(a)  Any purchaser may have a right of action against a telephonic seller who is in material violation of this chapter. The purchaser may recover triple the amount actually paid to the telephonic seller. In addition to any judgment awarded to the purchaser, the court may allow reasonable attorney’s fees to be taxed as cost.

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Terms Used In Rhode Island General Laws 5-61-5.1

  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
  • Department: means the department of attorney general. See Rhode Island General Laws 5-61-2
  • Discovery: Lawyers' examination, before trial, of facts and documents in possession of the opponents to help the lawyers prepare for trial.
  • Injunction: An order of the court prohibiting (or compelling) the performance of a specific act to prevent irreparable damage or injury.
  • Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
  • Person: includes an individual, firm, association, corporation, partnership, joint venture, or any other business entity. See Rhode Island General Laws 5-61-2
  • Plaintiff: The person who files the complaint in a civil lawsuit.
  • Restitution: The court-ordered payment of money by the defendant to the victim for damages caused by the criminal action.
  • seller: means a person who, on his or her own behalf or through salespersons or through the use of an automatic-dialing-announcing device, causes a telephone solicitation, or attempted telephone solicitation, to occur that meets the criteria specified as follows:

    (i)  A telephone solicitation, or attempted telephone solicitation, where the telephonic seller initiates or engages in telephonic contact with a prospective purchaser and represents or implies one or more of the following:

    (A)  That a prospective purchaser who buys one or more items will also receive additional or other items, whether or not of the same type as purchased, without "further cost. See Rhode Island General Laws 5-61-2

(b)  The superior court of this state shall have jurisdiction to prevent and restrain violations of this chapter. The court may issue appropriate decrees upon consent and stipulation by the parties. The court may also issue restraining orders. Under no circumstances shall the state be required to post bond in any action under this section.

(c)  The department may institute proceedings to prevent and restrain violations of this chapter, as provided in subsection (b).

(d)  The department may bring an action to obtain a declaratory judgment that an act or practice violates the provisions of this chapter.

(e)  Any person may institute proceedings for injunctive relief, temporary or permanent, as provided in subsection (b), against threatened loss or damage by a violation of this chapter. A preliminary injunction may be issued upon a showing that the danger of irreparable loss or damage is immediate and, within the court’s discretion, the execution of a property bond against damages for an injunction improvidently granted. If the court issues a permanent injunction, the plaintiff shall be awarded reasonable attorney’s fees, filing fees, and reasonable costs of the suit. Reasonable costs of the suit may include, but not be limited to, the expenses of discovery and document production.

(f)  In any action brought under this section, the court may make appropriate orders, including appointment of a master or receiver or sequestration of assets, to reimburse purchasers found to have been damaged; to carry out a transaction in accordance with the purchaser’s reasonable expectations; or to grant other appropriate relief. The court may assess expenses of a master or receiver against a telephonic seller.

(g)  In addition to injunctive relief authorized pursuant to subsection (b), any person, firm, corporation, or other entity who violates this chapter may be liable for a civil penalty in a suit by the department of not more than ten thousand dollars ($10,000) for each violation. The department or the court may waive any civil penalty or other fines or costs if the person has previously made full restitution or reimbursement or has paid actual damages to the purchasers who have been injured by the unlawful act or practice.

History of Section.
P.L. 1999, ch. 456, § 2.