HB 1371

CS

CHAMBER ACTION

2	The Committee on Commerce recommends the following:
3
4	Committee Substitute
5	Remove the entire bill and insert:
6	A bill to be entitled
7	An act relating to collection practices; amending s.
8	559.544, F.S.; requiring an applicant to apply to the
9	Office of Financial Regulation to register as a commercial
10	collection agency; amending s. 559.545, F.S.; requiring an
11	applicant to comply with certain procedures to register as
12	a commercial collection agency; increasing the
13	registration fee; authorizing the Financial Services
14	Commission or the office to require the applicant to
15	provide certain information; requiring the office to
16	investigate certain applicants; prescribing that a
17	registration that is not renewed expires automatically;
18	providing procedures by which a commercial collection
19	agency may reinstate its registration; amending s.
20	559.546, F.S.; requiring each applicant to purchase a
21	surety bond; creating s. 559.5471, F.S.; detailing the
22	powers and duties of the office with respect to regulating
23	commercial collection agencies; authorizing the commission
24	to adopt rules; authorizing the office to issue subpoenas
25	and subpoenas duces tecum under certain conditions;
26	providing procedures the office may use when a person does
27	not comply with a subpoena; permitting a court to grant
28	injunctive or other relief when a person does not comply
29	with a subpoena; authorizing the court to award attorney's
30	fees and costs to the office under certain circumstances;
31	creating s. 559.5473, F.S.; authorizing the office to seek
32	injunctive relief under certain circumstances; authorizing
33	a court to appoint a receiver under specified conditions;
34	creating s. 559.5474, F.S.; authorizing the office to
35	issue cease and desist orders; creating s. 559.5475, F.S.;
36	permitting specified documents made by a financial
37	examiner to be admitted into evidence under certain
38	conditions; creating s. 559.5476, F.S.; requiring each
39	registrant to maintain business records; authorizing the
40	commission to adopt rules to designate the types of
41	information a registrant must maintain; creating s.
42	559.5477, F.S.; providing for administrative remedies;
43	specifying the grounds under which a commercial collection
44	agency may have its registration suspended or revoked;
45	permitting a commercial collection agency to terminate its
46	registration; authorizing the office to impose an
47	administrative fine up to $1,000 per violation; amending
48	s. 559.55, F.S.; providing definitions; amending s.
49	559.552, F.S., relating to the relationship of state and
50	federal laws; providing for construing interpretations of
51	the Federal Trade Commission and the federal courts when
52	applying state and federal laws and rules relating to
53	consumer collection practices; amending s. 559.553, F.S.;
54	requiring an applicant to provide certain information to
55	register as a consumer collection agency; amending s.
56	559.555, F.S.; revising application procedures for
57	consumer collection agencies; requiring an applicant to
58	furnish specified information; requiring a surety bond;
59	increasing the registration fee; requiring an applicant to
60	report any licensure discipline or specified information
61	on crimes committed by the applicant; listing the grounds
62	for denying an application for registration; providing
63	that registrations automatically expire; providing
64	procedures for a consumer collection agency to renew its
65	registration; amending s. 559.565, F.S.; providing that an
66	out-of-state consumer collection agency otherwise subject
67	to this state's jurisdiction is subject to sanctions for
68	committing prohibited practices; amending s. 559.72, F.S.;
69	specifying certain activities as prohibited consumer
70	collection practices; amending s. 559.725, F.S.;
71	authorizing the office to conduct investigations of
72	consumer complaints; providing for the examination of a
73	registrant; creating s. 559.726, F.S.; detailing the
74	powers and duties of the office with respect to regulating
75	consumer collection agencies; authorizing the commission
76	to adopt rules; authorizing the office to issue subpoenas
77	and subpoenas duces tecum under certain conditions;
78	providing procedures the office may use when a person does
79	not comply with a subpoena; permitting a court to grant
80	injunctive or other relief when a person does not comply
81	with a subpoena; authorizing the court to award attorney's
82	fees and costs to the office under certain circumstances;
83	creating s. 559.7262, F.S.; authorizing the office to seek
84	injunctive relief under certain circumstances; creating s.
