ARCHIVED -  Telecom Public Notice CRTC 1985-22

Telecom Public Notice

Ottawa, 6 March 1985

Telecom Public Notice CRTC 1985-22

REVIEW OF THE GENERAL REGULATIONS OF THE FEDERALLY REGULATED TERRESTRIAL TELECOMMUNICATIONS COMMON CARRIERS

PHASE II - DRAFT REVISIONS TO THE GENERAL REGULATIONS

Table of Contents

1. INTRODUCTION

2. PROCEDURE

3. GENERAL CONSIDERATIONS

4. COMMISSION PROPOSALS

4.1 Notification of General Rate Increases

4.2 Quality of Service Standards

4.3 Classification of Service

4.4 Grounds for Denial of Service

4.5 Customer Liability Regarding Return of and Damage to Company Property

4.6 Carrier Right to Enter Premises

4.7 Changes in Telephone or Dial 13 Numbers

4.8 Restrictions on Use of Service

4.9 Telephone and Telex Directories

4.10 Information Regarding Two-Party and Four-Party Service

4.11 Elimination of Advance Payments Provision

4.12 Deposits

4.13 Billing and Payment

4.14 Customer Liability for Calls and Messages

4.15 Customer Objection to Billing

4.16 Company-Initiated Disconnection of Service

4.17 Limitation of Carrier Liability

4.18 Confidentiality of Customer Information

4.19 Discontinuance of Certain Rules

1. INTRODUCTION

In CRTC Public Notice 1983-56, dated 8 September 1983 (Public Notice 1983-56), the Commission announced a public proceeding to review and, where appropriate, revise the General Regulations (the Regulations) of the four telephone companies under its jurisdiction. These are bell Canada (Bell), British Columbia Telephone Company (B.C. Tel), Northwestel Inc. (Northwestel) and Terra Nova Telecommunications Inc. (Terra Nova) (collectively referred to as the telephone companies).

At the time Public Notice 1983-56 was issued, the Commission published a document entitled Review of the General Regulations of the Federally Regulated Telephone Companies: Discussion Paper (the discussion paper), reviewing its experience with, and proposing possible changes to, the Regulations of the telephone companies. The Commission called for comments on the discussion paper and indicated that it intended, in the second phase of the proceeding, to issue revised Regulations, in draft form, for further public comment.

In CRTC Telecom Public Notice 1983-68 dated 28 October 1983 (Public Notice 1983-68), the Commission announced that it was adding the Regulations of CNCP Telecommunications (CNCP) to the review proceeding.

The Regulations of the telephone companies and of CNCP (collectively referred to as the carriers) set out many of the basic rights and responsibilities of the carriers and of their customers regarding tariffed services and equipment. Other rights and responsibilities may be found in the Railway Act and elsewhere, including other portions of the carriers' tariffs.

Comments were received from 116 individuals and organizations, including the carriers and several major associations. Following receipt of comments, the Commission afforded a right of reply to those who submitted comments, and received replies from eight individuals and organizations including the telephone companies.

This public notice presents for public comment, draft revised Regulations, proposed to be renamed Terms of Service, together with a series of related proposals. It highlights, by subject matter identified in the discussion paper, (i) proposed changes to the Regulations; (ii) rules which the Commission proposes be stipulated elsewhere than in the Terms of Service; and (iii) instances in which the Commission proposes that rules not be imposed.

Most of the draft Terms of Service attached to this notice would apply to each of the carriers, but with particular provisions and exceptions for CNCP as noted in a set of end notes.

2. PROCEDURE

Any person wishing to comment on the draft Terms of Service or on the other related Commission proposals can do so by writing to Mr. Fernand Bélisle, Secretary General, CRTC, Ottawa, Ontario, K1A 0N2, by 22 April 1985. Persons submitting comments are also invited to indicate whether they feel that an oral hearing is necessary.

Anyone who submits such comments will have a right of reply to the submissions of other parties. The Commission will announce the procedures relating to the filing of replies by 1 May 1985.

The following matters are not being examined in the course of this proceeding:

(a) the attachment of subscriber-provided terminal equipment to the carriers' networks (Rule 9,
Bell, B.C. Tel; Item 14a, CNCP; Items 107B and 107C, Terra Nova, NorthwesTel)*;

(b) the resale of telecommunications services (Rule 18, Bell, B.C. Tel; Item 9a, CNCP; Item 107A, Terra Nova, NorthwesTel);

(c) overall quality of service provided by the carriers [CNCP Telecommunications, Increase in Rates, Telecom Decision CRTC 79-7, 12 April 1979, (Decision 79-7), and Quality of Service Indicators for Use in Telephone Company Regulation, Telecom Decision 82-13, 9 November 1982, (Decision 82-13)] and the content of possible quality of service criteria which could be applied on an individual subscriber basis;

(d) telecommunications-related matters covered by federal statutes, for example, the Criminal Code, not administered by the Commission;

(e) account itemization for multiline subscribers [Bell Canada and British Columbia Telephone Company - Implementation of Decision Permitting Attachment of Subscriber-Provided Terminal Equipment, Telecom Decision CRTC 84-11, 30 March 1984, (Decision 84-11), NorthwesTel Inc. - Implementation of Decision Permitting Attachment of Subscriber-Provided Terminal Equipment, Telecom Decision CRTC 84-12, 24 April 1984, (Decision 84-12), and Terra Nova Telecommunications Inc. - Implementation of Decision Permitting Attachment of Subscriber-Provided Terminal Equipment, Telecom Decision CRTC 84-13, 24 April 1984, (Decision 84-13)]:

(f) Automatic Dialing-Announcing Devices (Use of Automatic Dialing-Announcing Devices, Telecom Decision CRTC 85-2, 4 February 1985);

(g) newspaper ads notifying customers of general rate increase applications (Telecom Order CRTC 85-48, 8 February 1985).

* Rule numbers in parentheses refer to the Regulations currently in force.

The draft Terms of Service contain revised wording of the Regulations in respect of (a) and (b) above, on which comments may be made.

3. GENERAL CONSIDERATIONS

The draft Terms of Service are intended to update the existing Regulations, based on comments received, to reflect changing circumstances and technology and to more closely reflect carrier practices. In preparing the draft Terms of Service, the Commission has had regard to several general considerations.

First, it has attempted to balance the rights and concerns of individual customers, those of the general body of customers as well as those of the carriers' shareholders. For example, the Commission has attempted to weigh the seriousness of the impact of carriers' acts or omissions on affected customers with the effect an increase in the carriers' responsibilities might have on their financial situation and, possibly, on their rates. In the determination of what appears to be a reasonable balance, the Commission has considered each subject area listed in the discussion paper separately. With specific regard to limitation of the carriers' liability, the Commission has proposed certain changes in the draft Terms of Service (see draft section 16.1) that would provide for the payment of damages in cases of carrier negligence regarding tariffed services. The carriers are invited to provide their best estimate of the likely financial impact of the proposed changes to the Regulations, including those regarding carrier liability.

