HB2592

SECTION 1. The legislature finds that many private households receive a vast amount of unsolicited mail soliciting the sale of consumer goods and services. The legislature further finds that an increasing number of private individuals are opposed to receiving unsolicited mail and wish to have a means to stop receiving unsolicited mail. The legislature recognizes that the means currently available to prevent reception of unsolicited mail are scarce and overly burdensome.

The purpose of this Act is to establish a state "Do-not-mail" registry that permits residential residents--but not commercial entities--to opt-out of receiving certain unsolicited mail.

SECTION 2. The Hawaii Revised Statutes is amended by adding a new chapter to be appropriately designated and to read as follows:

"Chapter

"DO-NOT-MAIL" REGISTRY

§ -1 Definitions. As used in this chapter:

"Resident" means any person having a mailing address in Hawaii but excludes commercial entities.

"Solicitation" means any communication by mail for the purpose of soliciting the sale of consumer goods or services or for the purpose of encouraging the purchase or rental of, or investment in, property, goods, or services; but excluding communications:

(1) If the sender obtained the resident's prior express invitation or permission;

(2) By or on behalf of any person or entity with whom a resident has had a business contact in the past one hundred eighty days or a current business relationship;

(3) By or on behalf of an entity organized under section 501(c)(3) of the Internal Revenue Code of 1986, as amended, while the entity is engaged in fund-raising to support the charitable purpose for which the entity was established; provided that a bona fide member of the exempt organization makes the communication; and

(4) By or on behalf of any entity over which a federal agency has regulatory authority to the extent that:

(A) The entity is required to maintain a license, permit, or certificate to sell or provide the merchandise being offered by mail; and

(B) The entity is required by law or rule to develop and maintain a no-mail list.

§ -2 Unlawful action. A person or entity shall not mail or cause to be mailed any solicitation to the mailing or physical address of any resident who has given notice of the resident's objection to receiving any solicitation in accordance with rules adopted under chapter 91 to implement this chapter.

§ -3 "Do-not-mail" registry established. (a) The department of commerce and consumer affairs shall establish and operate a database of mailing and physical addresses of residents who object to receiving solicitations. The database shall be called the ""Do-not-mail" registry". The department of commerce and consumer affairs shall implement the registry before January 1, 2009.

(b) Before January 1, 2009, the department of commerce and consumer affairs shall adopt rules governing the establishment of the "Do-not-mail" registry. The rules shall specify:

(1) That there shall be no cost to a resident to be added to or removed from the database;

(2) The methods by which each resident may give notice to the department or its contractor of the resident's objection to receiving solicitations or revocation of the notice;

(3) The length of time for which a notice of objection shall be effective and the effect of a change of mailing address;

(4) The methods by which objections and revocations shall be collected and added to or removed from the database;

(5) The methods by which any person or entity intending to make solicitations may obtain access to the information contained in the database to avoid mailing solicitations to residents included in the database, including any cost assessed to that person or entity for access to the information; and

(6) Other matters relating to the database that the department deems necessary or desirable to implement this chapter.

(1) Of the establishment of the registry; and

(2) About the availability of instructions for requesting information from the department about the registry, including a resident's right to be included in the registry.

(d) The department shall consult and work with the United States Postal Service and other private entities to:

(1) Ascertain the means by which the registry can be established and maintained most efficiently; and

(2) Take all steps possible to assist persons on the registry in ensuring that they do not receive unwanted solicitations through the mail.

§ -4 Use of information. The information contained in the database established under section -3 shall be used only for the purpose of compliance with this chapter. The information shall not be considered a public record.

§ -5 Database maintenance. In January and July of each year, the department shall obtain databases of Hawaii residents who are included on any national no-mail list and shall add the name and address of the residents to the state "Do-not-mail" registry.

§ -6 Violations; proceeding; penalties. (a) The department shall fine any person or entity who violates this chapter or any related rule adopted by the department. The fine shall not exceed $10,000 for each separate offense. Each date of violation shall constitute a separate offense. The department may seek any appropriate additional relief, including injunctions. Any action taken to impose or collect the penalty provided for in this section shall be considered a civil action.

(b) The remedies available in this chapter are cumulative and in addition to any other remedies available by law.

§ -7 Suits by individuals. (a) Any resident who has received more than one solicitation within a twelve-month period by or on behalf of the same person or entity in violation of this chapter may bring an action:

(1) To enjoin the violation; and

(2) To recover the greater of:

(A) Actual monetary damages resulting from the violation; or

(B) Up to $10,000 in damages for each violation.

(b) It shall be a defense against any claim made under this chapter that the defendant has diligently established and implemented reasonable practices and procedures to prevent solicitations in violation of this chapter.

§ -8 Statute of limitations. No claim may be made under this chapter more than two years after the later of:

(1) The resident making the claim knew or should have known of the violation; or

(2) The termination of any proceeding or action arising out of the same violation by the State.

§ -9 Personal jurisdiction. A court of this State may exercise personal jurisdiction over any nonresident or the nonresident's successor in interest for any proceeding or action based upon a violation of this chapter."

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2008-2009 for the purpose of establishing and operating the state "Do-not-mail" registry.

The sum appropriated shall be expended by the department of commerce and consumer affairs for the purposes of this Act.

SECTION 4. New statutory material is underscored.

SECTION 5. This Act shall take effect on July 1, 2008.

INTRODUCED BY:	_____________________________

HOUSE OF REPRESENTATIVES	H.B. NO.	2592
TWENTY-FOURTH LEGISLATURE, 2008
STATE OF HAWAII