SF 810

1st Engrossment - 83rd Legislature (2003 - 2004) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to consumer protection; providing consumers a 
  1.3             right to privacy, confidentiality, and secrecy of 
  1.4             their financial records; requiring consumer 
  1.5             authorization for exchange or disclosure of their 
  1.6             financial records; providing remedies; proposing 
  1.7             coding for new law as Minnesota Statutes, chapter 13E. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  [13E.01] [DEFINITIONS.] 
  1.10     For purposes of this chapter, the terms "consumer," 
  1.11  "financial institution," "nonaffiliated third party," "nonpublic 
  1.12  personal information," and "joint agreement" have the meanings 
  1.13  given in section 509 of the Gramm-Leach-Bliley Financial 
  1.14  Services Modernization Act, codified as United States Code, 
  1.15  title 15, section 6809, including any federal regulations 
  1.16  implementing that section. 
  1.17     Sec. 2.  [13E.02] [PRIVACY OF FINANCIAL DATA.] 
  1.18     Except as required by sections 13E.03 to 13E.05, which 
  1.19  afford greater protection to consumers, every financial 
  1.20  institution doing business in this state shall comply with 
  1.21  sections 502 and 503 of the Gramm-Leach-Bliley Financial 
  1.22  Services Modernization Act, codified as United States Code, 
  1.23  title 15, sections 6802 and 6803 respectively, including any 
  1.24  federal regulations issued under authority of section 504 of the 
  1.25  act, codified as United States Code, title 15, section 6804. 
  1.26     Sec. 3.  [13E.03] [DUTY OF CONFIDENTIALITY.] 
  2.1      A financial institution doing business in this state shall 
  2.2   not disclose nonpublic personal information about a consumer to 
  2.3   any nonaffiliated third party unless the disclosure is made in 
  2.4   accordance with any of the following: 
  2.5      (1) pursuant to affirmative consent granted by the consumer 
  2.6   in accordance with this chapter; 
  2.7      (2) pursuant to the exception in section 502(b)(2) of the 
  2.8   Gramm-Leach-Bliley Financial Services Modernization Act, 
  2.9   codified as United States Code, title 15, section 6802(b)(2), 
  2.10  including any federal regulations issued to implement that 
  2.11  section; or 
  2.12     (3) pursuant to an exception in section 502(e) of the 
  2.13  Gramm-Leach-Bliley Financial Services Modernization Act, 
  2.14  codified as United States Code, title 15, section 6802(e), 
  2.15  including any federal regulations issued to implement that 
  2.16  section. 
  2.17     Sec. 4.  [13E.04] [AFFIRMATIVE CONSENT.] 
  2.18     Subdivision 1.  [USE.] Affirmative consent must not be 
  2.19  required as a condition of doing business with any financial 
  2.20  institution.  Any affirmative consent obtained from a consumer 
  2.21  as a condition of doing business with a financial institution 
  2.22  shall not be effective for purposes of this chapter. 
  2.23     Subd. 2.  [FORM.] Affirmative consent as required by this 
  2.24  chapter must be in writing and signed by the consumer.  The 
  2.25  affirmative consent form signed by the consumer must be 
  2.26  contained on a separate page that also clearly and conspicuously 
  2.27  discloses the following: 
  2.28     (1) the time during which the consent will operate, which 
  2.29  must not be longer than five years; 
  2.30     (2) each category of nonpublic personal information to be 
  2.31  disclosed, including specifically, but without limitation, the 
  2.32  consumer's social security number, account numbers, account 
  2.33  balances, credit limits, the amount or date of any transaction, 
  2.34  the identity of persons to whom the consumer's checks are made 
  2.35  payable, and the identity of merchants or other persons honoring 
  2.36  the consumer's credit cards; and 
  3.1      (3) the type of nonaffiliated third parties to whom 
  3.2   disclosure may be made. 
  3.3      Sec. 5.  [13E.05] [ACCESS TO AND CORRECTION OF NONPUBLIC 
  3.4   PERSONAL INFORMATION.] 
  3.5      Subdivision 1.  [ACCESS AND CORRECTION.] If a consumer 
  3.6   submits a written request to a financial institution for access 
  3.7   to nonpublic personal information held by the financial 
  3.8   institution about the consumer, within 30 business days from the 
  3.9   date the request is received, the financial institution shall: 
  3.10     (1) provide to the consumer in person, by regular mail, or 
  3.11  by electronic mail a copy of all such nonpublic personal 
  3.12  information, or a reasonably described portion of the 
  3.13  information, whichever the consumer requests; and 
  3.14     (2) provide to the consumer a summary of the procedures by 
  3.15  which the consumer may request correction, amendment, or 
  3.16  deletion of nonpublic personal information. 
  3.17  If any nonpublic personal information is in coded or electronic 
  3.18  form, an accurate translation in hard copy must be provided. 
  3.19     Subd. 2.  [REASONABLE FEE.] A financial institution may 
  3.20  charge a reasonable fee to copy nonpublic personal information 
  3.21  provided under this section, provided the fee is clearly and 
  3.22  conspicuously disclosed to the consumer.  A financial 
  3.23  institution may not charge for inspection of nonpublic personal 
  3.24  information by the consumer. 
  3.25     Sec. 6.  [13E.06] [REMEDIES.] 
  3.26     The attorney general may seek the remedies set forth in 
  3.27  section 8.31, subdivision 3, against any financial institution 
  3.28  in violation of this chapter. 
  3.29     Sec. 7.  [13E.07] [OTHER LAW.] 
  3.30     This chapter does not limit any rights or remedies 
  3.31  protecting the privacy of information that are available under 
  3.32  other law. 
  3.33     Sec. 8.  [EFFECTIVE DATE.] 
  3.34     This act is effective July 1, 2004.