85	559.7263, F.S.; authorizing the office to issue cease and
86	desist orders; creating s. 559.7264, F.S.; permitting
87	certain documents prepared by a financial examiner to be
88	admitted into evidence under specified conditions;
89	creating s. 559.7265, F.S.; requiring each registrant to
90	maintain business records; authorizing the commission to
91	adopt rules to designate the types of information a
92	registrant must maintain; amending s. 559.730, F.S.;
93	providing administrative remedies for violating prohibited
94	consumer collection practices; specifying the prohibited
95	practices for which a consumer collection agency's
96	registration may be suspended or revoked; providing that a
97	consumer collection agency may terminate its registration;
98	authorizing the office to assess an administrative fine of
99	up to $1,000 per violation; amending s. 559.77, F.S.;
100	providing for construing interpretations of the Federal
101	Trade Commission and the federal courts when applying
102	state and federal laws and rules; amending s. 559.785,
103	F.S.; specifying certain activities that subject a person
104	to a criminal penalty; repealing ss. 559.547 and 559.563,
105	F.S., relating to void registrations; providing an
106	appropriation; authorizing six examiner positions and one
107	registration analyst position for the enforcement of the
108	act; providing an effective date.
109
110	Be It Enacted by the Legislature of the State of Florida:
111
112	Section 1.  Section 559.544, Florida Statutes, is amended
113	to read:
114	559.544  Registration required; exemptions.--
115	(1)  A No person may not shall engage in business in this
116	state as a commercial collection agency, as defined in this
117	part, or continue to do business in this state as a commercial
118	collection agency, unless the person without first registers
119	with the office according to registering in accordance with this
120	part and thereafter maintains the maintaining such registration.
121	(2)  Each commercial collection agency doing business in
122	this state shall register with the office and annually renew the
123	such registration, providing the registration fee, information,
124	and surety bond required by this part.
125	(3)  A No registration is not shall be valid for any
126	commercial collection agency transacting business at any place
127	other than that designated in the registration unless the office
128	is first notified in advance of any change of location.  A
129	registration under this part is not transferable or assignable.
130	Any commercial collection agency desiring to change its
131	registered name, location, or agent for service of process at
132	any time other than renewal of the registration must shall
133	notify the office of the such change prior to the change.
134	(4)  The office may shall not accept an application for any
135	registration for any commercial collection agency as validly
136	made and filed with the office under this section unless the
137	application registration information furnished to the office by
138	the applicant registrant is complete under pursuant to s.
139	559.545 and facially demonstrates that the applicant such
140	registrant is qualified to engage in business as a commercial
141	collection agency, including specifically that neither the
142	applicant or registrant nor any principal of the applicant
143	registrant has not engaged in any unlawful collection practices,
144	dishonest dealings, acts of moral turpitude, or other criminal
145	acts that reflect an inability to engage in the commercial
146	collection agency business. The office shall inform any person
147	whose application for registration is denied rejected by the
148	office of the fact of and basis for the denial such rejection.
149	A prospective registrant is shall be entitled to be registered
150	when her or his or its application registration information is
151	complete on its face, the applicable registration fee has been
152	paid, and the required evidence of current bond is furnished to
153	the office.
154	(5)  This section does shall not apply to:
155	(a)  A member of The Florida Bar, unless the such person is
156	primarily engaged in the collection of commercial claims.
157	"Primarily engaged in the collection of commercial claims" means
158	that more than one-half of the person's income of such person
159	arises from the business of soliciting commercial claims for
160	collection or collecting commercial claims.
161	(b)  A financial institution authorized to do business in
162	this state and any wholly owned subsidiary and affiliate
163	thereof.
164	(c)  A licensed real estate broker.
165	(d)  A title insurance company authorized to do business in
166	this state.
167	(e)  A collection agency that which is not primarily
168	engaged in the collection of commercial claims.  "Not primarily
169	engaged in the collection of commercial claims" means that less
170	than one-half of the collection revenue of the such agency
171	arises from the collection of commercial claims.
172	(f)  A consumer finance company and any wholly owned
173	subsidiary and affiliate thereof.
174	(g)  A person licensed pursuant to chapter 520.
175	(h)  A credit grantor.
176	(i)  An out-of-state collector as defined in this part.
177	(j)  An FDIC-insured institution or subsidiary or affiliate
178	thereof.
