What it changes

1 change to S. 1390

Adds a section
  1. Adds SEC. 1083. MODIFICATION OF SERVICEMEMBERS CIVIL RELIEF ACT REGARDING TERMINATION OR SUSPENSION OF SERVICE CONTRACTS, EFFECT OF VIOLATION OF INTEREST RATE LIMITATION, AND ENFORCEMENT BY ATTORNEY GENERAL AND PRIVATE CAUSES OF ACTION on page 435, between lines 14 and 15

    Adds a sectionPrinted page

    Inserted: SEC. 1083. MODIFICATION OF SERVICEMEMBERS CIVIL RELIEF ACT REGARDING TERMINATION OR SUSPENSION OF SERVICE CONTRACTS, EFFECT OF VIOLATION OF INTEREST RATE LIMITATION, AND ENFORCEMENT BY ATTORNEY GENERAL AND PRIVATE CAUSES OF ACTION.

    Inserted: (a) Termination or Suspension of Service Contracts.--

    Inserted: (1) In general.--Section 305A of the Servicemembers Civil Relief Act (50 U.S.C. App. 535a) is amended to read as follows:

    Inserted: "SEC. 305A. TERMINATION OR SUSPENSION OF SERVICE CONTRACTS.

    Inserted: "(a) Termination or Suspension by Servicemember.--A servicemember who is party to or enters into a contract described in subsection (c) may terminate or suspend, at the servicemember's option, the contract at any time after the date of the servicemember's military orders, as described in subsection (c).

    Inserted: "(b) Special Rules.--

    Inserted: "(1) Duration of suspension.--A suspension under subsection (a) of a contract by a servicemember shall continue for the length of the servicemember's deployment pursuant to the servicemember's military orders.

    Inserted: "(2) Prohibition on suspension fees.--

    Inserted: "(A) In general.--A service provider under a contract suspended or terminated under subsection (a) by a servicemember may not impose a suspension fee or early termination fee in connection with the suspension or termination of the contract, other than a nominal fee for the suspension.

    Inserted: "(B) Exception for equipment moving fee.--The service provider may impose a reasonable fee for any equipment remaining on the premises of the servicemember during the period of the suspension.

    Inserted: "(3) Deferral of fees.--The servicemember may defer, without penalty, payment of such a nominal fee or reasonable fee for the length of the servicemember's deployment pursuant to the servicemember's military orders.

    Inserted: "(4) Telephone service.--In any case in which the contract being suspended under subsection (a) is for cellular telephone service or telephone exchange service, the servicemember, after the date on which the suspension of the contract ends, may keep, to the extent practicable and in accordance with all applicable laws and regulations, the same telephone number the servicemember had before the servicemember suspended the contract.

    Show 72 more inserted paragraphs

    Inserted: "(c) Covered Contracts.--This section applies to a contract for cellular telephone service (including a contract to which the servicemember is included with family members), telephone exchange service, multichannel video programming service, Internet access service, water, electricity, oil, gas, or other utility if the servicemember enters into the contract and thereafter receives military orders--

    Inserted: "(1) to deploy with a military unit, or as an individual, in support of a contingency operation for a period of not less than 90 days; or

    Inserted: "(2) for a change of permanent station to a location that does not support the contract.

    Inserted: "(d) Manner of Termination or Suspension.--

    Inserted: "(1) In general.--Termination or suspension of a contract under subsection (a) is made by delivery by the servicemember of written notice of such termination or suspension and a copy of the servicemember's military orders to the other party to the contract (or to that party's grantee or agent).

    Inserted: "(2) Nature of notice.--Delivery of notice under paragraph (1) may be accomplished--

    Inserted: "(A) by hand delivery;

    Inserted: "(B) by private business carrier;

    Inserted: "(C) by facsimile; or

    Inserted: "(D) by placing the written notice and a copy of the servicemember's military orders in an envelope with sufficient postage and with return receipt requested, and addressed as designated by the party to be notified (or that party's grantee or agent), and depositing the envelope in the United States mails.

    Inserted: "(e) Date of Contract Termination or Suspension.--Termination or suspension of a service contract under subsection (a) is effective as of the date on which the notice under subsection (d) is delivered.

