Florida Senate - 2023 SB 128
By Senator Rodriguez
40-00123A-23 2023128__
1 A bill to be entitled
2 An act relating to contacting consumer debtors;
3 amending s. 559.565, F.S.; specifying that persons who
4 violate specified provisions of law are subject to
5 sanctions in the same manner as any other consumer
6 debt collector; creating s. 559.721, F.S.; defining
7 the term “creditor”; prohibiting creditors from
8 contacting debtors regarding specified types of debt
9 under certain circumstances; providing applicability;
10 providing construction; amending s. 559.725, F.S.;
11 requiring the Office of Financial Regulation of the
12 Financial Services Commission to inform and furnish
13 relevant information to the appropriate regulatory
14 body of the state, the Federal Government, or The
15 Florida Bar if a person has been named in a certain
16 consumer complaint alleging specified violations of
17 law; amending s. 559.77, F.S.; authorizing debtors to
18 bring civil actions against creditors who violate the
19 act; specifying that violators are liable for
20 specified damages, costs, and fees; providing an
21 effective date.
22
23 Be It Enacted by the Legislature of the State of Florida:
24
25 Section 1. Subsection (2) of section 559.565, Florida
26 Statutes, is amended to read:
27 559.565 Enforcement action against out-of-state consumer
28 debt collector.—The remedies of this section are cumulative to
29 other sanctions and enforcement provisions of this part for any
30 violation by an out-of-state consumer debt collector, as defined
31 in s. 559.55(11).
32 (2) A person, whether or not exempt from registration under
33 this part, who violates s. 559.72 or s. 559.721 is subject to
34 sanctions the same as any other consumer debt collector,
35 including imposition of an administrative fine. The registration
36 of a duly registered out-of-state consumer debt collector is
37 subject to revocation or suspension in the same manner as the
38 registration of any other registrant under this part.
39 Section 2. Section 559.721, Florida Statutes, is created to
40 read:
41 559.721 Prohibitions on contacting debtors who are victims
42 of certain crimes.—
43 (1) As used in this section, the term “creditor” means a
44 person required to be registered under s. 559.553.
45 (2) In collecting consumer debts, a creditor may not:
46 (a) Contact a debtor regarding a debt that arises from
47 documented elder and economic abuse.
48 1. Documented elder and economic abuse occurs when:
49 a. The debtor, or a person with fiduciary responsibility to
50 the debtor, has alleged in a police report that the debtor has
51 been the victim of elder abuse by a specified alleged
52 perpetrator; and
53 b. The debtor, or a person with fiduciary responsibility to
54 the debtor, provides the creditor with a signed affidavit,
55 swearing under penalty of perjury that the following are true:
56 (I) The debtor was the victim of elder abuse as documented
57 in a police report;
58 (II) As a result of the alleged abuse, the debtor was
59 compelled to incur debt or was provided credit that the debtor
60 would not otherwise have incurred in the absence of the abuse,
61 including, but not limited to, the debtor’s identity being
62 stolen; and
63 (III) The debt that is the subject of the creditor’s
64 contact with the debtor was incurred solely because of elder
65 abuse.
66 2. The prohibition in this paragraph applies:
67 a. For 2 years after the affidavit under sub-subparagraph
68 1.b. is provided to the creditor; or
69 b. Indefinitely, if the perpetrator has been convicted of a
70 crime relating to elder abuse arising from the conduct
71 referenced in the police report.
72 (b) Contact a debtor regarding a debt that arises from
73 documented human trafficking and economic abuse.
74 1. Documented human trafficking and economic abuse occur
75 when:
76 a. Official documentation as defined in s. 943.0583 shows
77 at least one incident of human trafficking has occurred in which
78 the debtor is listed as a victim or in which the debtor received
79 relocation assistance under s. 960.196; and
80 b. The debtor provides the creditor with a signed
81 affidavit, swearing under penalty of perjury that the following
82 are true:
83 (I) The debtor was the victim of human trafficking as
84 documented in a police report or there has been a determination
85 that the debtor should receive relocation assistance under s.
