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Civil Liability
LAWDOG is intended to assist in the understanding of basic concepts. See Disclaimer. Always obtain legal advice from legal professionals.
Civil Liability
For Willful NoncomplianceCivil Liability
For Negligent NoncomplianceCivil Liability for Willful Noncompliance
Liability To Consumer
In addition to Federal and State enforcement actions, violators of the Fair Credit Reporting Act may be liable for money damages to consumers under Section 616. Under Section 616, any person who willfully fails to comply with Fair Credit Reporting Act as amended by the Consumer Credit Reporting Reform Act of 1996, may be liable to the consumer for actual damages not less than $100, nor more than $1,000, or, if for a natural person obtaining a report under false pretenses or knowingly without a permissible purpose, actual damages or $1,000, whichever is greater. In addition, punitive damages may be awarded by a court, and attorney fees and costs if successful. See Section 616 reproduced here for illustration purposes only.
Liability To Agency
Additionally, any person who obtains a consumer report from a consumer reporting agency under false pretenses or knowingly without a permissible purpose shall be liable to the consumer reporting agency for actual damages sustained by the consumer reporting agency or $1,000.00, whichever is greater. See Section 616 (b) reproduced here for illustration purposes only.
Pleading, Motion, or Other Paper Filed In Bad Faith
On a finding by the court that an unsuccessful pleading, motion, or other paper filed in connection with an action under this section was filed in bad faith or for purposes of harassment, the court shall award to the prevailing party attorney's fees reasonable in relation to time expended. See Section 616 (c) reproduced here for illustration purposes only.
Special Rules Concerning Furnishers
Note that special rules may apply to actions against furnishers of information. These may be limited to enforcement agencies pursuant to Section 623 and Section 621. See Section 623 (c), (d) reproduced here for illustration purposes only.
Civil Liability for Negligent Noncompliance
Any person who is negligent in failing to comply with any requirement imposed under the Fair Credit Reporting Act as amended by the Consumer Credit Reporting Reform Act of 1996 is liable to that consumer in an amount equal to the sum of actual damages sustained by the consumer as a result of the failure. In addition, in the case of any successful action under this section, that "person" may be responsible for certain court "costs" and reasonable attorney's fees as determined by the court. See Section 617 reproduced here for illustration purposes only.
Pleading, Motion, or Other Paper Filed In Bad Faith
On a finding by the court that an unsuccessful pleading, motion, or other paper filed in connection with an action under this section was filed in bad faith or for purposes of harassment, the court shall award to the prevailing party attorney's fees reasonable in relation to time expended. See Section 617 (b) reproduced here for illustration purposes only.
Special Rules Concerning Furnishers
Note that special rules may apply to actions against furnishers of information. These may be limited to enforcement agencies pursuant to Section 623 and Section 621. See Section 623 (c), (d) reproduced here for illustration purposes only.
