Oklahoma House Bill HB2212

Oklahoma 2023 Regular Session

• Introduced: 2/6/23
• Refer: 2/7/23

Caption

Unfair business practices; banks; trust companies; credit unions; business entities; civil penalties; emergency.

Impact

The implications of HB 2212 extend to various sectors of financial services, mandating that banks and credit unions adhere to clear standards against discrimination. As enforcement will be largely managed by the Attorney General's office, there are civil penalties established for violations—$50,000 for first-time offenders and up to $250,000 for repeat violations. This creates a framework that could potentially deter arbitrary decision-making and promote fairer business practices across the state, reflecting a significant shift towards more consumer-oriented protections.

Summary

House Bill 2212 introduces significant changes regarding the prohibition of unfair business practices, particularly focusing on discriminatory actions by banks, credit unions, and other business entities. The bill explicitly prohibits these financial institutions from discriminating against individuals or businesses based on vague or subjective criteria such as social media activity, club memberships, political affiliations, and environmental or social impact criteria. This legislation is aimed at protecting consumers from arbitrary treatment, ensuring that customers are not unfairly influenced by subjective factors that do not directly pertain to their financial dealings.

Contention

Notably, there may be concerns regarding how subjective standards are defined and managed under this bill. Critics could argue that while the intention is to minimize discrimination, the phrasing of subjective criteria might create ambiguity, leading to challenges in enforcement and compliance. Additionally, financial institutions may worry about the expanded regulatory oversight and the potential for litigation under the new provisions, which could affect their operations and customer relationships significantly.