86 960.196;
87 (II) As a result of human trafficking, the debtor was
88 compelled to incur debt or was provided credit that the debtor
89 would not otherwise have incurred in the absence of the abuse,
90 including instances in which the debtor’s identity has been
91 stolen; and
92 (III) The debt that is the subject of the creditor’s
93 contact with the debtor was incurred solely because of and
94 during the period of human trafficking.
95 2. The prohibition in this paragraph applies:
96 a. For 2 years after the affidavit under sub-subparagraph
97 1.b. is provided to the creditor; or
98 b. Indefinitely, if the perpetrator has been convicted of a
99 crime relating to human trafficking as alleged in the police
100 report.
101 (c) Contact a debtor regarding debts that arise from
102 documented identity theft. Documented identity theft occurs
103 when:
104 1. The debtor provides the creditor with a Federal Trade
105 Commission identity theft report stating that he or she is the
106 victim of identity theft; and
107 2. The debtor provides the creditor with a signed
108 affidavit, swearing that the following are true:
109 a. The debtor was the victim of identity theft as
110 documented in a Federal Trade Commission identity theft report;
111 b. As a result of identity theft, the debt was incurred in
112 the debtor’s name but in no way benefited the debtor; and
113 c. The debt that is the subject of the creditor’s contact
114 with the debtor was incurred solely because of identity theft.
115 (d) Contact a debtor upon receiving notice that the debtor
116 is protected by an injunction for protection against
117 exploitation of a vulnerable adult under s. 825.1035.
118 (e) Contact a debtor regarding debts that arose when the
119 debtor was in foster care. This prohibition applies after the
120 debtor provides the creditor with a signed affidavit, swearing
121 under penalty of perjury that the following are true:
122 1. The debtor was in foster care as defined in s. 39.01;
123 and
124 2. The debt that is the subject of the creditor’s contact
125 with the debtor was incurred during the time when the debtor was
126 in foster care.
127 (3) This section may not be construed or interpreted in any
128 manner to discharge an individual from a debt he or she may have
129 incurred as a result of a crime.
130 Section 3. Subsection (2) of section 559.725, Florida
131 Statutes, is amended to read:
132 559.725 Consumer complaints; administrative duties.—
133 (2) The office shall inform and furnish relevant
134 information to the appropriate regulatory body of the state or
135 the Federal Government, or The Florida Bar in the case of
136 attorneys, if a person has been named in a consumer complaint
137 pursuant to subsection (3) alleging violations of s. 559.72 or
138 s. 559.721. The Attorney General may take action against any
139 person in violation of this part.
140 Section 4. Subsections (1) and (2) of section 559.77,
141 Florida Statutes, are amended to read:
142 559.77 Civil remedies.—
143 (1) A debtor may bring a civil action against a person
144 violating the provisions of s. 559.72 or s. 559.721 in the
145 county in which the alleged violator resides or has his or her
146 principal place of business or in the county where the alleged
147 violation occurred.
148 (2) Any person who fails to comply with any provision of s.
149 559.72 or s. 559.721 is liable for actual damages and for
150 additional statutory damages as the court may allow, but not
151 exceeding $1,000, together with court costs and reasonable
152 attorney attorney’s fees incurred by the plaintiff. In
153 determining the defendant’s liability for any additional
154 statutory damages, the court shall consider the nature of the
155 defendant’s noncompliance with s. 559.72 or s. 559.721, the
156 frequency and persistence of the noncompliance, and the extent
157 to which the noncompliance was intentional. In a class action
158 lawsuit brought under this section, the court may award
159 additional statutory damages of up to $1,000 for each named
160 plaintiff and an aggregate award of additional statutory damages
161 up to the lesser of $500,000 or 1 percent of the defendant’s net
162 worth for all remaining class members; however, the aggregate
163 award may not provide an individual class member with additional
164 statutory damages in excess of $1,000. The court may award
165 punitive damages and may provide such equitable relief as it
166 deems necessary or proper, including enjoining the defendant
167 from further violations of this part. If the court finds that
168 the suit fails to raise a justiciable issue of law or fact, the
169 plaintiff is liable for court costs and reasonable attorney
170 attorney’s fees incurred by the defendant.
171 Section 5. This act shall take effect July 1, 2023.