179	Section 2.  Section 559.545, Florida Statutes, is amended
180	to read:
181	559.545  Registration of commercial collection agencies;
182	procedure.--A Any person who wishes to apply for registration
183	register as a commercial collection agency in compliance with
184	this part must shall do so on forms adopted by the commission
185	and furnished by the office. Any renewal of registration shall
186	be made between October 1 and December 31 of each year.  In
187	applying for registering or renewing a registration as required
188	by this part, each commercial collection agency shall furnish to
189	the office a registration fee, information, and surety bond, as
190	follows:
191	(1)  The applicant or registrant shall pay to the office a
192	registration fee of $800 $500.  All amounts collected shall be
193	deposited to the credit of the Regulatory Trust Fund of the
194	office.
195	(2)  The applicant or registrant must shall provide the
196	following information:
197	(a)  The business name or trade name of the commercial
198	collection agency, the current mailing address of the agency,
199	and the current business location of each place from which the
200	agency operates either a main or branch office, with a
201	designation of which location constitutes its principal place of
202	business.
203	(b)  The full names, current addresses, current telephone
204	numbers, and social security numbers, or federal identification
205	numbers of any corporate owner, of the applicant's or
206	registrant's owners or corporate officers and directors, and of
207	the Florida resident agent of the registering agency.
208	(c)  A statement as to whether the applicant or registrant
209	is a domestic or foreign corporation, together with the state
210	and date of incorporation, charter number of the corporation,
211	and, if a foreign corporation, the date the corporation first
212	registered to do business in this state.
213	(d)  A statement listing each county in this state in which
214	the applicant or registrant is currently doing business or plans
215	to do business within the next calendar year, indicating each
216	county in which the applicant or registrant holds an
217	occupational license.
218	(e)  A statement listing each county in this state in which
219	the applicant or registrant is operating under a fictitious name
220	or trade name other than that of the applicant or registrant,
221	indicating the date and place of registration of any such
222	fictitious name or trade name.
223	(f)  A statement listing the names of any other
224	corporations, entities, or trade names through which any owner
225	or director of the applicant or registrant was known or did
226	business as a commercial or consumer collection agency within
227	the 5 calendar years immediately preceding the year in which the
228	agency is registering.
229	(g)  A statement clearly identifying and explaining any
230	occasion on which any professional license or occupational
231	license held by the applicant or registrant, any principal of
232	the applicant or registrant, or any business entity in which any
233	principal of the applicant or registrant was the owner of 10
234	percent or more of the such business was the subject of any
235	suspension, revocation, or other disciplinary action.
236	(h)  A statement clearly identifying and explaining any
237	occasion of a finding of guilt of any crime involving moral
238	turpitude or dishonest conduct on the part of any principal of
239	the applicant or registrant.
240
241	The commission or office may require each applicant for a
242	commercial collection agency registration to provide any
243	information and documentation reasonably necessary to make a
244	determination of the applicant's eligibility for registration.
245	(3)  The applicant or registrant shall furnish to the
246	office evidence, as provided in s. 559.546, of the applicant or
247	registrant having a current surety bond in the amount of
248	$50,000, valid for the year of registration, paid for and issued
249	for the use and benefit of any credit grantor who suffers or
250	sustains any loss or damage by reason of any violation of the
251	provisions of this part by the applicant or registrant, or by
252	any agent or employee of the applicant or registrant acting
253	within the scope of her or his employment, and issued to ensure
254	conformance with the provisions of this part.
255	(4)  Upon the filing of an application for registration and
256	payment of all applicable fees, the office shall, unless the
257	application is to renew or reactivate an existing registration,
258	investigate the applicant. If the office determines that
259	registration should be granted, it shall register the applicant
260	for a period not to exceed 1 year.
261	(5)  A registration that is not renewed by the end of the
262	calendar year expires automatically. A commercial collection
263	agency that has not renewed its registration by the time the
264	registration period expires may request reactivation of its
265	registration. The registrant must file its request with the
266	office on or before January 31 of the year following the year of
267	expiration. The request must contain any information the office
268	requires, together with the registration fee required in
269	subsection (1), and a late fee equal to the registration fee.
270	Any reactivation of registration granted by the office during
271	the month of January is deemed retroactive to January 1 of that
272	year. Any registrant that engages in business as a commercial
273	collection agency after its registration has expired violates s.
274	559.548(1).
275	(6)  An initial or renewal registration application is
276	deemed received for purposes of s. 120.60 upon receipt of the
277	completed application form prescribed by commission rule, the
278	registration fee of $800, and any other fee prescribed by law or
279	rule.
