Sec.  64.804   Rules governing the extension of unsecured credit to candidates or
persons on behalf of such candidates for Federal office for interstate and
foreign common carrier communication services.

   (a) There is no obligation upon a carrier to extend unsecured credit for
   interstate and foreign communication services to a candidate or person on
   behalf of such candidate for Federal office. However, if the carrier chooses
   to extend such unsecured credit, it shall comply with the requirements set
   forth in paragraphs (b) through (g) of this section.

   (b) If a carrier decides to extend unsecured credit to any candidate for
   Federal office or any person on behalf of such candidate, then unsecured
   credit shall be extended on substantially equal terms and conditions to all
   candidates and all persons on behalf of all candidates for the same office,
   with due regard for differences in the estimated quantity of service to be
   furnished each such candidate or person.

   (c) Before extending unsecured credit, a carrier shall obtain a signed
   written application for service which shall identify the applicant and the
   candidate and state whether or not the candidate assumes responsibility for
   the charges, and which shall also expressly state as follows:

   (1) That service is being requested by the applicant or applicants and that
   the person or persons making the application will be individually, jointly
   and severally liable for the payment of all charges; and

   (2) That the applicant(s) understands that the carrier will (under the
   provisions  of paragraph (d) of this section) discontinue service upon
   written notice if any amount due is not paid upon demand.

   (d) If charges for services rendered are not paid to the carrier within 15
   days from rendition of a bill therefor, the carrier shall forthwith at the
   end of the 15-day period serve written notice on the applicant of intent to
   discontinue service within 7 days of date of such notice for nonpayment and
   shall discontinue service at the end of the 7-day period unless all such
   sums due are paid in full within such 7-day period.

   (e) Each carrier shall take appropriate action at law to collect any unpaid
   balance on an account for interstate and foreign communication services
   rendered to a candidate or person on behalf of such candidate prior to the
   expiration  of  the statute of limitations under section 415(a) of the
   Communications Act of 1934, as amended.

   (f) The records of each account, involving the extension by a carrier of
   unsecured credit to a candidate or person on behalf of such candidate for
   common carrier communications services shall be maintained by the carrier so
   as to show separately, for interstate and foreign communication services all
   charges, credits, adjustments, and security, if any, and balance receivable.

   (g) On or before January 31, 1973, and on corresponding dates of each year
   thereafter, each carrier which had operating revenues in the preceding year
   in excess of $1 million shall file with the Commission a report by account
   of  any amount due and unpaid, as of the end of the month prior to the
   reporting date, for interstate and foreign communications services to a
   candidate or person on behalf of such candidate when such amount results
   from  the extension of unsecured credit. Each report shall include the
   following information:

   (1) Name of candidate.

   (2) Name and address of person or persons applying for service.

   (3) Balance due carrier.

   (4) Reason for nonpayment.

   (5) Payment arrangements, if any.

   (6) Date service discontinued.

   (7) Date, nature and status of any action taken at law in compliance with
   paragraph (e) of this section.

   [ 37 FR 9393 , May 10, 1972, as amended at  62 FR 5166 , Feb. 4, 1997]

Subpart I—Allocation of Costs