OFTAP026(98) UNSOLICITEDADVERTISEMENTSSENTBYFACSIMILEACONSULTATIONPAPER 17July1998 OfficeofthemunicationsAuthority29/FWuChungHouse,213Queen’sRoadEast,WanChai,HongKong Tel:29616629Fax:28035112 Introduction Fromtimetotime,OFTAplaintsfromrecipientsofunsolicitedadvertisementssentbyfacsimile(fax).(Suchadvertisementsareoftencalled“junkfax”.)Recipientsof“junkfax”plainthatsuchmessagesblocktheirfaxmachinesfromreceivingimportantmessagesandconsumetheirfaxpaper.Thiscausesinconvenienceandfinanciallosstothem.ThemunicationsUsers&ConsumersAdvisoryCommittee(UCAC)undertheauspicesofOFTAhasexpressedconcernsaboutthisproblemandurgesOFTAtotakeeffectiveactionstodeter“junkfax”.(AcopyoftheUCACPaperNo.7/1997discussedinJune1997isinAppendixI.) UnsolicitedFaxAdvertisements LegislativeorAdministrativeApproachtoTackleProblem?

2. Becauseoftheflat-ratetariffingstructureforfixedtelephoneservices inHongKong,thereisfinancialincentivetosendadvertisementsbyfax.Infact, faxhasbeentakenbypeopleofHongKongasamonandeffectivemeans tosendmessages.Itisthereforeimpracticalandalmostimpossibletoprohibit unsolicitedfaxadvertisements.
3. DuringdiscussionsattheUCACaswellasmeetingsbetweenOFTA andthefourFixedmunicationNetworkServices(FTNS)operators,some tooktheviewthattheissueshouldbestbedealtwithbyenactinglegislationto makeitanoffencetosendunsolicitedfaxadvertisementsor“junkfax”.The existingSummaryOffencesOrdinanceprovidesfortheoffenceof“send[ing]any messagebytelegraph,telephone,wirelesstelegraphyorwirelesstelephonywhich isgrosslyoffensiveorofanindecent,obsceneormenacingcharacter”(section20). Oneoptionwouldbetoupdatethisprovisiontoincludemodernformsof municationservicessuchasfaxandtoexpandthescopeofmessages prohibitedtoinclude“unsolicitedadvertisements”.However,itisverydifficultto defineprecisely“unsolicitedadvertisements”andablurreddefinitioninlegislation for“unsolicitedadvertisements”couldhavetheidentaleffectofrestricting freedommunications.
4. Atpresent,undersection34ofthePersonalData(Privacy) Ordinance,thereisarequirementforadatauserwho(a)hasobtainedpersonaldata fromanysourceand(b)usesthedatafordirectmarketingpurposesto(i)atthefirst timehesousesthedata,toinformthedatasubjectthatthedatauserisrequired, withoutchargestothedatasubject,toceasetosousethosedataifthedatasubject sorequestsand(ii)ifthedatasubjectsorequests,toceasetosousethosedatawithoutchargetothedatasubject.However,thisprovisioncanonlybeusedagainst“junkfax”messagesdirectingataparticularperson.Itcannotbeappliedtoasituationwherethe“junkfax”isnotaddressedtoaparticularpersonasno“datasubject”isinvolved.
5. Thepracticesinsomeoverseascountriesintackling“junkfax”is giveninAnnexDtotheUCACpaperinAppendixI.
6. ThegeneralconclusionfromthediscussionsparticipatedbyOFTAis thatinitiallysteppedupadministrativemeasuresandpubliceducationmightbea betteralternativestotacklethe“junkfax”problems.OFTAwouldconsider legislationorotheralternativesifitisfoundthattheproposedapproachcouldnot effectivelydeter“junkfax”. CodeofPracticeforFTNSOperators
7. FTNSoperatorsgenerallyhaveincorporatedintotheir“Conditionsof Service”thatsendingunsolicitedfaxadvertisementsisprohibited.Usingfaxlines tosendunsolicitedfaxadvertisementswouldconstituteabreachoftheservice contractbetweenthecustomersandtheFTNSoperatorconcernedandthat operatorisentitledtoterminatetheservicetothecustomerinbreach.FTNS operatorshaveenforcedthesecontractconditionsandlinesproventohavebeen involvedinthesendingofunsolicitedfaxadvertisementshavebeendisconnected. Tostepupthisapproachoftackling“junkfax”problem,itisproposedthatan industryCodeofPracticefortheplaintsagainst“junkfax”sendersbe issuedbythemunicationsAuthority(TA)pliancebytheFTNS operatorssothatamoreconsistentandeffectiveapproachcanbeadoptedintaking actionsagainstsendersofunsolicitedfaxadvertisements.AdraftoftheCodeisin AppendixII. GuidelinesforUnsolicitedFaxAdvertisementSenders
8. OFTAproposestointroduceasetofguidelinesforsendersoffax advertisementstofollowinusingfaxlinesforsendingadvertisements.Thisis giveninAppendixIII.“Unsolicitedfaxadvertisements”sentpliancewith theguidelinesmaybetolerated. -2-
