[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3408 Introduced in House (IH)]







106th CONGRESS
  1st Session
                                H. R. 3408

To amend the Fair Credit Reporting Act to exempt certain investigative 
reports from the definition of consumer report, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           November 16, 1999

 Mr. Sessions introduced the following bill; which was referred to the 
              Committee on Banking and Financial Services

_______________________________________________________________________

                                 A BILL


 
To amend the Fair Credit Reporting Act to exempt certain investigative 
reports from the definition of consumer report, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Fair Credit Reporting Amendments Act 
of 1999''.

SEC. 2. CERTAIN INVESTIGATIVE REPORTS EXCLUDED FROM DEFINITION OF 
              CONSUMER REPORT.

    (a) In General.--Section 603(d)(2)(A) of the Fair Credit Reporting 
Act (15 U.S.C. 1681a(d)(2)(A)) is amended--
            (1) by striking ``or'' at the end of clause (ii); and
            (2) by inserting after clause (iii) the following new 
        clauses:
                            ``(iv) report, subject to section 609(d), 
                        prepared by an employee or agent of a 
                        consumer's employer solely for the purpose of 
                        investigating allegations of drug use or sales, 
                        violence, sexual harassment, employment 
                        discrimination, job safety or health 
                        violations, criminal activity including theft, 
                        embezzlement, sabotage, arson, patient or elder 
                        abuse, child abuse, or other violations of law; 
                        or
                            ``(v) report prepared in connection with 
                        litigation, anticipation of litigation, due 
                        diligence, investigation of insurance claims, 
                        civil and criminal fraud, failure to pay child 
                        support, or any other violations of law;''.
    (b) Disclosures to Consumer.--Section 609 of the Fair Credit 
Reporting Act (15 U.S.C. 1681g) is amended by adding at the end the 
following new subsection:
    ``(d) Conditions on Use for Adverse Actions.--With respect to any 
report described in section 603(d)(2)(A)(iv) relating to an employee--
            ``(1) before taking any adverse action based in whole or in 
        part on such report, the person intending to take such adverse 
        action shall disclose to the employee the nature and substance 
        of the information in the report on which the proposed adverse 
        action is based; and
            ``(2) if any action is brought by the employee, the 
        information in the report shall be available to the plaintiff 
        under appropriate discovery procedures of the court in which 
        such action is brought.''.
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