1 | 1 | | II |
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2 | 2 | | 119THCONGRESS |
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3 | 3 | | 1 |
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4 | 4 | | STSESSION S. 314 |
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5 | 5 | | To prohibit unfair and deceptive advertising of prices for hotel rooms and |
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6 | 6 | | other places of short-term lodging, and for other purposes. |
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7 | 7 | | IN THE SENATE OF THE UNITED STATES |
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8 | 8 | | JANUARY29, 2025 |
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9 | 9 | | Ms. K |
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10 | 10 | | LOBUCHAR(for herself, Mr. MORAN, Ms. CORTEZMASTO, and Mrs. |
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11 | 11 | | C |
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12 | 12 | | APITO) introduced the following bill; which was read twice and referred |
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13 | 13 | | to the Committee on Commerce, Science, and Transportation |
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14 | 14 | | A BILL |
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15 | 15 | | To prohibit unfair and deceptive advertising of prices for |
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16 | 16 | | hotel rooms and other places of short-term lodging, and |
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17 | 17 | | for other purposes. |
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18 | 18 | | Be it enacted by the Senate and House of Representa-1 |
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19 | 19 | | tives of the United States of America in Congress assembled, 2 |
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20 | 20 | | SECTION 1. SHORT TITLE. 3 |
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21 | 21 | | This Act may be cited as the ‘‘Hotel Fees Trans-4 |
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22 | 22 | | parency Act of 2025’’. 5 |
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23 | 23 | | SEC. 2. PROHIBITION ON UNFAIR AND DECEPTIVE ADVER-6 |
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24 | 24 | | TISING OF HOTEL ROOMS AND OTHER 7 |
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25 | 25 | | SHORT-TERM RENTAL PRICES. 8 |
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26 | 26 | | (a) P |
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27 | 27 | | ROHIBITION.— 9 |
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29 | 29 | | ssavage on LAPJG3WLY3PROD with BILLS 2 |
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30 | 30 | | •S 314 IS |
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31 | 31 | | (1) IN GENERAL.—It shall be unlawful for a 1 |
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32 | 32 | | covered entity to display, advertise, market, or offer 2 |
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33 | 33 | | in interstate commerce, including through direct of-3 |
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34 | 34 | | ferings, third-party distribution, or metasearch refer-4 |
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35 | 35 | | rals, a price for covered services that does not clear-5 |
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36 | 36 | | ly, conspicuously, and prominently— 6 |
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37 | 37 | | (A) display the total services price, if a 7 |
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38 | 38 | | price is displayed, in any advertisement, mar-8 |
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39 | 39 | | keting, or price list wherever the covered serv-9 |
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40 | 40 | | ices are displayed, advertised, marketed, or of-10 |
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41 | 41 | | fered for sale; 11 |
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42 | 42 | | (B) disclose to any individual who seeks to 12 |
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43 | 43 | | purchase covered services the total services 13 |
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44 | 44 | | price at the time the covered services are first 14 |
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45 | 45 | | displayed to the individual and anytime there-15 |
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46 | 46 | | after throughout the covered services pur-16 |
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47 | 47 | | chasing process; and 17 |
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48 | 48 | | (C) disclose, prior to the final purchase, 18 |
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49 | 49 | | any tax, fee, or assessment imposed by any gov-19 |
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50 | 50 | | ernment entity, quasi-government entity, or 20 |
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51 | 51 | | government-created special district or program 21 |
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52 | 52 | | on the sale of covered services. 22 |
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53 | 53 | | (2) I |
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54 | 54 | | NDIVIDUAL COMPONENTS .—Provided that 23 |
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55 | 55 | | such displays are less prominent than the total serv-24 |
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57 | 57 | | ssavage on LAPJG3WLY3PROD with BILLS 3 |
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58 | 58 | | •S 314 IS |
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59 | 59 | | ice price required in paragraph (1), nothing in this 1 |
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60 | 60 | | Act shall be construed to prohibit the display of— 2 |
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61 | 61 | | (A) individual components of the total 3 |
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62 | 62 | | price; or 4 |
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63 | 63 | | (B) details of other items not required by 5 |
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64 | 64 | | paragraph (1). 6 |
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65 | 65 | | (3) I |
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66 | 66 | | NDEMNIFICATION PROVISIONS .—Nothing 7 |
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67 | 67 | | in this section shall be construed to prohibit any cov-8 |
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68 | 68 | | ered entity from entering into a contract with any 9 |
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69 | 69 | | other covered entity that contains an indemnification 10 |
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70 | 70 | | provision with respect to price or fee information 11 |