9. Theguidelineswilloperatewithimmediateeffectfrompublication andsendersof“unsolicitedfaxadvertisements”willberequestedtovoluntarily complywithit.Althoughtheguidelineswillbevoluntaryinnature,advertisers shouldhavetheincentiveplyingwiththembecausetoachievethedesired effectofpromotingthegoodsandservicesadvertised,theywouldnotwishtoupset therecipientofthe“unsolicitedadvertisements”.Furthermore,failureply withtheguidelinecouldleadtoultimatedisconnectionofthefaxlinesusedtosend theadvertisements.TheTAwillmonitortheimplementation.Iftherearepractical problemsintheimplementationoftheproposedprocedureorthe“junkfax” problemcouldnotbeeffectivelyresolvedevenafterthefullimplementationofthe proposedprocedure,theTAwillconsiderotheralternatives,forexample, enactmentofnewlegislationorintroductionofotheralternatives. “Not-to-Call”List 10. Theoperationofthecodesdependsontheavailabilityofa“not-to- call”listtobemaintainedbythesendersoffaxadvertisements.Thesenders shouldnotsendtheirmessagestonumbersonthe“not-to-call”list.The“not-to- call”listshouldinclude •entriesinacentralized“not-to-call”listmaintainedbyFTNSoperators;and •numbersoffaxlineuserswhohavecontactedindividualsendersforinclusiononthe“not-to-call”list. 11. Thepurposeofthecentralized“not-to-call”lististoenableafaxline usertonotifyhisfaxlinesupplieronceandthiswouldthereceiptofall unsolicitedfaxadvertisements.TheFTNSoperatorsshouldcooperatetoexchange amongthemselvesinformationonfaxlineusersrequestingtohavetheirnumbers includedsothatmonup-to-date“not-to-call”listismaintained.Suchalist shouldbesupplieduponrequesttosendersoffaxadvertisements. 12. Faxlineusersalsohavetheflexibilityofcontactingindividualsenders offaxadvertisementssothattheirnumbersareincludedonthe“not-to-call”listof thesenderscontacted(thatmeanstheywouldstillreceivefaxadvertisementsfrom sendersnotcontacted). -3- IndependentComplaintCommittee 13.ItisalsoproposedbyFTNSoperatorstoestablishanmitteetodecideonservicesuspension/termination.Possibletermsofreferenceofmitteewouldbeasfollows: •toadvisetheTAonanynecessaryamendmentstotheCodeofPracticeconcerningdistributionofunsolicitedfaxadvertisements; •tomonitorpliancebyFTNSoperatorswiththeCodeofPractice; •todecideonsignificantorrepresentativecasesofservicesuspension/terminationforfaxuserssendingunsolicitedfaxadvertisementsinbreachoftheguidelines. 14. Oneoptionisformitteetobesetupasoneofthe committeesundertheexistingUCACofOFTA.mitteewould includerepresentativesfrommunicationsoperatorsandusers.The secretariatandfundingwillbeprovidedbyOFTA. ConsumerEducation 15. OFTAwillalsodesignaleaflettoeducatethepublicaboutthecodeof conductthatsendersoffaxadvertisementsareexpectedplywithandtheir rightsandproceduretoplaintsagainst“junkfax”.Theinitialcontentof theleafletisinAppendixIV.Theleafletwillbewidelydistributedthroughvarious officesoftheGovernmenttowhichthepublichaveess. 16. Consumereducationwillalsobepursuedthroughothermedia- OFTA’swebsite,announcementsofpublicinterest,etc. Consultation 17.YouareinvitedtogiveOFTAmentsonthefollowingquestions: •Doyouconsiderthat“junkfax”isaseriousproblem?
•Doyouagreewiththeaboveproposedmeasurestotacklethe“junkfax”problem?
-4- •WhatelsedoyouthinktheGovernment,OFTAortheFTNSoperatorsshoulddototacklethe“junkfax”problem?
18. mentsshouldbesenttoOFTAbythefollowingmeans before17September1998: OfficeofthemunicationsAuthority29/F,WuChungHouse213,Queen’sRoadEast,WanchaiHongKong (Attn:AdministrativeOfficer(Regulatory)) Telephone:29616629Facsimile:28035112E-mail:ments@ofta.gov.hk OfficeofthemunicationsAuthority17July1998 -5- Fordiscussionon7June1997 AppendixIUCACPaperNo.7/1997 TELECOMMUNICATIONSUSERS&CONSUMERSADVISORYCOMMITTEE TreatmentofJunkFax(III) INTRODUCTION Atthe14thUCACmeetingon1February1997,MembersdiscussedUCACPaperNo.1/1997-TreatmentofJunkFax(II)-andtheChairmansaidthatOFTAwouldconductstudiesinthefollowingareas- •legislation;•overseasexperience;and•howtostrengthentheadministrativemeasurestakenbyHongKong TelephoneCompany(HKTC). Thispapersetsouttheresultsofthestudiesintheabove3areas. ANOVERVIEWOFTHEPRESENTSITUATION Theproblem
2.Bydefinition,junkfaxreferstomassivetransmissionofunsolicitedmessages.ThemontypeofjunkfaxinHongKongisunsolicitedfaxadvertising.
3.Overthepasttwoyears,HKTCreceivedmorethan185plaints(ormorethanplaintseverymonth)onjunkfax.(OFTAalsoplaintsofthiskindfromtimetotime,andinmostcases,theyarereferredtoHKTCforfollow-up.)Amongthesecases,33junkfaxsendersattractedmorethanplaintsinthe2-yearperiodandaresuspectedtoberunninga"junkfaxservice"business.These33junkfaxsendersountedfor28.6%oftheplaintsreceived.Detailsofthese33casesareinTable1.
