§  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