Second, the Commission has attempted to strike an appropriate balance between insufficient detail, which might leave the Terms of Service ambiguous and unclear for customers, and excessive detail, which would unnecessarily constrain carrier flexibility in particular circumstances.

Third, the Commission has attempted to make the draft Terms of Service of the various carriers more uniform while providing for differences where warranted by variations in the circumstances surrounding the provision of service and equipment.

Finally, an attempt has been made to write the draft Terms of Service in plain language in order to provide as clear and comprehensible a statement as possible of customer and carrier rights and obligations.

4. COMMISSION PROPOSALS

This section of the public notice summarizes the major changes proposed to be made, either in the draft Terms of Service or elsewhere, as well as instances in which no changes are proposed.

4.1 Notification of General Rate Increases (Draft sections 2.1 and 2.2)

(a) Notice Requirements for Proposed General Rate Increases

The Commission is of the view that detailed notice requirements regarding general rate increase applications should remain in the CRTC Telecommunications Rules of Procedure but that it would not be reasonable to require that regularly billed customers be notified of each and every proposed rate increase included in such an application.

(b) Toll Free Number

The Commission proposes that, at the time of general rate increase applications, the carriers be required, in the Commission's directions on procedure, to provide a toll free number at which information regarding the proposed rate increases can be obtained.

(c) Notice Requirements for New or Changed Services or Equipment

It is proposed that the carriers not be required to advise applicants, for new or changed services or equipment, of rate increases proposed in a general rate application that might possibly be relevant to them. However, the Commission notes that the carriers frequently provide such information and encourages them to do so as a matter of practice. Moreover, in cases where the carrier did not keep a promise to provide service or equipment prior to the effective date of an increase in the relevant service charge or charges, whether as part of a general rate increase or otherwise, the Commission proposes that the Terms of Service require the application of the old charges unless the delay was caused by the applicant or customer.

4.2 Quality of Service Standards

(a) Quality of Service Standards on a Customer-by-Customer Basis

In Decision 82-13, the Commission established service quality performance objectives designed to ensure that satisfactory service is provided to the general body of telephone company customers. The Commission considers that, at this time, quality of service standards, applicable on a customer-by-customer basis, should not be established as this would impose an unduly onerous financial and administrative burden on the carriers.

(b) Information on Overall Standards in Directories

It is suggested that the telephone companies be required to summarize, in the introductory pages of their directories, in a text to be approved by the Commission, the requirements and procedures regarding overall quality of service standards established pursuant to Decision 82-13. In the Commission's view, it would not be appropriate to impose such a requirement with regard to CNCP's Telex directories as the Commission's quality of service monitoring program for that carrier applies only to Public Message Service.

4.3 Classification of Service (not applicable to CNCP)

(a) Definitions and Conditions Relating to Business and Residence Services

In order to provide greater flexibility in permitting residential rates to apply where there is mixed residential and business use, the Commission is of the view that NorthwesTel's and Terra Nova's definitions of business and residence service should be amended to be consistent with those of Bell and B.C. Tel. In particular, business service should be defined as service used primarily or substantially for specified commercial purposes. Residence service should be defined as service used primarily for domestic or family purposes.

The Commission suggests that these definitions and related conditions not be moved to the Terms of Service but remain in other portions of the Tariffs in light of their detailed nature and in keeping with the general principle that terms and conditions relating to specific services should not be located in the Terms of Service.

(b) Occasional or Seasonal Business Use to Remain at Normal Business Rates

The telephone companies argued that business rates should continue to apply to occasional or seasonal business users, mainly because such customers derive a higher value of service than do residential customers, and because it would be difficult to determine when seasonal business use begins and ends. They also noted the availability of lower-priced two-party or measured business services.

The Commission finds these arguments reasonable and does not propose that any special rates be provided for occasional or seasonal business use.

(c) Reduced Rates for Charitable or Non-Profit Organizations

The Commission considered the requests of many interested parties for reduced rates for charitable or non-profit organizations.

Reduced rates for particular groups of subscribers can only be provided at the expense of the general body of subscribers and create a degree of discrimination in favour of those who are members of such groups. In this context, the Commission must be mindful of its mandate under the Railway Act not to permit unjust discrimination and of the difficulty, if one group is given preferential treatment, of dealing fairly with subsequent requests from other groups who consider they are entitled to the same treatment. For these reasons, the Commission has generally favoured the approach of ensuring that the rates for all subscribers are as low as possible rather than approving reduced rates for special groups.

On the basis of these considerations, the Commission does not propose to change the existing practice of charging charitable or non-profit organizations full business rates.

4.4 Grounds for Denial of Service (Draft section 3.1)

The Commission proposes that the Terms of Service permit the carriers to refuse to provide service in cases where applicants owe amounts that are past due, refuse to provide reasonably required deposits or alternatives, or refuse to assume unusual expenses which the carriers would have to incur.

4.5 Customer Liability Regarding Return of and Damage to Company Property (Draft sections 4.2 and 4. 4)

A provision requiring customers to return company equipment upon termination of service would be retained.

While the current Regulations of the telephone companies specify that customers are liable for all loss or damage to company equipment, reasonable wear and tear excepted, those of CNCP base customer liability on wilful or negligent acts or omissions. The Commission proposes that the Terms of Service of all the carriers generally base such liability on deliberate acts or omissions or lack of reasonable care. Customers would also be responsible for damage caused by customer-provided terminal equipment.

4.6 Carrier Right to Enter Premises (Draft sections 5.1-5.3)

The Commission proposes that the list of purposes for entry to customer premises be clarified to include inspection and maintenance in cases of network-affecting disruptions involving customer-provided terminal equipment.

Before entering customer premises, carriers would be required to give reasonable advance notice and to attempt to arrange a mutually convenient appointment, or, alternatively, to obtain the permission of a responsible person. These advance notice and appointment requirements would not apply in cases of emergency or where entry is pursuant to a court order.

4.7 Changes in Telephone or Dial Numbers (Draft sections 14.1 and 14.2)

Carriers would retain proprietary rights in numbers. However, before they initiate number changes, they would be required to provide reasonable advance notice in writing, identifying the reason for the change and its anticipated date. Exceptions would be permitted in cases of emergency.

In cases of number changes initiated by the telephone companies, they would be required to provide free reference of call service, where facilities permit, usually until a new directory is distributed.

4.8 Restrictions on Use of Service

(a) Definition of Users (Draft sections 8.1 and 9.1)

The draft Terms of Service make it clear that service may be used by all those having the customer's permission to do so; in the case of business telephone service, any joint use could only be made in accordance with the telephone companies' Tariffs. In practice, customers do allow use of their telephones or terminals by relatives, friends, clients and others admitted to their premises and are liable for all calls or messages originated or accepted. This liability is recognized by the draft Terms of Service.