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71 | 71 | | disclosed, exchanged, or shared between the covered 12 |
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72 | 72 | | entities that are parties to the contract. 13 |
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73 | 73 | | (b) E |
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74 | 74 | | NFORCEMENT.— 14 |
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75 | 75 | | (1) E |
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76 | 76 | | NFORCEMENT BY THE COMMISSION .— 15 |
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77 | 77 | | (A) U |
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78 | 78 | | NFAIR OR DECEPTIVE ACTS OR PRAC -16 |
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79 | 79 | | TICES.—A violation of subsection (a) shall be 17 |
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80 | 80 | | treated as a violation of a rule defining an un-18 |
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81 | 81 | | fair or deceptive act or practice prescribed 19 |
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82 | 82 | | under section 18(a)(1)(B) of the Federal Trade 20 |
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83 | 83 | | Commission Act (15 U.S.C. 57a(a)(1)(B)). 21 |
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84 | 84 | | (B) P |
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85 | 85 | | OWERS OF THE COMMISSION .— 22 |
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86 | 86 | | (i) I |
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87 | 87 | | N GENERAL.—The Commission 23 |
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88 | 88 | | shall enforce this section in the same man-24 |
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89 | 89 | | ner, by the same means, and with the 25 |
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91 | 91 | | ssavage on LAPJG3WLY3PROD with BILLS 4 |
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92 | 92 | | •S 314 IS |
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93 | 93 | | same jurisdiction, powers, and duties as 1 |
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94 | 94 | | though all applicable terms and provisions 2 |
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95 | 95 | | of the Federal Trade Commission Act (15 3 |
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96 | 96 | | U.S.C. 41 et seq.) were incorporated into 4 |
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97 | 97 | | and made a part of this Act. 5 |
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98 | 98 | | (ii) P |
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99 | 99 | | RIVILEGES AND IMMUNITIES .— 6 |
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100 | 100 | | Any person who violates this section shall 7 |
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101 | 101 | | be subject to the penalties and entitled to 8 |
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102 | 102 | | the privileges and immunities provided in 9 |
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103 | 103 | | the Federal Trade Commission Act (15 10 |
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104 | 104 | | U.S.C. 41 et seq.). 11 |
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105 | 105 | | (iii) A |
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106 | 106 | | UTHORITY PRESERVED .—Noth-12 |
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107 | 107 | | ing in this section shall be construed to 13 |
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108 | 108 | | limit the authority of the Commission 14 |
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109 | 109 | | under any other provision of law. 15 |
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110 | 110 | | (2) E |
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111 | 111 | | NFORCEMENT BY STATES .— 16 |
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112 | 112 | | (A) I |
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113 | 113 | | N GENERAL.—If the attorney general 17 |
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114 | 114 | | of a State has reason to believe that an interest 18 |
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115 | 115 | | of the residents of the State has been or is 19 |
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116 | 116 | | being threatened or adversely affected by a 20 |
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117 | 117 | | practice that violates subsection (a), the attor-21 |
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118 | 118 | | ney general of the State may, as parens patriae, 22 |
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119 | 119 | | bring a civil action on behalf of the residents of 23 |
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120 | 120 | | the State in an appropriate district court of the 24 |
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121 | 121 | | United States to obtain appropriate relief. 25 |
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124 | 124 | | •S 314 IS |
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125 | 125 | | (B) RIGHTS OF THE COMMISSION .— 1 |
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126 | 126 | | (i) N |
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127 | 127 | | OTICE TO THE COMMISSION .— 2 |
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128 | 128 | | (I) I |
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129 | 129 | | N GENERAL.—Except as pro-3 |
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130 | 130 | | vided in subclause (III), the attorney 4 |
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131 | 131 | | general of a State, before initiating a 5 |
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132 | 132 | | civil action under subparagraph (A) 6 |
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133 | 133 | | shall notify the Commission in writing 7 |
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134 | 134 | | that the attorney general intends to 8 |
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135 | 135 | | bring such civil action. 9 |
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136 | 136 | | (II) C |
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137 | 137 | | ONTENTS.—The notifica-10 |
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138 | 138 | | tion required by subclause (I) shall in-11 |
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139 | 139 | | clude a copy of the complaint to be 12 |
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140 | 140 | | filed to initiate the civil action. 13 |
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141 | 141 | | (III) E |
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142 | 142 | | XCEPTION.—If it is not 14 |
