SRC-CTC S.B. 366 77(R)   BILL ANALYSIS


Senate Research Center   S.B. 366
7R2312 CLG-FBy: Armbrister
Business & Commerce
2/3/2001
As Filed


DIGEST AND PURPOSE 

Currently, the floral industry has a number of telemarketing businesses
that advertise in local floral markets as local florists, when they are
located elsewhere.  The telemarketing businesses use business names and
phone numbers in local telephone listings and directories, and then charge
fees or commissions when filling a customer's order.  As proposed, S.B. 366
prohibits the use of local phone numbers and business names by floral
businesses to misrepresent the business's geographic location. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a
state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 17E, Business & Commerce Code, to add Section
17.462, as follows: 

Sec. 17.462. LISTING OF BUSINESS LOCATION IN DIRECTORY OR DATABASE.
Prohibits a person from misrepresenting the geographical location of a
business deriving 50 percent or more of its gross income from sale or
arranging for the sale of flowers or floral arrangements, in the listing of
the business in a telephone directory or other directory assistance
database.  Sets forth certain criteria to determine if a person has
misrepresented the geographical location of a business under this section.
Authorizes a person to place a directory listing for a business, with a
name that indicates it is located in a geographical area other than its
actual geographical location, if a conspicuous notice in the listing states
the municipality in which the business is located.  Provides that this
section is not applicable to a publisher of a telephone directory or the
provider of a directory assistance service providing information about
another business.  Provides that a violation of this section is a certain
offense under this subchapter, and authorizes any remedy under this
subchapter to enforce this section. 

SECTION 2. Effective date: September 1, 2001.
  Makes application of this Act prospective.