(b) Annoying or Offensive Calls or Messages (Draft sections 8.2 and 22.1)

The Commission is of the view that the current Regulations should not be amended to stipulate the specific procedures to be followed by the telephone companies when dealing with customer complaints concerning annoying or offensive telephone calls, because to specify detailed requirements would reduce their flexibility in dealing with such complaints. It is proposed, however, that the Terms of Service of the telephone companies not only continue to prohibit calls made for the purpose of annoying or offending, but that they also prohibit unlawful use of service or equipment.

The current Regulations of CNCP only prohibit unlawful use of service or equipment. It is proposed that they be made consistent with those proposed for the other carriers.

The Commission agrees with the argument of Consumers' Association of Canada that the telephone companies should not be put in the position of administering justice and passing judgment on the content of calls and that customer recourse should be through the courts. However, the Commission expects the telephone companies to co-operate with law enforcement officials, provide supporting evidence where legally possible and to provide adequate information to subscribers.

The Commission proposes that information regarding the measures which are taken by the carriers to deal with annoying and offensive calls or messages should be included in the introductory pages of their directories.

4.9 Telephone and telex Directories

(a) Provision, Ownership and Use (Draft sections 12.1-12.3)

While the Commission sees no need for the Terms of Service to deal with the matte r of ownership of telephone and Telex directories, the Commission proposes that customers should own directories provided for their own use and that the prohibition against defacement and use of labels, binders and covers with such directories should no longer apply.

The draft Terms of Service require the carriers to provide to each customer, without charge, as many copies of the most recent directory as are reasonably required, up to a maximum of one copy per customer-owned or leased telephone or terminal. Replacement directories required as a result of reasonable wear and tear would also be provided without charge.

The draft Terms of Service provide that the contents of the carriers' directories may not be published or reproduced without their written consent.

(b) Customer Information in Introductory Pages

The Commission proposes that information pages, the text of which would be approved by the Commission, should be required in the introductory section of the carriers' directories, summarizing:

- procedures for resolving complaints and disputes;

- general tariff provisions, if any, regarding charges for disconnection, reconnection, late payment and NSF cheques, and problems with customer-provided equipment;

- rates of, and terms and conditions relating to, interest paid on deposits;

- procedures regarding annoying and offensive telephone calls or messages;

- the time period for objecting to bills and provisions regarding underbilling and overbilling;

- requirements and procedures regarding quality of service standards, except for CNCP;

- information regarding the attachment of customer-provided equipment to the carriers' networks; and

- accessibility to special need centres and voice relay services, where applicable.

The current Regulations and some of the above information are presently provided in the introductory pages. The carriers would continue to be required to include either a summary or the full text of the Terms of Service in the introductory pages.

These information pages should also include a warning to the effect that they are provided for convenience only, and that the full text of the applicable Tariffs should be consulted for official purposes.

It is also suggested that the table of contents page of the directory emphasize the importance of the information pages.

The Commission believes that these proposals would promote customer awareness of their basic rights and responsibilities.

4.10 Information Regarding Two-Party and Four-Party Service (Draft section 6.1)

The telephone companies would be required to advise all applicants for residential service of the existence of, and rates for, two-party and four-party residence service, where available. (In Telecom Decisions CRTC 79-23 1 and 81-3,2 the Commission required Bell and B.C. Tel, respectively, to provide such information regarding two-party service). If an applicant is not so advised, any charges associated with the customer subsequently changing to a lower grade of service within ninety days of service commencement would not apply.

1 Bell Canada: Decrease in Rates for Two-Party Residence Telephone Service, Telecom Decision CRTC 79-23, 29 November 1979.

2 British Columbia Telephone Company, General Increase in Rates, Telecom Decision CRTC 81-3, 29 January 1981.

4.11 Elimination of Advance Payments Provision

It is proposed that the provision regarding advance payments be eliminated from the Regulations and that advance payments should no longer be required. The carriers invoke this provision only in very limited circumstances and the draft Terms of Service regarding deposits should provide sufficient protection to the carriers against risk of loss.

4.12 Deposits

The Commission is of the view that the following draft Terms of Service would meet the legitimate concerns both of the carriers, for protection against risk of loss, and of other interested parties, for reasonable and clear criteria.

(a) Limits on Deposits (Draft sections 7.1-7.4)

The draft Terms of Service provide that a deposit may only be required in cases of an unsatisfactory credit rating regarding recent payment practices, clear evidence of abnormal risk of loss, or failure to provide satisfactory credit information where no credit history exists.

The draft Terms of Service also specify that applicants and customers may provide an alternative to a deposit and must be so informed at the time of a deposit request. As a consequence, Bell's General Tariff Item 27, which provides for such alternatives, would be deleted as redundant.

Deposits and alternatives would be limited, at any time, to a maximum of three months' charges for all service and equipment, including anticipated toll charges. This conforms with most telephone company practices and with the views of most of the interested parties who commented on this issue.

(b) Interest on Deposits (Draft section 7.5)

Interest would have to be paid on customer deposits. The rate of interest and the terms and conditions regarding the payment of interest would be specified in other portions of the carriers' Tariffs in order to avoid excessive detail in the Terms of Service.

In addition, it is proposed that the introductory pages of directories identify the current rate of interest and summarize the terms and conditions relating to the payment of interest.

(c) Records of Deposits (Draft sections 7.7 and 11.3)

It is noted that the carriers maintain records of deposits (and alternatives) in order to keep track of these amounts and to pay interest on them. It does not appear necessary, therefore, to establish a record-keeping requirement in the Terms of Service. It is proposed, however, that the carriers be required to indicate the aggregate amount of any deposits, with accrued interest, on the customer's monthly statement of account. The draft Terms of Service also provide that customers shall have access to carrier records regarding them.

(d) Refunds of Deposits (Draft section 7.8)

The draft Terms of Service require that deposits (and alternatives) be reviewed every six months and that deposits be refunded, less any amount owing, when the conditions which justified them are no longer present or when service is being terminated, whichever occurs first.

4.13 Billing and Payment

(a) Payment Time Limit (Draft sections 17.1-17.3)

For the payment of bills issued on a regular basis, charges could not be considered outstanding or "past due", according to the draft Terms of Service, until the date of the application of late payment charges.

Carriers would be allowed to demand payment on an interim basis prior to regular billing only in exceptional circumstances, for example, in situations of abnormal risk of loss due to high long distance use. Carriers would have to provide the customer with details of the service and charges in question. For the payment of such interim accounts, the three-day minimum currently specified in the Regulations of B.C. Tel, NorthwesTel and Terra Nova would be applied to all the carriers.