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143 | 143 | | feasible for the attorney general of a 15 |
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144 | 144 | | State to provide the notification re-16 |
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145 | 145 | | quired by subclause (I) before initi-17 |
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146 | 146 | | ating a civil action under subpara-18 |
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147 | 147 | | graph (A), the attorney general shall 19 |
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148 | 148 | | notify the Commission immediately 20 |
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149 | 149 | | upon instituting the civil action. 21 |
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150 | 150 | | (ii) I |
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151 | 151 | | NTERVENTION BY THE COMMIS -22 |
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152 | 152 | | SION.—The Commission may— 23 |
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155 | 155 | | •S 314 IS |
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156 | 156 | | (I) intervene in any civil action 1 |
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157 | 157 | | brought by the attorney general of a 2 |
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158 | 158 | | State under subparagraph (A); and 3 |
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159 | 159 | | (II) upon intervening— 4 |
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160 | 160 | | (aa) be heard on all matters 5 |
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161 | 161 | | arising in the civil action; and 6 |
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162 | 162 | | (bb) file petitions for appeal. 7 |
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163 | 163 | | (C) I |
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164 | 164 | | NVESTIGATORY POWERS .—Nothing in 8 |
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165 | 165 | | this paragraph may be construed to prevent the 9 |
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166 | 166 | | attorney general of a State from exercising the 10 |
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167 | 167 | | powers conferred on the attorney general by the 11 |
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168 | 168 | | laws of the State to conduct investigations, to 12 |
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169 | 169 | | administer oaths or affirmations, or to compel 13 |
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170 | 170 | | the attendance of witnesses or the production of 14 |
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171 | 171 | | documentary or other evidence. 15 |
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172 | 172 | | (D) A |
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173 | 173 | | CTION BY THE COMMISSION .—When-16 |
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174 | 174 | | ever a civil action has been instituted by or on 17 |
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175 | 175 | | behalf of the Commission for violation of sub-18 |
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176 | 176 | | section (a), no attorney general of a State may, 19 |
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177 | 177 | | during the pendency of that action, institute an 20 |
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178 | 178 | | action under subparagraph (A) against any de-21 |
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179 | 179 | | fendant named in the complaint in that action 22 |
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180 | 180 | | for a violation of subsection (a) alleged in such 23 |
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181 | 181 | | complaint. 24 |
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182 | 182 | | (E) V |
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183 | 183 | | ENUE; SERVICE OF PROCESS.— 25 |
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186 | 186 | | •S 314 IS |
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187 | 187 | | (i) VENUE.—Any action brought 1 |
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188 | 188 | | under subparagraph (A) may be brought 2 |
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189 | 189 | | in— 3 |
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190 | 190 | | (I) the district court of the 4 |
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191 | 191 | | United States that meets applicable 5 |
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192 | 192 | | requirements relating to venue under 6 |
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193 | 193 | | section 1391 of title 28, United States 7 |
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194 | 194 | | Code; or 8 |
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195 | 195 | | (II) another court of competent 9 |
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196 | 196 | | jurisdiction. 10 |
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197 | 197 | | (ii) S |
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198 | 198 | | ERVICE OF PROCESS.—In an ac-11 |
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199 | 199 | | tion brought under subparagraph (A), 12 |
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200 | 200 | | process may be served in any district in 13 |
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201 | 201 | | which— 14 |
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202 | 202 | | (I) the defendant is an inhab-15 |
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203 | 203 | | itant, may be found, or transacts 16 |
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204 | 204 | | business; or 17 |
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205 | 205 | | (II) venue is proper under section 18 |
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206 | 206 | | 1391 of title 28, United States Code. 19 |
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207 | 207 | | (F) A |
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208 | 208 | | CTIONS BY OTHER STATE OFFI -20 |
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209 | 209 | | CIALS.— 21 |
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210 | 210 | | (i) I |
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211 | 211 | | N GENERAL.—In addition to civil 22 |
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212 | 212 | | actions brought by an attorney general 23 |
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213 | 213 | | under subparagraph (A), any other officer 24 |
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214 | 214 | | of a State who is authorized by the State 25 |
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217 | 217 | | •S 314 IS |
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218 | 218 | | to do so may bring a civil action under 1 |