4.ItshouldhoweverbenotedthatacertainnumberofjunkfaxvictimshavenottakenthelibertytofileplainttoHKTCorOFTA,orareunabletodosoduetothefactthatthejunkfaxsenderswithholdtheirfaxnumbers. -i- No.ofComplaintsNo.ofWarningNo.ofLines received Letters

issued Terminated A1 256
2 - A2 1,283
2 - A3 1,383
8 - A4 2,619 24
5 A5 851
8 1 A6 508
8 1 A7 1,386 21 - A8 2,726 23
2 A9 3,098 13 - A10 1,289
6 - A11 2,056 55
1 A12 3,377 14
1 A13 1,421 13 - A14 1,802 13
3 A15 2,391
4 - A16 785
3 1 A17 1,161
2 1 A18 3,787
4 - A19 2,375
3 3 A20 1,176
4 - A21 1,105
8 3 A22 590
4 1 A23 3,380 46
2 A24 1,280
2 2 A25 284
6 - A26 976
3 3 A27 2,391
5 2 A28 1,621
3 1 A29 241
2 - A30 341
3 - A31 1,611 14
1 A32 2,594 20
2 A33 1,258
6 3 Legislation
5.

Atpresent,anumberoflegislationcontainprovisionswhichmayrelatetothejunkfaxproblem. -ii- (a)municationOrdinance(Cap106)
6.Section27ofmunicationOrdinancestipulatesthat- "Anypersonwhodamages,removesorinterferesinanywaywhatsoeverwithamunicationinstallationwithintentto- (a)preventorobstructthetransmissionordeliveryofamessage;(b)interceptordiscoverthecontentsofamessage, shallbeguiltyofanoffenceandshallbeliableonsummaryconvictiontoafineof$20,000andtoimprisonmentfor2years."
7.Thekeyelementinapplyingsection27ofmunicationOrdinancetojunkfaxistheintentiontouseupthevictim'sfaxpaperortoobstructthevictim'sfaxmachinefromreceivingothertaxes.In1993,apersonwasessfullyprosecutedforsendingalargenumberoftaxesputer-generated,unintelligiblemessages,whichasaresultdamagedthevictim'sfaxmachine.Itwasunderstoodthatthedefendantdeliberatelydidthisafterhavingadisputewiththevictim.
8.Theconstraintoftheaboveisthatitcanonlyaddressthejunkfaxproblemunderspecificcircumstances.Obviouslyunsolicitedfaxadvertisingmessagesdonotfallintotheremitofthisprovision.
9.Section8ofmunicationOrdinancerequiresanypersontoholdalicenceifheestablishesormaintainsameansofmunicationincludingtheoperationofatelephoneorafax'machine.AnexemptionorderismadeundermunicationOrdinancetoexemptfromthelicensingrequirementincaseapersonusemunicationsapparatusathomeorinofficeforesstoserviceprovidedbymunicationsoperatorswhichareissuedlicenceforprovidingpublicmunicationsservices.However,thepersonisnotcoveredbytheexemptionorderifheisresellingtheservicetothirdparties. 10.Incaseofjunkfaxsenders,iftheirunsolicitedfaxmessagescontaininformationrelatingtothemselves,theyarecoveredbytheexemptionorder.Forthosewhoprovideajunkfaxservicetoathirdparty,toacertainextent,thesesocalled"junkfax"paniesareprovidingapublicmunicationsservicesandhencemayrequirealicenceundersection8ofmunicationOrdinance.Nevertheless,applyingthissectiontopaniesandjunkfaxsenderswillhavegraveimplicationsoncertainbusinesssuchassecretarialpanies,i.e.paniesinHongKongneedtoobtainamunicationlicence.Itshouldhoweverbenotedthatthiskindof"catch-all"legislativemeasuremay -iii- possiblyincludecertainbusinessnotinordancewiththepolicyintent,creatingunnecessaryinconveniencetotheirnormalcourseofbusiness. (b)SummaryOffenceOrdinance(Cap228)11.Section20ofSummaryOffencesOrdinancestipulatesthat"Anypersonwho (a)sendsanymessagebytelegraph,telephone,wirelesstelegraphyor wirelesstelephonywhichisgrosslyoffensiveorofanindecent,obsceneormenacingcharacter;or(b)sendsbyanysuchmeansanymessage,whichheknowstobefalse,forthepurposeofcausingannoyance,inconvenienceorneedlessanxietytoanyperson;or(c)persistentlymakestelephonecallswithoutreasonablecauseandforanysuchpurposeasaforesaid, shallbeliabletoafineof$1,000andtoimprisonmentfor2months." 12.Theaboveprovisiondoesnotspecificallycoverfaxmessages.Evenifitistobeamendedtoincludeallmunicationsmessages,itisdoubtfulwhetherthisprovisioncanprovideaneffectivelegislativetoolagainstunsolicitedadvertisingtypeofjunkfax. (c)PersonalData(Privacy)Ordinance(Cap486-)13.Section34ofPersonalData(Privacy)Ordinancestipulatesthat- "Adatauserwhousesthedatafordirectmarketingpurposes,includingtheadvertisingoftheavailabilityofgoods,facilitiesorservicesbymeansofinformationsentbyfacsimile,shall (a)thefirsttimehesousesthosedata,informthedatasubjectthatthedatauserisrequired,withoutchargetothedatasubject,toceasetosousethosedataifthedatasubjectssorequests; (b)ifthedatasubjectsorequests,ceasetousethosedatawithoutchargetothedatasubject." -iv- 14.ordingtotheOfficeofthePrivacyCommissioner,theaboveprovisioncanonlybeusedagainstjunkfaxmessagedirectingataparticularperson.Itcannotapplytosituationwherethejunkfaxmessageisnottargetingataspecificpersone.g.inunsolicitedfaxadvertising. Administrativemeasures 15.Atpresent,HKTC'sGeneralConditionsofService(clause3.4)includethefollowing- "TheCustomerundertakesnottousetheServices- (a)foranyillegalorimproperpurposeorforthepurposeofsendingunsolicitedadvertisingmessage...." 