Texas 2017 - 85th Regular

Texas House Bill HB2176 Compare Versions

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Version 2 (New)

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1	1	85R5494 GRM-F
2	2	By: Parker H.B. No. 2176
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to surcharges imposed for the use of a credit card;
8	8	providing a civil penalty.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 604A.001, Business & Commerce Code, is
11	11	amended by adding Subdivision (1-a) and amending Subdivision (5) to
12	12	read as follows:
13	13	(1-a) "Credit card" has the meaning assigned by
14	14	Section 502.001.
15	15	(5) "Surcharge" means an increase in the price charged
16	16	for goods or services imposed on a buyer who pays with a credit,
17	17	debit, or stored value card that is not imposed on a buyer who pays
18	18	by other means. The term does not include a discounted price
19	19	charged for goods or services to a buyer who pays with cash.
20	20	SECTION 2. Sections 604A.003(a), (b), and (b-1), Business &
21	21	Commerce Code, are amended to read as follows:
22	22	(a) A person who knowingly violates Section 604A.002 or
23	23	604A.0021 is liable to the state for a civil penalty in an amount
24	24	not to exceed $500 for each violation. The attorney general or the
25	25	prosecuting attorney in the county in which the violation occurs
26	26	may bring:
27	27	(1) a suit to recover the civil penalty imposed under
28	28	this section; and
29	29	(2) an action in the name of the state to restrain or
30	30	enjoin a person from violating this chapter.
31	31	(b) Before bringing the action, the attorney general or
32	32	prosecuting attorney shall give the person notice of the person's
33	33	noncompliance and liability for a civil penalty. The notice must:
34	34	(1) contain guidance to assist the person in complying
35	35	with this chapter;
36	36	(2) advise the person of the prohibitions
37	37	[prohibition] under Sections [Section] 604A.002 and 604A.0021; and
38	38	(3) state that the person may be liable for a civil
39	39	penalty for a subsequent violation of Section 604A.002 or
40	40	604A.0021.
41	41	(b-1) If the person complies with Sections [Section]
42	42	604A.002 and 604A.0021 not later than the 30th day after the date of
43	43	the notice under Subsection (b), the violation is cured and the
44	44	person is not liable for the civil penalty. A person who has
45	45	previously received notice of noncompliance under Subsection (b) is
46	46	not entitled to notice of or the opportunity to cure a subsequent
47	47	violation of Section 604A.002 or 604A.0021.
48	48	SECTION 3. Section 14.101, Finance Code, is amended to read
49	49	as follows:
50	50	Sec. 14.101. GENERAL DUTIES OF COMMISSIONER. The
51	51	commissioner shall enforce [Section 339.001,] this chapter,
52	52	Subtitles B and C of Title 4, Chapter 393 with respect to a credit
53	53	access business, and Chapter 394 in person or through an assistant
54	54	commissioner, examiner, or other employee of the office.
55	55	SECTION 4. Section 14.201, Finance Code, is amended to read
56	56	as follows:
57	57	Sec. 14.201. INVESTIGATION AND ENFORCEMENT AUTHORITY.
58	58	Investigative and enforcement authority under this subchapter
59	59	applies only to [Section 339.001,] this chapter, Subtitles B and C
60	60	of Title 4, Chapter 393 with respect to a credit access business,
61	61	and Chapter 394.
62	62	SECTION 5. Section 14.2015(a), Finance Code, is amended to
63	63	read as follows:
64	64	(a) Except as provided by Subsection (b), information or
65	65	material obtained or compiled by the commissioner in relation to an
66	66	examination or investigation by the commissioner or the
67	67	commissioner's representative of a license holder, registrant,
68	68	applicant, or other person under [Section 339.001,] Subtitle B or
69	69	C, Title 4, Subchapter G of Chapter 393, or Chapter 394 is
70	70	confidential and may not be disclosed by the commissioner or an
71	71	officer or employee of the Office of Consumer Credit Commissioner,
72	72	including:
73	73	(1) information obtained from a license holder,
74	74	registrant, applicant, or other person examined or investigated
75	75	under [Section 339.001,] Subtitle B or C, Title 4, Subchapter G of
76	76	Chapter 393, or Chapter 394;
77	77	(2) work performed by the commissioner or the
78	78	commissioner's representative on information obtained from a
79	79	license holder, registrant, applicant, or other person for the
80	80	purposes of an examination or investigation conducted under
