STATE ENFORCEMENT OF FAIR CREDIT REPORTING ACT.

SEC. 2417. STATE ENFORCEMENT OF FAIR CREDIT REPORTING ACT. Section 621 of the Fair Credit Reporting Act (15 U.S.C. 1681s) is amended— (1) by redesignating subsection (c) as subsection (d); and (2) by inserting after subsection (b) the following new subsection: “(c) State Action for Violations.— “(1) Authority of states.— 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 of section 623(a), 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) Rights of federal regulators.— The State shall serve prior written notice of any action under paragraph (1) upon the Federal Trade Commission or the appropriate Federal regulator determined under subsection (b) and provide the 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 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; 110 STAT. 3009–452 “(C) to remove the action to the appropriate United States district court; and “(D) to file petitions for appeal. “(3) Investigatory powers.— 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. “(4) Limitation on state action while federal action pending.— If 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 Commission or the appropriate Federal regulator for any violation of this title that is alleged in that complaint. “(5) Limitations on state actions for violation of section 623(a)(1).— “(A) Violation of injunction required.— A State may not bring an action against a person under paragraph (1)(B) for a violation of section 623(a)(1), 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) Limitation on damages recoverable.— In an action against a person under paragraph (1)(B) for a violation of section 623(a)(1), a State may not recover any damages incurred before the date of the violation of an injunction on which the action is based.”.