[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 1231 Introduced in Senate (IS)]







108th CONGRESS
  1st Session
                                S. 1231

To eliminate the burdens and costs associated with electronic mail spam 
     by prohibiting the transmission of all unsolicited commercial 
electronic mail to persons who place their electronic mail addresses on 
  a national No-Spam Registry, and to prevent fraud and deception in 
 commercial electronic mail by imposing requirements on the content of 
                all commercial electronic mail messages.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 11, 2003

  Mr. Schumer introduced the following bill; which was read twice and 
   referred to the Committee on Commerce, Science, and Transportation

_______________________________________________________________________

                                 A BILL


 
To eliminate the burdens and costs associated with electronic mail spam 
     by prohibiting the transmission of all unsolicited commercial 
electronic mail to persons who place their electronic mail addresses on 
  a national No-Spam Registry, and to prevent fraud and deception in 
 commercial electronic mail by imposing requirements on the content of 
                all commercial electronic mail messages.

    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 ``Stop Pornography and Abusive 
Marketing Act'' or the ``SPAM Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) Electronic mail is an increasingly valuable tool for 
        personal and commercial communication. Unsolicited commercial 
        electronic mail (UCE), commonly known as spam, however, has 
        become an impediment to efficient electronic mail use and 
        creates problems for all types of users and organizations, 
        including Internet Service Providers, individual users, and 
        corporate organizations.
            (2) UCE often contains objectionable, fraudulent, and 
        offensive content. The Federal Trade Commission reports that 
        over 60 percent of all UCE contains false, misleading, or 
        deceptive information. Nearly one-fourth contains sexually 
        explicit imagery. Parents have little ability to prevent these 
        images from reaching their child's electronic mail in-box.
            (3) Consumers increasingly ignore or delete legitimate 
        commercial messages as they face an ever increasing amount of 
        UCE. If the vitality and force of the Internet and electronic 
        mail are to be preserved as a tool for commercial 
        communication, UCE must be curbed.
            (4) UCE is also a severe financial concern. Lost 
        productivity, increased spending on technology systems and 
        personnel, and personal frustration are some of the costs 
        associated with UCE.
            (5) Despite the increasing deployment of anti-spam services 
        and technology, the number and size of spam messages are 
        growing faster than ever. In 1999, the average electronic mail 
        user received just 40 pieces of UCE per year. In 2003, the 
        number is expected to pass 2,500. Experts estimate as much as 
        70 percent of electronic mail traffic qualifies as UCE.
            (6) Existing anti-spam service solutions alone are 
        insufficient to stop the growth of spam. Despite the fact that 
        Internet Service Providers spend millions of dollars each year 
        on research, filtering and other anti-spam software, and larger 
        servers to deal with the ever expanding volume of UCE, current 
        technology alone cannot control the spam problem.
            (7) Federal law does not specifically address UCE and 
        leaves Federal and State law enforcement and consumers with 
        inadequate redress for the problem.

SEC. 3. PURPOSES.

    The purposes of this Act are to--
            (1) preserve electronic mail as a vital tool in interstate 
        commerce by--
                    (A) reducing the costs associated with UCE;
                    (B) reducing the amount of UCE; and
                    (C) eliminating false, misleading, and deceptive 
                content in all commercial electronic mail; and
            (2) give consumers control over their in-boxes.

SEC. 4. DEFINITIONS.