Any undisputed portion of the bill would require prompt payment. Payment for amounts in dispute would not be required unless the carrier had reasonable grounds for believing that the purpose of the dispute was to evade or delay payment.

(b) Itemization of Accounts for Customers

The Commission proposes to direct CNCP to provide its customers, and the telephone companies to provide their single-line customers, with a detailed itemization of service and equipment charges at service commencement, after general rate increases and all service and equipment changes, and, in any event, once a year. Such information would assist in detecting billing errors and making choices in a competitive terminal attachment environment. It would also be consistent with the principles established for multiline subscribers in Decisions 84-11, 84-12, and 84-13.

(c) Deletion of Payment Locations Provision

The Commission sees no reason for retaining a provision relating to the locations for paying customer accounts. Customers should be able to pay their accounts by mail as well as at designated carrier locations and at authorized agencies.

(d) Payment in Absence of Bill, Underbilling and Overbilling

While CNCP's current Regulations provide that charges, except fixed charges, are payable only when billed, those of the telephone companies stipulate that customers must pay promptly even if no bill is received.

The current Regulations do not provide any time limit after which underbilled and overbilled charges cannot be recovered.

The draft Terms of Service contain the following new requirements:

i) Unbilled or Underbilled Charges (Draft section 18.1)

Customers would not be liable for any such charges after one year in the case of recurring
charges, or after 150 days in the case of non-recurring charges, from the date incurred unless
service was obtained by deception;

ii) Overbilled Recurring Charges (Draft section 19.1)

If a correct itemized statement was not received, customers would generally be credited back
to the date of the error. If a correct itemized statement was received, a customer who did not
object to the charge within one year of the statement date would not have the right to receive a
credit for the period prior to that statement.

iii) Overbilled Non-Recurring Charges (Draft section 19.2)

These would be credited if the customer objected within 150 days of the bill date.

iv) Interest on Unbilled or Under billed Charges (Draft section 18.2)

In addition, interest could not be charged by the carriers on unbilled or underbilled charges,
for the period prior to their being correctly billed, unless the customer obtained the service or
equipment through deception.

v) Interest Credit for Overbilled Charges (Draft section 19.3)

When crediting overbilled charges, the carriers would also be required to credit interest at the
rate or rates that applied for deposits during the period in question.

4.14 Customer Liability for Calls and Messages (Draft section 9.1)

The Commission proposes that the Terms of Service retain the existing principle that customers are liable for charges for all calls or messages originated or accepted at their telephone or terminal, regardless of who made or accepted them.

The Commission is of the view that customers should not be liable in cases of billing error, equipment failure and third party fraud. In other instances, the Commission is of the view that customer liability should be required, for it is not always possible for telephone companies to identify who made or accepted a call or, in the case of CNCP, who sent a message.

4.15 Customer Objection to Billing

(a) Time Limit (Draft sections 19.1 and 19.2)

The Commission is of the view that the current onus on customers to check and identify all errors on their bills within thirty days is not reasonable, particularly in cases of customer absence or complex bills. It does not seem appropriate that bills become binding when paid, as errors may be discovered after payment.

In keeping with the principle that payment should not prejudice a customer's right to dispute a bill within a reasonable time, the draft Terms of Service would give customers 150 days from the date of a bill to object to non-recurring charges, and one year from the date of the most recent correct itemized statement to object to recurring charges.

(b) Dispute Procedures

The Commission is of the view that the procedure for resolving billing disputes need not be specified in the Terms of Service. The carriers would be required, however, to summarize dispute procedures in information pages in the introductory section of their directories. This summary would indicate that: customers can object to charges; customers should promptly pay undisputed charges; if the carrier wishes to insist on payment of disputed amounts, it must promptly investigate to determine the customer's responsibility and make available the results of the investigation; the carrier must advise customers of their right to refer disputes to a senior manager of the company; deferred payment arrangements should, where appropriate, be negotiated; and carriers cannot suspend or terminate service for disputed amounts unless they have reasonable grounds for believing that the purpose of the dispute is to evade or delay payment.

4.16 Company-Initiated Disconnection of Service

(a) Suspension of Service

It is proposed that the draft Terms of Service dealing with termination of service should apply equally to suspension of service, except in the case of CNCP, where suspension of service is not provided for. In this public notice, the term "disconnection" refers to both termination and suspension.

B.C. Tel's Terms of Service would be consistent with those of the other telephone companies in requiring a daily pro rata allowance to customers based on the monthly charge for the service suspended.

(b) Grounds for Disconnection (Draft sections 22.1 and 22.2)

The draft Terms of Service specify several grounds on which disconnection could take place. They include: non-payment of past due accounts over fifty dollars or those past due for more than 2 months; preventing fair and proportionate use of service by others (except in the case of CNCP); repeated failure to provide the carrier with reasonable entry and access; failure to post or maintain reasonable security; non-compliance with the terms of a deferred payment agreement; and unlawful use of service and equipment.

The draft Terms of Service also specify a number of conditions under which disconnection would not be permitted. These include failure to pay non-tariffed charges, and charges for a different class of service or for service in the name of another customer, where the customer is prepared to meet the terms of a reasonable deferred payment agreement and, generally, in cases of a dispute.

(c) Advance Notice (Draft section 22.3)

The Commission considers that disconnection should occur only as a last resort, where all reasonable efforts to resolve a matter have failed. A requirement for advance notice would provide customers with basic information and an opportunity to remedy the situation or to bring particular circumstances to the attention of the carrier or the Commission. However, the Commission considers that the notice period should be set so as to minimize the risk of substantially greater loss of toll revenues.

The draft Terms of Service require that reasonable advance notice be given before disconnection and specify the minimum information requirements. Where repeated efforts to contact a customer have failed, carriers would have to deliver such advance notice to the premises at which service is provided.

(d) Timing and Warning of Disconnection (Draft sections 22.4 and 22.5)

In addition to advance notice of disconnection, the draft Terms of Service require that notice of imminent disconnection be provided to the customer or other responsible person, at least twenty-four hours prior to disconnection, except where repeated efforts to contact the customer have failed. The Commission notes that Bell, B.C. Tel, CNCP and Terra Nova generally attempt to contact customers prior to disconnection.

The Commission proposes that, except with customer consent or in exceptional circumstances, disconnection should only be permitted on business days between 8 a.m. and 4 p.m., unless the business day precedes a non-business day, in which case disconnection should not be permitted after 12 noon. This would permit immediate arrangement of payment and reconnection.

(e) Restoration of Service (Draft sections 22.8 and 22.9)

The draft Terms of Service provide that reconnection must occur without undue delay where the grounds for disconnection no longer exist or a payment or deferred payment agreement has been negotiated.

The draft Terms of Service provide that when disconnection has occurred in error, or was otherwise improper, reconnection must occur during business hours on the next working day at the latest, save in the case of exceptional circumstances. Reconnection charges would not apply.

