this
section shall be deposited into the Consumer Protection Education and Training Fund created
in Section 
13-2-8
.
Section 8. 
Effective date.
This bill takes effect on May 1, 2024, with the exception of Section 
13-2-1
 (Effective
05/02/24) which takes effect on May 2, 2024.