| 23 | | - | Section 1. Subsections (a) to (i), inclusive, of section 16a-21 of the 1 |
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| 24 | | - | general statutes are repealed and the following is substituted in lieu 2 |
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| 25 | | - | thereof (Effective July 1, 2025): 3 |
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| 26 | | - | (a) (1) (A) No heating fuel dealer shall sell heating fuel or rent or lease 4 |
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| 27 | | - | a heating fuel tank without a written contract that contains all terms and 5 |
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| 28 | | - | conditions for delivery of such heating fuel and the amount of fees, 6 |
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| 29 | | - | charges, surcharges or penalties allowed under this section and assessed 7 |
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| 30 | | - | to the consumer under such contract. No such contract shall contain any 8 |
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| 31 | | - | fees, charges, surcharges or penalties, except for those allowed pursuant 9 |
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| 32 | | - | to subsections (e), (f) and (g) of this section and for tank rental fees or 10 |
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| 33 | | - | liquidated damages for violation of the contract terms. No contract for 11 |
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| 34 | | - | the delivery of heating fuel under this subsection shall include a 12 |
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| 35 | | - | provision for liquidated damages for a consumer breach of such contract 13 |
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| 36 | | - | where the liquidated damages exceed the actual damages to the heating 14 |
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| 37 | | - | fuel dealer caused by such breach. No written contract period for 15 |
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| 38 | | - | heating fuel shall be for a term longer than thirty-six months. Each 16 |
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| 39 | | - | heating fuel dealer shall offer consumers the option to enter into a bona 17 |
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| 40 | | - | Committee Bill No. 6048 |
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| 41 | | - | |
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| 42 | | - | |
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| 43 | | - | LCO No. 5115 2 of 8 |
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| 44 | | - | |
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| 45 | | - | fide commercially reasonable contract for a term of eighteen months. A 18 |
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| 46 | | - | consumer and a heating fuel dealer may agree to enter into a bona fide 19 |
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| 47 | | - | commercially reasonable contract for a term of less than eighteen 20 |
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| 48 | | - | months. Longer fuel contract term lengths may be permitted for 21 |
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| 49 | | - | underground tank consumers, provided the fuel term agreements are 22 |
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| 50 | | - | concurrent with tank lease agreements as specified in subdivision (2) of 23 |
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| 51 | | - | this subsection. No provision in a contract that restricts a consumer's 24 |
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| 52 | | - | ability to utilize another propane fuel provider shall be valid or 25 |
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| 53 | | - | enforceable unless the consumer has initialed a clear and conspicuous 26 |
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| 54 | | - | statement in all capital letters in at least twelve-point boldface type 27 |
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| 55 | | - | indicating that the consumer is aware of such restriction. 28 |
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| 56 | | - | (B) A heating fuel dealer who leases or lends, or who leased or lent, a 29 |
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| 57 | | - | heating fuel tank and associated equipment to a consumer shall remove 30 |
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| 58 | | - | such tank and associated equipment from the consumer's residential 31 |
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| 59 | | - | premises not later than thirty days after the delivery of heating fuel 32 |
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| 60 | | - | service is discontinued by the consumer. 33 |
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| 61 | | - | (2) If a tank is being leased or lent to a consumer, a contract for the 34 |
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| 62 | | - | tank rental or loan shall indicate in writing a description of the tank, 35 |
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| 63 | | - | initial installation charges, if any, the amount and timing of rental or 36 |
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| 64 | | - | loan payments, the [manner in] period within which the lessor [will 37 |
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| 65 | | - | credit] shall refund the lessee for any unused heating fuel and the terms 38 |
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| 66 | | - | by which [a] the lessee may terminate the contract. Such refund shall be 39 |
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| 67 | | - | in an amount that is equal to the lesser of the price at which the lessee 40 |
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| 68 | | - | purchased such unused heating fuel or the market price of such unused 41 |
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| 69 | | - | heating fuel upon termination of such contract. A lessor may enter into 42 |
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| 70 | | - | a separate contract with the lessee for additional services including, but 43 |
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| 71 | | - | not limited to, maintenance, repair and warranty of equipment, 44 |
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| 72 | | - | provided such contract complies with the provisions of this section. No 45 |
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| 73 | | - | contract for tanks installed above ground shall be for a term longer than 46 |
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| 74 | | - | thirty-six months. Each consumer shall be given the option to enter into 47 |
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| 75 | | - | a bona fide commercially reasonable contract for a term of eighteen 48 |
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| 76 | | - | months. A lessee and a lessor may agree to enter into a bona fide 49 |
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| 77 | | - | commercially reasonable contract for a term of less than eighteen 50 |
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| 78 | | - | Committee Bill No. 6048 |
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| 79 | | - | |
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| 80 | | - | |
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| 81 | | - | LCO No. 5115 3 of 8 |
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| 82 | | - | |
