7-86-110 - Collection and disposition of funds Termination of services Accounting Defense of service supplier. - Tennessee Statutes

7-86-110. Collection and disposition of funds Termination of services Accounting Defense of service supplier.

(a)  The service supplier shall remit the funds collected as the service charge to the district every two (2) months. Such funds shall be remitted to the district no later than thirty (30) days after the last business day of such two-month period.

(b)  The service supplier shall be entitled to retain as an administrative fee an amount equal to three percent (3%) of the collections of the service charge.

(c)  The service supplier or the board of directors of the district shall be authorized to demand payment from any service user who fails to pay any proper service charge, and may take legal action, if necessary, to collect the service charge from such service user, or may, in the alternative, and without any liability whatsoever to such service user for any losses or damages that result from termination, terminate all service to such service user; provided, that any service user so terminated shall have the right to resume service from the service supplier as long as the service user is otherwise in compliance with the regulation of the service supplier, upon full payment of all past due service charges and any other costs or expenses, including reasonable interest, or normal costs or charges of the service supplier for the resumption of service, incurred by the service supplier and the district as the result of any nonpayment.

(d)  However, the service supplier shall annually provide to the board of directors of the district an accounting of the amounts billed and collected and of the disposition of such amounts.

(e)  Good faith compliance by the service supplier with the provisions of this chapter shall constitute a complete defense to any legal action or claim against the service supplier arising in connection with this part.

[Acts 1984, ch. 867, § 10; 1987, ch. 94, § 2.]