SENATE BILL 22-157
BY SENATOR(S) Holbert and Fenberg, Coram, Danielson, Jaquez Lewis,
Lee, Moreno, Pettersen, Priola, Zenzinger;
also REPRESENTATIVE(S) Hooton and Van Winkle, Amabile, Bernett,
Carver, Gray, Jodeh, Lindsay, Pico, Ricks, Valdez A., Will.
C
ONCERNING THE ENFORCEMENT OF LAWS RELATING TO UNFAIR BUSINESS
PRACTICES COMMITTED BY REGULATED PERSONS
.
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. In Colorado Revised Statutes, add 6-1-116 as
follows:
6-1-116. Investigation of unfair business practices by regulated
persons - district attorney requests for records from licensing
authorities - interagency agreements with attorney general - legislative
declaration - definitions. (1) T
HE GENERAL ASSEMBLY HEREBY FINDS ,
DETERMINES, AND DECLARES THAT:
(a) F
EDERAL AND STATE CONSUMER PROTECTION AND UNFAIR TRADE
LAWS
, SUCH AS THOSE PROHIBITING UNFAIR OR DECEPTIVE TRADE
PRACTICES
, PRICE FIXING, AND MONOPOLIZATION , EXIST TO PROTECT
NOTE: This bill has been prepared for the signatures of the appropriate legislative
officers and the Governor. To determine whether the Governor has signed the bill
or taken other action on it, please consult the legislative status sheet, the legislative
history, or the Session Laws.
________
Capital letters or bold & italic numbers indicate new material added to existing law; dashes
through words or numbers indicate deletions from existing law and such material is not part of
the act. CONSUMERS AGAINST UNFAIR BUSINESS PRACTICES THAT UNDERMINE FAIR
COMPETITION
, A THRIVING SMALL BUSINESS SECTOR , AND CONSUMERS'
RIGHTS TO MAKE INFORMED ECONOMIC DECISIONS ;
(b) D
ISTRICT ATTORNEYS AND THE ATTORNEY GENERAL ARE TASKED
WITH
, AND HAVE THE EXPERTISE NEEDED FOR , ENFORCING CONSUMER
PROTECTION LAWS IN THE STATE
;
(c) A
LICENSING AUTHORITY MIGHT HAVE INFORMATION RELEVANT
TO A COMPLAINT ALLEGING THAT A PERSON THAT THE LICENSING AUTHORITY
REGULATES HAS COMMITTED UNFAIR OR DECEPTIVE TRADE PRACTICES
; AND
(d) THEREFORE, IT BEST SERVES THE CONSUMER PROTECTION
INTERESTS OF THE STATE TO ALLOW A LICENSING AUTHORITY TO SHARE WITH
A DISTRICT ATTORNEY OR THE ATTORNEY GENERAL INFORMATION
REGARDING A REGULATED PERSON
, WHICH INFORMATION MAY BE RELEVANT
TO A CONSUMER PROTECTION INVESTIGATION OF THE REGULATED PERSON
.
(2) (a) U
PON RECEIVING A COMPLAINT ALLEGING A VIOLATION OF
THE CONSUMER PROTECTION LAWS SET FORTH IN THIS ARTICLE
1, A DISTRICT
ATTORNEY MAY REQUEST RECORDS FROM A LICENSING AUTHORITY
REGARDING A PERSON THAT IS THE SUBJECT OF THE COMPLAINT IF THE
COMPLAINT ALLEGES THAT
:
(I) T
HE COMPLAINANT SUFFERED DAMAGES IN AN AMOUNT OF AT
LEAST TWENTY THOUSAND DOLLARS AND THE DISTRICT ATTORNEY
DETERMINES THE AMOUNT OF DAMAGES ALLEGED APPEARS TO BE A
REASONABLE AMOUNT IN RELATION TO THE ALLEGED CONDUCT FORMING
THE BASIS OF THE COMPLAINT
; OR
(II) TWO OR MORE PERSONS REGULATED BY THE LICENSING
AUTHORITY JOINTLY ENGAGED IN CONDUCT THAT FORMS THE BASIS OF THE
COMPLAINT
.