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| 83 | | - | months. No contract for a tank installed underground shall exceed five 51 |
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| 84 | | - | years. 52 |
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| 85 | | - | (3) (A) If a tank installed underground is provided to a consumer, a 53 |
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| 86 | | - | contract for such tank shall contain a clause providing the consumer 54 |
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| 87 | | - | with the option to purchase the tank and associated equipment at a price 55 |
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| 88 | | - | not exceeding a commercially reasonable price at any time during the 56 |
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| 89 | | - | length of the contract. The purchase price for the tank shall be disclosed 57 |
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| 90 | | - | in the contract and shall not increase before the contract expires. Any 58 |
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| 91 | | - | waiver of liability or transfer of warranty shall be stated in the contract. 59 |
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| 92 | | - | No contract for such tank shall be valid or enforceable unless the 60 |
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| 93 | | - | consumer has initialed a clear and conspicuous statement in all capital 61 |
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| 94 | | - | letters in at least twelve-point boldface type, indicating the consumer is 62 |
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| 95 | | - | aware of such option to purchase the tank and associated equipment. 63 |
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| 96 | | - | For existing contracts, whether oral or written, where the purchase 64 |
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| 97 | | - | option or purchase price is silent or unspecified, a contract addendum 65 |
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| 98 | | - | including the purchase option and a commercially reasonable price shall 66 |
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| 99 | | - | be mailed or delivered to the consumer not later than September 1, 2013. 67 |
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| 100 | | - | Such contract addendum shall contain a clause providing the lessee 68 |
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| 101 | | - | with the option of purchasing the tank and associated equipment at any 69 |
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| 102 | | - | time prior to September 1, 2018. Upon purchase of the tank and any 70 |
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| 103 | | - | associated equipment, any existing contract obligations pursuant to 71 |
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| 104 | | - | subdivisions (1) and (2) of this subsection shall terminate immediately, 72 |
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| 105 | | - | except for guaranteed price plans pursuant to chapter 296a. 73 |
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| 106 | | - | (B) If a tank installed above ground is provided to a consumer, a 74 |
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| 107 | | - | contract for such tank shall contain a clause providing the consumer 75 |
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| 108 | | - | with the option to purchase a new tank and associated equipment at a 76 |
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| 109 | | - | price not exceeding a commercially reasonable price at any time during 77 |
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| 110 | | - | the length of the contract. The purchase price for the tank, associated 78 |
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| 111 | | - | equipment and associated installation charges shall be disclosed in the 79 |
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| 112 | | - | contract and not increase before the contract expires. Any waiver of 80 |
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| 113 | | - | liability or transfer of warranty shall be stated in the contract. No 81 |
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| 114 | | - | contract for such tank shall be valid or enforceable unless the consumer 82 |
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| 115 | | - | has initialed a clear and conspicuous statement in all capital letters in at 83 |
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| 116 | | - | Committee Bill No. 6048 |
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| 117 | | - | |
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| 118 | | - | |
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| 119 | | - | LCO No. 5115 4 of 8 |
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| 120 | | - | |
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| 121 | | - | least twelve-point boldface type, indicating that the consumer is aware 84 |
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| 122 | | - | of such option to purchase a new tank and associated equipment. Upon 85 |
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| 123 | | - | purchase of the tank and any associated equipment, any existing 86 |
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| 124 | | - | contract obligations pursuant to subdivisions (1) and (2) of this 87 |
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| 125 | | - | subsection shall terminate immediately, except for guaranteed price 88 |
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| 126 | | - | plans pursuant to chapter 296a. 89 |
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| 127 | | - | (4) A contract required by this section shall be in writing and shall 90 |
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| 128 | | - | comply with the plain language requirements of section 42-152, 91 |
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| 129 | | - | provided any fee, charge, surcharge or penalty disclosed in such 92 |
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| 130 | | - | contract shall be in twelve-point, boldface type of uniform font. Any fee, 93 |
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| 131 | | - | charge, surcharge or penalty shall not increase prior to the expiration of 94 |
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| 132 | | - | the contract. 95 |
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| 133 | | - | (5) A written contract for the sale of heating fuel or lease of equipment 96 |
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| 134 | | - | that calls for an automatic renewal of the contract is not valid unless 97 |
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| 135 | | - | such contract complies with the provisions of this section, section 42-98 |
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| 136 | | - | 126b and chapter 296a. 99 |
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| 137 | | - | (6) The requirement that contracts be in writing pursuant to this 100 |
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| 138 | | - | section shall not apply to any heating fuel delivery initiated by a 101 |
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| 139 | | - | consumer, payable on delivery or billed to the consumer with no future 102 |
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| 140 | | - | delivery commitment, where no fee, charge, surcharge or penalty is 103 |
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| 141 | | - | assessed, except for any fee, charge or surcharge authorized under 104 |
