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STATE OF OKLAHOMA
1st Session of the 58th Legislature (2021)
HOUSE BILL 1798 By: Miller
AS INTRODUCED
An Act relating to consumer protection; creating the
Network Company Services Act ; defining terms;
authorizing Attorney General to administer and
enforce; imposing certain requirements on network
companies; requiring certain policies; protecting
consumer information; providing for codification; and
providing an effective date .
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 800.1 of Title 15, unless there
is created a duplication in numbering, reads as follows:
This act shall be known and may be cited as the "Network Company
Services Act".
SECTION 2. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 800.2 of Title 15, unless there
is created a duplication in numbering, reads as follows:
As used in the Network Company Services Act:
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1. "Digital network" means any online-enabled application,
software, website or system offered or utilized by a network company
that enables the prearrangement of network company services ;
2. "Network company" means a business entit y operating in
Oklahoma that uses a digital network or software application service
to connect network company consumers to network company services
provided by network company service providers;
3. "Network company services " shall include, but is not limited
to, such services as delivery of consumer goods, delivery of food
from restaurants and transportation of passengers;
4. "Network company service provider" means an individual who:
a. receives connections to potential network company
consumers from a network company in exchange for
payment of a fee to the network company , and
b. uses a personal vehicle to provide network company
services upon connection through a dig ital network
controlled by a network company in return for
compensation or payment of a fee.
A network company service provider includes individuals classified
as either an employee or independent contractor of the network
company; and
5. "Network company consumer" means a person or persons who use
a digital network to connect with a networ k company to obtain
network company services .
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SECTION 3. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 800.3 of Title 15, unless there
is created a duplication in numbering, reads as follows:
A. The Attorney General is authorized to adopt and promulgate
rules for the implementation, administration and enforcement of the
Network Company Services Act.
B. The Attorney General shall have the authori ty to examine the
records of network companie s for the purpose of enforcement of this
act. Records obtained by the Attorney General pursuant to this act
shall not be subject to disclosure under the Oklahoma Open Records
Act and shall be kept confidential by the Attorney General , except
as may be required in a proceeding.
C. Failure of a network company to comply with the provisions
of this act shall be a violation of the Oklahoma Consumer Protection
Act.
D. In lieu of bringing an action under the Oklahoma Consumer
Protection Act, the Attorney General may, i n cases where the network
company is able to demonstrate that the violation occurred
notwithstanding policies of the network company that were an
integral part of the training of the network company service
provider responsible for the violation, assess an administrative
fine. The Attorney General shall, pursuant to the Administrative
Procedures Act, adopt and promulgate rules establishing a schedule
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of increasing fines to be assessed pursuant to this subsection for
multiple and repeated violations.
SECTION 4. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 800.4 of Title 15, unless there
is created a duplication in numbering, reads as follows:
A. Prior to permitting an individual to act as a network
company service provider on its digital network, the network company
shall:
1. Require the individual t o submit an application to the
network company, which includes information regarding the
individual's address, age, driver license, driving history, mot or
vehicle registration, automobile liability insurance and other
information required by the network company ; and
2. Conduct, or have a third party conduct, a local and national
criminal background check for each applicant that shall include a
check of:
a. the Multi-State/Multi-Jurisdictional Criminal Records
Locator or other similar commercial nationwide
database with validation t hrough a primary source
search,
b. the National Sex Offender Registry database , and
c. the Oklahoma Sex and Violent Offender R egistry
database.
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B. Network companies shall not permit an individual to act as a
network company service provider on its digital network who:
1. Has been convicted, within the past two (2) years, of
driving under the influence of drugs or alcohol;
2. Has been convicted, within the past seven (7) years, of
fraud, sexual offenses, use of a motor vehicle to commit a felony, a
crime involving property damage, theft, acts of violence or acts of
terror;
3. Is a match in the National Sex Offender Registry or Oklahoma
Sex and Violent Offender Registry database;
4. Does not possess a valid driver license;
5. Does not possess current proof of motor vehicle registration
for the motor vehicle(s) used to provide network company services ;
6. Does not possess proof of the automobile liability insurance
required by law or rule for the motor vehicle(s) used to provide
prearranged rides; or
7. Is not at least eighteen (18) years of age.
C. Network companies shall implement a procedure for periodic
information updates for each network company service provider
required by subsection A of this section to ensure continued
compliance by each network company service provider with the
requirements of subsection B of this section.
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SECTION 5. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 800. 5 of Title 15, unless there
is created a duplication in numbering, reads as follows:
A network company's software application or website sh all
display a current picture of the networ k company service provider
and the license plate number , make, model and color of the motor
vehicle utilized for providing network company services .
SECTION 6. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 800.6 of Title 15, unless there
is created a duplication in numbering, reads as follows:
A. Network companies shall implement a zero -tolerance policy
against network company service providers from permitting persons
other than the authorized network company service provider from
providing network company services including the assembling, picking
up, transportation and delivery of network company services.
B. The network company shall implement a procedure for periodic
identification checks to ver ify that the authorized network company
service provider is providing the network company services.
C. The network company shall provide notice of this policy on
its digital network, as well as procedures to report a complaint
about an unauthorized person providing network company service s.
Upon receipt of a complaint from a network company consumer alleging
a violation of the zero-tolerance policy, the network company shall
immediately suspend such network company service provider access to
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the network company's digital network, and shall conduct an
investigation into the reported incident. The suspension shall last
the duration of the investigation.
D. Network companies shall maintain records relevant to the
enforcement of this requirement for a period of at least two (2)
years from the date that a complaint is received by th e network
company.
SECTION 7. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 8 00.7 of Title 15, unless there
is created a duplication in numbering, reads as follows:
A. Network companies shall not disclose a network company
consumer's personally identifiable information to a third party
unless:
1. The network company consumer consents;
2. Disclosure is required by a legal obl igation; or
3. Disclosure is required to protect or defend the terms of use
of the service or to investigate violations of those terms.
B. Network companies shall be permitted to share a network
service consumer's name, telephone number, and address with the
network company service provider providing network company services
only to facilitate correct identification of the network company
consumer by the network company service provider or to facilitate
communication between the network company consumer and the network
company service provider. Network companies shall prohibit the use
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by network company service providers of a network company consumer 's
name, telephone number, address or other personal information for
any purpose other than those listed in this section.
SECTION 8. This act shall become effective November 1, 2021.
58-1-5897 AQH 01/12/21