280	Section 3.  Section 559.546, Florida Statutes, is amended
281	to read:
282	559.546  Bond; evidence of current and valid
283	bond.--Pursuant to s. 559.545, the applicant or registrant shall
284	provide to the office evidence that the applicant or registrant
285	has been issued a current and valid surety bond as required by
286	this part.
287	(1)  In addition to each registration filed under pursuant
288	to s. 559.545 and any renewal of the such registration, each
289	applicant or registrant shall furnish to the office the
290	following:
291	(a)  A copy of the surety bond, which bond shall be one
292	issued by a surety known by the applicant or registrant to be
293	acceptable to the office.
294	(b)  A statement from the surety that the annual premium
295	for the bond has been paid in full by the applicant or
296	registrant.
297	(c)  A statement from the surety that the bond issued by
298	the surety meets the requirements of this part.
299	(2)  The liability of the surety under any bond issued
300	under pursuant to the requirements of this part may shall not
301	exceed in the aggregate the amount of the bond, regardless of
302	the number or amount of any claims filed or which might be
303	asserted against the surety on the such bond.  If multiple
304	claims are filed against the surety on any such bond in excess
305	of the amount of the bond, the surety may pay the full amount of
306	the bond to the office and is shall not be further liable under
307	the bond.  The office shall hold the such funds for distribution
308	to claimants and administratively determine and pay to each
309	claimant the pro rata share of each valid claim made against the
310	funds within 6 months after the date of the filing of the first
311	claim against the surety.
312	Section 4.  Section 559.5471, Florida Statutes, is created
313	to read:
314	559.5471  Powers and duties of the Office of Financial
315	Regulation.--
316	(1)  Compliance with this part shall be enforced by the
317	office, except when enforcement is specifically committed to
318	another agency.
319	(2)  The commission may adopt rules under ss. 120.536(1)
320	and 120.54 to implement and administer this part. The commission
321	may adopt a rule to require electronic submission of any form,
322	document, or fee required by this part, provided that the rule
323	reasonably accommodates a person with a technological or
324	financial hardship. The commission may adopt a rule setting
325	forth the criteria and procedures for obtaining an exemption due
326	to a technological or financial hardship. The commission may
327	adopt a rule to accept certification of compliance with the
328	requirements of this part in lieu of requiring submission of
329	specified documents.
330	(3)  All fees, charges, and fines collected by the office
331	under this part shall be deposited to the credit of the
332	Regulatory Trust Fund of the office.
333	(4)  The office, or any duly authorized representative,
334	including any financial examiner or analyst, financial
335	investigator, or attorney at law, may:
336	(a)  Issue, revoke, quash, or modify and serve subpoenas to
337	compel the attendance of witnesses and subpoenas duces tecum to
338	compel the production of all books, accounts, records, and other
339	documents and materials relevant to an examination or
340	investigation. The office may exercise these powers even if the
341	subject of the investigation or examination is exempt from
342	registration.
343	(b)  Administer oaths and affirmations to any person.
344	(c)  Take, or cause to be taken, testimony and depositions.
345	(5)(a)  If the office determines that a person is in
346	substantial noncompliance with a subpoena or subpoena duces
347	tecum that the office issued or caused to be issued, it may
348	petition a court of competent jurisdiction in the county where
349	the person subpoenaed resides or has her, his, or its principal
350	place of business for an order requiring the person to appear
351	and testify and to produce the books, accounts, records, and
352	other documents that are specified in the subpoena duces tecum.
353	(b)  The court may grant injunctive relief restraining the
354	person from advertising, promoting, soliciting, entering into,
355	offering to enter into, continuing, or completing any
356	transaction involving commercial debt collection. The court may
357	grant such other relief, including, but not limited to, the
358	restraint, by injunction or appointment of a receiver, of any
359	transfer, pledge, assignment, or other disposition of the
360	person's assets or any concealment, alteration, destruction, or
361	other disposition of books, accounts, records, or other
362	documents and materials, that the court deems appropriate until
363	the person has fully complied with the subpoena duces tecum and
364	the office has completed its investigation or examination. The
365	court may order the refund of any sums collected whenever books
366	and documents substantiating the transaction are not produced or
367	cannot be produced. The office is entitled to the summary
368	procedure provided in s. 51.011, and the court shall advance the
369	cause on its calendar.