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| 142 | | - | subsection (g) of this section. 105 |
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| 143 | | - | (7) The requirement that contracts be in writing pursuant to this 106 |
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| 144 | | - | section shall not apply to agreements that are solely automatic delivery 107 |
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| 145 | | - | where: (A) The consumer may terminate automatic delivery at any time 108 |
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| 146 | | - | and where no fee, charge, surcharge or penalty is assessed for 109 |
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| 147 | | - | termination; and (B) the dealer providing automatic delivery provides 110 |
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| 148 | | - | written notice to the consumer the dealer serves under automatic 111 |
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| 149 | | - | delivery of the method for the termination of automatic delivery, as 112 |
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| 150 | | - | specified in this subdivision. Such written notice shall be included with 113 |
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| 151 | | - | each invoice for products subject to automatic delivery. Notice from a 114 |
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| 152 | | - | consumer to a dealer requesting termination of automatic delivery may 115 |
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| 153 | | - | Committee Bill No. 6048 |
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| 154 | | - | |
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| 155 | | - | |
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| 156 | | - | LCO No. 5115 5 of 8 |
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| 157 | | - | |
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| 158 | | - | be delivered to the dealer by (i) a written request by the consumer 116 |
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| 159 | | - | delivered by certified mail to the dealer, (ii) electronic mail sent from the 117 |
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| 160 | | - | consumer to a valid electronic mail address of the dealer, or (iii) 118 |
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| 161 | | - | electronic facsimile by the consumer to be sent to a valid facsimile 119 |
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| 162 | | - | number at the dealer's place of business. The consumer shall give notice 120 |
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| 163 | | - | at least one day prior to the day upon which the consumer desires to 121 |
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| 164 | | - | terminate automatic delivery. The consumer shall not be responsible for 122 |
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| 165 | | - | payment of deliveries made by the dealer after such notice has been 123 |
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| 166 | | - | given, except for deliveries made within one business day after such 124 |
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| 167 | | - | notice has been given and which were scheduled for delivery by the 125 |
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| 168 | | - | dealer prior to such notice being given, provided consideration shall be 126 |
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| 169 | | - | given for weekend and holiday closings or extenuating circumstances 127 |
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| 170 | | - | not under the control of the dealer. 128 |
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| 171 | | - | (b) If a consumer complaint is being mediated or investigated by the 129 |
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| 172 | | - | commissioner, the heating fuel dealer, if [it] the heating fuel dealer owns 130 |
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| 173 | | - | the tank and has exclusive fill requirements, may not deny the consumer 131 |
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| 174 | | - | deliveries of heating fuel, or fuel for cooking or power generation, 132 |
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| 175 | | - | because of the existence of the mediation or investigation, provided the 133 |
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| 176 | | - | heating fuel dealer remains the exclusive supplier of such fuel and the 134 |
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| 177 | | - | consumer pays cash for such fuel upon delivery. 135 |
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| 178 | | - | (c) The requirement that contracts be in writing as set forth in this 136 |
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| 179 | | - | section may be satisfied pursuant to the provisions of: (1) The 137 |
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| 180 | | - | Connecticut Uniform Electronic Transactions Act, sections 1-266 to 1-138 |
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| 181 | | - | 286, inclusive; (2) sections 42a-7-101 to 42a-7-106, inclusive; or (3) the 139 |
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| 182 | | - | Electronic Signatures in Global and National Commerce Act, 15 USC 140 |
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| 183 | | - | 7001 et seq. Except as provided in subsection (d) of this section, verbal 141 |
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| 184 | | - | telephonic communications shall not satisfy the writing requirement of 142 |
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| 185 | | - | this section. 143 |
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| 186 | | - | (d) The requirement that contracts be in writing pursuant to this 144 |
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| 187 | | - | section and section 16a-23n may be satisfied telephonically, only if a 145 |
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| 188 | | - | heating fuel dealer: 146 |
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| 189 | | - | (1) Has provided to the consumer prior to any telephonic 147 |
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| 190 | | - | Committee Bill No. 6048 |
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| 191 | | - | |
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| 192 | | - | |
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| 193 | | - | LCO No. 5115 6 of 8 |
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| 194 | | - | |
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| 195 | | - | communication all terms and conditions of the contract, in writing, 148 |
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| 196 | | - | except for the contract duration, the unit price and the maximum 149 |
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| 197 | | - | number of units covered by the contract; 150 |
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| 198 | | - | (2) Employs an interactive voice response system or similar 151 |
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| 199 | | - | technology that provides the consumer with the contract duration, the 152 |
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| 200 | | - | unit price and the maximum number of units covered by the contract; 153 |
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| 201 | | - | (3) Retains for a period of not less than one year from the date of the 154 |