    In this Act:
            (1) Affirmative consent.--The term ``affirmative consent'', 
        when used with respect to a commercial electronic mail message, 
        means--
                    (A) the message falls within the scope of an 
                express and unambiguous invitation or permission 
                granted by the recipient and not subsequently revoked;
                    (B) the recipient had clear and conspicuous notice, 
                at the time such invitation or permission was granted, 
                of--
                            (i) the fact that the recipient was 
                        granting the invitation or permission;
                            (ii) the scope of the invitation or 
                        permission, including what types of commercial 
                        electronic mail messages would be covered by 
                        the invitation or permission and what senders, 
                        if any, other than the party to whom the 
                        invitation or permission was communicated would 
                        be covered by the invitation or permission; and
                            (iii) a reasonable and effective mechanism 
                        for revoking the invitation or permission; and
                    (C) the recipient has not, after granting the 
                invitation or permission, submitted a request under 
                section 204 not to receive unsolicited commercial 
                electronic mail messages from the sender of the 
                message.
            (2) Commercial electronic mail message.--The term 
        ``commercial electronic mail message'' means any electronic 
        mail message the primary purpose of which is to advertise or 
        promote, for a commercial purpose, a commercial product or 
        service (including content on an Internet website).
            (3) Commission.--The term ``Commission'' means the Federal 
        Trade Commission.
            (4) Domain name.--The term ``domain name'' means any 
        alphanumeric designation which is registered with, or assigned 
        by, any domain name registrar, domain name registry, or other 
        domain name registration authority as part of an electronic 
        mail address on the Internet.
            (5) Electronic mail address.--
                    (A) In general.--The term ``electronic mail 
                address'' means a destination (commonly expressed as a 
                string of characters) to which electronic mail can be 
                sent or delivered.
                    (B) Inclusion.--In the case of the Internet, the 
                term ``electronic mail address'' may include an 
                electronic mail address consisting of a user name or 
                mailbox (commonly referred to as the ``local part'') 
                and a reference to an Internet domain (commonly 
                referred to as the ``domain part'').
            (6) Electronic mail service.--The term ``electronic mail 
        service'' means a service for the transmission of electronic 
        mail messages that receives the content of, and recipient list 
        for, electronic mail messages that it sends from the person or 
        entity procuring such services. For purposes of this Act, to be 
        an electronic mail service, such service must retain 
        identifying information about the person or entity procuring 
        services and cooperate with law enforcement actions brought 
        under this Act.
            (7) Functioning return electronic mail address.--
                    (A) The term ``functioning return electronic mail 
                address'' means a legitimately obtained electronic mail 
                address, clearly and conspicuously displayed in an 
                electronic mail message, that--
                            (i) remains capable of receiving messages 
                        for no less than 30 days after the transmission 
                        of such commercial electronic mail message; and
                            (ii) that has capacity reasonably 
                        calculated, in light of the number of 
                        recipients of the electronic mail message, to 
                        enable it to receive the full expected quantity 
                        of reply messages from such recipients.
                    (B) An electronic mail address that meets the 
                requirements of subparagraph (A) shall not be excluded 
                from this definition because of a temporary inability 
                to receive electronic mail messages due to technical 
                problems, provided steps are taken to correct such 
                technical problems within a reasonable time period.
            (8) Header information.--The term ``header information'' 
        means the source, destination, and routing information, or 
        information authenticating the sender, associated with an 
        electronic mail message, including the originating domain name, 
        originating electronic mail address, information regarding any 
        part of the route that an electronic mail message travels or 
        appears to travel on the Internet or on an online service, or 
        other authenticating information.
            (9) Implied consent.--The term ``implied consent'', when 
        used with respect to a commercial electronic mail message, 
        means--
                    (A) within the 3-year period ending upon receipt of 
                such message, there has been a business transaction 
                between the sender and the recipient (including a 
                transaction involving the provision, free of charge, of 
                information, goods, or services requested by the 
                recipient); and
                    (B) the recipient was, at the time of such 
                transaction or thereafter, provided a clear and 
                conspicuous notice of an opportunity not to receive 
                commercial electronic mail messages from the sender and 
                has not exercised such opportunity.
            (10) Initiate.--The term ``initiate'' means to originate an 
        electronic mail message or to procure the origination of such 
        message, regardless of whether the message reaches its intended 
        recipients, and does not include the actions of an Internet 
        access service or an electronic mail service used by another 
        person for the transmission of an electronic mail message for 
        which another person has provided and selected the recipient 
        electronic mail addresses. For purposes of this Act, more than 
        1 person may be considered to have initiated the same message.
            (11) Internet.--The term ``Internet'' has the meaning given 
        that term in the Internet Tax Freedom Act (Public Law 105-277, 
        div. C, title XI, Sec. 1101(e)(3)(c)).
            (12) Internet access service.--The term ``Internet access 
        service'' has the meaning given that term in section 231(e)(4) 
        of the Communications Act of 1934 (47 U.S.C. 231(e)(4)).
            (13) Protected computer.--The term ``protected computer'' 
        has the meaning given that term in section 1030(e)(2) of title 
        18, United States Code.
            (14) Recipient.--The term ``recipient'', when used with 
        respect to a commercial electronic mail message, means the 
        addressee of such message. If an addressee of a commercial 
        electronic mail message has 1 or more electronic mail addresses 
        in addition to the address to which the message was addressed, 
        the addressee shall be treated as a separate recipient with 
        respect to each such address.
            (15) Registered electronic mail address.--The term 
        ``registered electronic mail address'' means an electronic mail 
        address which has been placed on the No-Spam Registry 
        administered by the Federal Trade Commission by the owner of 
        the electronic mail address.
            (16) Routine conveyance.--The term ``routine conveyance'' 
        means the transmission, routing, relaying, handling, or 
        storing, through an automatic technical process, of an 
        electronic mail message for which another person has provided 
        and selected the recipient addresses.
            (17) Sender.--The term ``sender'', when used with respect 
        to a commercial electronic mail message or an unsolicited 
        commercial electronic mail message, means a person who 
        initiates such a message and whose product, service, or 
        Internet web site is advertised or promoted by the message, but 
        does not include any person, including a provider of Internet 
        access service or electronic mail service, whose role with 
        respect to the message is limited to routine conveyance of the 
        message.
            (18) Unsolicited commercial electronic mail message; uce.--
                    (A) In general.--The terms ``unsolicited commercial 
                electronic mail message'' and ``UCE'' mean any 
                commercial electronic mail message that is sent to a 
                recipient--
                            (i) without prior affirmative consent or 
                        implied consent from the recipient; or
                            (ii) to a recipient who, subsequent to the 
                        establishment of affirmative or implied consent 
                        under clause (i), has expressed, in a reply 
                        submitted pursuant to section 204, or in 
                        response to any other opportunity the sender 
                        may have provided to the recipient, a desire 
                        not to receive commercial electronic mail 
                        messages from the sender.
                    (B) Exclusion.--Notwithstanding subparagraph (A), 
                the term ``unsolicited commercial electronic mail 
                message'' does not include an electronic mail message 
                sent by or on behalf of one or more lawful owners of 
                copyright, patent, publicity, or trademark rights to an 
                unauthorized user of protected material notifying such 
                user that the use is unauthorized and requesting that 
                the use be terminated or that permission for such use 
                be obtained from the rights holder or holders.