4.17 Limitation of Carrier Liability

(a) Non-Applicability of Limitations (Draft sections 1.1 and 1.2)

It is proposed that the Terms of Service make it clear that the specified limitations of carrier liability do not apply with regard to deliberate fault, gross negligence, or non-tariffed services or equipment.

(b) Liability for Negligence (Draft section 16.1)

The draft Terms of Service would continue to limit carrier liability in cases of negligence. Damages would generally be limited to reasonably foreseeable damages or three times the applicable rates and charges, whichever is less.

This provision would require limited compensation for harm that may result from carrier acts or omissions regarding the provision of tariffed service, while recognizing the serious negative financial effects on carriers that could occur as a result of unlimited liability. In addition, as pointed out by the carriers, the statutory duties and regulatory requirements imposed on carriers curtail their ability to negotiate contractual relationships in the same manner as many other businesses do. Moreover, limitation of liability has traditionally been seen as an appropriate means of striking a balance between the rights of the subscribers and the shareholders of a regulated public utility.

The Terms of Service would not, however, limit carrier liability regarding physical injury, death or damage to property caused by their negligence.

(c) Liability for Directory Errors in Listed Numbers (Draft section 13.2)

In cases of directory errors in listed numbers, the Commission proposes that, unless there are insufficient telephone numbers, the telephone companies be required to provide reference of calls until termination of service or issuance of a subsequent directory in which the correct listing appears, whichever occurs first. This would minimize the damages which might otherwise be incurred as a result of directory errors.

(d) Refunds for Service Interruptions (Draft section 15.1)

It is proposed that NorthwesTel's Terms of Service be consistent with those of the other telephone companies, which provide for automatic refunds in the case of service interruptions exceeding twenty-four hours.

4.18 Confidentiality of Customer Information (Draft sections 11.1-11.3)

The draft Terms of Service require that customer records, other than the customer's name, address and listed number, be kept confidential and not be disclosed by the carriers except in certain stated cases.

Carriers would be liable for reasonably foreseeable damages in cases of improper disclosure of information regarding customers.

Customers would be permitted access to and be allowed to verify any records kept by a carrier concerning them.

4.19 Discontinuance of Certain Rules

The Commission proposes discontinuance of those Rules which contain terms and conditions relating to the provision of a specific service or relating to particular circumstances. Where appropriate, these could be dealt with adequately in other portions of the carriers' Tariffs. Examples include:

- restriction on transmission of messages (Bell, B.C. Tel, Rule 3);

- agreement with railway companies or other subscribers (Bell, B.C. Tel, Rule 10);

- provision of mobile telephone service (Bell, Rules 21 and 42);

- requirement that customer establish identity (Bell, B.C. Tel, Rule 22)

- liability for damages caused by, or to, a vehicle containing a mobile telephone unit (Bell, Rule 43);

- liability for damages or injuries occuring through lightning or currents carried over the circuits of a service system (Bell, Rule 44) or a rural connecting system (B.C. Tel, Rule 44);

- multi-party rural line service and business message rate service (Bell, B.C. Tel, Rules 47 and 48);

- initial contract periods for special equipment (NorthwesTel, Terra Nova, Items 104 B and C);

- charges for late payment and NSF cheques (NorthwesTel, Terra Nova, Items 114 C and D);

- charges for reconnection of suspended service (Terra Nova, Item 115);

- customer-requested suspension of service (NorthwesTel, Terra Nova, Item 116A to D; CNCP,
Item 12);

- subscription charges (NorthwesTel, Terra Nova, Item 118; CNCP, Item 20).

Fernand Bélisle
Secretary General

TERMS OF SERVICE

1. General

1.1 These Terms of Service apply only with regard to services for which the Canadian Radio-television and Telecommunications Commission has approved a tariff.¹

1.2 These Terms do not limit the Company's* [* In the Terms themselves the name of each individual carrier will replace "the Company". See also End Notes for differences proposed for CNCP's Terms of Service.] liability in cases of deliberate fault or gross negligence, including gross negligence involving breach of contract.

1.3 Tariffed services offered by the Company are subject to the terms and conditions contained in:

(a) these Terms;

(b) other applicable provisions of the Company's Tariffs; and

(c) any written application, to the extent that it is not inconsistent with these Terms or the Tariffs.

All of the above bind both the Company and its customers.

2. Effective Date of Change

2.1 Subject to section 2.2, changes to these Terms or the Tariffs, as approved by the Canadian Radio-television and Telecommunications Commission, take effect on their effective date even though applicants or customers have not been notified of them or have paid or been billed at the old rate.

2.2 The old non-recurring charges for the transaction in question apply where service which was to be provided by a certain date was, through no fault of the applicant or customer, not so provided and in the meantime a rate increase has gone into effect.

3. Obligation to Provide Service

3.1 The Company must provide service to all who apply for it, except where:

(a) the Company would have to incur unusual expenses which the applicant will not assume, for example to secure rights of way or undertake special construction;

(b) the applicant owes amounts that are past due; or

(c) the applicant does not provide a reasonable deposit or alternative required pursuant to these Terms.²

4. Company Facilities

4.1 Except where otherwise stipulated in its Tariffs or by special agreement, the Company must furnish and install all facilities required to provide service.

4.2 The Company remains the owner of its facilities and the customer must return Company equipment on termination of service.

4.3 The Company must bear the expense of maintenance and repairs required due to normal wear and tear to its facilities. except that the Company may charge for the additional expense incurred when the applicant or customer requires maintenance and repair work to be performed outside of regular working hours.³

4.4 A customer who has deliberately, or by virtue of a lack of reasonable care, caused loss or damage to the Company's facilities, may be charged the cost of restoration or replacement. In all cases, customers are liable for damage caused to Company facilities by customer-provided facilities.

5. Company Right to Enter Premises

5.1 The Company's agents and employees may, at reasonable hours, enter premises on which service is or is to be provided, to install, inspect, repair and remove its facilities, to inspect and perform necessary maintenance in cases of network-affecting disruptions involving customer-provided facilities, and to collect proceeds from coin telephones.⁴

5.2 Prior to entering premises, the Company must give the applicant or customer reasonable advance notice and attempt to arrange a mutually convenient appointment. or alternatively obtain permission from the applicant, customer or other responsible person.

5.3 Entry is not subject to sections 5.1 and 5.2 in cases of emergency or where entry is pursuant to a court order.

6 .Information Regarding Two-Party and Four-Party Service⁵

6.1 At the tine a person applies for resident1al telephone service, the Company must state the rate for two-party and four-party service, where available. If the Company does not do so, the customer is entitled to change to a lower grade service, where available, free of charge within ninety days of the commencement of service.