    Inserted: "(f) Other Obligations and Liabilities.--The service provider under the contract may not impose an early termination or suspension charge, but any tax or any other obligation or liability of the servicemember that, in accordance with the terms of the contract, is due and unpaid or unperformed at the time of termination or suspension of the contract shall be paid or performed by the servicemember.

    Inserted: "(g) Fees Paid in Advance.--A fee or amount paid in advance for a period after the effective date of the termination of the contract shall be refunded to the servicemember by the other party (or that party's grantee or agent) not later than 60 days after the effective date of the termination of the contract.

    Inserted: "(h) Relief to Other Party.--Upon application by the other party to the contract to a court before the termination date provided in the written notice, relief granted by this section to a servicemember may be modified as justice and equity require.

    Inserted: "(i) Criminal Penalty.--Whoever knowingly violates this section shall be fined not more than $5,000 in the case of an individual or $10,000 in the case of an organization.

    Inserted: "(j) Private Right of Action.--

    Inserted: "(1) In general.--In addition to any other remedies made available elsewhere in this Act, a servicemember harmed by a violation of this section may in a civil action--

    Inserted: "(A) obtain any appropriate equitable relief with respect to the violation; and

    Inserted: "(B) recover an amount equal to three times the damages sustained as a result of the violation.

    Inserted: "(2) Costs and attorney fees.--The court shall award to a servicemember who prevails in an action under paragraph (1) the costs of the action, including a reasonable attorney fee.

    Inserted: "(3) Preservation of other remedies.--Nothing in this section shall be construed to preclude or limit any remedy otherwise available under law to the servicemember with respect to conduct prohibited under this section.

    Inserted: "(k) Definitions.--In this section:

    Inserted: "(1) Multichannel video programming service.--The term 'multichannel video programming service' means video programming service provided by a multichannel video programming distributor, as such term is defined in section 602(13) of the Communications Act of 1934 (47 U.S.C. 522(13)).

    Inserted: "(2) Internet access service.--The term 'Internet access service' has the meaning given that term under section 231(e)(4) of the Communications Act of 1934 (47 U.S.C. 231(e)(4)).

    Inserted: "(3) Cellular telephone service.--The term 'cellular telephone service' means commercial mobile service, as that term is defined in section 332(d)(1) of the Communications Act of 1934 (47 U.S.C. 332(d)(1)).

    Inserted: "(4) Telephone exchange service.--The term 'telephone exchange service' has the meaning given that term under section 3 of the Communications Act of 1934 (47 U.S.C. 153).".

    Inserted: (2) Clerical amendment.--The table of contents in section 1(b) of such Act (Public Law 108-109; 117 Stat. 2835) is amended by striking the item relating to section 305A and inserting the following new item:

    Inserted: "Sec. 305A. Termination or suspension of service contracts.".

    Inserted: (3) Effective date.--The amendments made by this subsection shall apply with respect to a contract entered into on or after the date of the enactment of this Act.

    Inserted: (b) Violation of Interest Rate Limitation.--Section 207 of such Act (50 U.S.C. 527) is amended--

    Inserted: (1) by amending subsection (e) to read as follows:

    Inserted: "(e) Criminal Penalty.--

    Inserted: "(1) In general.--Whoever knowingly violates this section shall be fined not more than $5,000 in the case of an individual or $10,000 in the case of an organization.

    Inserted: "(2) Determination of number of violations.--The court shall count as a separate violation each obligation or liability of a servicemember with respect to which--

    Inserted: "(A) the servicemember properly provided to the creditor written notice and a copy of the military orders calling the servicemember to military service and any orders further extending military service under subsection (b); and

    Inserted: "(B) the creditor fails to act in accordance with subsection (a).";

    Inserted: (2) by redesignating subsection (f) as subsection (g);

    Inserted: (3) by inserting after subsection (e) the following new subsection:

    Inserted: "(f) Rights of Servicemembers.--

    Inserted: "(1) Private right of action.--In addition to any other remedies made available elsewhere in this Act, a servicemember harmed by a violation of this section may in a civil action--

    Inserted: "(A) obtain any appropriate equitable relief with respect to the violation; and

    Inserted: "(B) recover an amount equal to three times the damages sustained as a result of the violation.