16.panymaintainsplaintdatabasetokeeparegisterofitscustomerswhohaveplainedagainstsendingjunkplaintsovera2-yearperiod.panyreviewsthedatabasetwiceamonth,andtakesactionagainstthoseplainedinordancewiththefollowing- (a)Firstwarningletterissuedtothesenderincase5ormorejunkplaintsarereceived.(sampleaAnnexA) (b)Finalwarningletterissuedtothesenderifhecontinuestoattract5orplaintsduringthe2-yearperiod.(SampleatAnnexB) (c)TemporaryOutofServiceletterissueduponreceiptofafurther10ormorejunkplaintsagainstthesenderi.e.plaintsintwoyears'time.(sampleatAnnexC) Aftertheissueoftemporaryoutofserviceletterisissued,thesendercanapplyforlinereconnection,subjecttoafeeof$170andhisconsenttonotsendingjunkfaxagain. 17.Incasethefaxnumbersarenotshown,HKTCwillcontactthepartiesconcerned,whomaynotbethejunkfaxsender,usingthecontactdetails(usuallymobilephoneandpagernumbers)providedinthejunkfaxmessagebyphoneorinwriting.Afterthatnofurtheractionwillbetaken.Nevertheless,panycanmonitorthelineofplainant,subjecttothewrittenconsentofthelatter,tofindouttheidentityofthejunkfaxsendersandeffectlineterminationimmediatelywithoutgivinganywarninglettersifplaintissubstantiated.Thiskindoflinemonitoringisfreeofcharge.Overthepasttwoyears,onlyaplainants -v- haverequestedforlinemonitoring,possiblybecausetheyhavetodosomesortingofallthefaxmessagestheyreceivedandthefaxjournalsinordertohelpHKTCidentifythejunkfaxsenderfromHKTC'workinformation. 18.Withaflat-ratelocaltelephonetariffingstructureinHongKong,theonlycostofsendingjunkfaxisthe$530lineconnectioncharge.Alternatively,somejunkfaxsendershavechosentochangetheirfaxnumber,whichonlycosts$50,everytimetheyreceiveHKTC'sfirstwarningletter. OVERSEASEXPERIENCE 19.OFTAhaswrittentoanumberofoverseasregulatoryagenciesworkoperatorsseekinginformationonhowtheyhandlethejunkfaxproblem.Responsesfrom6countrieswerereceived,detailsofwhichareatAnnexD. 20.Themeasurestakenbytherespondingcountriescanbesummarisedasfollows- Legislation•Prohibitionofunsolicitedadvertisingfaxmessages.•petitionlaws-unsolicitedfaxispetitivein nature.•ClassLicensing-thisissimilartotheexistingexemptionorderon homeandofficefaxequipmentforprivateuse.TheonlydifferenceisthattheTAcanincludeaconditionintheclasslicencewhichprohibitsthesendingofunsolicitedadvertisingfaxmessages,therebyprovidingalegalmeanstotakeactionagainstjunkfaxsenders.•Requiringthefaxsendertoshowhisidentityandfaxnumberinallfaxmessage.•Providingvictimswithaprivaterightofaction. Administrativemeasures•morestringentmeasuresadoptedbyHKTC(e.g.linetermination uponreceiptof5ormoreplaints;refusaltorequestforlinere-connection).•Requiringthefaxsendertoshowhisidentityandfaxnumberinallorunsolicitedadvertisingfaxmessage.•restrictiononthetimingallowedforunsolicitedfaxadvertisements. -vi- •theestablishmentofa"do-not-call"database,whichineffectmeansthatthesenderhastoobtainpriorconsentofthefaxmessagerecipient. 21.ThefollowingobservationscanalsobemadefromtheoverseasexperienceatAnnexD- •junkfaxismonprobleminadvancedsociety;•legalmeansisnottheonlyeffectivetool;otheradministrativeand industryself-regulatorymeasuresareoftenused,someofwhichmaybeaseffectiveaslegislation. OPTIONSTOHONGKONG 22.BeforeconsideringthemostappropriatemeasuresagainstthejunkfaxprobleminHongKong,itshouldbenotedthatuponrequestofOFTAintheearly1990s,HKTChasmadestrenuouseffortstoestablishingtheadministrativesystemdescribedinparagraphs15and16above,andtoenforcingthesystem.ThemainreasonsbehindthepersistenceofthejunkfaxprobleminHongKongareessentiallybeyondthecontrolofHKTC.Henceconsiderationshouldbegiventointroducingadditionallegaland/oradministrativemeasurestostrengthenthemechanismwhichHKTChasestablishedovertheyearsintacklingthejunkfaxproblem. 23.IthasalsobeensuggestedbysomeMembersthatacodeofpracticeonhandlingjunkplaintsbedrawnupandapplytoallFTNSoperators.ConsiderationcouldbegiventosettingupaJunkFaxAdvisoryCommitteealongthelineoftheComplaintsAdvisoryCommitteeonPay-per-callRecordedInformationServices. 24.Asstatedintheearlierpartofthispaper,thejunkfaxprobleminHongKongcanbeseenlargelyaspartofunsolicitedadvertisingactivities,excludingofcoursethosejunktaxeswhichareofamaliciousintent,amoreoffensivenaturesuchasthosewithindecentandthreateningcontent.(ThelattershouldbetterbetackledbythePoliceandotherlawenforcementagencies.) 25.Thefollowingquestionswarrantcarefulconsiderationbeforedecidingonwhichofthemeasuresstatedinparagraph20aboveshouldbeadoptedinHongKong- -vii- •Whatisthedefinitionofjunkfax?
