(a) Enforcement by the Federal Trade Commission.
(1) The Federal Trade Commission shall
be authorized to enforce compliance with the requirements imposed
by this title under the Federal Trade Commission Act (15 U.S.C. 41
et seq.), with respect to consumer reporting agencies and all other
persons subject thereto, except to the extent that enforcement of
the requirements imposed under this title is specifically committed
to some other Government agency under any of subparagraphs (A) through
(G) of subsection (b)(1), and subject to subtitle B of the Consumer
Financial Protection Act of 2010, subsection (b). For the purpose
of the exercise by the Federal Trade Commission of its functions and
powers under the Federal Trade Commission Act, a violation of any
requirement or prohibition imposed under this title shall constitute
an unfair or deceptive act or practice in commerce, in violation of
section 5(a) of the Federal Trade Commission Act (15 U.S.C. 45(a)),
and shall be subject to enforcement by the Federal Trade Commission
under section 5(b) of that Act with respect to any consumer reporting
agency or person that is subject to enforcement by the Federal Trade
Commission pursuant to this subsection, irrespective of whether that
person is engaged in commerce or meets any other jurisdictional tests
under the Federal Trade Commission Act. The Federal Trade Commission
shall have such procedural, investigative, and enforcement powers,
including the power to issue procedural rules in enforcing compliance
with the requirements imposed under this title and to require the
filing of reports, the production of documents, and the appearance
of witnesses, as though the applicable terms and conditions of the
Federal Trade Commission Act were part of this title. Any person violating
any of the provisions of this title shall be subject to the penalties
and entitled to the privileges and immunities provided in the Federal
Trade Commission Act as though the applicable terms and provisions
of such Act are part of this title.
(2) (A) Except as
otherwise provided by subtitle B of the Consumer Financial Protection
Act of 2010, in the event of a knowing violation, which constitutes
a pattern or practice of violations of this title, the Federal Trade
Commission may commence a civil action to recover a civil penalty
in a district court of the United States against any person that violates
this title. In such action, such person shall be liable for a civil
penalty of not more than $2,500 per violation.
(B) In determining the amount of a civil
penalty under subparagraph (A), the court shall take into account
the degree of culpability, any history of such prior conduct, ability
to pay, effect on ability to continue to do business, and such other
matters as justice may require.
(C) Notwithstanding paragraph (2), a
court may not impose any civil penalty on a person for a violation
of section 623(a)(1), unless the person has been enjoined from committing
the violation, or ordered not to commit the violation, in an
action or proceeding brought by or on behalf of the Federal Trade
Commission, and has violated the injunction or order, and the court
may not impose any civil penalty for any violation occurring before
the date of the violation of the injunction or order.
6-1575
(b) Enforcement by other
agencies.
(1) Subject to subtitle B of the Consumer
Financial Protection Act of 2010, compliance with the requirements
imposed under this title with respect to consumer reporting agencies,
persons who use consumer reports from such agencies, persons who furnish
information to such agencies, and users of information that are subject
to section 615(d) shall be enforced under—
(A) section 8 of the
Federal Deposit Insurance Act (12 U.S.C. 1818), by the appropriate
Federal banking agency, as defined in section 3(q) of the Federal
Deposit Insurance Act (12 U.S.C. 1813(q)), with respect to—
(i) any national
bank or State savings association, and any Federal branch or Federal
agency of a foreign bank;
(ii) any member bank of the Federal Reserve System (other than a
national bank), a branch or agency of a foreign bank (other than a
Federal branch, Federal agency, or insured State branch of a foreign
bank), a commercial lending company owned or controlled by a foreign
bank, and any organization operating under section 25 or 25A of the
Federal Reserve Act; and
(iii) any bank or Federal savings association insured by the Federal
Deposit Insurance Corporation (other than a member of the Federal
Reserve System) and any insured State branch of a foreign bank;
(B)
the Federal Credit Union Act (12 U.S.C. 1751 et seq.), by the Administrator
of the National Credit Union Administration with respect to any Federal
credit union;
(C)
subtitle IV of title 49, United States Code, by the Secretary of Transportation,
with respect to all carriers subject to the jurisdiction of the Surface
Transportation Board;
(D) the Federal Aviation Act of 1958 (49 U.S.C. App. 1301 et seq.),
by the Secretary of Transportation, with respect to any air carrier
or foreign air carrier subject to that Act;
(E) the Packers and Stockyards Act,
1921 (7 U.S.C. 181 et seq.) (except as provided in section 406 of
that Act), by the Secretary of Agriculture, with respect to any activities
subject to that Act;
(F) the Commodity Exchange Act, with respect to a person subject
to the jurisdiction of the Commodity Futures Trading Commission;
(G) the Federal securities
laws, and any other laws that are subject to the jurisdiction of the
Securities and Exchange Commission, with respect to a person that
is subject to the jurisdiction of the Securities and Exchange Commission;
and
(H) subtitle
E of the Consumer Financial Protection Act of 2010, by the Bureau,
with respect to any person subject to this title.
(2) The terms used in
paragraph (1) that are not defined in this title or otherwise defined
in section 3(s) of the Federal Deposit Insurance Act (12 U.S.C. 1813(s))
have the same meanings as in section 1(b) of the International Banking
Act of 1978 (12 U.S.C. 3101).
6-1575.1
(c) State action for violations.
