12 U.S.C. § 5565 — Relief available

Page 1988 TITLE 12—BANKS AND BANKING § 5565 (B) Bureau authority In any action arising solely under an enu- merated consumer law, the Bureau may commence, defend, or intervene in the ac- tion in accordance with the requirements of that provision of law, as applicable. (C) Transferred authority In any action arising solely under laws for which authorities were transferred under subtitles F and H, the Bureau may com- mence, defend, or intervene in the action in accordance with the requirements of that provision of law, as applicable. (Pub. L. 111–203, title X, § 1054, July 21, 2010, 124 Stat. 2028.) Editorial Notes REFERENCES IN TEXT This title, referred to in subsecs. (b), (d)(2)(C), (f), and (g)(1), (2)(A), is title X of Pub. L. 111–203, July 21, 2010, 124 Stat. 1955, known as the Consumer Financial Pro- tection Act of 2010, which enacted this subchapter and enacted, amended, and repealed numerous other sec- tions and notes in the Code. For complete classification of title X to the Code, see Short Title note set out under section 5301 of this title and Tables. Subtitle F, referred to in subsec. (g)(2)(C), is subtitle F (§§ 1061–1067) of title X of Pub. L. 111–203, July 21, 2010, 124 Stat. 2035, which is classified generally to part F (§ 5581 et seq.) of this subchapter. For complete classi- fication of subtitle F to the Code, see Tables. Subtitle H, referred to in subsec. (g)(2)(C), is subtitle H (§§ 1081–1100H) of title X of Pub. L. 111–203, July 21, 2010, 124 Stat. 2080. For complete classification of sub- title H to the Code, see Tables. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective on the designated transfer date, see section 1058 of Pub. L. 111–203, set out as a note under section 5561 of this title. § 5565. Relief available (a) Administrative proceedings or court actions (1) Jurisdiction The court (or the Bureau, as the case may be) in an action or adjudication proceeding brought under Federal consumer financial law, shall have jurisdiction to grant any appro- priate legal or equitable relief with respect to a violation of Federal consumer financial law, including a violation of a rule or order pre- scribed under a Federal consumer financial law. (2) Relief Relief under this section may include, with- out limitation— (A) rescission or reformation of contracts; (B) refund of moneys or return of real property; (C) restitution; (D) disgorgement or compensation for un- just enrichment; (E) payment of damages or other monetary relief; (F) public notification regarding the viola- tion, including the costs of notification; (G) limits on the activities or functions of the person; and (H) civil money penalties, as set forth more fully in subsection (c). (3) No exemplary or punitive damages Nothing in this subsection shall be con- strued as authorizing the imposition of exem- plary or punitive damages. (b) Recovery of costs In any action brought by the Bureau, a State attorney general, or any State regulator to en- force any Federal consumer financial law, the Bureau, the State attorney general, or the State regulator may recover its costs in connection with prosecuting such action if the Bureau, the State attorney general, or the State regulator is the prevailing party in the action. (c) Civil money penalty in court and administra- tive actions (1) In general Any person that violates, through any act or omission, any provision of Federal consumer financial law shall forfeit and pay a civil pen- alty pursuant to this subsection. (2) Penalty amounts (A) First tier For any violation of a law, rule, or final order or condition imposed in writing by the Bureau, a civil penalty may not exceed $5,000 for each day during which such violation or failure to pay continues. (B) Second tier Notwithstanding paragraph (A), for any person that recklessly engages in a violation of a Federal consumer financial law, a civil penalty may not exceed $25,000 for each day during which such violation continues. (C) Third tier Notwithstanding subparagraphs (A) and (B), for any person that knowingly violates a Federal consumer financial law, a civil pen- alty may not exceed $1,000,000 for each day during which such violation continues. (3) Mitigating factors In determining the amount of any penalty assessed under paragraph (2), the Bureau or the court shall take into account the appro- priateness of the penalty with respect to— (A) the size of financial resources and good faith of the person charged; (B) the gravity of the violation or failure to pay; (C) the severity of the risks to or losses of the consumer, which may take into account the number of products or services sold or provided; (D) the history of previous violations; and (E) such other matters as justice may re- quire. (4) Authority to modify or remit penalty The Bureau may compromise, modify, or remit any penalty which may be assessed or had already been assessed under paragraph (2). The amount of such penalty, when finally de- termined, shall be exclusive of any sums owed by the person to the United States in connec- tion with the costs of the proceeding, and may Page 1989 TITLE 12—BANKS AND BANKING § 5567 1 See References in Text note below. be deducted from any sums owing by the United States to the person charged. (5) Notice and hearing No civil penalty may be assessed under this subsection with respect to a violation of any Federal consumer financial law, unless— (A) the Bureau gives notice and an oppor- tunity for a hearing to the person accused of the violation; or (B) the appropriate court has ordered such assessment and entered judgment in favor of the Bureau. (Pub. L. 111–203, title X, § 1055, July 21, 2010, 124 Stat. 2029.) Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective on the designated transfer date, see section 1058 of Pub. L. 111–203, set out as a note under section 5561 of this title. § 5566. Referrals for criminal proceedings If the Bureau obtains evidence that any per- son, domestic or foreign, has engaged in conduct that may constitute a violation of Federal criminal law, the Bureau shall transmit such evidence to the Attorney General of the United States, who may institute criminal proceedings under appropriate law. Nothing in this section affects any other authority of the Bureau to dis- close information. (Pub. L. 111–203, title X, § 1056, July 21, 2010, 124 Stat. 2031.) Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective on the designated transfer date, see section 1058 of Pub. L. 111–203, set out as a note under section 5561 of this title. § 5567. Employee protection (a) In general No covered person or service provider shall terminate or in any other way discriminate against, or cause to be terminated or discrimi- nated against, any covered employee or any au- thorized representative of covered employees by reason of the fact that such employee or rep- resentative, whether at the initiative of the em- ployee or in the ordinary course of the duties of the employee (or any person acting pursuant to a request of the employee), has— (1) provided, caused to be provided, or is about to provide or cause to be provided, infor- mation to the employer, the Bureau, or any other State, local, or Federal, government au- thority or law enforcement agency relating to any violation of, or any act or omission that the employee reasonably believes to be a vio- lation of, any provision of this title 1 or any other provision of law that is subject to the ju- risdiction of the Bureau, or any rule, order, standard, or prohibition prescribed by the Bu- reau; (2) testified or will testify in any proceeding resulting from the administration or enforce- ment of any provision of this title 1 or any other provision of law that is subject to the ju- risdiction of the Bureau, or any rule, order, standard, or prohibition prescribed by the Bu- reau; (3) filed, instituted, or caused to be filed or instituted any proceeding under any Federal consumer financial law; or (4) objected to, or refused to participate in, any activity, policy, practice, or assigned task that the employee (or other such person) rea- sonably believed to be in violation of any law, rule, order, standard, or prohibition, subject to the jurisdiction of, or enforceable by, the Bu- reau. (b) Definition of covered employee For the purposes of this section, the term ‘‘covered employee’’ means any individual per- forming tasks related to the offering or provi- sion of a consumer financial product or service. (c) Procedures and timetables (1) Complaint (A) In general A person who believes that he or she has been discharged or otherwise discriminated against by any person in violation of sub- section (a) may, not later than 180 days after the date on which such alleged violation oc- curs, file (or have any person file on his or her behalf) a complaint with the Secretary of Labor alleging such discharge or discrimi- nation and identifying the person respon- sible for such act. (B) Actions of Secretary of Labor Upon receipt of such a complaint, the Sec- retary of Labor shall notify, in writing, the person named in the complaint who is al- leged to have committed the violation, of— (i) the filing of the complaint; (ii) the allegations contained in the com- plaint; (iii) the substance of evidence supporting the complaint; and (iv) opportunities that will be afforded to such person under paragraph (2). (2) Investigation by Secretary of Labor (A) In general Not later than 60 days after the date of re- ceipt of a complaint filed under paragraph (1), and after affording the complainant and the person named in the complaint who is alleged to have committed the violation that is the basis for the complaint an oppor- tunity to submit to the Secretary of Labor a written response to the complaint and an op- portunity to meet with a representative of the Secretary of Labor to present state- ments from witnesses, the Secretary of Labor shall— (i) initiate an investigation and deter- mine whether there is reasonable cause to believe that the complaint has merit; and (ii) notify the complainant and the per- son alleged to have committed the viola- tion of subsection (a), in writing, of such determination. (B) Notice of relief available If the Secretary of Labor concludes that there is reasonable cause to believe that a