[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3695 Introduced in House (IH)]
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118th CONGRESS
1st Session
H. R. 3695
To protect consumers from overbooking by rental car companies, and for
other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 25, 2023
Mr. Robert Garcia of California (for himself, Ms. Norton, Mr. Trone,
Mr. Cleaver, Ms. Budzinski, and Mr. Johnson of Georgia) introduced the
following bill; which was referred to the Committee on Energy and
Commerce
_______________________________________________________________________
A BILL
To protect consumers from overbooking by rental car companies, 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 ``Vehicle Rental Order Obligation
Mandate Act'' or the ``VROOM Act''.
SEC. 2. PROTECTION FROM OVERBOOKING BY RENTAL CAR COMPANIES.
(a) Protection From Overbooking.--A rental car company that fails
to honor a reservation of a consumer shall offer the consumer, and
allow the consumer to choose from between, each of the following:
(1) If such a vehicle is available, fulfillment of the
reservation, at no additional cost to the consumer, through a
covered rental vehicle of a class that is more expensive to
rent than the vehicle initially reserved.
(2) If such a vehicle is available, both--
(A) fulfillment of the reservation through a
covered rental vehicle of a class that is less
expensive to rent than the vehicle initially reserved;
and
(B) an amount equal to the difference in price
between--
(i) the reservation as initially reserved;
and
(ii) the reservation as fulfilled pursuant
to subparagraph (A), as determined by using the
lesser of--
(I) the lowest available price of
such reservation as fulfilled had such
reservation as fulfilled been made on
the date on which the initial
reservation described in clause (i) was
made; or
(II) the lowest available price of
such reservation as fulfilled had such
reservation as fulfilled been made on
the date of fulfillment.
(3) An amount equal to 200 percent of the total rental
price of the reservation of the consumer, except that in no
case may the amount exceed $500 per day of the reservation.
(b) Regulations.--The Commission may promulgate, under section 553
of title 5, United States Code, regulations to implement this section.
(c) Enforcement by Commission.--
(1) Unfair or deceptive acts or practices.--A violation of
this section or a regulation promulgated under this section
shall be treated as a violation of a regulation under section
18(a)(1)(B) of the Federal Trade Commission Act (15 U.S.C.
57a(a)(1)(B)) regarding unfair or deceptive acts or practices.
(2) Powers of commission.--The Commission shall enforce
this section and the regulations promulgated under this section
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.
Any person who violates this section or a regulation
promulgated under this section shall be subject to the
penalties and entitled to the privileges and immunities
provided in the Federal Trade Commission Act.
(3) Effect on other laws.--Nothing in this Act may be
construed to limit the authority of the Commission under any
other provision of law.
(d) Actions by States.--
(1) In general.--In any case in which the attorney general
of a State, or an official or agency of a State, has reason to
believe that an interest of the residents of such State has
been or is threatened or adversely affected by an act or
practice in violation of this section or a regulation
promulgated under this section, the State, as parens patriae,
may bring a civil action on behalf of the residents of the
State in an appropriate district court of the United States
to--
(A) enjoin such act or practice;
(B) enforce compliance with such section or
regulation;
(C) obtain damages, restitution, or other
compensation on behalf of residents of the State; or
(D) obtain such other legal and equitable relief as
the court may consider to be appropriate.
(2) Notice.--Before filing an action under this subsection,
the attorney general, official, or agency of the State involved
shall provide to the Commission a written notice of such action
and a copy of the complaint for such action. If the attorney
general, official, or agency determines that it is not feasible
to provide the notice described in this paragraph before the
filing of the action, the attorney general, official, or agency
shall provide written notice of the action and a copy of the
complaint to the Commission immediately upon the filing of the
action.
(3) Authority of commission.--
(A) In general.--On receiving notice under
paragraph (2) of an action under this subsection, the
Commission shall have the right--
(i) to intervene in the action;
(ii) upon so intervening, to be heard on
all matters arising therein; and
(iii) to file petitions for appeal.
(B) Limitation on state action while federal action
is pending.--If the Commission or the Attorney General
of the United States has instituted a civil action for
violation of this section or a regulation promulgated
under this section (referred to in this subparagraph as
the ``Federal action''), no State attorney general,
official, or agency may bring an action under this
subsection during the pendency of the Federal action
against any defendant named in the complaint in the
Federal action for any violation of such section or
regulation alleged in such complaint.
(4) Rule of construction.--For purposes of bringing a civil
action under this subsection, nothing in this Act shall be
construed to prevent an attorney general, official, or agency
of a State from exercising the powers conferred on the attorney
general, official, or agency by the laws of such State to
conduct investigations, administer oaths and affirmations, or
compel the attendance of witnesses or the production of
documentary and other evidence.
(e) Private Right of Action.--A person injured by an act or
practice in violation of this section or a regulation promulgated under
this section may bring in an appropriate district court of the United
States--
(1) an action to enjoin the violation;
(2) an action to recover damages for actual monetary loss
from the violation, or to receive up to $1500 in damages for
each such violation, whichever is greater; or
(3) both such actions.
(f) Definitions.--In this section:
(1) Commission.--The term ``Commission'' means the Federal
Trade Commission.
(2) Covered rental vehicle.--The term ``covered rental
vehicle'' means a motor vehicle that--
(A) has a gross vehicle weight rating of 10,000
pounds or less;
(B) is rented to a consumer for a term of less than
4 months;
(C) is rented without a driver provided as part of
the rental; and
(D) is part of a motor vehicle fleet of 35 or more
motor vehicles that are used for rental purposes by a
rental company.
(3) Fails to honor a reservation.--The term ``fails to
honor a reservation'' means, with respect to a rental car
company, that the company does not provide a consumer, who has
a confirmed reservation for a covered rental vehicle (without
regard to whether the reservation was paid for in advance), a
vehicle of the class reserved by the consumer at the time for
fulfillment associated with the reservation.
(4) Motor vehicle.--The term ``motor vehicle'' means a
vehicle driven or drawn by mechanical power and manufactured
primarily for use on public streets, roads, and highways, but
does not include a vehicle operated only on a rail line.
(5) Rental car company.--The term ``rental car company''
means a person who--
(A) is engaged in the business of renting covered
rental vehicles; and
(B) uses for rental purposes a motor vehicle fleet
of 35 or more covered rental vehicles, on average,
during the calendar year.
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