HF 2097

as introduced - 89th Legislature (2015 - 2016) Posted on 04/18/2016 04:36pm

A bill for an act
relating to consumer protection; prohibiting the collection of personal
information related to credit card transactions; proposing coding for new law
in Minnesota Statutes, chapter 325G.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [325G.055] CREDIT CARD TRANSACTIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Prohibitions. new text end

new text begin (a) Unless otherwise required by a credit card issuer or
requested for security purposes, a business entity must not, by any means, collect, cause to
be collected, or require a collection of any personal identification information of a credit
card holder in a credit card transaction. Personal identification information includes, but
is not limited to, a credit card holder's address, zip code, telephone number, and e-mail
address. Personal identification information collected in a credit card transaction must
not be used by the business entity for promotional or marketing purposes or to solicit the
business of the credit card holder.
new text end

new text begin (b) Nothing in paragraph (a) prohibits a business entity from collecting, causing to
be collected, or requiring a collection of the personal identification information of a credit
card holder with respect to business activities unrelated to a credit card transaction, such
as shipping, delivery, or warranty registration.
new text end

new text begin (c) For purposes of this section, a credit card transaction encompasses only those
activities associated with payment for goods or services by means of a credit card.
new text end

new text begin Subd. 2. new text end

new text begin Penalties for violation; private right of action. new text end

new text begin A business entity that
violates or participates in the violation of any of the provisions of this section is liable to
a consumer in a civil action for:
new text end

new text begin (1) all money collected or received in connection with the credit card transaction;
new text end

new text begin (2) actual, incidental, and consequential damages;
new text end

new text begin (3) statutory damages of up to $1,000 per violation;
new text end

new text begin (4) costs, disbursements, and reasonable attorney fees; and
new text end

new text begin (5) injunctive relief.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for credit card transactions occurring
on August 1, 2015, and thereafter.
new text end