81	81	[Section 339.001,] Subtitle B or C, Title 4, Chapter 393 with
82	82	respect to a credit access business, or Chapter 394;
83	83	(3) a report on an examination or investigation of a
84	84	license holder, registrant, applicant, or other person conducted
85	85	under [Section 339.001,] Subtitle B or C, Title 4, Chapter 393 with
86	86	respect to a credit access business, or Chapter 394; and
87	87	(4) any written communications between the license
88	88	holder, registrant, applicant, or other person, as applicable, and
89	89	the commissioner or the commissioner's representative relating to
90	90	or referencing an examination or investigation conducted under
91	91	[Section 339.001,] Subtitle B or C, Title 4, Chapter 393 with
92	92	respect to a credit access business, or Chapter 394.
93	93	SECTION 6. Section 14.251(b), Finance Code, is amended to
94	94	read as follows:
95	95	(b) The commissioner may order a person who violates or
96	96	causes a violation of [Section 339.001,] this chapter, Chapter 394,
97	97	or Subtitle B, Title 4, or a rule adopted under [Section 339.001,]
98	98	this chapter, Chapter 394, or Subtitle B, Title 4, or a credit
99	99	access business who violates or causes a violation of Chapter 393 or
100	100	a rule adopted under Chapter 393, to make restitution to an
101	101	identifiable person injured by the violation.
102	102	SECTION 7. Section 14.261(a), Finance Code, is amended to
103	103	read as follows:
104	104	(a) In administering this chapter, the commissioner may
105	105	accept assurance of voluntary compliance from a person who is
106	106	engaging in or has engaged in an act or practice in violation of:
107	107	(1) [Section 339.001;
108	108	[(2)] this chapter or a rule adopted under this
109	109	chapter;
110	110	(2) [(3)] Chapter 393, if the person is a credit
111	111	access business, or Chapter 394; or
112	112	(3) [(4)] Subtitle B, Title 4, or a rule adopted under
113	113	Subtitle B, Title 4.
114	114	SECTION 8. Section 14.262, Finance Code, is amended to read
115	115	as follows:
116	116	Sec. 14.262. EFFECT OF ASSURANCE. (a) An assurance of
117	117	voluntary compliance is not an admission of a violation of:
118	118	(1) [Section 339.001;
119	119	[(2)] this chapter or a rule adopted under this
120	120	chapter;
121	121	(2) [(3)] Chapter 393 with respect to a credit access
122	122	business or Chapter 394; or
123	123	(3) [(4)] Subtitle B, Title 4, or a rule adopted under
124	124	Subtitle B, Title 4.
125	125	(b) Unless an assurance of voluntary compliance is
126	126	rescinded by agreement or voided by a court for good cause, a
127	127	subsequent failure to comply with the assurance is prima facie
128	128	evidence of a violation of:
129	129	(1) [Section 339.001;
130	130	[(2)] this chapter or a rule adopted under this
131	131	chapter;
132	132	(2) [(3)] Chapter 393 with respect to a credit access
133	133	business or Chapter 394; or
134	134	(3) [(4)] Subtitle B, Title 4, or a rule adopted under
135	135	Subtitle B, Title 4.
136	136	SECTION 9. Section 339.001, Finance Code, is transferred to
137	137	Chapter 604A, Business & Commerce Code, redesignated as Section
138	138	604A.0021, Business & Commerce Code, and amended to read as
139	139	follows:
140	140	Sec. 604A.0021 [339.001]. IMPOSITION OF SURCHARGE FOR USE
141	141	OF CREDIT CARD. (a) In a sale of goods or services, a seller may
142	142	not impose a surcharge on a buyer who uses a credit card for an
143	143	extension of credit instead of cash, a check, or a similar means of
144	144	payment.
145	145	(b) This section does not apply to:
146	146	(1) a state agency, county, local governmental entity,
147	147	or other governmental entity that accepts a credit card for the
148	148	payment of fees, taxes, or other charges; or
149	149	(2) a private school that accepts a credit card for the
150	150	payment of fees or other charges, as provided by Section 111.002[,
151	151	Business & Commerce Code].
152	152	(c) [The consumer credit commissioner has exclusive
153	153	jurisdiction to enforce this section.
154	154	[(d) The Finance Commission of Texas may adopt rules
155	155	relating to this section. Rules adopted pursuant to this section
156	156	shall be consistent with federal laws and regulations governing
157	157	credit card transactions described by this section.
158	158	[(e)] This section does not create a cause of action against
159	159	an individual for violation of this section.
160	160	SECTION 10. This Act takes effect September 1, 2017.