          TITLE I--PROTECTION FROM UNSOLICITED ELECTRONIC MAIL

SEC. 101. ESTABLISHMENT OF THE NATIONAL NO-SPAM REGISTRY.

    (a) In General.--The Commission shall establish a registry 
(referred to in this section as the ``Registry'') in which any person 
that does not wish to receive unsolicited commercial electronic mail 
may register electronic mail addresses.
    (b) Registration.--The Commission shall permit any person to 
register the electronic mail addresses of the person, or the electronic 
mail addresses over which the person has authority or control, 
including registration by electronic mail, on the Registry.
    (c) Registration by Parent.--The Commission shall permit a parent, 
legal guardian, or other person with control or authority over 
electronic mail addresses to which minor children have access, to 
register such addresses.
    (d) Prohibition on Unsolicited Commercial Electronic Mail to 
Registered Addresses.--Except as otherwise authorized by the Commission 
in regulations prescribed under this section, it shall be unlawful for 
a person to initiate UCE to a registered electronic mail address.

SEC. 102. ENFORCEMENT.

    (a) Enforcement Powers.--
            (1) In general.--The Commission shall enforce this section 
        as part of its duties under the Federal Trade Commission Act 
        (15 U.S.C. 41 et seq.).
            (2) Reporting of violations.--For purposes of the 
        enforcement of section 101(d), the Commission shall establish 
        procedures to permit the reporting of violations of this 
        section to the Commission, including appropriate links on the 
        Internet web site of the Commission and the use of a toll-free 
        telephone number (commonly referred to as an ``800 number'') 
        for such purposes.
    (b) Civil Penalty.--
            (1) In general.--The Commission may impose a civil penalty 
        not to exceed $5,000 for each violation of section 101(d). For 
        purposes of this paragraph, each day of violation shall 
        constitute a separate offense.
            (2) Unauthorized use of registry.--The Commission may 
        impose a civil penalty not to exceed $100,000 for each 
        unauthorized use of the Registry.

SEC. 103. REGULATIONS.

    (a) In General.--Not later than 180 days after the date of 
enactment of this Act, the Commission shall issue regulations for 
establishing and maintaining the Registry, providing secure 
distribution of the Registry to marketers for the purpose of complying 
with this section, protecting the Registry from unauthorized use, and 
enforcing the provisions of this section.
    (b) Protection of Children.--
            (1) Creation of categories.--The Commission may create 
        specific categories of electronic mail for which recipients who 
        are minors can receive protection under this Act.
            (2) Types of categories.--The categories created under 
        paragraph (1) may include--
                    (A) products or services that a minor child is 
                prohibited by law from purchasing; and
                    (B) electronic mail that contains or advertises 
                adult content or links to such content.
            (3) Compliance.--Senders shall honor the categories created 
        under paragraph (1) without regard to actual or implied consent 
        given by the minor.
    (c) Fees.--The Commission shall include in its regulations a method 
for assessing fees on marketers for use of the Registry that are 
sufficient to establish, administer, and maintain the Registry.