(b) N
OTWITHSTANDING ANY OTHER PROVISION OF LAW THAT MAY
PROHIBIT A LICENSING AUTHORITY FROM COMPLYING WITH THIS SUBSECTION
(2), TO FACILITATE THE DISTRICT ATTORNEY 'S INVESTIGATION INTO AND
ENFORCEMENT OF THE COMPLAINT
, A LICENSING AUTHORITY SHALL PROVIDE
THE DISTRICT ATTORNEY WITH COPIES OF
, OR ACCESS TO INSPECT, THE
RECORDS REQUESTED IF THE LICENSING AUTHORITY HAS ALREADY
PAGE 2-SENATE BILL 22-157 DETERMINED IT WILL NOT TAKE ACTION AGAINST THE REGULATED PERSON
OR PERSONS
.
(c) T
HIS SUBSECTION (2) DOES NOT APPLY TO A PERSON REGULATED
BY A BOARD OR COMMISSION
.
(3) I
N ADDITION TO THE COSTS AND ATTORNEY FEES THAT THE
REGULATED PERSON OR PERSONS COMPLAINED OF ARE ENTITLED TO
RECOVER FROM THE COMPLAINANT PURSUANT TO SECTION
6-1-113 (3), IF A
COURT DETERMINES THAT THE COMPLAINT IS FRIVOLOUS
, GROUNDLESS, AND
WAS FILED IN BAD FAITH
, OR IF THE REGULATED PERSON OR PERSONS
PREVAIL OR SUBSTANTIALLY PREVAIL IN THE MATTER
, THE COURT'S ORDER
MAY ALSO REQUIRE THE COMPLAINANT TO PAY THE REGULATED PERSON
'S OR
PERSONS
' COSTS INCURRED , ACTUAL DAMAGES SUSTAINED , AND
REASONABLE ATTORNEY FEES INCURRED IN RELATION TO
:
(a) T
HE DISTRICT ATTORNEY 'S OR ATTORNEY GENERAL 'S
INVESTIGATION OF THE MATTER
; AND
(b) THE LICENSING AUTHORITY'S INVESTIGATION OF A COMPLAINT
AGAINST THE REGULATED PERSON OR PERSONS IF THE COURT DETERMINES
THAT THE TWO COMPLAINTS WERE FILED BY THE SAME COMPLAINANT AND
IN REGARD TO THE SAME MATTER
.
(4) S
UBJECT TO APPROVAL BY THE HEAD OF AN EXECUTIVE
DEPARTMENT
, A STATE LICENSING AUTHORITY WITHIN THE DEPARTMENT
MAY ENTER INTO AN INTERAGENCY AGREEMENT WITH THE ATTORNEY
GENERAL OR THE ATTORNEY GENERAL
'S DESIGNEE FOR THE REFERRAL OF
ANY COMPLAINT THAT APPEARS TO ALLEGE A VIOLATION OF THIS ARTICLE
1
OR ARTICLE 2 OR 4 OF THIS TITLE 6. THE INTERAGENCY AGREEMENT MAY
PROVIDE FOR REFERRALS OF COMPLAINTS
, INFORMATION SHARING ,
CONFIDENTIALITY REQUIREMENTS , AND OTHER TERMS THAT FACILITATE THE
INVESTIGATION AND ENFORCEMENT OF COMPLAINTS ALLEGING VIOLATIONS
OF CONSUMER PROTECTION OR UNFAIR TRADE LAWS
.
