[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3675 Introduced in House (IH)]







109th CONGRESS
  1st Session
                                H. R. 3675

 To amend the Federal Trade Commission Act to increase civil penalties 
  for violations involving unfair or deceptive acts or practices that 
  exploit popular reaction to an emergency or major disaster, and to 
authorize the Federal Trade Commission to seek civil penalties for such 
      violations in actions brought under section 13 of that Act.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 7, 2005

   Mr. Bass introduced the following bill; which was referred to the 
                    Committee on Energy and Commerce

_______________________________________________________________________

                                 A BILL


 
 To amend the Federal Trade Commission Act to increase civil penalties 
  for violations involving unfair or deceptive acts or practices that 
  exploit popular reaction to an emergency or major disaster, and to 
authorize the Federal Trade Commission to seek civil penalties for such 
      violations in actions brought under section 13 of that Act.

    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 ``American Spirit Fraud Prevention 
Act''.

SEC. 2. INCREASE IN PENALTIES FOR UNFAIR OR DECEPTIVE ACTS OR PRACTICES 
              EXPLOITING REACTION TO CERTAIN EMERGENCIES AND MAJOR 
              DISASTERS.

    (a) Violations of Prohibition Against Unfair or Deceptive Acts or 
Practices.--Section 5(m)(1) of the Federal Trade Commission Act (15 
U.S.C. 45(m)(1)) is amended by adding at the end the following:
    ``(D) In the case of a violation involving an unfair or deceptive 
act or practice in a national emergency period or disaster period, or 
relating to an international disaster, the amount of the civil penalty 
under this paragraph shall be double the amount otherwise provided in 
this paragraph, if the act or practice exploits popular reaction to the 
national emergency or major disaster that is the basis for such period, 
or to the international disaster.
    ``(E) In this paragraph--
            ``(i) the term `national emergency period' means the period 
        that--
                    ``(I) begins on the date the President declares a 
                national emergency under the National Emergencies Act 
                (50 U.S.C. 1601 et seq.); and
                    ``(II) ends on the expiration of the 1-year period 
                beginning on the date of the termination of the 
                national emergency;
            ``(ii) the term `disaster period' means the 1-year period 
        beginning on the date the President declares an emergency or 
        major disaster under the Robert T. Stafford Disaster Relief and 
        Emergency Assistance Act (42 U.S.C. 5121 et seq.); and
            ``(iii) the term `international disaster' means any natural 
        or man-made disaster in response to which the President 
        furnishes assistance to any foreign country, international 
        organization, or private voluntary organization pursuant to 
        section 491 of the Foreign Assistance Act (22 U.S.C. 
        2292(b)).''.
    (b) Violations of Other Laws Enforced by the Federal Trade 
Commission.--Section 13 of the Federal Trade Commission Act (15 U.S.C. 
53) is amended by adding at the end the following:
    ``(e)(1) If a person, partnership, or corporation is found, in an 
action under subsection (b), to have committed a violation involving an 
unfair or deceptive act or practice in a national emergency period or a 
disaster period, or relating to an international disaster, and if the 
act or practice exploits popular reaction to the national emergency or 
major disaster that is the basis for such period, or to the 
international disaster, the court, after awarding equitable relief (if 
any) under any other authority of the court, shall hold the person, 
partnership, or corporation liable for a civil penalty of not more than 
$22,000 for each such violation.
    ``(2) In this subsection--
            ``(A) the term `national emergency period' means the period 
        that--
                    ``(i) begins on the date the President declares a 
                national emergency under the National Emergencies Act 
                (50 U.S.C. 1601 et seq.); and
                    ``(ii) ends on the expiration of the 1-year period 
                beginning on the date of the termination of the 
                national emergency;
            ``(B) the term `disaster period' means the 1-year period 
        beginning on the date the President declares an emergency or 
        major disaster under the Robert T. Stafford Disaster Relief and 
        Emergency Assistance Act (42 U.S.C. 5121 et seq.); and
            ``(C) the term `international disaster' means any natural 
        or man-made disaster in response to which the President 
        furnishes assistance to any foreign country, international 
        organization, or private voluntary organization pursuant to 
        section 491 of the Foreign Assistance Act (22 U.S.C. 
        2292(b)).''.
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