SEC. 104. SAFE HARBOR FOR REASONABLE PROCEDURES.

    No person shall be in violation of this Act if--
            (1) the electronic mail address has been on the Registry 
        for less than 30 days; or
            (2) the person reasonably relies on the Registry provided 
        by the Commission and takes reasonable measures to comply with 
        this Act.

TITLE II--REQUIREMENTS FOR SENDERS OF UNSOLICITED COMMERCIAL ELECTRONIC 
                  MAIL AND COMMERCIAL ELECTRONIC MAIL

SEC. 201. LABELING REQUIREMENTS FOR UNSOLICITED COMMERCIAL ELECTRONIC 
              MAIL.

    (a) Inclusion of Identifier in Unsolicited Commercial Electronic 
Mail.--Except as provided in subsection (b), it shall be unlawful for 
any person to initiate the transmission of any UCE to a protected 
computer unless the message provides clear and conspicuous 
identification that the message is an advertisement or solicitation, by 
providing, as the first characters in the subject line, ``ADV:''.
    (b) Safe Harbor.--Subsection (a) shall not apply if--
            (1) the sender is a member of a self-regulatory 
        organization approved by the Commission under subsection (c) 
and has agreed in writing to meet the requirements for participation 
established by that organization; and
            (2) the sender is deemed by the self-regulatory 
        organization to be in full compliance with the requirements of 
        that organization.
    (c) Approval by the Commission.--The Commission may approve a self-
regulatory organization under this section if the Commission finds the 
following:
            (1) Participation requirements.--The self-regulatory 
        organization has implemented guidelines and procedures that 
        require program participants, which may include a company or 
        any of its divisions, to--
                    (A) adhere to the requirements of this Act;
                    (B) provide information in each electronic mail 
                message sufficient to identify the company on whose 
                behalf the electronic mail is sent;
                    (C) provide notice, through a publicly available 
                policy, of--
                            (i) the ways in which electronic mail 
                        addresses are collected by the participant;
                            (ii) how such addresses are used; and
                            (iii) to whom such addresses are disclosed;
                    (D) provide a conspicuous link in each electronic 
                mail message to the notice referred to in subparagraph 
                (C);
                    (E) provide recipients with a clear and conspicuous 
                opportunity to make choices regarding the use of their 
                electronic mail addresses, including the disclosure of 
                such addresses to third parties in each electronic mail 
                message;
                    (F) enable consumers to correct or modify--
                            (i) their electronic mail addresses 
                        collected by the participant; or
                            (ii) any of the choices consumers have made 
                        regarding the use and disclosure of such 
                        addresses;
                    (G) take reasonable steps designed to prevent the 
                unauthorized disclosure or release of electronic mail 
                addresses;
                    (H) provide clear and conspicuous information in 
                each electronic mail message sufficient to inform 
                recipients how they can file a complaint regarding the 
                failure of a participant to follow the requirements of 
                the self-regulatory organization of the stated 
                practices of the participant; and
                    (I) provide an agent for service of process and 
                consent to suit in the United States.
            (2) Eligibility and verification.--The self-regulatory 
        organization has implemented procedures and requirements to 
        provide for--
                    (A) a written certification from a senior corporate 
                officer or other responsible executive of the 
                participant, prior to determining eligibility to 
                participate in the self-regulatory organization, that 
                states--
                            (i) the participant has procedures and 
                        practices in place that are designed to 
                        satisfy, at a minimum, the guidelines, 
                        procedures, requirements, and restrictions of 
                        the self-regulatory organization; and
                            (ii) the participant has taken good faith 
                        efforts to maintain compliance with the 
                        guidelines, procedures, requirements, and 
                        restrictions of the self-regulatory 
                        organization; and
                    (B) subsequent periodic review of the policy and 
                practices of a participant to ensure the compliance 
                with the requirements of the organization.
            (3) Evidence of participation.--The self-regulatory 
        organization has implemented provisions to identify 
        participation in the program, including a seal that can be 
        recognized by filtering technology.
            (4) Dispute resolution process.--
                    (A) Self-regulatory organization process.--
                            (i) In general.--The self-regulatory 
                        organization has implemented a dispute 
                        resolution process for recipients of UCE from 
                        program participants.
                            (ii) Process requirements.--The dispute 
                        resolution process implemented under clause 
                        (i)--
                                    (I) must be available without 
                                charge to a recipient;
                                    (II) must be available to the 
                                participant at a reasonable cost;
                                    (III) must be completed not later 