•Willastrictprohibitionofjunkfaxbylawscatchthosewhoarenot creatinganynuisancetorecipients?
Doesthisposeanunnecessarilyconstraintonnormalbusinessactivities?
Whereshouldbethebalancebetweenfreedomofinformationandprotectionofpeoplefromthenuisanceduetojunkfax?
•HongKongdoesnotyethaveitsownpetitionlaws.Isitappropriatetoemploypetitiveprovisionsintacklingjunkfax?
•Fromtheprivacyprotectionpointofview,,isitreasonabletorequireallfaxmessagestocontainthetelephonelinefromwhichthefaxissentand/oridentityofthesender?
•Fromtheangleofuniversalserviceobligation,couldHKTCrefuselinereconnectionfromsomeonewhoisafrequenttargetofjunkplaint?
ADVICESOUGHT26.MembersareinvitedtogivehisviewsonthepossibleadministrativeandthelegislativemeasurestotacklethejunkfaxprobleminHongKong. OfficeofthemunicationsAuthority3June1997 -viii- AnnexA Sampleof1stwarninglettertootherjunkfaxsenders DearCustomer, UnsolicitedFaxAdvertising WehaverecentlyreceivedanumberplaintsfromourFaxlinecustomersregardingreceiptofyourunsolicitedfaxadvertising. Youmaynotbeawarethatsendingunsolicitedfaxadvertisingisconsideredtobeamisuseofwork.ItisstipulatedinourConditionsofServicethattheuseofworkforunsolicitedinformationdistributionisnotpermitted. Unsolicitedfaxadvertisingwouldcauseinconveniencetotherecipientsandtieuptheirlinesforingcalls.Inordertoprotecttheinterestofthegeneralcustomers,weareobligedtosuspendservicetothosecustomerswhomisusetelephone/faxlinesfortheirowninterest. Pleasecontact[ ]at[ Thankyouforyourattention. ]todiscussthismatterfurther. Yourssincerely, CustomerSatisfaction -ix- AnnexB Sampleof2ndwarninglettertootherjunkfaxsenders DearCustomer, UnsolicitedFaxAdvertising Furthertoourlettertoyouondd/mm/yy,wecontinueplaintsofyourunsolicitedfaxadvertising. Imustdrawyourattentionagainthat,underHongkong'sConditionsofService,customersarenotpermittedtousetheworkforthedistributionofunsolicitedfaxadvertising.WewouldbeveryappreciatedonpliancewithourConditionsofServicesandsendingunsolicitedfaxadvertising.Otherwise,wehavenoalternativebuttodisconnectyourtelephone/faxlinenumber2XXXXXXX.Weunderstandthiswouldcauseinconveniencetoyourbusiness,pleasedocooperatewithusinthismatter. Foranyqueriesorifyouneedanyfurtherassistance,please[ ]at [ ].Thankyouforyourattention. Yourssincerely, CustomerSatisfaction -x- AnnexC SampleofTOSlettertojunkfaxsenderswhoaresuspectedofsendingfaxadvertising DearCustomer TerminationofTelephone/Faxservice Furthertoourletterdateddd/mm/yy,wecontinueplaintsaboutyourjunkfaxmessages.InordancewithHongkong'sConditionsofService,wehavenoalternativebuttoterminateyourtelephone/faxlineno.2XXXXXXXwitheffectfromdd/mm/yy. ThisactionistakenreluctantlyintheinterestsofothercustomerswhoabidebyourstatedServiceConditions. Pleasecontact[ ]at[ ]ifyouhaveanyqueries. Yourssincerely CustomerSatisfaction -xi- SampleofTOSlettertootherjunkfaxsenders DearCustomer TerminationofTelephone/Faxservice Furthertoourletterdateddd/mm/yy,wecontinueplaintsaboutyourjunkfaxmessages.Inordance'WithHongkong'sConditionsofService,wehavenoalternativebuttoterminateyourtelephone/faxlineno.2XXXXXXXwitheffectfromdd/mm/yy. ThisactionistakenreluctantlyintheinterestsofothercustomerswhoabidebyourstatedServiceConditions. Pleasecontact[ ]at[ ]ifyouwishtodiscussthismatter. Yourssincerely CustomerSatisfaction -xii- OVERSEASEXPERIENCEINTACKLINGTHEJUNKFAXPROBLEM AnnexD Canada ordingtotheOfficeofConsumerAffairsofIndustryCanada,controlofjunkfax/unsolicitedfaxesunderthegeneraltariffconditionsofworkoperators.Forexample,BellCanada'sgeneraltariffconditions(Item1800)includethefollowing- (a)Personplacingunsolicitedlivevoiceorfaxcallstosolicitaretoensurethatacustomer'srequestnottobecalledagainisrespectedantthatthecustomer'snameandtelephonenumberareremovedfromcallinglistswithin7daysoftherequestforunsolicitedfaxcalls...Acustomer's"donotcall"requestistoremainactivefor3years. (b)Personsplacingunsolicitedfaxcallstosolicitaretoidentifythepersononbehalfofwhomthecallismadeaswellasthecaller'stelephonenumber,faxnumberandthenameandaddressofaresponsiblepartytowhomthecalledpartycanwrite. (c)Unlessotherwiseprovidedbylawunsolicitedfaxcallsmayonlybeplacedbetween9:00a.m.and9:30p.m.MondaytoFridayandbetween10:00a.m.and6:00p.m.onSaturdayandSunday.Thepermittedcallinghoursidentifiedarethoseofthecalledparty. (d)Unsolicited...faxcallstosolicitmustdisplaytheoriginatingcallingnumberoranalternatenumberatwhichthecalloriginatorcanbereached,exceptwherenumberdisplayisunavailablefortechnicalreason. (e)Sequentialdiallingforunsolicited...faxcallsforthepurposeofsolicitationisprohibited. (f)PersonswhoresellCentrexservicemustmakeallreasonableeffortstoensurethattheend-userdoesnotemploytheservicetotransmitunsolicited...faxcallsforthepurposeofsolicitation. -xiii- Shouldanyoftheaboveconditionsbecontravened,thetelephoneservicestoalllinesusedinconnectionwiththeplacingofcallsmaybesuspendedorterminate2businessdaysafternoticefromBellCanada. Whiletheabovemeasuresareimplementedbyworkoperatorsconcerned,,theCanadianRadio-televisionandmunicationsCommission(i.e.theregulatory)approvedtheinclusionoftherelevantrequirementsintheoperators'tariffconditions. Germany InGermany,junkfaxiscontrolledbymeansofgenerallawspetition,ratherthanmunicationslawsandregulations.Telefaxescanonlybeusedforadvertisingmediawithintheframeworkofbusinessrelationsandunsolicitedfaxadvertisingisregardedaspetition. ordingtotheGermanMinistryofPostsandmunications(MPT),section1oftheActagainstUnfairCompetitionstipulatesthat- "Anypersonwho,inthecourseofbusinessactivityforpurposespetition,mitsactscontrarytohonestpractices,maybejoinedfromdoingtheseactsandheldliablefordamages." Theprotectionthereforecoversthepublic,apartfromthemunity,wheneverapersondisapprovesanactandconsidersitintolerable.TheGermanjurisdictionhasforalongtimeconsideredunsolicitedfaxmessageascontrarypetition. TheDeutscheTelekomalsorespondedtoOFTAinrespectoftheproblemofunsolicitedfaxadvertising.UndertheActagainstUnfairCompetition,theGermancourthasadoptedtheviewthatunsolicitedfaxmessageispetitiveandapersoncanpursuecivilactionsagainstsenderofunsolicitedfaxadvertisingandthishasprovedtobeeffectiveincurbingsuchaprobleminGermany. Inaddition,theDeutscheTelekomrequiresitscustomersnottomisusetheirtelephonelinesandincaseofviolationofsuchrequirement,panycanbaroutgoingcallsofthesenderorhavehislinesterminated.Suchmeasureshoweverareseldomused. -xiv- France InFrance,thelawsprovidethatsocietiesorprivatepersonswhodonotwanttoreceiveunsolicitedadvertisementsbyfaxmayasktoberegisteredtoalistundertheresponsibilityofFrance.Thelistispublicinthatmarketingdepartmentsareinformedofpeopleorsocietiesregistered. Registrationwiththelistisfreeofchargeforprivatepersonsandchargedforsocieties. Japan ordingtotheOfficeofConsumers'AffairsinmunicationsundertheMPTofJapan,unsolicitedtelephonecallsincludingfaxisregulatedby"DoortoDoorSales,etc.Law"InJapanbutthereisnolegislationtargetingatjunkfax. InDecember1995,theStudyGroupforLegislationonTelephoneSolicitationundertheMPTofJapanreleaseditsreport,mendinglegalcontrolovertelephonesolicitationactivities,suchas- (a)Thecallershouldnotsendadocumentintendedforpromotionbyfax....messagewithouttheexplicitpriorconsentofthecall'sreceiver. (b)Thecallermustprepareandmaintainalistoftelephonesubscriberswhodonotwishtoreceivepromotionalmaterials. (c)Carriersshouldbeobligedtomakeitpossiblefortheirsystemstoprovideservicesthatenableuserrefusalofunwantedsolicitingtelephonecalls. UnitedKingdom(UK) IntheUK,themunicationsAct1984providesalicensingregimegoverninganyonerunningamunicationssystemincludinghomeandofficetelephonesbymeansofclasslicence,i.e.usersarenotrequiredtoapplyforalicenceorpayafeebutareobligedtomeetthelicenceconditions.Oneoftheconditionsconcernsunsolicitedsurveyorsalescallsbytelephoneorfaxandthelicenseesshouldceasetomakeanyunsolicitedsalescallsuponrequestoftherecipient.OFTELwillrevokethelicencetooperatethetelephonesystemshouldthelicenseeignoretherequestoftherecipienti.e.disconnectionoflines. -xv- Onanotherfront,themunicationsandtelephonesellingindustriesintheUKestablishedtheTelephonePreferenceService(TPS)andmorerecently,theFaxPreferenceService(FPS).Theseinitiativesarevoluntaryschemesinnature,andprovidepaniesalistofthetelephone/faxnumbersofthosewhodonotwishtoreceiveanyunsolicitedcalls.Inotherwords,thosewho.donotwishtoreceivesuchunsolicitedcallsshouldregisterwiththeTPS/FPS.UndertheFPS,thesenderisrequiredtoprovideinthefaxmessagehisidentitytothosewhohavenotregisteredwiththeFPS.Furthermore,therecipientshouldbegiventheinformationonhowheorshecouldremovehisfaxnumberfromthesender'sdatabase. ItisunderstoodthattheECisconsideringtheimplementationofaDistanceContractDirectivebytheyear2000whichinstitutesanopt-inarrangementrequiringthesenderofanyfaxadvertisementtoobtainthepriorconsentoftherecipient(butnotapplyingtobusinesstobusinesssolicitation). UnitedStates(US) TheUSTelephoneConsumerProtectionAct1991prohibits,interalia,theuseoftelephonefaxmachinestosendunsolicitedadvertisements.TheRestrictionsonTelephoneSolicitationundertheCodeofFederalRegulationsstipulatesthat- (a)nopersonmayuseatelephonefaxmachine...tosendunsolicitedadvertisementstoatelephonefaxmachine (b)Thefirstpageoreachpageofatransmissiontoafaxmachinemustincludeidentifyinginformation. Consumersareprovidedwithaprivaterightofactionforviolationofthisprohibition. Insteadofestablishinganationaldatabase,theFCCrequires"faxadvertising"paniestomaintaintheirown"do-not-call"lists.Individualpersonshavetorequestforhisfaxtelephoneandfaxnumberstobeincludedinthe"do-not-call"listofpaniesiftheformerdonotwishtoreceiveunsolicitedadvertisingmessages.Therequestwillbevalidfor10years. -xvi- DraftCodeofPractice ProceduresforHandlingComplaintsagainstSendersofUnsolicitedFaxAdvertisements AppendixII Preamble ThisCodeofPracticeprovidesforasetofstandardproceduresforFixedmunicationNetworkServices(FTNS)operatorstofollowinplaintsagainstsendersofunsolicitedfaxadvertisements. Fortheavoidanceofdoubt,nothinginthisCodeabsolvesanyFTNSoperatorsfromoperatinginordancewiththetermsofitslicenceandlegislationcurrentlyinforceinHongKong. “Unsolicitedfaxadvertisements”aremessagespromotinggoodsorservicessenttoarecipientnotattherequest,orwiththeagreement,ofthatrecipient,fromsomeonewhodoesnothaveanestablishedbusinessrelationshipwiththerecipient. Proceduresforplaintsagainst“junkfax”senders •Complainantsshouldbeallowedtoplaints,verballyorbyfax,throughageneralenquirynumberoranotherspecialnumberdesignatedforsuchpurposebyanFTNSoperator. •TheFTNSoperatorshouldcarryoutpromptinvestigationandissueawarninglettertothe“junkfax”senderwithinareasonabletimewhenagenuinecaseisestablished.Thewarninglettershouldwarnthe“offender”thathislinewillbetemporarilysuspended/terminatedplaintsagainsthimreachacertainlimit:5forservicesuspensionand10forterminationofservice. (Note:Complaintsagainstfaxadvertisementssentinonesinglebatcharecountedasoneplaint) •Servicestoa“junkfax”senderwillbetemporarilysuspendedforaperiodof14daysifmorethanplaintshavebeenreceived.Servicewillbeterminatedandthelinebedisconnectedifmorethanplaintsarereceived. -xvii- •Insomecases,the“offender”maytrytoavoidservicesuspensionorterminationbychangingthenameoftheregistereduserofalineaftercertainnumberplaintsagainsthimhasbeenreached.Insuchacase,ifthereissufficientevidenceshowingthattheoffenderhastriedtobypasstherule,theFTNSoperator,afterconsultingOFTAoranindependentComplaintCommitteetobeformedinfuture,maysuspendorterminateservicebasedontheabove-mentionedcriteriaasifthereisnochangeofsubscribername. •FTNSoperatorsshouldsetupandmaintaina“not-to-call”list.The“not-tocall”listmaintainedbyanFTNSoperatorshouldincludethefaxnumberswhosesubscribershaveindicatedtheirunwillingnessofreceivingunsolicitedfaxadvertisements.Forexample,theFTNSoperatorwilladdthefaxnumbersofthosewhohaveplaintsforreceivingunsolicitedfaxadvertisementsinthis“not-to-call”list.TheFTNSoperatorsshouldexchangedataamongthemselvestomaintainaunifiedcentralized“not-to-call”listforHongKong.Thelistshouldbemadeavailableforinspectionbythepublicsothatanadvertisingagencyorafaxadvertisementsendercandeletefromitscirculationlistthosenumberswhichhavebeenputonthe“not-to-call”list. Enforcement TheCodeisvoluntarilyinnature.FTNSoperators,however,havetheresponsibilitytoprotecttheinterestofusersofmunicationservicesandtoeducatethemontheproperandeptablewaytousefaxtransmissionforadvertisingpurpose.ThemunicationsAuthorityconsidersthisasapartofgoodcustomerservice. ChangetotheCode ThemunicationsAuthorityreservestherighttoamendandapprovemodificationstotheCode,asandwhennecessary. OfficeofthemunicationsAuthority17July1998 -xviii- DraftCodeofPracticeGuidelinesforSendersofFaxAdvertisements AppendixIII Introduction Fromtimetotime,OFTAplaintsfromrecipientsofunsolicitedfaxadvertisements(orcalled“junkfax”).Recipientsof“junkfax”plainthatsuchmessagesblocktheirfaxmachinesfromreceivingimportantmessagesfromtheircustomersandconsumestheirfaxpaper.Thesecauseinconvenienceandfinanciallosstothem.ThemunicationsAuthorityconsidersthisisalegitimateconcernoftheconsumers.Heunderstands,however,thatfaxhasbeenamonandeffectivemeansmunicationinHongKongandsomeoftherecipientsmayfindthefaxadvertisementapieceofusefulinformation.Assuch,themunicationsAuthorityhasnointentiontoprohibittheuseoffaxtransmissionforsendingadvertisingmaterialprovidedthatthesendersofsuchfaxplywiththeguidelinesbelow. Rulestobeobservedbysendersoffaxadvertisements