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219 | 219 | | subparagraph (A), subject to the same re-2 |
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220 | 220 | | quirements and limitations that apply 3 |
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221 | 221 | | under this paragraph to civil actions 4 |
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222 | 222 | | brought by attorneys general. 5 |
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223 | 223 | | (ii) S |
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224 | 224 | | AVINGS PROVISION.—Nothing in 6 |
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225 | 225 | | this paragraph may be construed to pro-7 |
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226 | 226 | | hibit an authorized official of a State from 8 |
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227 | 227 | | initiating or continuing any proceeding in 9 |
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228 | 228 | | a court of the State for a violation of any 10 |
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229 | 229 | | civil or criminal law of the State. 11 |
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230 | 230 | | (3) A |
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231 | 231 | | FFIRMATIVE DEFENSE .—In any action 12 |
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232 | 232 | | pursuant to paragraph (1) or (2), an intermediary 13 |
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233 | 233 | | or third-party online seller may assert an affirmative 14 |
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234 | 234 | | defense if such intermediary or third-party online 15 |
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235 | 235 | | seller— 16 |
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236 | 236 | | (A) established procedures to receive up-to- 17 |
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237 | 237 | | date price information from hotels or short- 18 |
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238 | 238 | | term rentals, or agents acting on behalf of a 19 |
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239 | 239 | | hotel or short-term rental; 20 |
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240 | 240 | | (B) relied in good faith on information 21 |
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241 | 241 | | provided to the intermediary or third-party on-22 |
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242 | 242 | | line seller by a hotel or short-term rental, or 23 |
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243 | 243 | | agent acting on behalf of such hotel or short- 24 |
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244 | 244 | | term rental, and such information was inac-25 |
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246 | 246 | | ssavage on LAPJG3WLY3PROD with BILLS 9 |
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247 | 247 | | •S 314 IS |
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248 | 248 | | curate at the time it was provided to the inter-1 |
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249 | 249 | | mediary or third-party online seller; and 2 |
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250 | 250 | | (C) took prompt action to remove or cor-3 |
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251 | 251 | | rect any false or inaccurate information about 4 |
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252 | 252 | | the total services price after receiving notice 5 |
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253 | 253 | | that such information was false or inaccurate. 6 |
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254 | 254 | | (c) P |
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255 | 255 | | REEMPTION.— 7 |
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256 | 256 | | (1) I |
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257 | 257 | | N GENERAL.—A State, or political subdivi-8 |
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258 | 258 | | sion of a State, may not maintain, enforce, pre-9 |
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259 | 259 | | scribe, or continue in effect any law, rule, regulation, 10 |
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260 | 260 | | requirement, standard, or other provision having the 11 |
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261 | 261 | | force and effect of law of the State, or political sub-12 |
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262 | 262 | | division of the State, that prohibits a covered entity 13 |
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263 | 263 | | from advertising, displaying, marketing, or otherwise 14 |
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264 | 264 | | offering, or otherwise affects the manner in which a 15 |
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265 | 265 | | covered entity may advertise, display, market, or 16 |
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266 | 266 | | otherwise offer, for sale in interstate commerce, in-17 |
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267 | 267 | | cluding through a direct offering, third-party dis-18 |
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268 | 268 | | tribution, or metasearch referral, a price of a res-19 |
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269 | 269 | | ervation for a covered service, and that requires fee 20 |
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270 | 270 | | disclosure, unless the law requires the total services 21 |
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271 | 271 | | price to include each service fee, as defined in sub-22 |
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272 | 272 | | section (d)(8), and in accordance with subsection 23 |
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273 | 273 | | (a)(1). 24 |
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276 | 276 | | •S 314 IS |
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277 | 277 | | (2) RULE OF CONSTRUCTION .—This section 1 |
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278 | 278 | | may not be construed to— 2 |
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279 | 279 | | (A) preempt any law of a State or political 3 |
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280 | 280 | | subdivision of a State relating to contracts or 4 |
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281 | 281 | | torts; or 5 |
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282 | 282 | | (B) preempt any law of a State or political 6 |
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283 | 283 | | subdivision of a State to the extent that such 7 |
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284 | 284 | | law relates to an act of fraud, unauthorized ac-8 |