                                than 30 days after submission of a 
                                dispute by the recipient and 
                                notification to the participant, or not 
                                later than 60 days after submission of 
                                the dispute if the participant notifies 
                                the recipient that additional time is 
                                required to obtain information to 
                                resolve the dispute;
                                    (IV) must include procedures for 
                                suspension and termination of those 
                                participants who violate the 
                                guidelines, procedures, requirements, 
                                or restrictions of the organization; 
                                and
                                    (V) may include, as one option, 
                                binding arbitration.
                    (B) Involuntary suspension or termination.--The 
                self-regulatory organization has established procedures 
                and requirements that--
                            (i) enable a participant that is 
                        involuntarily suspended or terminated from 
                        participation in the organization to take 
                        timely remedial action to achieve compliance 
                        before any suspension or termination becomes 
                        final;
                            (ii) provide for mandatory, public 
                        reporting of any final decision to 
                        involuntarily suspend or terminate a 
                        participant; and
                            (iii) provide for notice to the Commission 
                        of any final decision to involuntarily 
                        terminate a participant.
                    (C) Resolution by the commission.--
                            (i) In general.--The Commission shall 
                        promptly refer any dispute submitted to the 
                        Commission to the participant involved if the 
                        recipient at issue has not initially sought 
                        resolution under subparagraph (A).
                            (ii) Requirements.--A recipient of UCE may 
                        submit a dispute with a program participant to 
                        the Commission for resolution under this 
                        subparagraph if--
                                    (I) the dispute was initially 
                                submitted for resolution through the 
                                dispute resolution process of the 
                                participant under subparagraph (A) ;
                                    (II) the dispute submitted under 
                                subparagraph (A)--
                                            (aa) was not resolved 
                                        within 30 days after submission 
                                        of the dispute by the 
                                        recipient; or
                                            (bb) was not resolved to 
                                        the satisfaction of the 
                                        recipient;
                                    (III) notice of the dispute is 
                                submitted to the Commission not later 
                                than 30 days after the recipient was 
                                notified of the resolution;
                                    (IV) the recipient has not 
                                voluntarily accepted a resolution of 
                                the dispute under subparagraph (A); and
                                    (V) the dispute was not resolved 
                                through binding arbitration.
            (5) Independence.--The self-regulatory organization has 
        established requirements to help ensure that program 
        eligibility, compliance, and dispute resolution mechanisms and 
        determinations are made exclusively by persons who are 
        independent of the program participant.
    (d) Application Process.--
            (1) In general.--The Commission shall promulgate rules for 
        the application process for the approval of a self-regulatory 
        organization this section.
            (2) Public notice.--Upon receipt of an application, the 
        Commission shall provide notice of the application and an 
        opportunity for comment on the application to the public.
            (3) Decision.--The Commission shall--
                    (A) make a decision on an application not later 
                than 180 days after the application is received; and
                    (B) set forth, in writing, its conclusions with 
                regard to such requests.
            (4) Duration.--An application approved by the Commission 
        shall be approved for a period of 2 years.
            (5) Appeal.--Final action by the Commission on a request 
        for approval of guidelines, or the failure to act within 180 
        days on a request for approval of guidelines, may be appealed 
        to a district court of the United States or appropriate 
        jurisdiction as provided for in section 706 of title 5, United 
        States Code.
    (e) Revocation of Approval.--The Commission may, after notice and 
an opportunity to be heard, revoke approval if the Commission finds 
that the self-regulatory organization fails to meet the requirements of 
this section.
    (f) Release of Certain Information.--The Commission may compel a 
self-regulatory organization, or the administrator of the self-
regulatory organization, to provide proprietary information or 
personally identifiable information of consumers to the Commission.
    (g) Misrepresentation of Participation in the Self-Regulatory 
Organization.--It shall be unlawful for an individual or entity to 
misrepresent that the individual or entity is a participant in the 
self-regulatory organization, including through any evidence referred 
to in subsection (c)(3).

