House Bill 483

AN ACT TO AMEND SECTION 75-24-201, MISSISSIPPI CODE OF 1972, TO DELETE THE REQUIREMENT THAT A CONSUMER MUST PROVIDE TO A CONSUMER REPORTING AGENCY A LAW ENFORCEMENT REPORT REGARDING THE UNLAWFUL USE OF THE CONSUMER'S PERSONAL INFORMATION BEFORE THE CONSUMER MAY HAVE A SECURITY FREEZE PLACED ON HIS OR HER CONSUMER FILE; TO CODIFY NEW SECTION 75-24-216, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT ANY PERSON WHOSE PROPERTY OR PERSON IS INJURED BY REASON OF A VIOLATION OF THE SECURITY FREEZE STATUTES MAY SUE FOR CIVIL DAMAGES; TO AMEND SECTION 75-24-5, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT ANY VIOLATION OF THE SECURITY FREEZE STATUTES SHALL BE CONSIDERED AS AN UNFAIR OR DECEPTIVE TRADE PRACTICE; AND FOR RELATED PURPOSES.

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

SECTION 1. Section 75-24-201, Mississippi Code of 1972, is amended as follows:

75-24-201. (1) On written request sent by certified mail that includes proper identification provided by a consumer * * *, a consumer reporting agency shall place a security freeze on a consumer's consumer file not later than the fifth business day after the date the agency receives the request. A reporting agency may charge a consumer a reasonable fee not to exceed Ten Dollars ($10.00) to place a security freeze in his file.

(2) On written request for a security freeze provided by a consumer under subsection (1), a consumer reporting agency shall disclose to the consumer the process of placing, removing and temporarily lifting a security freeze and the process for allowing access to information from the consumer's file with the consumer reporting agency for a specific requester or period while the security freeze is in effect.

(3) A consumer reporting agency shall, not later than the tenth business day after the date the agency receives the request for a security freeze:

(a) Send a written confirmation of the security freeze to the consumer; and

(b) Provide the consumer with a unique personal identification number or password to be used by the consumer to authorize a removal or temporary lifting of the security freeze under Section 75-24-207.

(4) A consumer may request in writing a replacement personal identification number or password. The request must comply with the requirements for requesting a security freeze under subsection (1). The consumer reporting agency shall, not later than the third business day after the date the agency receives the request for a replacement personal identification number or password, provide the consumer with a new unique personal identification number or password to be used by the consumer instead of the number or password that was provided under subsection (3).

(5) As used in Sections 75-24-201 through 75-24-217, the term "security freeze" means a notice that (a) prohibits a consumer reporting agency from releasing all or any part of a consumer report or any information derived from a consumer report relating to the extension of credit, and (b) is placed in the file retained by the consumer reporting agency on that consumer at the consumer's request under subsection (1).

SECTION 2. The following shall be codified as Section 75-24-216, Mississippi Code of 1972:

75-24-216. (1) Any person whose property or person is injured by reason of an act made unlawful by Sections 75-24-201 through 75-24-215 may sue for civil damages. Damages may be in an amount of up to Five Thousand Dollars ($5,000.00) but no less than Five Hundred Dollars ($500.00) for each incident, or three (3) times the amount of actual damages, whichever amount is greater. A person seeking damages as set forth in this section also may institute a civil action to enjoin and restrain future acts that would constitute a violation of this section. The court, in an action brought under this section, may award reasonable attorneys' fees to the prevailing party.

SECTION 3. Section 75-24-5, Mississippi Code of 1972, is amended as follows:

75-24-5. (1) Unfair methods of competition affecting commerce and unfair or deceptive trade practices in or affecting commerce are prohibited. Action may be brought under Section 75-24-5(1) only under the provisions of Section 75-24-9.

(2) Without limiting the scope of subsection (1) of this section, the following unfair methods of competition and unfair or deceptive trade practices or acts in the conduct of any trade or commerce are * * * prohibited:

(a) Passing off goods or services as those of another;

(b) Misrepresentation of the source, sponsorship, approval, or certification of goods or services;

(d) Misrepresentation of designations of geographic origin in connection with goods or services;

(e) Representing that goods or services have sponsorship, approval, characteristics, ingredients, uses, benefits, or quantities that they do not have or that a person has a sponsorship, approval, status, affiliation, or connection that he does not have;

(f) Representing that goods are original or new if they are reconditioned, reclaimed, used, or secondhand;

(g) Representing that goods or services are of a particular standard, quality, or grade, or that goods are of a particular style or model, if they are of another;

(h) Disparaging the goods, services, or business of another by false or misleading representation of fact;

(i) Advertising goods or services with intent not to sell them as advertised;

(j) Advertising goods or services with intent not to supply reasonably expectable public demand, unless the advertisement discloses a limitation of quantity;

(k) Misrepresentations of fact concerning the reasons for, existence of, or amounts of price reductions;

(l) Advertising by or on behalf of any licensed or regulated health care professional which does not specifically describe the license or qualifications of the licensed or regulated health care professional;

(m) Charging an increased premium for reinstating a motor vehicle insurance policy that was cancelled or suspended by the insured solely for the reason that he was transferred out of this state while serving in the United States Armed Forces or on active duty in the National Guard or United States Armed Forces Reserve. It is also an unfair practice for an insurer to charge an increased premium for a new motor vehicle insurance policy if the applicant for coverage or his covered dependents were previously insured with a different insurer and canceled that policy solely for the reason that he was transferred out of this state while serving in the United States Armed Forces or on active duty in the National Guard or United States Armed Forces Reserve. For purposes of determining premiums, an insurer shall consider such persons as having maintained continuous coverage. The provisions of this paragraph (m) shall apply only to such instances when the insured does not drive the vehicle during the period of cancellation or suspension of his policy;

(n) Any violation of Sections 75-24-201 through 75-24-217.

SECTION 4. This act shall take effect and be in force from and after July 1, 2011.