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| 202 | | - | expiration of the contract, in a readily retrievable format, a recording of 155 |
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| 203 | | - | the consumer affirmation to each such term and condition; 156 |
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| 204 | | - | (4) Sends the consumer a letter confirming the consumer's agreement 157 |
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| 205 | | - | to such terms and conditions, with a written copy of the terms and 158 |
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| 206 | | - | conditions agreed to; and 159 |
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| 207 | | - | (5) Retains a copy of each such letter. 160 |
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| 208 | | - | (e) No heating fuel dealer shall deliver heating fuel without placing 161 |
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| 209 | | - | the unit price, clearly indicated as such, the total number of gallons or 162 |
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| 210 | | - | units sold and the amount of any fee, charge or surcharge allowed 163 |
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| 211 | | - | pursuant to this section in a conspicuous place on the delivery ticket 164 |
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| 212 | | - | given to the consumer or an agent of the consumer at the time of 165 |
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| 213 | | - | delivery. No heating fuel dealer shall bill or otherwise attempt to collect 166 |
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| 214 | | - | from any consumer of heating fuel an amount that exceeds the unit price 167 |
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| 215 | | - | multiplied by the total number of gallons or units stated on the delivery 168 |
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| 216 | | - | ticket, plus the amount of any fee, charge or surcharge allowed pursuant 169 |
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| 217 | | - | to this section and stated on the delivery ticket. 170 |
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| 218 | | - | (f) No heating fuel dealer shall assess a fee, charge or surcharge on 171 |
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| 219 | | - | any delivery, including, but not limited to, any delivery under an 172 |
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| 220 | | - | automatic delivery agreement, initiated by the dealer to a consumer. 173 |
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| 221 | | - | (g) No heating fuel dealer shall assess a fee, charge or surcharge on 174 |
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| 222 | | - | the price per gallon or total delivery charge for any heating fuel delivery 175 |
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| 223 | | - | initiated by a consumer, except when: 176 |
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| 224 | | - | Committee Bill No. 6048 |
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| 225 | | - | |
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| 226 | | - | |
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| 227 | | - | LCO No. 5115 7 of 8 |
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| 228 | | - | |
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| 229 | | - | (1) The heating fuel delivery is less than one hundred gallons; 177 |
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| 230 | | - | (2) The heating fuel delivery is made outside the normal service area 178 |
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| 231 | | - | of the dealer; 179 |
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| 232 | | - | (3) The heating fuel delivery is made outside the normal business 180 |
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| 233 | | - | hours of the dealer; or 181 |
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| 234 | | - | (4) The dealer incurs extraordinary labor costs for the heating fuel 182 |
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| 235 | | - | delivery. 183 |
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| 236 | | - | (h) Except for the underground tank addendum required pursuant to 184 |
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| 237 | | - | subdivision (3) of subsection (a) of this section, the provisions of this 185 |
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| 238 | | - | section shall not apply to existing customers of a heating fuel dealer on 186 |
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| 239 | | - | July 1, 2013, who have valid written contracts on said date. The 187 |
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| 240 | | - | provisions of this section shall apply as of the renewal or expiration 188 |
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| 241 | | - | dates of such contracts. 189 |
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| 242 | | - | (i) A consumer shall have the right to cancel the consumer's 190 |
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| 243 | | - | relationship with a heating fuel dealer without penalty for an above-191 |
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| 244 | | - | ground tank that is lent or leased if such relationship is based upon 192 |
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| 245 | | - | either an oral agreement or a course of dealing. No tank removal charge 193 |
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| 246 | | - | or forfeiture of unused heating fuel shall be permitted if a consumer 194 |
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| 247 | | - | cancels such relationship. The consumer shall be entitled to a refund [of] 195 |
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| 248 | | - | for all unused heating fuel [at the same] in an amount that is equal to 196 |
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| 249 | | - | the lesser of the price at which the consumer purchased such unused 197 |
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| 250 | | - | heating fuel or the market price of such unused heating fuel upon 198 |
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| 251 | | - | cancellation of such relationship. 199 |
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| 252 | | - | This act shall take effect as follows and shall amend the following |
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| 253 | | - | sections: |
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| 254 | | - | |
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| 255 | | - | Section 1 July 1, 2025 16a-21(a) to (i) |
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| 256 | | - | |
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| 22 | + | That chapter 296 of the general statutes be amended to provide that 1 |
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| 23 | + | any propane retailer operating in this state that receives returned 2 |
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| 24 | + | propane from a consumer shall reimburse the consumer for such 3 |
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| 25 | + | propane in an amount that is equal to the price at which such consumer 4 |
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| 26 | + | purchased such propane from such retailer, regardless of whether such 5 |
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| 27 | + | consumer had a written service contract with such retailer. 6 |
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