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285 | 285 | | cess to personal information, or notification of 9 |
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286 | 286 | | unauthorized access to personal information. 10 |
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287 | 287 | | (d) D |
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288 | 288 | | EFINITIONS.—In this Act: 11 |
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289 | 289 | | (1) B |
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290 | 290 | | ASE SERVICES PRICE.—The term ‘‘base 12 |
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291 | 291 | | services price’’— 13 |
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292 | 292 | | (A) means, with respect to the covered 14 |
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293 | 293 | | services provided by a hotel or short-term rent-15 |
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294 | 294 | | al, the price in order to obtain the covered serv-16 |
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295 | 295 | | ices of the hotel or short-term rental; and 17 |
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296 | 296 | | (B) does not include— 18 |
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297 | 297 | | (i) any service fee; 19 |
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298 | 298 | | (ii) any taxes or fees imposed by a 20 |
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299 | 299 | | government or quasi-government entity; 21 |
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300 | 300 | | (iii) assessment fees of a government- 22 |
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301 | 301 | | created special district or program; or 23 |
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302 | 302 | | (iv) any charges or fees for an op-24 |
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303 | 303 | | tional product or service associated with 25 |
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306 | 306 | | •S 314 IS |
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307 | 307 | | the covered services that may be selected 1 |
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308 | 308 | | by a purchaser of covered services. 2 |
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309 | 309 | | (2) C |
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310 | 310 | | OMMISSION.—The term ‘‘Commission’’ 3 |
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311 | 311 | | means the Federal Trade Commission. 4 |
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312 | 312 | | (3) C |
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313 | 313 | | OVERED ENTITY.—The term ‘‘covered en-5 |
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314 | 314 | | tity’’ means a person, partnership, or corporation 6 |
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315 | 315 | | with respect to whom the Commission has jurisdic-7 |
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316 | 316 | | tion under section 5(a)(2) of the Federal Trade 8 |
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317 | 317 | | Commission Act (15 U.S.C. 45(a)(2)), including— 9 |
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318 | 318 | | (A) a hotel or short-term rental; 10 |
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319 | 319 | | (B) a third-party online seller; or 11 |
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320 | 320 | | (C) an intermediary. 12 |
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321 | 321 | | (4) C |
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322 | 322 | | OVERED SERVICES.—The term ‘‘covered 13 |
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323 | 323 | | services’’— 14 |
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324 | 324 | | (A) means the temporary provision of a 15 |
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325 | 325 | | room, building, or other lodging facility; and 16 |
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326 | 326 | | (B) does not include the provision of a 17 |
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327 | 327 | | meeting room, banquet services, or catering 18 |
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328 | 328 | | services. 19 |
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329 | 329 | | (5) H |
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330 | 330 | | OTEL.—The term ‘‘hotel’’ means an es-20 |
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331 | 331 | | tablishment that is— 21 |
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332 | 332 | | (A) primarily engaged in providing a cov-22 |
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333 | 333 | | ered service to the general public; and 23 |
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334 | 334 | | (B) promoted, advertised, or marketed in 24 |
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335 | 335 | | interstate commerce or for which such estab-25 |
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338 | 338 | | •S 314 IS |
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339 | 339 | | lishment’s services are sold in interstate com-1 |
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340 | 340 | | merce. 2 |
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341 | 341 | | (6) I |
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342 | 342 | | NTERMEDIARY.—The term ‘‘intermediary’’ 3 |
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343 | 343 | | means an entity that operates either as a business- 4 |
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344 | 344 | | to-business platform, consumer-facing platform, or 5 |
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345 | 345 | | both, that displays, including through direct offer-6 |
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346 | 346 | | ings, third-party distribution, or metasearch referral, 7 |
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347 | 347 | | a price for covered services or price comparison tools 8 |
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348 | 348 | | for consumers seeking covered services. 9 |
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349 | 349 | | (7) O |
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350 | 350 | | PTIONAL PRODUCT OR SERVICE .—The 10 |
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351 | 351 | | term ‘‘optional product or service’’ means a product 11 |
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352 | 352 | | or service that an individual does not need to pur-12 |
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353 | 353 | | chase to use or obtain covered services 13 |
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354 | 354 | | (8) S |
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355 | 355 | | ERVICE FEE.—The term ‘‘service fee’’— 14 |
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356 | 356 | | (A) means a charge imposed by a covered 15 |