7. Deposits and Alternatives

7.1 The Company cannot require deposits from an applicant or customer at any time unless the applicant or customer:

(a) has no credit history with the Company and will not provide satisfactory credit information;

(b) has an unsatisfactory credit rating with the Company due to payment practices in the previous two years regarding the Company's services; or

(c) clearly presents an abnormal risk of loss.

7.2 The Company must inform the applicant or customer of the specific reason for requiring a deposit, and of the possibility of providing an alternative to a deposit, such as arranging for third party payment, a bank letter of credit or a written guarantee from a third person.

7.3 An applicant or customer may provide an alternative to a deposit provided it is reasonable in the circumstances.

7.4 At no time may the total amount of all deposits and alternatives provided by or for an applicant or customer exceed three months' charges for all services, including anticipated long distance charges.⁶

7.5 Deposits earn interest at the rate set out in the applicable provisions of the Company's Tariffs.

7.6 Deposits and accrued interest must be applied by the Company to charges that have been incurred.

7.7 The Company must show the total of all deposits with accrued interest on the customer's monthly bill.

7.8 The Company must review the continued appropriateness of deposits and alternative arrangements at six 6-month intervals. When service is terminated or the conditions which originally justified them are no longer present, the Company must promptly refund the deposit, with interest, or return the guarantee or other written undertaking, retaining only any amount then owed to it by the customer.

8. Restrictions on Use of Service

8.1 Service may be used by the customer and all persons having the customer's permission to use it. In the case of business telephone service, joint use within the meaning of the Company's Tariffs is permitted only upon approval by the Company in accordance with the applicable provisions of its Tariffs.⁷

8.2 Customers are prohibited from using the Company's services or permitting them to be used for a purpose or in a manner that is contrary to law or for the purpose of making annoying or offensive calls.⁸

8.3 Customers are prohibited from using the Company's services or permitting them to be used so as to prevent a fair and proportionate use by others. For this purpose, the Company may limit use of its services as necessary. The Company may require any party line customer who unduly interferes with the use of any other service on the same line to apply for a higher grade of service.⁹

8.4 The Company's facilities must not be re-arranged, disconnected, removed, repaired or otherwise interfered with, nor can any equipment not provided by the Company be attached to, connected with or used in conjunction with the Company's facilities, except in cases of emergency or where specified in the Company's Tariffs or by special agreement.¹⁰

8.5 No payment may be exacted directly or indirectly from any person by any party other than the Company for the use of any of the Company's services, except where otherwise stipulated in the Company's Tariffs, by special agreement, or where resale or sharing is for the purpose of providing an enhanced service which does not have as its primary function the provision of a basic service.

9. Customer Liability for Calls¹¹

9.1 Customers are responsible for paying for all calls originating from, and charged calls accepted at, their telephones, regardless of who made or accepted them.

10. Dispute Procedure

10.1 Customers may dispute charges for calls which they do not believe originated from or were accepted at, their telephones.¹² The dispute procedure set out in the introductory pages of the telephone¹³ directory should be followed and customers must pay the undisputed portion of the bill.

11. Confidentiality of Customer Records

11.1 All information kept by the Company regarding a customer, other than the customer's name, address and listed telephone¹⁴ number, are confidential and may not be disclosed by the Company to anyone other than the customer or another telephone company unless the customer consents in writing or disclosure is required pursuant to a legal power.

11.2 The Company's liability for disclosure of information contrary to section 11.1 is not limited by section 16.1.

11.3 Upon request, customers are permitted to inspect any Company records regarding them.

12. Directories

12.1 Customers are entitled to receive, without charge, as many copies of the most recent telephone directory for their district, both white and yellow pages, and as many copies of subsequent updated directories as they are published, as are reasonably required, up to a maximum of one per telephone, whether owned by the customer or leased from the Company.¹⁵

12.2 The Company must provide, without charge, replacement directories required as a result of reasonable wear and tear.

12.3 The contents of the Company's directories may not be published or reproduced in any form without the Company's written consent.

13. Directory Errors and Omissions

13.1 In the case of errors or omissions in directory white and yellow¹⁶ page standard listings, whether or not the error or omission is with regard to a telephone¹⁷ number, the Company must make a refund or cancel any charge for such listing for the period during which the error or omission occurred. Where the error or omission is occasioned by Company negligence, section 16.1 also applies.

13.2 In the case of errors in telephone numbers in directory white and yellow page listings, unless there are insufficient telephone numbers available, the Company must provide reference of call service, free of charge, until termination of the customer's service or distribution of updated directories for that district.¹⁸

14. Company-Initiated Changes in Telephone¹⁹ Numbers and Service Arrangements

14.1 Customers do not have any property rights in telephone²⁰ numbers assigned to them. The Company may change such numbers, provided it has reasonable grounds for doing so and has given reasonable advance written notice to the customers in question, stating the reason and anticipated date of change. In cases of emergency, oral notice with subsequent written confirmation is sufficient.

14.2 Whenever the Company changes a customer's telephone number on its own initiative, it must, unless there are insufficient telephone numbers available, provide reference of call service without charge until termination of the customer's service or distribution of updated directories for that district.²¹

14.3 The Company may, at any time, change base rate, exchange and local service areas.²²

15. Refunds in Cases of Service Problems²³

15.1 Where there are omissions, interruptions, delays, errors or defects in transmission, or failures or defects in Company facilities, the Company must, on request, refund charges proportionate to the length of time the problem existed. With regard to long distance service and short period private line service, the refund shall be computed only from the time the Company is advised of the problem. No request is necessary where a problem in primary exchange service lasts twenty-four hours or more from the time the Company is advised of the problem. Where the problem is occasioned by Company negligence, section 16.1 also applies.

16. Limitation of Company Liability

16.1 The Company's liability for negligence, including negligent breach of contract, is limited to reasonably foreseeable damages or three times the applicable tariffed rates and charges, whichever is less, except with regard to physical injuries, death or damage to premises or other property occasioned by its negligence.

16.2 The Company is not liable for:

(a) any act or omission of a telecommunications carrier whose facilities are used in establishing connections to points which the Company does not directly serve, beyond the portion of the amount charged which the Company receives for its part in the transaction in question;

(b) defamation or copyright infringement arising from material transmitted or received over the Company's facilities;

(c) infringement of patents arising from combining or using customer-provided facilities with the Company's facilities; or

(d) copyright or trade mark infringement, passing off or acts of unfair competition arising from directory advertisements furnished by a customer or a customer's directory listing, provided such advertisements or the information contained in such listings were received in good faith in the ordinary course of business.

17. Payment Time Limit

17.1 Subject to sections 17.2 and 17.3, charges cannot be considered past due until the date when Late Payment Charges apply.