(1) In addition to such other remedies
as are provided under State law, if the chief law enforcement officer
of a State, or an official or agency designated by a State, has reason
to believe that any person has violated or is violating this title,
the State—
(A) may bring an action to enjoin such
violation in any appropriate United States district court or in any
other court of competent jurisdiction;
(B) subject to paragraph (5), may bring
an action on behalf of the residents of the State to recover—
(i) damages for which the person is liable to such residents under
sections 616 and 617 as a result of the violation;
(ii) in the case of a violation described
in any of paragraphs (1) through (3) of section 623(c), damages for
which the person would, but for section 623(c), be liable to such
residents as a result of the violation; or
(iii) damages of not more than $1,000 for
each willful or negligent violation; and
(C) in the case of any
successful action under subparagraph (A) or (B), shall be awarded
the costs of the action and reasonable attorney fees as determined
by the court.
(2) The State shall serve prior written notice of any action under
paragraph (1) upon the Bureau and the Federal Trade Commission or
the appropriate Federal regulator determined under subsection (b)
and provide the Bureau and the Federal Trade Commission or appropriate
Federal regulator with a copy of its complaint, except in any case
in which such prior notice is not feasible, in which case the State
shall serve such notice immediately upon instituting such action.
The Bureau and the Federal Trade Commission or appropriate Federal
regulator shall have the right—
(A) to intervene in the
action;
(B) upon
so intervening, to be heard on all matters arising therein;
(C) to remove the action
to the appropriate United States district court; and
(D) to file petitions for appeal.
(3) For
purposes of bringing any action under this subsection, nothing in
this subsection shall prevent the chief law enforcement officer, or
an official or agency designated by a State, from exercising the powers
conferred on the chief law enforcement officer or such official by
the laws of such State to conduct investigations or to administer
oaths or affirmations or to compel the attendance of witnesses or
the production of documentary and other evidence.
6-1575.2
(4) If the Bureau, the Federal Trade Commission,
or the appropriate Federal regulator has instituted a civil action
or an administrative action under section 8 of the Federal Deposit
Insurance Act for a violation of this title, no State may, during
the pendency of such action, bring an action under this section against
any defendant named in the complaint of the Bureau, the Federal Trade
Commission, or the appropriate Federal regulator for any violation
of this title that is alleged in that complaint.
(5) (A)
A State may not bring an action against a person under paragraph (1)(B)
for a violation described in any of paragraphs (1) through (3) of
section 623(c), unless—
(i) the person has been enjoined from committing
the violation, in an action brought by the State under paragraph (1)(A);
and
(ii) the person has
violated the injunction.
(B) In an action against a person under
paragraph (1)(B) for a violation described in any of paragraphs (1)
through (3) of section 623(c), a State may not recover any damages
incurred before the date of the violation of an injunction on which
the action is based.
6-1576
(d) For the purpose
of the exercise by any agency referred to in subsection (b) of its
powers under any Act referred to in that subsection, a violation of
any requirement imposed under this title shall be deemed to be a violation
of a requirement imposed under that Act. In addition to its powers
under any provision of law specifically referred to in subsection
(b), each of the agencies referred to in that subsection may exercise,
for the purpose of enforcing compliance with any requirement imposed
under this title any other authority conferred on it by law.
(e) Regulatory authority.
(1) The Bureau shall prescribe
such regulations as are necessary to carry out the purposes of this
title, except with respect to sections 615(e) and 628. The Bureau may prescribe
regulations as may be necessary or appropriate to administer and carry
out the purposes and objectives of this title, and to prevent evasions
thereof or to facilitate compliance therewith. Except as provided
in section 1029(a) of the Consumer Financial Protection Act of 2010,
the regulations prescribed by the Bureau under this title shall apply
to any person that is subject to this title, notwithstanding the enforcement
authorities granted to other agencies under this section.
(2) Notwithstanding any power
granted to any Federal agency under this title, the deference that
a court affords to a Federal agency with respect to a determination
made by such agency relating to the meaning or interpretation of any
provision of this title that is subject to the jurisdiction of such
agency shall be applied as if that agency were the only agency authorized
to apply, enforce, interpret, or administer the provisions of this
title. The regulations prescribed by the Bureau under this title shall
apply to any person that is subject to this title, notwithstanding
the enforcement authorities granted to other agencies under this section.
6-1576.01
(f) Coordination of consumer
complaint investigations.
(1) Each consumer reporting agency described
in section 603(p) shall develop and maintain procedures for the referral
to each other such agency of any consumer complaint received by the
agency alleging identity theft, or requesting a fraud alert under
section 605A or a block under section 605B.
(2) The Bureau, in consultation with the
Federal Trade Commission, the Federal banking agencies, and the National
Credit Union Administration, shall develop a model form and model
procedures to be used by consumers who are victims of identity theft
for contacting and informing creditors and consumer reporting agencies
of the fraud.
(3) Each
consumer reporting agency described in section 603(p) shall submit
an annual summary report to the Bureau on consumer complaints received
by the agency on identity theft or fraud alerts.
(g) Bureau regulation of coding
of trade names. If the Bureau determines that a person described
in paragraph (9) of section 623(a) has not met the requirements of
such paragraph, the Bureau shall take action to ensure the person’s
compliance with such paragraph, which may include issuing model guidance
or prescribing reasonable policies and procedures, as necessary to
ensure that such person complies with such paragraph.
[15 USC 1681s. As amended
by acts of Oct. 3, 1984 (98 Stat. 1708); Aug. 9, 1989 (103 Stat. 439);
Dec. 19, 1991 (105 Stat. 2300); Oct. 28, 1992 (106 Stat. 4082); Dec.
29, 1995 (109 Stat. 948); Sept. 30, 1996 (110 Stat. 3009-450, 451,
452); Nov. 2, 1998 (112 Stat. 3211); Nov. 12, 1999 (113 Stat. 1441,
1442); Dec. 4, 2003 (117 Stat. 1966, 1993, 2003); and July 21, 2010
(124 Stat. 2087, 2088, 2089, 2090).]