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357 | 357 | | entity that must be paid in order to obtain cov-16 |
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358 | 358 | | ered services; and 17 |
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359 | 359 | | (B) does not include— 18 |
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360 | 360 | | (i) any taxes or fees imposed by a 19 |
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361 | 361 | | government or quasi-government entity; 20 |
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362 | 362 | | (ii) any assessment fees of a govern-21 |
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363 | 363 | | ment-created special district or program; 22 |
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364 | 364 | | or 23 |
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365 | 365 | | (iii) any charges or fees for an op-24 |
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366 | 366 | | tional product or service associated with 25 |
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369 | 369 | | •S 314 IS |
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370 | 370 | | the covered services that may be selected 1 |
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371 | 371 | | by a purchaser of covered services. 2 |
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372 | 372 | | (9) S |
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373 | 373 | | HORT-TERM RENTAL.—The term ‘‘short- 3 |
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374 | 374 | | term rental’’ means a property, including a single- 4 |
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375 | 375 | | family dwelling or a unit in a condominium, coopera-5 |
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376 | 376 | | tive, or time-share, that provides covered services 6 |
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377 | 377 | | (either with respect to the entire property or a part 7 |
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378 | 378 | | of the property) to the general public— 8 |
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379 | 379 | | (A) in exchange for a fee; 9 |
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380 | 380 | | (B) for periods shorter than 30 consecutive 10 |
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381 | 381 | | days; and 11 |
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382 | 382 | | (C) is promoted, advertised, or marketed in 12 |
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383 | 383 | | interstate commerce or for which such prop-13 |
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384 | 384 | | erty’s services are sold in interstate commerce. 14 |
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385 | 385 | | (10) S |
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386 | 386 | | TATE.—The term ‘‘State’’ means each of 15 |
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387 | 387 | | the 50 States, the District of Columbia, and any ter-16 |
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388 | 388 | | ritory or possession of the United States. 17 |
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389 | 389 | | (11) T |
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390 | 390 | | HIRD-PARTY ONLINE SELLER .—The term 18 |
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391 | 391 | | ‘‘third-party online seller’’ means any person other 19 |
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392 | 392 | | than a hotel or short-term rental that sells covered 20 |
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393 | 393 | | services or offers for sale covered services with re-21 |
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394 | 394 | | spect to a hotel or short-term rental in a transaction 22 |
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395 | 395 | | facilitated on the internet. 23 |
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396 | 396 | | (12) T |
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397 | 397 | | OTAL SERVICES PRICE.—The term ‘‘total 24 |
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398 | 398 | | services’’— 25 |
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399 | 399 | | VerDate Sep 11 2014 22:15 Feb 03, 2025 Jkt 059200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\S314.IS S314 |
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400 | 400 | | ssavage on LAPJG3WLY3PROD with BILLS 14 |
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401 | 401 | | •S 314 IS |
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402 | 402 | | (A) means, with respect to covered serv-1 |
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403 | 403 | | ices, the total cost of the covered services, in-2 |
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404 | 404 | | cluding the base services price and any service 3 |
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405 | 405 | | fees; and 4 |
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406 | 406 | | (B) does not include— 5 |
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407 | 407 | | (i) any taxes or fees imposed by a 6 |
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408 | 408 | | government or quasi-government entity; 7 |
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409 | 409 | | (ii) any assessment fees of a govern-8 |
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410 | 410 | | ment-created special district or program; 9 |
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411 | 411 | | or 10 |
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412 | 412 | | (iii) any charges or fees for an op-11 |
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413 | 413 | | tional product or service associated with 12 |
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414 | 414 | | the covered services that may be selected 13 |
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415 | 415 | | by a purchaser of covered services. 14 |
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416 | 416 | | (e) E |
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417 | 417 | | FFECTIVEDATE.—The prohibition under sub-15 |
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418 | 418 | | section (a) shall take effect 450 days after the date of 16 |
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419 | 419 | | the enactment of this Act and shall apply to advertise-17 |
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420 | 420 | | ments, displays, marketing, and offers of covered services 18 |
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421 | 421 | | of a covered entity made on or after such date. 19 |
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422 | 422 | | Æ |
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424 | 424 | | ssavage on LAPJG3WLY3PROD with BILLS |
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