(5) A
NY COPIES OF RECORDS THAT A LICENSING AUTHORITY SENDS
TO A DISTRICT ATTORNEY
, THE ATTORNEY GENERAL , OR THE ATTORNEY
GENERAL
'S DESIGNEE PURSUANT TO THIS SECTION ARE RECORDS OF THE
INVESTIGATION OF A PROSECUTING ATTORNEY PURSUANT TO SECTION
24-72-204 (2)(a)(I) AND ARE NOT SUBJECT TO THE RIGHT OF INSPECTION
PAGE 3-SENATE BILL 22-157 UNDER THE "COLORADO OPEN RECORDS ACT", PART 2 OF ARTICLE 72 OF
TITLE
24.
(6) A
S USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE
REQUIRES
:
(a) "D
ISTRICT ATTORNEY" INCLUDES THE DISTRICT ATTORNEY AND
THE CHIEF DEPUTY DISTRICT ATTORNEYS
, SPECIAL DEPUTY DISTRICT
ATTORNEYS
, DEPUTY DISTRICT ATTORNEYS , AND ASSISTANT DISTRICT
ATTORNEYS THAT THE DISTRICT ATTORNEY APPOINTS PURSUANT TO PART
2
OF ARTICLE 1 OF TITLE 20.
(b) "L
ICENSING AUTHORITY" MEANS A STATE LICENSING AUTHORITY
OR A LOCAL LICENSING AUTHORITY
.
(c) "L
OCAL LICENSING AUTHORITY" MEANS THE GOVERNING BODY
OF A STATUTORY OR HOME RULE MUNICIPALITY
, COUNTY, OR CITY AND
COUNTY THAT IS AUTHORIZED TO ISSUE OR APPROVE A LOCAL LICENSE TO A
REGULATED PERSON OR FOR AN ACTIVITY
.
(d) (I) "S
TATE LICENSING AUTHORITY" MEANS A DEPARTMENT OR
DIVISION OF THE STATE THAT IS AUTHORIZED TO ISSUE TO OR APPROVE A
STATE LICENSE FOR A REGULATED PERSON
, WHICH STATE LICENSE ONLY
AUTHORIZES THE LICENSEE TO PERFORM ACTIVITIES AT SPECIFIC PREMISES
.
(II) "S
TATE LICENSING AUTHORITY" DOES NOT INCLUDE ANY BOARD
OR COMMISSION
.
SECTION 2. In Colorado Revised Statutes, 24-31-101, amend
(1)(p) and (1)(q); and add (1)(r) as follows:
24-31-101. Powers and duties of attorney general. (1) The
attorney general:
(p) May bring a civil action to enforce the provisions of section
24-31-113; and
(q) May bring a civil action to enforce the provisions of section
24-31-307 (2) or a criminal action to enforce the provisions of section
24-31-307 (3);
AND
PAGE 4-SENATE BILL 22-157 (r) MAY ENTER INTO INTERAGENCY AGREEMENTS PURSUANT TO
SECTION
6-1-116 (4).
SECTION 3. Act subject to petition - effective date. This act
takes effect at 12:01 a.m. on the day following the expiration of the
ninety-day period after final adjournment of the general assembly; except
that, if a referendum petition is filed pursuant to section 1 (3) of article V
of the state constitution against this act or an item, section, or part of this act
within such period, then the act, item, section, or part will not take effect
unless approved by the people at the general election to be held in
PAGE 5-SENATE BILL 22-157 November 2022 and, in such case, will take effect on the date of the official
declaration of the vote thereon by the governor.
____________________________ ____________________________
Steve Fenberg Alec Garnett
PRESIDENT OF SPEAKER OF THE HOUSE
THE SENATE OF REPRESENTATIVES
____________________________ ____________________________
Cindi L. Markwell Robin Jones
SECRETARY OF CHIEF CLERK OF THE HOUSE
THE SENATE OF REPRESENTATIVES
APPROVED________________________________________
(Date and Time)
_________________________________________
Jared S. Polis
GOVERNOR OF THE STATE OF COLORADO
PAGE 6-SENATE BILL 22-157