SEC. 202. COMPLIANCE WITH ISP POLICIES.

    It shall be unlawful for a person to initiate the transmission of 
commercial electronic mail or UCE in violation of Internet Service 
Provider policies with respect to electronic mail, account registration 
and use, or other terms of service.

SEC. 203. VALID INFORMATION.

    It shall be unlawful for a sender to initiate the transmission of 
commercial electronic mail or UCE to a protected computer that contains 
false, misleading, or deceptive information in the subject line, header 
or router information, or the body of the message, including the 
information regarding unsubscribe option required by section 204.

SEC. 204. UNSUBSCRIBE OPTION.

    (a) In General.--All commercial electronic mail and UCE shall 
contain the following:
            (1) Inclusion of return address.--
                    (A) In general.--A functioning return electronic 
                mail address or other Internet-based mechanism, clearly 
                and conspicuously displayed, that--
                            (i) a recipient may use to submit a reply 
                        electronic mail message requesting not to 
                        receive any future UCE from that sender at the 
                        electronic mail address where the message was 
                        received; and
                            (ii) remains capable of receiving such 
                        messages or communications for no less than 30 
                        days after the transmission of the original 
                        message.
                    (B) Temporary inability to receive messages.--A 
                return electronic mail address or other mechanism does 
                not fail to satisfy the requirements of subparagraph 
                (A) if it is unexpectedly and temporarily unable to 
                receive messages due to technical or capacity problems, 
                if the problem with receiving messages is corrected 
                within a reasonable time period.
            (2) Notice of right to decline further messages.--Clear and 
        conspicuous notice, set out in bold type and in a font no 
        smaller than the smallest font type used in the remainder of 
        the message, of the opportunity to decline to receive further 
        commercial electronic mail and UCE from the sender.
    (b) Violation.--It shall be unlawful for a sender to initiate 
transmission of commercial electronic mail or UCE to a recipient after 
that recipient has exercised the unsubscribe option this section.

SEC. 205. PROHIBITION OF TRANSMISSION OF COMMERCIAL ELECTRONIC MAIL AND 
              UNSOLICITED COMMERCIAL ELECTRONIC MAIL TO ADDRESSES 
              OBTAINED THROUGH ILLEGAL HARVESTING OR AUTOMATED MEANS.

    (a) In General.--It shall be unlawful for any person to initiate 
the transmission, to a protected computer, of a commercial electronic 
mail message or UCE, or to assist in the origination of such a message 
by providing or selecting addresses to which the message will be sent, 
if such person knows that, or acts with reckless disregard as to 
whether--
            (1) the electronic mail address of the recipient was 
        obtained, using an automated means, from an Internet website or 
        proprietary online service operated by another person;
            (2) the website or proprietary online service from which 
        the address was obtained included, at the time the address was 
        obtained, a notice stating that the operator of such a website 
        or proprietary online service will not give, sell, or otherwise 
        transfer addresses maintained by such site or service to any 
        other party for the purpose of initiating, or enabling others 
        to initiate, UCE; or
            (3) the electronic mail address of the recipient was 
        obtained using automated means based on a combination of names, 
        letters, or numbers.
    (b) Disclaimer.--Nothing in this section creates an ownership or 
proprietary interest in such electronic mail addresses.

SEC. 206. VALID POSTAL ADDRESS.

    It shall be unlawful for any person to initiate the transmission of 
commercial electronic mail or UCE without identifying the valid, 
physical address of the sender in a clear and conspicuous manner.

                         TITLE III--ENFORCEMENT

SEC. 301. ENFORCEMENT BY FEDERAL TRADE COMMISSION.

    Except as otherwise provided in section 102, the Commission shall 
prevent any person from violating this Act in the same manner, by the 
same means, and with the same jurisdiction, powers, and duties as 
though all applicable terms and provisions of the Federal Trade 
Commission Act (15 U.S.C. 41 et seq.) were incorporated into and made a 
part of this Act. Except as provided in title I, the Commission may 
seek penalties and fines according to all applicable terms and 
provisions of the Federal Trade Commission Act. Nothing in this Act 
shall be construed to limit the authority of the Commission under any 
other provision of law.

SEC. 302. ENFORCEMENT BY CERTAIN OTHER AGENCIES.