    Inserted: "(2) Costs and attorney fees.--The court shall award to a servicemember who prevails in an action under paragraph (1) the costs of the action, including a reasonable attorney fee.

    Inserted: "(3) Preservation of other remedies.--Nothing in this section shall be construed to preclude or limit any remedy otherwise available under law to the servicemember with respect to conduct prohibited under this section."; and

    Inserted: (4) in subsection (g), as redesignated by paragraph (2) of this subsection, by inserting "and (f)" after "subsection (e)".

    Inserted: (c) Civil Liability for Noncompliance.--

    Inserted: (1) In general.--The Servicemembers Civil Relief Act (50 U.S.C. App. 501 et seq.) is further amended by adding at the end the following new title:

    Inserted: "TITLE VIII--CIVIL LIABILITY FOR NONCOMPLIANCE

    Inserted: "SEC. 801. ENFORCEMENT BY THE ATTORNEY GENERAL.

    Inserted: "(a) Enforcement by the Attorney General.--The Attorney General may commence a civil action in any appropriate United States District Court whenever the Attorney General has reasonable cause to believe--

    Inserted: "(1) that any person or group of persons is engaging in, or has engaged in, a pattern or practice of conduct in violation of any provision of this Act; or

    Inserted: "(2) that any person or group of persons is denying, or has denied, any person or group of persons any protection afforded by any provision of this Act and that such denial raises an issue of general public importance.

    Inserted: "(b) Relief That May Be Granted in Civil Actions.--In a civil action under subsection (a), the court--

    Inserted: "(1) may enter any temporary restraining order, temporary or permanent injunction, or other order as may be appropriate;

    Inserted: "(2) may award monetary damages to a servicemember, dependent, or other person protected by any provision of this Act who is harmed by the failure to comply with any provision of this Act, including consequential and punitive damages; and

    Inserted: "(3) may, to vindicate the public interest, assess a civil penalty against each defendant--

    Inserted: "(A) in an amount not exceeding $55,000 for a first violation; and

    Inserted: "(B) in an amount not exceeding $110,000 for any subsequent violation.

    Inserted: "(c) Intervention in Civil Actions.--Upon timely application, a servicemember, dependent, or other person protected by any provision of this Act may intervene in a civil action commenced by the Attorney General that involves an alleged violation of any provision of this Act or a denial of any protection afforded by any provision of this Act with respect to which such person claims to be harmed. The court may grant to any such intervening party appropriate relief as is authorized under subsection (b)(1) or (b)(2). The court may also, in its discretion, grant a prevailing intervening party reasonable attorneys' fees and costs.

    Inserted: "SEC. 802. PRIVATE CAUSES OF ACTION.

    Inserted: "In addition to any other cause of action authorized by any other section of this Act, a servicemember, dependent, or other person protected by any provision of this Act may commence an action in any appropriate United States District Court or in a State court of competent jurisdiction to enforce any requirement imposed or protection afforded by any provision of this Act. The court may grant to any such servicemember, dependent, or person such appropriate relief as is authorized under paragraph (1) or (2) of section 801(b). The court may also, in its discretion, grant a prevailing party reasonable attorneys' fees and costs.

    Inserted: "SEC. 803. PRESERVATION OF OTHER REMEDIES.

    Inserted: "The remedies provided under sections 801 and 802 are in addition to and do not preclude any other causes of action available under Federal or State law or any other remedies otherwise available under Federal or State law, including any award for consequential and punitive damages.".

    Inserted: (2) Clerical amendment.--The table of contents in section 1(b) of such Act is amended by adding at the end the following:

    Inserted: "TITLE VIII--CIVIL LIABILITY FOR NONCOMPLIANCE

    Inserted: "Sec. 801. Enforcement by the Attorney General.

    Inserted: "Sec. 802. Private causes of action.

    Inserted: "Sec. 803. Preservation of other remedies.".

    Inserted: (3) Applicability.--Title VIII of the Servicemembers Civil Relief Act, as added by paragraph (1), shall apply to any cause of action, claim, or action to enforce the Servicemembers Civil Relief Act, or to seek damages or other relief under any provision of that Act, in progress on the date of the enactment of this Act or that may be brought after such date.