17.2 In exceptional circumstances, for example when a customer has run up a high amount of long distance²⁴ charges and presents an abnormal risk of loss to the Company, prior to the normal billing date, the Company may demand payment from the customer on an interim basis for the non-recurring charges that have accrued, providing the customer with details regarding the services and charges in question. In such cases, subject to section 17.3, the charges can be considered past due three days after they are incurred or three days after the Company demands payment, whichever occurs later.

17.3 No charge disputed by a customer can be considered past due unless the Company has reasonable grounds for believing that the purpose of the dispute is to evade or delay payment.

18. Liability for Unbilled and Underbilled Charges

18.1 Customers are not responsible for paying a previously unbilled or underbilled charge unless there has been customer deception with regard to the charge or it is correctly billed within a period of one year in the case of a recurring charge, or 150 days in the case of a non-recurring charge, from the date it was incurred.

18.2 In the circumstances described in section 18.1, unless there has been customer deception, the Company cannot charge the customer interest for the period before the charge is correctly billed. If the customer is unable to promptly pay the full amount owing, the Company must attempt to negotiate a reasonable deferred payment agreement.

19. Liability for Charges that Should Not have been Billed and those that were Overbilled

19.1 In cases of a recurring charge that should not have been billed or that was overbilled, a customer must be credited with the excess back to the date of the error, subject to applicable limitation periods provided by law. However, a customer who does not dispute the charge within one year of the date of an itemized statement which shows that charge correctly, loses the right to have the excess credited for the period prior to that statement.

19.2 Non-recurring charges that should not have been billed or that were overbilled must be credited, provided that the customer disputes them within 150 days of the date of the bill.

19.3 A customer who is credited with any amount that should not have been billed or that was overbilled must also be credited with interest on that amount at the rate payable for interest on deposits that applied during the period in question.²⁵

20. Minimum Contract Period

20.1 The minimum contract period for Company services is one month commencing from the date the service is provided, except where special construction is necessary or special assemblies are installed and the Company has stipulated a longer period or where otherwise stipulated in the Company's Tariffs.²⁶

21. Customer-Initiated Termination of Service

21.1 Customers who give the Company reasonable advance notice may terminate their service after expiry of the minimum contract period, in which case they must pay charges due for service which has been furnished.

21.2 Before expiry of the minimum contract period, customers may terminate their service in which case they must pay the full charges for the entire minimum contract period or, in the following circumstances, charges due for service which has been furnished:

(a) where the customer dies during the minimum contract period - the termination is effective from the date the Company is notified of the death;

(b) where the customer's premises are destroyed, damaged or condemned by reason of fire or other causes beyond the customer's control, and must be abandoned - the termination is effective from the date the Company is notified;

(c) in the case of directory listings for which a specific charge applies and in the case of directory listings with regard to joint use of service, where the listed party or any joint user dies or acquires separate telephone service - the termination is effective from the date the Company is notified of the death or from the date of the commencement of the separate service;²⁷

(d) where a change to the bas rate, exchange or local service area²⁸ affects the customer's service -the termination is effective from the date the Company is notified of the customer's desire to terminate service;

(e) where a customer replaces any Company service with another Company service -the termination is effective from the date of the replacement;

(f) where a customer's service is taken over without lapse by a new customer at the same location - the termination with respect to the original customer is effective from that date. However, if at that time the new customer discontinues any of the original service or facilities, the original customer must pay the full charge for such discontinued service or facilities for the entire minimum contract period;

(g) where the circumstances specified in section 21.2(a) through (f) do not apply, the minimum contract period is greater than one month at the same location, and the customer has given the Company advance notice - the termination is effective when the customer pays the termination charge specified in the contract for the service in question or, where such charge is not specified, a termination charge of one-half of the charges remaining for the unexpired portion of the minimum contract period;²⁹ and

(h) in the case of directory listings for which a specific charge applies and in the case of directory listings with regard to joint use of service,³⁰ where the listing has appeared in a directory and the Customer's service is terminated or the listed party or joint user³¹ moves to another location, and the customer has given the company advance notice - the termination is effective When the customer pays the charges up to the date of termination or of the move, subject to a minimum charge of one month.

22. Company-Initiated Suspension or Termination of Service³²

22.1 Subject to section 22.2, the Company can only suspend or terminate a customer's service where the customer:

(a) fails to pay an account of the customer that is past due, provided it exceeds fifty dollars or has been past due for more than two months;

(b) fails to provide or maintain a reasonable deposit or alternative when required to do so pursuant to these Terms;

(c) fails to comply with the terms of a deferred payment agreement;

(d) repeatedly fails to provide the Company with reasonable entry and access in conformity with sections 5.1 and 5.2;

(e) uses or permits others to use any of the Company's services so as to prevent fair and proportionate use by others;³³

(f) uses or permits others to use any of the Company's services for a purpose or in a manner that is contrary to law or for the purpose of making annoying or offensive calls;³⁴ or

(g) contravenes sections 8.4 or 8.5

22.2 The Company may not suspend or terminate service in the following circumstances:

(a) failure to pay non-tariffed charges;

(b) failure to pay charges for a different class of service or charges for service in the name of another customer, including failure to pay the account of another customer as a guarantor;

(c) where the customer is prepared to enter into and honour a reasonable deferred payment agreement; or

(d) where there is a dispute regarding the basis of the proposed suspension or termination, provided payment is being made for undisputed outstanding amounts and the Company does not have reasonable grounds for believing that the purpose of the dispute is to evade or delay payment.

22.3 Prior to suspension or termination, the Company must provide the customer with reasonable advance notice, stating:

(a) the reason for the proposed suspension or termination and the amount owing (if any);

(b) the scheduled suspension or termination date;

(c) that a deferred payment agreement can be entered into (where the reason for suspension or termination is failure to pay);

(d) the reconnection charge;

(e) the name, position and telephone number of a Company representative with whom any dispute may be discussed; and

(f) that disputes unresolved with this representative may be referred to a senior Company manager.

Where repeated efforts to contact the customer have failed, the Company must deliver such advance notice to the premises at which service is provided.

22.4 In addition to the notice required by section 22.3, the Company must, at least twenty-four hours prior to suspension or termination, advise the customer or another responsible person that suspension or termination is imminent, except where repeated efforts to so advise have failed.

22.5 Except with customer consent or in exceptional circumstances, suspension or termination may occur only on business days between 8 a.m. and 4 p.m., unless the business day precedes a non-business day in which case disconnection may not occur after 12 noon.

22.6 Suspension or termination does not affect the customer's obligation to pay any amount owed to the Company.

22.7 In the case of services that have been suspended, the Company must make a daily pro rata allowance based on the monthly charge for such services.

22.8 The Company must restore service, without undue delay, where the grounds for suspension or termination no longer exist or a payment or deferred payment agreement has been negotiated.

22.9 Where it becomes apparent that suspension or termination occurred in error or was otherwise improper, the Company must restore service during business hours on the next working day, at the latest, unless exceptional circumstances do not permit this, and no reconnection charges shall be levied.

