State action for violations
Authority of States
In addition to such other remedies as are provided under State law, if the chief law enforcement officer of a State, or an official or agency designated by a State, has reason to believe that any person has violated or is violating this subchapter, the State—
may bring an action to enjoin such violation in any appropriate United States district court or in any other court of competent jurisdiction;
subject to paragraph (5), may bring an action on behalf of the residents of the State to recover—
damages for which the person is liable to such residents under sections 1681n and 1681o of this title as a result of the violation;
damages of not more than $1,000 for each willful or negligent violation; and
in the case of any successful action under subparagraph (A) or (B), shall be awarded the costs of the action and reasonable attorney fees as determined by the court.
Rights of Federal regulators
The State shall serve prior written notice of any action under paragraph (1) upon the Bureau and the Federal Trade Commission or the appropriate Federal regulator determined under subsection (b) and provide the Bureau and the Federal Trade Commission or appropriate Federal regulator with a copy of its complaint, except in any case in which such prior notice is not feasible, in which case the State shall serve such notice immediately upon instituting such action. The Bureau and the Federal Trade Commission or appropriate Federal regulator shall have the right—
to intervene in the action;
upon so intervening, to be heard on all matters arising therein;
to remove the action to the appropriate United States district court; and
to file petitions for appeal.
For purposes of bringing any action under this subsection, nothing in this subsection shall prevent the chief law enforcement officer, or an official or agency designated by a State, from exercising the powers conferred on the chief law enforcement officer or such official by the laws of such State to conduct investigations or to administer oaths or affirmations or to compel the attendance of witnesses or the production of documentary and other evidence.
Limitation on State action while Federal action pending
If the Bureau, the Federal Trade Commission, or the appropriate Federal regulator has instituted a civil action or an administrative action under section 8 of the Federal Deposit Insurance Act [12 U.S.C. 1818] for a violation of this subchapter, no State may, during the pendency of such action, bring an action under this section against any defendant named in the complaint of the Bureau, the Federal Trade Commission, or the appropriate Federal regulator for any violation of this subchapter that is alleged in that complaint.
Limitations on State actions for certain violations
Violation of injunction required
A State may not bring an action against a person under paragraph (1)(B) for a violation described in any of paragraphs (1) through (3) of section 1681s–2(c) of this title
the person has been enjoined from committing the violation, in an action brought by the State under paragraph (1)(A); and
the person has violated the injunction.
Limitation on damages recoverable
In an action against a person under paragraph (1)(B) for a violation described in any of paragraphs (1) through (3) of section 1681s–2(c) of this title, a State may not recover any damages incurred before the date of the violation of an injunction on which the action is based.
[Pub. L. 90–321, title VI, § 621], as added [Pub. L. 91–508, title VI, § 601], Oct. 26, 1970, [84 Stat. 1134]; amended [Pub. L. 98–443, § 9(n)], Oct. 4, 1984, [98 Stat. 1708]; [Pub. L. 101–73, title VII, § 744](l), Aug. 9, 1989, [103 Stat. 439]; [Pub. L. 102–242, title II, § 212(c)], Dec. 19, 1991, [105 Stat. 2300]; [Pub. L. 102–550, title XVI, § 1604(a)(6)], Oct. 28, 1992, [106 Stat. 4082]; [Pub. L. 104–88, title III, § 314], Dec. 29, 1995, [109 Stat. 948]; [Pub. L. 104–208, div. A, title II], §§ 2416–2418, Sept. 30, 1996, [110 Stat. 3009–450] to 3009–452; [Pub. L. 105–347, § 6(6)], Nov. 2, 1998, [112 Stat. 3211]; [Pub. L. 106–102, title V, § 506(a)], (b), Nov. 12, 1999, [113 Stat. 1441], 1442; [Pub. L. 108–159, title I, § 153], title III, § 312(e)(2), title IV, § 412(e), title VIII, § 811(f), Dec. 4, 2003, [117 Stat. 1966], 1993, 2003, 2012; [Pub. L. 111–203, title X, § 1088(a)(2)(A)]–(C), (10), July 21, 2010, [124 Stat. 2087], 2088.)