FINAL BILL REPORT

SHB 2801

                                  C 190 L 90

BYHouse Committee on Commerce & Labor (originally sponsored by Representatives Forner, Vekich, Smith, Cole, Walker, Bowman, Leonard, Prentice, Fuhrman, May, Brough, Ferguson, Betrozoff, Winsley, Chandler, Wolfe, Horn, Moyer, Brumsickle, Silver, Nealey, Youngsman, Miller and Wood)

Clarifying the definition of collection agencies.

House Committe on Commerce & Labor

Senate Committee on Economic Development & Labor and Financial Institutions & Insurance

SYNOPSIS AS ENACTED

BACKGROUND:

Collection agencies are regulated by statute.  A "collection agency" is:  anyone who solicits claims for collection or who collects claims owed or asserted to be owed to another person; any person who furnishes or sells forms represented to be a collection system or scheme; or anyone who, in attempting to collect his or her own claim, uses a fictitious name.  A "collection agency" is not an individual soliciting or collecting claims on behalf of his or her employer.  A "collection agency" is also not a person whose collections are carried on in his or her true name and are confined to the operation of a business other than that of a collection agency.  Several occupations are specifically declared not to be collection agencies.

There is no exception made for accountants and bookkeepers who, on behalf of another person, prepare or mail monthly or periodic statements of accounts due when all payments are made to the other person.

SUMMARY:

The definition of "collection agency" is amended to exclude any person who on behalf of another person prepares or mails monthly or periodic statements of accounts due if all payments are made to the other person and no other collection efforts are made by the person preparing the statements of account.

"Statement of account" means a report setting forth only the amounts billed, invoices, credits allowed, or aged balance due.

VOTES ON FINAL PASSAGE:

      House 95   0

      Senate    46     0 (Senate amended)

      House 96   0 (House concurred)

EFFECTIVE:June 7, 1990