370	(c)  Attorney's fees and any other costs incurred by the
371	office to obtain an order granting, in whole or part, a petition
372	for enforcement of a subpoena or subpoena duces tecum shall be
373	taxed against the subpoenaed person, and failure to comply with
374	the order is a contempt of court.
375	(6)  When it appears to the office that compliance with a
376	subpoena or subpoena duces tecum issued under subsection (4) is
377	essential and that the person or documents subpoenaed are
378	otherwise unavailable to an investigation or examination, the
379	office, in addition to the other remedies provided for in this
380	section, may petition a court of competent jurisdiction in the
381	county in which the subpoenaed person resides or has her, his,
382	or its principal place of business for a writ of ne exeat. The
383	court shall direct the issuance of the writ against the
384	subpoenaed person requiring sufficient bond conditioned on
385	compliance with the subpoena or subpoena duces tecum. The court
386	shall cause to be endorsed on the writ a suitable amount of bond
387	upon the payment of which the person named in the writ shall be
388	freed, having a due regard to the nature of the case.
389	(7)  The office may seek a writ of attachment from a court
390	having jurisdiction over the person who refuses to obey a
391	subpoena, to give testimony, or to produce materials described
392	in the subpoena duces tecum.
393	(8)  A copy of the petition shall be served upon the person
394	by anyone authorized by law or this section to serve subpoenas.
395	The individual serving the petition shall make and file with the
396	court an affidavit showing the date, time, place, and manner of
397	service.
398	(9)  At a hearing on the petition to enforce compliance
399	with a subpoena, the person subpoenaed, or any person whose
400	interest will be substantially affected by the investigation,
401	examination, or subpoena, may appear and object to the subpoena
402	and to the granting of the petition. The court may make any
403	order that justice requires in order to protect a party or other
404	person and her or his personal and property rights, including,
405	but not limited to, protection from annoyance, embarrassment,
406	oppression, undue burden, or expense.
407	(10)  Failure to comply with an order granting, in whole or
408	in part, a petition to enforce a subpoena is a contempt of the
409	court.
410	(11)  Witnesses are entitled to the same fees and mileage
411	to which they would be entitled by law for attending as
412	witnesses in circuit court, except that fees or mileage may not
413	be allowed for testimony of a person taken at the person's
414	principal office or residence.
415	(12)  Reasonable and necessary costs incurred by the office
416	and payable to persons involved with an investigation may be
417	assessed against any debt collector on the basis of actual costs
418	incurred. Assessed expenses may include, but are not limited to,
419	expenses for interpreters; expenses for communications; expenses
420	for legal representation; expenses for economic, legal, or other
421	research; analysis and testimony; and fees and expenses for
422	witnesses. The failure to reimburse the office for its
423	reasonable and necessary costs is a reason to deny a
424	registrant's application or to revoke the prior approval of an
425	application.
426	Section 5.  Section 559.5473, Florida Statutes, is created
427	to read:
428	559.5473  Injunction to restrain violations; receivers.--
429	(1)  The office may bring an action on behalf of the state
430	to enjoin any person who has violated, or is about to violate,
431	this part or any rule or order of the office issued under this
432	part.
433	(2)  In an injunctive proceeding, the court may issue a
434	subpoena requiring the attendance of any witness or a subpoena
435	duces tecum requiring the production of any book, account,
436	record, or other documents and materials relevant to the pending
437	case.
438	(3)(a)  In addition to any procedure provided by law for
439	enforcing a temporary restraining order or a temporary or
440	permanent injunction, the court may, upon application of the
441	office, impound the property, assets, and business of the
442	registrant, including, but not limited to, the books, records,
443	documents, and papers of the registrant. The court may appoint a
444	receiver to administer the property. The receiver, when
445	appointed and qualified, has the powers and duties that are
446	conferred upon the receiver by the court.
447	(b)  After appointing a receiver, the court may issue an
448	order staying all pending suits and enjoining any further
449	litigation affecting the receiver's custody or possession of the
450	property, assets, and business, and the court, with the consent
451	of the chief judge of the circuit, may require that all suits be
452	assigned to the circuit judge who appointed the receiver.
