H. B. 3184
(By Delegate Mezzatesta)
[Introduced March 30, 2001; referred to the
Committee on Banking and Insurance then the Judiciary.]
A BILL to amend article two, chapter forty-six-a of the code of
West Virginia, one thousand nine hundred thirty-one, as
amended, by adding thereto a new section, designated section
one hundred twenty-six-a, relating to providing for civil
penalties for abuses by credit reporting agencies.
Be it enacted by the Legislature of West Virginia:
That article two, chapter forty-six-a of the code of West
Virginia, one thousand nine hundred thirty-one, as amended, be
amended by adding thereto a new section, designated section one
hundred twenty-six-a, to read as follows:
ARTICLE 2. CONSUMER CREDIT PROTECTION.
§46A-2-126a. Negligent or false publication of credit status.
(a) A civil action shall lie for any aggrieved resident
individual of this state harmed by the negligent, false or
otherwise wrongful reporting of erroneous or false information concerning that individual's credit history by any credit reporting
agency. All credit reporting agencies that compile credit-related
information
concerning any resident individual of this state shall
be obliged to update the information whenever additional
information is received by or is otherwise reasonably accessible to
the credit reporting agency.
(b) Any credit reporting agency who violates the provisions of
subsection (a) of this section shall pay a civil penalty to an
aggrieved party in accordance with the following schedule:
(1) For a first occurrence, one hundred dollars;
(2) For a second occurrence, five hundred dollars;
(3) For a third occurrence, one thousand dollars;
(4) For a fourth and subsequent occurrences, five thousand
dollars.
(c) In the event any aggrieved individual is forced to resort
to the filing of a civil action in a court of competent
jurisdiction to enforce the penalty provisions of this section as
the result of an offending credit reporting agency failing or
refusing to submit to the legitimate demand for payment in
accordance with the schedule of penalties set forth in subsection
(b) of this section, upon proof by a preponderance of evidence that
the violation or violations occurred the judge or jury shall award
the plaintiff a sum four times greater than the penalty otherwise
provided under subsection (b) of this section.
NOTE: The purpose of this bill is to provide for civil
penalties against credit reporting agencies for the negligent,
wrongful and false reporting of credit related information
concerning resident individuals.
This section is new; therefore, strike-throughs and
underscoring have been omitted.