Maryland Statutes
Subtitle 13 - Miscellaneous Provisions
Section 14-1322 - Third-Party Vendor Billing

(a)    (1)    In this section the following words have the meanings indicated.
        (2)    “Billing agent” means a person that submits charges for products or services to a telephone company or reseller on behalf of the person submitting the charges or on behalf of a third–party vendor.
        (3)    “Customer” means a customer of a telephone company or reseller.
        (4)    “Express authorization” means an express, affirmative act by an ordering customer in the form of:
            (i)    A written authorization;
            (ii)    An oral authorization verified and recorded by an independent party; or
            (iii)    A recorded electronic authorization.
        (5)    “Ordering customer” means a customer or another person ordering services that will appear on the customer’s telephone bill.
        (6)    “Reseller” means a person that provides wireline telephone voice service by using the transmission facilities of another person.
        (7)    “Telephone company” means a person that provides wireline telephone voice services.
        (8)    “Third–party vendor” means an entity not affiliated with a telephone company or reseller that:
            (i)    Provides products or services to a customer; and
            (ii)    Seeks to charge the customer through third–party vendor billing.
        (9)    (i)    “Third–party vendor billing” means the use of a telephone company’s or reseller’s billing system, either directly or through a billing agent, to charge a customer for products or services provided by a third–party vendor.
            (ii)    “Third–party vendor billing” does not include billing for:
                1.    Products or services offered by, or bundled with the products or services of, a telephone company, a reseller, or an affiliate of a telephone company or reseller;
                2.    Long distance services that a customer initiates by dialing 1+, 0+, 0–, or 1010XXX; or
                3.    Commercial mobile radio services.
    (b)    Unless the third–party vendor or billing agent first obtains an ordering customer’s express authorization, a third–party vendor or billing agent may not submit charges to a telephone company or reseller.
    (c)    The express authorization required under subsection (b) of this section shall:
        (1)    Be separate from any solicitation material or entry forms for sweepstakes or contests; and
        (2)    Include:
            (i)    The name and telephone number of the ordering customer;
            (ii)    The date of authorization;
            (iii)    An explanation of:
                1.    The product or service offered; and
                2.    All applicable charges; and
            (iv)    An affirmation by the ordering customer that:
                1.    The ordering customer is at least 18 years of age and authorized to order services that will appear on the customer’s telephone bill; and
                2.    Third–party vendor billing charges may be billed using the customer’s telephone bill.
    (d)    A third–party vendor or billing agent shall retain a copy of the express authorization required under subsection (b) of this section for 2 years after the date of authorization.
    (e)    A customer is not liable for third–party vendor billing charges unless:
        (1)    The customer has been given notice that the telephone company or reseller may allow third–party vendor billing and that free blocking of certain third–party vendor billing may be available to the customer; and
        (2)    The customer is provided access to:
            (i)    An itemization of the third–party vendor billing charges identifying them separately from other charges; and
            (ii)    The name and telephone number of the third–party vendor or its billing agent.
    (f)    Unless the third–party vendor or billing agent provides a copy of the authorization required under subsection (b) of this section to the customer and to the telephone company or reseller, a customer is not liable for third–party vendor billing charges if the customer, in good faith and in a reasonably timely manner, but not outside the time period specified in subsection (d) of this section, disputes that the charges were authorized.
    (g)    An agreement for third–party vendor billing entered into by a telephone company or reseller and a third–party vendor or billing agent on or after October 1, 2010, is void and unenforceable to the extent that it does not require the third–party vendor to comply with subsection (b) of this section.
    (h)    A violation of this section by a third–party vendor or billing agent:
        (1)    Is an unfair or deceptive trade practice under Title 13 of this article; and
        (2)    Except for the provisions of § 13–411 of this article, is subject to the enforcement and penalty provisions contained in Title 13 of this article.