    (a) In General.--Compliance with this Act shall be enforced--
            (1) under section 8 of the Federal Deposit Insurance Act 
        (12 U.S.C. 1818), in the case of--
                    (A) national banks, and Federal branches and 
                Federal agencies of foreign banks, and any subsidiaries 
                of such entities (except brokers, dealers, persons 
                providing insurance, investment companies, and 
                investment advisers), by the Office of the Comptroller 
                of the Currency;
                    (B) member banks of the Federal Reserve System 
                (other than national banks), branches and agencies of 
                foreign banks (other than Federal branches, Federal 
                agencies, and insured State branches of foreign banks), 
                commercial lending companies owned or controlled by 
                foreign banks, organizations operating under section 25 
                or 25A of the Federal Reserve Act (12 U.S.C. 601 and 
                611), and bank holding companies and their nonbank 
                subsidiaries or affiliates (except brokers, dealers, 
                persons providing insurance, investment companies, and 
                investment advisers), by the Board;
                    (C) banks insured by the Federal Deposit Insurance 
                Corporation (other than members of the Federal Reserve 
                System) insured State branches of foreign banks, and 
                any subsidiaries of such entities (except brokers, 
                dealers, persons providing insurance, investment 
                companies, and investment advisers), by the Board of 
                Directors of the Federal Deposit Insurance Corporation; 
                and
                    (D) savings associations the deposits of which are 
                insured by the Federal Deposit Insurance Corporation, 
                and any subsidiaries of such savings associations 
                (except brokers, dealers, persons providing insurance, 
                investment companies, and investment advisers), by the 
                Director of the Office of Thrift Supervision;
            (2) under the Federal Credit Union Act (12 U.S.C. 1751 et 
        seq.) by the Board of the National Credit Union Administration 
        with respect to any Federally insured credit union, and any 
        subsidiaries of such a credit union;
            (3) under the Securities Exchange Act of 1934 (15 U.S.C. 
        78a et seq.) by the Securities and Exchange Commission with 
        respect to any broker or dealer;
            (4) under the Investment Company Act of 1940 (15 U.S.C. 
        80a-1 et seq.) by the Securities and Exchange Commission with 
        respect to investment companies;
            (5) under the Investment Advisers Act of 1940 (15 U.S.C. 
        80b-1 et seq.) by the Securities and Exchange Commission with 
        respect to investment advisers registered under that Act;
            (6) under State insurance law in the case of any person 
        engaged in providing insurance, by the applicable State 
        insurance authority of the State in which the person is 
        domiciled, subject to section 104 of the Gramm-Bliley-Leach Act 
        (15 U.S.C. 6701);
            (7) under part A of subtitle VII of title 49, United States 
        Code, by the Secretary of Transportation with respect to any 
        air carrier or foreign air carrier subject to that part;
            (8) under the Packers and Stockyards Act, 1921 (7 U.S.C. 
        181 et seq.) (except as provided in section 406 of that Act (7 
        U.S.C. 226, 227)), by the Secretary of Agriculture with respect 
        to any activities subject to that Act;
            (9) under the Farm Credit Act of 1971 (12 U.S.C. 2001 et 
        seq.) by the Farm Credit Administration with respect to any 
        Federal land bank, Federal land bank association, Federal 
        intermediate credit bank, or production credit association; and
            (10) under the Communications Act of 1934 (47 U.S.C. 151 et 
        seq.) by the Federal Communications Commission with respect to 
        any person subject to the provisions of that Act.
    (b) Exercise of Certain Powers.--For the purpose of the exercise by 
any agency referred to in subsection (a) of its powers under any Act 
referred to in that subsection, a violation of this Act is deemed to be 
a violation of a requirement imposed under that Act. In addition to its 
powers under any provision of law specifically referred to in 
subsection (a), each of the agencies referred to in that subsection may 
exercise, for the purpose of enforcing compliance with any requirement 
imposed under this Act, any other authority conferred on it by law.

SEC. 303. ENFORCEMENT BY STATES.

    (a) Civil Action.--In any case in which the attorney general of a 
State has reason to believe that an interest of the residents of that 
State has been or is threatened or adversely affected by any person 
engaging in a practice that violates this Act, the State, as parens 
patriae, may bring a civil action on behalf of the residents of the 
State in a district court of the United States of appropriate 
jurisdiction or in any other court of competent jurisdiction--
            (1) to enjoin that practice; or
            (2) to obtain damages on behalf of residents of the State, 
        in an amount equal to the greater of--
                    (A) the actual monetary loss suffered by such 
                residents; or
                    (B) the amount determined under subsection (b).
    (b) Statutory Damages.--For purposes of subsection (a)(2)(B), the 
amount determined under this subsection is the amount calculated by 
multiplying the number of willful, knowing, or negligent violations of 
this Act by an amount, in the discretion of the court, of up to $10 
(with each separately addressed unlawful message received by such 
residents treated as a separate violation). In determining the per-
violation penalty under this subsection, the court shall take into 
account the degree of culpability, any history of prior such conduct, 
ability to pay, the extent of economic gain resulting from the 
violation, and such other matters as justice may require.
    (c) Attorney Fees.--In the case of any successful action under 
subsection (a), the State shall be awarded the costs of the action and 
reasonable attorney fees as determined by the court.
    (d) Notice.--
            (1) Pre-filing.--Before filing an action under paragraph 
        (1), an attorney general shall provide to the Commission--
                    (A) written notice of that action; and
                    (B) a copy of the complaint for that action.
            (2) Contemporaneous.--If an attorney general of a State 
        determines that it is not feasible to provide the notice 
        required by paragraph (1) before filing the action, the notice 
        and a copy of the complaint shall be provided to the Commission 
        when the action is filed.
    (e) Intervention.--If the Commission receives notice under 
subsection (d), the Commission--
            (1) may intervene in the action that is the subject of the 
        notice; and
            (2) has the right--
                    (A) to be heard with respect to any matter that 
                arises in that action; and
                    (B) to file a petition for appeal.
    (f) Construction.--For purposes of bringing any civil action under 
subsection (a), nothing in this Act shall be construed to prevent an 
attorney general of a State from exercising the powers conferred on the 
attorney general by the laws of that State to--
            (1) conduct investigations;
            (2) administer oaths or affirmations; or
            (3) compel the attendance of witnesses or the production of 
        documentary and other evidence.
    (g) Limitation on State Action While Federal Action Is Pending.--If 
the Commission or other appropriate Federal agency under section 208(a) 
has instituted a civil action or an administrative action for violation 
of this Act, no State attorney general may bring a separate action 
under this subsection during the pendency of that action against any 
defendant named in the complaint of the Commission or the other agency 
for any violation of this Act alleged in the complaint. Nothing in this 
subsection shall preclude a State from joining an action brought by the 
Commission or other agency or cooperating with the Commission's or 
agency's prosecution of that action.

