63N-16-203. Consumer protection for regulatory sandbox.

290 words·~1 min read·/ut/title-63n/chapter-16/63n-16-203

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Effective 5/5/2021

(1)Before demonstrating an offering to a consumer, a sandbox participant shall disclose the following to the consumer:

(a)the name and contact information of the sandbox participant;

(b)that the offering is authorized pursuant to the regulatory sandbox and, if applicable, that the sandbox participant does not have a license or other authorization to provide an offering under state laws that regulate offerings outside of the regulatory sandbox;

(c)that the offering is undergoing testing and may not function as intended and may expose the consumer to certain risks as identified by the applicable agency's written report;

(d)that the provider of the offering is not immune from civil liability for any losses or damages caused by the offering;

(e)that the provider of the offering is not immune from criminal prosecution for violations of state law or regulations that are not suspended or waived as allowed by the regulatory sandbox;

(f)that the offering is a temporary demonstration that may be discontinued at the end of the demonstration period;

(g)the expected end date of the demonstration period; and

(h)that a consumer may contact the regulatory relief office and file a complaint regarding the offering being demonstrated and provide the regulatory relief office's telephone number and website address where a complaint may be filed.

(2)The disclosures required by Subsection

(1)shall be provided to a consumer in a clear and conspicuous form and, for an Internet or application-based offering, a consumer shall acknowledge receipt of the disclosure before any transaction may be completed.

(3)The regulatory relief office may require that a sandbox participant make additional disclosures to a consumer.

Enacted by Chapter 373 , 2021 General Session