    Inserted: (4) Technical corrections.--Such Act is further amended--

    Inserted: (A) in section 202(d)(1) (50 U.S.C. App. 522(d)(1)), by striking "affect" in the first sentence and inserting "effect"; and

    Inserted: (B) in sections 204(a), 306(c), and 701(c) (50 U.S.C. App. 524(a), 536(c), and 591(c)), by striking "Affect" in the subsection heading and inserting "Effect".

    Original wording

    On page 435, between lines 14 and 15, insert the following:

Read automatically from the Congressional Record. Check the original before relying on it.

As printed

SA 1630. Mr. GRAHAM submitted an amendment intended to be proposed by him to the bill S. 1390, to authorize appropriations for fiscal year 2010 for military activities of the Department of Defense, for military construction, and for defense activities of the Department of Energy, to prescribe military personnel strengths for such fiscal year, and for other purposes; which was ordered to lie on the table; as follows:

On page 435, between lines 14 and 15, insert the following:

SEC. 1083. MODIFICATION OF SERVICEMEMBERS CIVIL RELIEF ACT REGARDING TERMINATION OR SUSPENSION OF SERVICE CONTRACTS, EFFECT OF VIOLATION OF INTEREST RATE LIMITATION, AND ENFORCEMENT BY ATTORNEY GENERAL AND PRIVATE CAUSES OF ACTION.

(a) Termination or Suspension of Service Contracts.--

(1) In general.--Section 305A of the Servicemembers Civil Relief Act (50 U.S.C. App. 535a) is amended to read as follows:

“SEC. 305A. TERMINATION OR SUSPENSION OF SERVICE CONTRACTS.

“(a) Termination or Suspension by Servicemember.--A servicemember who is party to or enters into a contract described in subsection (c) may terminate or suspend, at the servicemember's option, the contract at any time after the date of the servicemember's military orders, as described in subsection (c).

“(b) Special Rules.--

“(1) Duration of suspension.--A suspension under subsection (a) of a contract by a servicemember shall continue for the length of the servicemember's deployment pursuant to the servicemember's military orders.

“(2) Prohibition on suspension fees.--

“(A) In general.--A service provider under a contract suspended or terminated under subsection (a) by a servicemember may not impose a suspension fee or early termination fee in connection with the suspension or termination of the contract, other than a nominal fee for the suspension.

“(B) Exception for equipment moving fee.--The service provider may impose a reasonable fee for any equipment remaining on the premises of the servicemember during the period of the suspension.

“(3) Deferral of fees.--The servicemember may defer, without penalty, payment of such a nominal fee or reasonable fee for the length of the servicemember's deployment pursuant to the servicemember's military orders.

“(4) Telephone service.--In any case in which the contract being suspended under subsection (a) is for cellular telephone service or telephone exchange service, the servicemember, after the date on which the suspension of the contract ends, may keep, to the extent practicable and in accordance with all applicable laws and regulations, the same telephone number the servicemember had before the servicemember suspended the contract.

“(c) Covered Contracts.--This section applies to a contract for cellular telephone service (including a contract to which the servicemember is included with family members), telephone exchange service, multichannel video programming service, Internet access service, water, electricity, oil, gas, or other utility if the servicemember enters into the contract and thereafter receives military orders--

“(1) to deploy with a military unit, or as an individual, in support of a contingency operation for a period of not less than 90 days; or

“(2) for a change of permanent station to a location that does not support the contract.

“(d) Manner of Termination or Suspension.--

“(1) In general.--Termination or suspension of a contract under subsection (a) is made by delivery by the servicemember of written notice of such termination or suspension and a copy of the servicemember's military orders to the other party to the contract (or to that party's grantee or agent).

“(2) Nature of notice.--Delivery of notice under paragraph (1) may be accomplished--

“(A) by hand delivery;

“(B) by private business carrier;

“(C) by facsimile; or

“(D) by placing the written notice and a copy of the servicemember's military orders in an envelope with sufficient postage and with return receipt requested, and addressed as designated by the party to be notified (or that party's grantee or agent), and depositing the envelope in the United States mails.

