II
110th CONGRESS
1st Session
S. 1313
IN THE SENATE OF THE UNITED STATES
May 7, 2007
Mr. Feingold introduced the following bill; which was read twice and referred to the Committee on Veterans' Affairs
A BILL
To amend the Servicemembers Civil Relief Act to provide relief for servicemembers with respect to contracts for cellular phone service, and for other purposes.
Short title
This Act may be cited as the
Servicemembers' Cellular Phone
Contract Fairness Act of 2007
.
Termination under Servicemembers Civil Relief Act of contracts for cellular phone services
Termination of contracts for cellular phone services
Inclusion of contracts under termination authority
Subsection (b) of section 305 of the Servicemembers Civil Relief Act (50 U.S.C. App. 535) is amended by adding at the end the following new paragraph:
Contracts for cellular phone service
In general
Subject to subparagraphs (B) and (C), a contract for a cellular phone used, or intended to be used, by a servicemember or a servicemember’s dependent for a personal or business purpose if—
the contract is executed by or on behalf of a person who thereafter and during the term of the contract enters into military service under call or order specifying a period of not less than 90 days (or who enters military service under a call or order specifying a period of 90 days or less and who, without a break in service, receives orders extending the period of military service to a period not less than 90 days);
the servicemember, while in military service, executes the contract and thereafter receives military orders for a permanent change of station outside of the continental United States or to deploy with a military unit for a period of not less than 90 days; or
the servicemember, while in military service, executes the contract and thereafter receives military orders for a permanent change of station to a location within the continental United States where the contract cannot be transferred at the same rate, terms, and quality of service.
Applicability to dependents
Subparagraph (A) shall apply with respect to a contract, or portion of a contract, for a cellular phone used, or intended to be used, by a servicemember's dependent only if the dependent—
relocates in accompanying the servicemember in the performance of the military service, or in a permanent change of station or deployment, described in that subparagraph; or
otherwise relocates as a consequence of such military service or change of station or deployment.
Applicability to group plans
If a servicemember or a dependent to whom this paragraph applies is not the primary account holder under a contract described in subparagraph (A), that subparagraph shall apply only to the extent of the obligations of the servicemember or dependent, as the case may be, in the contract.
.
Manner of termination
Subsection (c)(1) of such section is amended—
in subparagraph
(A), by striking and
at the end;
in subparagraph
(B), by striking the period at the end and inserting ; and
;
and
by adding at the end the following new subparagraph:
in the case of a contract for a cellular phone, by delivery by the contractee of written notice of such termination, and a copy of the servicemember’s military orders, to the contractor or to the contractor’s agent.
.
Effective date of termination
Subsection (d) of such section is amended by adding at the end the following new paragraph:
Contract for cellular phone service
In the case of a contract for a cellular phone described in subsection (b)(3), termination of the contract under subsection (a) is effective on the day on which the requirements of subsection (c) are met for such termination.
.
Arrearages
Subsection (e) of such section is amended—
by striking
(e) Arrearages and other
obligations and liabilities.—Rents or lease amounts
and inserting the following:
Arrearages and other obligations and liabilities
In general
Rents or lease amounts
;
by designating
the second sentence as paragraph (2), indenting such paragraph 4 ems from the
left margin, and inserting before In the case of the lease
the
following:
Lease charges
for motor
vehicles
; and
by adding at the end the following new paragraphs:
Termination charges for cellular phone contracts
In the case of a contract for a cellular phone, the contractor may not impose an early termination charge, but may request the return of equipment provided to the contractee as part of the contract which would normally remain the property of the contractee at the end of the contract term if the contractee is given the option of paying a pro-rated amount to retain such equipment based on the original retail price of such equipment, the amount previously paid for such equipment by the contractee, and the time remaining on the contract.
Reactivation fees
In the event a contractor and contractee jointly agree to treat the termination of a contract for a cellular phone under this section as a suspension of such contract, the contractor may not impose any fee for reactivation of service under such contract at the completion of suspension of such contract.
.
Conforming amendment
Subsection (a)(1)(B) of such section is amended by
striking or (2)(B)
and inserting , (2)(B), (3)(A)(ii), or
(3)(A)(iii)
.
Clerical amendments
Heading amendment
The heading of such section is amended to read as follows:
Termination of residential or motor vehicle leases or contracts for cellular phone service
.
Table of contents amendment
The table of contents for such Act is amended by striking the item relating to section 305 and inserting the following new item:
“Sec. 305. Termination of residential or motor vehicle leases or contracts for cellular phone service.”.