Afaxlinesubscriberwhohasusedhisfaxlineforsendingunsolicitedadvertisements/messagesforhisownbusinessorathirdpartyshould: •printinChineseandEnglishonthefirstpageofthemessagethesender’sname,telephoneorfaxnumberandincludeamessagealongthefollowinglines: “Ifyoudonotwishtoreceivesuchmessagesfromus,pleasecallusontelephone[]orfax[]sothatwecansendingyouourmessagesinthefuture.” •placesuchfaxcallsoutsideofficehoursasfaraspossible •restrictthenumberandlengthofsuchmessagesforasinglerecipienttoasmallnumberandshortlength,say,lessthan2pagesperday -xix- •maintainalistofthosewhohavefiledarequestfornotreceivingsimilarfaxcallsinfuture(a“not-to-call”list)andtoceasesendingsuchfaxtothosewhosenameshavebeenincludedinthelist.The“not-to-call”listshallinclude◊entriesinacentralized“not-to-call”listobtainedfromtheFTNSoperators;and◊numbersfaxlinesuserswhohavecontactedthesenderforinclusiononthe“not-to-call”list. EnforcementTheCodeisvoluntarilyinnature.Itwouldhelpboththesenderoffax advertisingmessagesandthoserecipientsofsuchmessageswhoconsiderthemas“unwantedmessages”or“junkfaxes”.Ifallsendersobservetheaboverules,inconveniencetothoserecipientswhoconsidersuchmessages“junkfax”willbeminimizedandbelimitedtoapossibly“eptable”level.Failuretoobservethecodewouldupsettherecipient(andthereforetheadvertisementswouldnotachievethedesiredeffect)andthesenderofthemessagesmayruntheriskofhavingthelinesdisconnectedforsending“junkfaxes”. ChangetotheCodeThemunicationsAuthorityreservestherighttoamendand approvemodificationstotheCode,asandwhennecessary. OfficeofthemunicationsAuthority17July1998 -xx- DraftConsumerEducationLeafletonDealingwithUnsolicitedAdvertisementsbyFax AppendixIV Whatismeantby“unsolicitedfaxadvertisements”?
“Unsolicitedfaxadvertisements”aremessagespromotinggoodsorservicessenttoyounotatyourrequestorwithyouragreementfromsomeonewhodoesnothaveanestablishedbusinessrelationshipwithyou. Isthesendingof“unsolicitedfaxadvertisements”illegal?
Atpresent,thereisnolawprohibitingthesendingof“unsolicitedfaxadvertisements”,butthesendersofsuchadvertisementsmaybeinbreachoftheservicecontractwiththeirfaxlinesuppliers.Theworkoperatorsmaydisconnectthefaxlinesusedforthesendingofunsolicitedfaxadvertisements. Areallformsof“unsolicitedfaxadvertisements”eptable?
GuidelinesissuedbytheOfficeofthemunicationsAuthorityrequirethesenderoffaxadvertisementsto •printinChineseandEnglishonthefirstpageofthemessagethesender’sname,telephoneorfaxnumberandincludeamessagealongthefollowinglines: “Ifyoudonotwishtoreceivesuchmessagesfromus,pleasecallusontelephone[]orfax[]sothatwecansendingyouourmessagesinthefuture.” •maintaina“not-to-call”listandrefrainfromsendingmessagestothosefaxnumbersonthe“not-to-call”list. “Unsolicitedfaxadvertisements”sentpliancewiththeGuidelinesmaybetolerated. -xxi- WhatshouldIdoifIdonotwishtoreceive“unsolicitedfaxadvertisements”?
Ifyoureceiveafaxadvertisementwiththeabovemessageandyoudonotwishtoreceivefurtheradvertisementsfromthatsender,contactthesenderandaskforyourfaxnumberberemovedfromsender’sdistributionlist. Ifyoureceiveafaxadvertisementwithoutthemessageorreceivefaxadvertisementfromasenderdespiteyourrequestforremovalfromthesender’sdistributionlist,makeplainttotheworkoperatorwhichsuppliesyourfaxline.Thenumberstocontactare: Phone Fax HongKong Hutchison NewT&THongKong NewWorldTelephone Whatwillhappenafterplaint?
Theworkoperatorswillcarryoutinvestigationsandtracethesendersofthefaxadvertisementsplainedagainst.Theworkoperatorswillissuewarningtothesenders.Ifthenumberofwarningsreachacertainlevel,theworkoperatorswillsuspendordisconnectthefaxlinesconcerned. CanIcheckthe“not-to-call”lists?
Youcancheckyourinformationonthe“not-to-call”listmaintainedbytheworkoperators.Youalsohavetherighttochecktheinformationconcerningyourselfonthe“not-to-call”listsmaintainedbythefaxadvertisementsenders. -xxii- Whataboutnonadvertisingmessages?
Theabovearrangementsdonotapplytounsolicitednon-advertisingmessagessentoverfax.Ifyoureceivegrosslyoffensive,indecentorobscenemessagesoverfaxandyouconsiderthatthesenderofthemessagesmightmittedacriminaloffence,makeyourreporttothepolice.WhomshouldIcontactforfurtherinformation?
OfficeofthemunicationsAuthority29/F,WuChungHouse213,Queen’sRoadEast,WanchaiHongKongTelephone:Facsimile:E-mail:Youcanalsocontactyourfaxlinesupplier. OfficeofthemunicationsAuthority17July1998 -xxiii-