“(e) Date of Contract Termination or Suspension.--Termination or suspension of a service contract under subsection (a) is effective as of the date on which the notice under subsection (d) is delivered.

“(f) Other Obligations and Liabilities.--The service provider under the contract may not impose an early termination or suspension charge, but any tax or any other obligation or liability of the servicemember that, in accordance with the terms of the contract, is due and unpaid or unperformed at the time of termination or suspension of the contract shall be paid or performed by the servicemember.

“(g) Fees Paid in Advance.--A fee or amount paid in advance for a period after the effective date of the termination of the contract shall be refunded to the servicemember by the other party (or that party's grantee or agent) not later than 60 days after the effective date of the termination of the contract.

“(h) Relief to Other Party.--Upon application by the other party to the contract to a court before the termination date provided in the written notice, relief granted by this section to a servicemember may be modified as justice and equity require.

“(i) Criminal Penalty.--Whoever knowingly violates this section shall be fined not more than $5,000 in the case of an individual or $10,000 in the case of an organization.

“(j) Private Right of Action.--

“(1) In general.--In addition to any other remedies made available elsewhere in this Act, a servicemember harmed by a violation of this section may in a civil action--

“(A) obtain any appropriate equitable relief with respect to the violation; and

“(B) recover an amount equal to three times the damages sustained as a result of the violation.

“(2) Costs and attorney fees.--The court shall award to a servicemember who prevails in an action under paragraph (1) the costs of the action, including a reasonable attorney fee.

“(3) Preservation of other remedies.--Nothing in this section shall be construed to preclude or limit any remedy otherwise available under law to the servicemember with respect to conduct prohibited under this section.

“(k) Definitions.--In this section:

“(1) Multichannel video programming service.--The term ‘multichannel video programming service' means video programming service provided by a multichannel video programming distributor, as such term is defined in section 602(13) of the Communications Act of 1934 (47 U.S.C. 522(13)).

“(2) Internet access service.--The term ‘Internet access service' has the meaning given that term under section 231(e)(4) of the Communications Act of 1934 (47 U.S.C. 231(e)(4)).

“(3) Cellular telephone service.--The term ‘cellular telephone service' means commercial mobile service, as that term is defined in section 332(d)(1) of the Communications Act of 1934 (47 U.S.C. 332(d)(1)).

“(4) Telephone exchange service.--The term ‘telephone exchange service' has the meaning given that term under section 3 of the Communications Act of 1934 (47 U.S.C. 153).”.

(2) Clerical amendment.--The table of contents in section 1(b) of such Act (Public Law 108-109; 117 Stat. 2835) is amended by striking the item relating to section 305A and inserting the following new item:

“Sec. 305A. Termination or suspension of service contracts.”.

(3) Effective date.--The amendments made by this subsection shall apply with respect to a contract entered into on or after the date of the enactment of this Act.

(b) Violation of Interest Rate Limitation.--Section 207 of such Act (50 U.S.C. 527) is amended--

(1) by amending subsection (e) to read as follows:

“(e) Criminal Penalty.--

“(1) In general.--Whoever knowingly violates this section shall be fined not more than $5,000 in the case of an individual or $10,000 in the case of an organization.

“(2) Determination of number of violations.--The court shall count as a separate violation each obligation or liability of a servicemember with respect to which--

“(A) the servicemember properly provided to the creditor written notice and a copy of the military orders calling the servicemember to military service and any orders further extending military service under subsection (b); and

“(B) the creditor fails to act in accordance with subsection (a).”;

(2) by redesignating subsection (f) as subsection (g);

(3) by inserting after subsection (e) the following new subsection:

“(f) Rights of Servicemembers.--

“(1) Private right of action.--In addition to any other remedies made available elsewhere in this Act, a servicemember harmed by a violation of this section may in a civil action--

“(A) obtain any appropriate equitable relief with respect to the violation; and

“(B) recover an amount equal to three times the damages sustained as a result of the violation.

“(2) Costs and attorney fees.--The court shall award to a servicemember who prevails in an action under paragraph (1) the costs of the action, including a reasonable attorney fee.