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END NOTES

These notes show the differences proposed for CNCP's Terms of Service compared with those of the other carriers.

1 CNCP's Terms would continue: "and, subject to other applicable provisions of CNCP's Tariffs, they do not apply with regard to Public Message Service, TELEPOST Service and Special Assembly services."

2 CNCP's Terms would contain these additional sections under this heading:

"CNCP must provide service twenty-four hours a day, seven days a week, subject to other applicable provisions of CNCP's Tariffs and the availability of facilities."

"Where it is necessary to obtain facilities from another communications organization to provide a service, CNCP may levy all charges imposed on it by the other organization."

3 CNCP's Terms would contain this additional heading and section:

"Tests and Adjustments

CNCP may make tests and adjustments once during each twenty-four hour period, at a time agreeable to the customer, of services furnished on a continuous basis, so as to satisfactorily maintain them. No credit need be provided for resulting service interruptions."

4 The underlined words would be deleted.

5 This heading and section would be deleted.

6 The underlined words would be deleted.

7 This sentence would be deleted.

8 The underlined words would be replaced by "sending annoying or offensive messages."

9 This section would be deleted.

10 Sections 8.4 and 8.5 would be replaced by the following, based upon Items 15(b) and 9(e) to (i) of CNCP's existing Regulations:

"8.4 CNCP's facilities shall not be re-arranged, disconnected, removed, repaired or otherwise interfered with, except in cases of emergency or where specified in its Tariffs or by special agreement.

The operating characteristics of any customer-provided facilities must be such as not to interfere with any of the services offered by CNCP or the telephone company in the case of interconnected services.

Customer-provided facilities must not endanger the safety of CNCP or the public, damage or interfere with proper functioning of CNCP facilities, impair the operation of CNCP facilities or otherwise injure the public in its use of CNCP services.

Upon notice from CNCP that customer-provided facilities are causing or are likely to cause any hazard or interference, the customer must take such steps as shall be necessary to eliminate or prevent such hazard or interference.

The facilities furnished by CNCP, or by CNCP together with other carriers, must not be connected either directly or indirectly with facilities provided by any person other than CNCP or such carriers, except as provided in its Tariffs.

With regard to interconnected services:

(a) the operating characteristics of any facilities provided by CNCP or by its customer must be such as not to interfere with any of the services offered by the telephone company; and

(b) the facilities provided by CNCP or by its customer must not endanger the safety of the telephone company employees or the public, damage or interfere with the proper functioning of the telephone company's facilities, impair the operation of the telephone company's facilities or otherwise injure the public in its use of the telephone company services.

Upon notice from the telephone company that the facilities provided by CNCP or by its customer are causing or are likely to cause such hazard or interference) CNCP must take such steps as shall be necessary to remove or prevent such hazard or interference."

"8.5 Services furnished under this Tariff may be employed only for the private communication needs of the customer, his subsidiaries and affiliates. They shall not be used either directly or indirectly for the handling of communications for the public or any person, firm or corporation, nor shall they be used for any purpose for which a payment or other compensation for such use is received by the customer from any other person, firm or corporation. Exceptions may be permitted by CNCP and, resale and sharing is permitted for the purpose of providing an enhanced service which does not have as its primary function the provision of a basic service.

The customer shall not create additional channels from the facilities furnished by CNCP, except as may be otherwise permitted in CNCP's Tariffs."

11 This heading and section would be replaced with:

"Customer Liability for Messages

Customers are responsible for paying for all messages originating at their terminals, regardless of who made them."

12 The underlined words would be replaced by "messages which they do not believe originated at their terminals."

13 The word "telephone" would be replaced by "Telex".

14 The underlined words would be replaced by "Telex".

15 This section would be replaced with:

"Customers are entitled to receive, without charge, copies of the most recent Telex directory, both white and Gold pages, and copies of subsequent updated directories as they are published, up to a maximum of one per Telex terminal, whether owned by the customer or leased from CNCP, as are reasonably required."

16 The word "yellow" would be replaced by "Gold".

17 The word "telephone" would be replaced by "dial".

18 This section would be deleted.

19 The word "Telephone" would be replaced by "Dial".

20 The word "telephone" would be replaced by "dial".

21 This section would be deleted.

22 The underlined words would be replaced by "rate areas."

23 This heading and section would be replaced with:

"Refunds in Cases of Service Interruption

In the event of service interruption, CNCP must, upon notice from the customer, use its best efforts to remove the cause of such interruption as promptly as practicable, and in the following cases must, where a monthly rate is charged, upon customer request make refunds calculated on a pro-rated hourly basis or major fractions thereof:

(a) for service interruption of eight or more consecutive hours to terminal equipment and/or access channels; and

(b) for service interruption of thirty or more consecutive minutes to inter-city channels.

For the purpose of computing refunds for service interruptions, each month is considered to have thirty days. Where the interruption is occasioned by CNCP negligence, section 16.1 also applies."

24 The underlined words would be replaced by "billable" .

25 CNCP's Terms would contain this additional heading and section:

"Combination of Channels

When a combination of two or more channels is necessary to provide channel facilities for a single purpose, charges are determined on the basis of the types and numbers of channels required."

26 CNCP's Terms would contain these additional headings and sections:

"Customer-Initiated Cancellation Before Service Commencement

A customer who cancels or delays a request for service before installation work has started cannot be charged by CNCP. Installation work is considered to have started when the customer has advised CNCP to proceed, and CNCP has incurred any related expense. A customer who cancels or delays a request for service after installation work has started, but before service has started, will be charged the lesser of the full charge for the entire minimum contract period plus the installation charge, or the estimated costs incurred in installation less estimated net salvage (such estimated installation costs include the cost of unsalvaged equipment and materials specifically provided or used plus the cost of installing, including engineering, supply expense, labour and supervision, and any other disbursements resulting from the installation and removal work)."

"Customer-lnitiated Suspension of Service

After the expiry of the minimum contract period, customers may suspend their service in whole or in part, without cancelling it, for a period of not less than two weeks and not more than three months. During the period of suspension, customers cannot be charged by CNCP unless CNCP is leasing facilities from others or other provisions of CNCP's Tariffs provide for charges."

27 This paragraph would be deleted.

28 The underlined words would be replaced by "rate area".

29 The underlined words would be replaced with: "the percentage of the remaining unpaid charge for the minimum contract period that is equivalent to the proportion which the unexpired portion of the minimum contract period bears to the full minimum contract period".

30 The underlined words would be deleted.

31 The underlined words would be deleted.

32 In this heading and in sections 22.1 to 22.9, all references to suspension would be deleted. As a consequence, section 22.7 would be deleted.

33 This paragraph would be deleted.

34 The underlined words would be replaced by "sending annoying or offensive messages".