SEC. 304. ACTION BY PROVIDER OF INTERNET ACCESS SERVICE.

    (a) Action Authorized.--A provider of Internet access service 
adversely affected by a violation of this Act may bring a civil action 
in any district court of the United States with jurisdiction over the 
defendant, or in any other court of competent jurisdiction, to--
            (1) enjoin further violation by the defendant; or
            (2) recover damages in an amount equal to the greater of--
                    (A) actual monetary loss incurred by the provider 
                of Internet access service as a result of such 
                violation; or
                    (B) the amount determined under subsection (b).
    (b) Statutory Damages.--For purposes of subsection (a)(2)(B), the 
amount determined under this paragraph is the amount calculated by 
multiplying the number of willful, knowing, or negligent violations by 
an amount, in the discretion of the court, of up to $10 (with each 
separately addressed unlawful message received by such residents 
treated as a separate violation). In determining the per-violation 
penalty under this subsection, the court shall take into account the 
degree of culpability, any history of prior such conduct, ability to 
pay, the extent of economic gain resulting from the violation, and such 
other matters as justice may require.
    (c) Attorney Fees.--In any action brought pursuant to subsection 
(a), the court may, in its discretion, require an undertaking for the 
payment of the costs of such action, and assess reasonable costs, 
including reasonable attorneys' fees, against any party.

SEC. 305. ACTION BY INDIVIDUAL CONSUMERS.

    (a) Action Authorized.--A recipient adversely affected by a 
violation of this Act may, if otherwise permitted by the laws or rules 
of State court, bring, in an appropriate court of that State, an action 
to--
            (1) enjoin further violation by the defendant;
            (2) recover damages in an amount equal to the greater of--
                    (A) actual monetary losses incurred by the 
                plaintiff as a result of such violation; or
                    (B) the amount determined under subsection (b); or
            (3) both enjoin further violation and recover damages under 
        paragraphs (1) and (2).
    (b) Statutory Damages.--For purposes of subsection (a)(2)(B), the 
amount determined under this subsection is the amount calculated by 
multiplying the number of willful, knowing, or negligent violations 
adversely affecting that recipient by an amount, determined in the 
discretion of the court, of not more than $1,000. Each separately 
addressed unlawful electronic mail message received by the plaintiff 
shall be treated as a single violation regardless of the number of 
violations contained in that message. In determining the per-violation 
penalty under this subsection, the court shall take into account the 
degree of culpability, any prior history of such conduct, ability to 
pay, the extent of economic gain resulting from the violation, and such 
other matters as justice may require.
    (c) Limitation on Actions.--
            (1) In general.--No action may be brought under or based on 
        this section against an electronic mail service provider or 
        Internet Service Provider involved in only the routine 
        transmission of the commercial electronic mail or UCE sent in 
        violation of this Act.
            (2) Individual right of action.--The right of action 
        granted in this section is an individual right. No action 
        brought under this section or based on this section may be 
        maintained as a class action under Rule 23 of the Federal Rules 
        of Civil Procedure or any State law, rule, or procedure for 
        class actions or other representative actions.
    (d) Attorney Fees and Costs.--In any action brought pursuant to 
subsection (a) the court may, in its discretion, require the payment of 
the costs of such action, and assess reasonable costs, including 
reasonable attorneys' fees, against any party.
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