“(3) Preservation of other remedies.--Nothing in this section shall be construed to preclude or limit any remedy otherwise available under law to the servicemember with respect to conduct prohibited under this section.”; and

(4) in subsection (g), as redesignated by paragraph (2) of this subsection, by inserting “and (f)” after “subsection (e)”.

(c) Civil Liability for Noncompliance.--

(1) In general.--The Servicemembers Civil Relief Act (50 U.S.C. App. 501 et seq.) is further amended by adding at the end the following new title:

“TITLE VIII--CIVIL LIABILITY FOR NONCOMPLIANCE

“SEC. 801. ENFORCEMENT BY THE ATTORNEY GENERAL.

“(a) Enforcement by the Attorney General.--The Attorney General may commence a civil action in any appropriate United States District Court whenever the Attorney General has reasonable cause to believe--

“(1) that any person or group of persons is engaging in, or has engaged in, a pattern or practice of conduct in violation of any provision of this Act; or

“(2) that any person or group of persons is denying, or has denied, any person or group of persons any protection afforded by any provision of this Act and that such denial raises an issue of general public importance.

“(b) Relief That May Be Granted in Civil Actions.--In a civil action under subsection (a), the court--

“(1) may enter any temporary restraining order, temporary or permanent injunction, or other order as may be appropriate;

“(2) may award monetary damages to a servicemember, dependent, or other person protected by any provision of this Act who is harmed by the failure to comply with any provision of this Act, including consequential and punitive damages; and

“(3) may, to vindicate the public interest, assess a civil penalty against each defendant--

“(A) in an amount not exceeding $55,000 for a first violation; and

“(B) in an amount not exceeding $110,000 for any subsequent violation.

“(c) Intervention in Civil Actions.--Upon timely application, a servicemember, dependent, or other person protected by any provision of this Act may intervene in a civil action commenced by the Attorney General that involves an alleged violation of any provision of this Act or a denial of any protection afforded by any provision of this Act with respect to which such person claims to be harmed. The court may grant to any such intervening party appropriate relief as is authorized under subsection (b)(1) or (b)(2). The court may also, in its discretion, grant a prevailing intervening party reasonable attorneys' fees and costs.

“SEC. 802. PRIVATE CAUSES OF ACTION.

“In addition to any other cause of action authorized by any other section of this Act, a servicemember, dependent, or other person protected by any provision of this Act may commence an action in any appropriate United States District Court or in a State court of competent jurisdiction to enforce any requirement imposed or protection afforded by any provision of this Act. The court may grant to any such servicemember, dependent, or person such appropriate relief as is authorized under paragraph (1) or (2) of section 801(b). The court may also, in its discretion, grant a prevailing party reasonable attorneys' fees and costs.

“SEC. 803. PRESERVATION OF OTHER REMEDIES.

“The remedies provided under sections 801 and 802 are in addition to and do not preclude any other causes of action available under Federal or State law or any other remedies otherwise available under Federal or State law, including any award for consequential and punitive damages.”.

(2) Clerical amendment.--The table of contents in section 1(b) of such Act is amended by adding at the end the following:

“TITLE VIII--CIVIL LIABILITY FOR NONCOMPLIANCE

“Sec. 801. Enforcement by the Attorney General.

“Sec. 802. Private causes of action.

“Sec. 803. Preservation of other remedies.”.

(3) Applicability.--Title VIII of the Servicemembers Civil Relief Act, as added by paragraph (1), shall apply to any cause of action, claim, or action to enforce the Servicemembers Civil Relief Act, or to seek damages or other relief under any provision of that Act, in progress on the date of the enactment of this Act or that may be brought after such date.

(4) Technical corrections.--Such Act is further amended--

(A) in section 202(d)(1) (50 U.S.C. App. 522(d)(1)), by striking “affect” in the first sentence and inserting “effect”; and

(B) in sections 204(a), 306(c), and 701(c) (50 U.S.C. App. 524(a), 536(c), and 591(c)), by striking “Affect” in the subsection heading and inserting “Effect”.

Legislative Activity

Stay on top of the latest movement without scrolling through every action

Floor Latest Action

Senate amendment submitted

July 20, 2009