453	Section 6.  Section 559.5474, Florida Statutes, is created
454	to read:
455	559.5474  Cease and desist orders; refund orders.--
456	(1)  The office may issue and serve upon a person an order
457	to cease and desist and to take corrective action whenever the
458	office has reason to believe that the commercial collection
459	agency is violating, has violated, or is about to violate this
460	part, any rule or order of the office issued under this part, or
461	any written agreement between the commercial collection agency
462	and the office. Procedural matters relating to the issuance and
463	enforcement of a cease and desist order are governed by chapter
464	120.
465	(2)  The office may seek an order of restitution for
466	collected funds due to creditors or any sum collected from a
467	debtor without valid proof of debt.
468	Section 7.  Section 559.5475, Florida Statutes, is created
469	to read:
470	559.5475  Evidence; examiner's worksheets, investigative
471	reports, other related documents.--An official written report,
472	sworn complaint, worksheet, or other related paper, or a
473	certified copy thereof, compiled, prepared, drafted, or
474	otherwise made by the financial examiner is admissible into
475	evidence if the financial examiner is available for cross-
476	examination; authenticates the worksheet; and testifies that the
477	report, worksheet, or related document was prepared as a result
478	of an examination of the books and records of a registrant or
479	other person conducted under the authority of this part.
480	Section 8.  Section 559.5476, Florida Statutes, is created
481	to read:
482	559.5476  Books, accounts, and records; maintenance;
483	examinations by the office.--
484	(1)  Each registrant shall maintain, at its principal place
485	of business designated on its registration, all books, accounts,
486	records, and documents necessary to determine the registrant's
487	compliance with this part.
488	(2)  The office may authorize maintenance of records at a
489	location other than a principal place of business. The office
490	may require books, accounts, and records to be produced and
491	available at a reasonable and convenient location in this state.
492	(3)  All books, accounts, records, documents, and receipts
493	for payments to a registrant by a debtor, and payments made to a
494	creditor by a registrant, shall be preserved and kept available
495	for examination by the office for 3 years after the date of
496	original entry. The commission shall adopt requirements by rule
497	for maintaining the books, accounts, records, and documents
498	retained by the registrant and for destroying the records.
499	(4)  The commission shall designate by rule the minimum
500	information that must be contained in the registrant's books,
501	accounts, records, and documents in order that the records will
502	enable the office to determine a registrant's compliance with
503	this part.
504	Section 9.  Section 559.5477, Florida Statutes, is created
505	to read:
506	559.5477  Administrative remedies.--
507	(1)  The office may revoke or suspend the registration of a
508	registrant under this part who:
509	(a)  Has been found guilty of, regardless of adjudication,
510	or has entered a plea of nolo contendere or guilty to, any crime
511	involving fraud, dishonest dealing, or moral turpitude;
512	(b)  Has had a final judgment entered against the person in
513	a civil action upon the grounds of fraud, embezzlement,
514	misrepresentation, or deceit;
515	(c)  Has pending against the person a criminal prosecution
516	or administrative enforcement action, in any jurisdiction, which
517	involves fraud, dishonest dealing, or any other act of moral
518	turpitude;
519	(d)  Has had any business, professional, or occupational
520	license or registration suspended, revoked, or otherwise acted
521	against in any jurisdiction;
522	(e)  Fails to maintain the surety bond required pursuant to
523	s. 559.546;
524	(f)  Fails to maintain books and records as required by s.
525	559.5476;
526	(g)  Violates any order issued by the office; or
527	(h)  Paid for a registration with a check or electronic
528	transmission of funds which failed to clear the registrant's
529	financial institution.
530	(2)  Any registration made under this part which is based
531	upon false identification or false information, or an
532	identification that is not current with respect to name,
533	address, business location, or other fact that is material to
534	the registration, is void. Any registration made and
535	subsequently found to be void under this section does not create
536	a defense to any action brought by the office to impose a
537	sanction for a violation of this part.
538	(3)  A registrant may request to terminate its registration
539	by delivering written notice of its proposed termination to the
540	office. However, the delivery of the termination notice does not
541	affect any civil or criminal liability of the registrant or the
542	authority of the office to enforce this part.
543	(4)  The office may deny a request to terminate a
544	registration or to withdraw an application for registration if
545	the office believes that the registrant has committed an act
546	that would be grounds for denial, suspension, or revocation
547	under this part.
548	(5)  Final action by the office to revoke or suspend the
549	registration of a registrant is subject to review according to
550	chapter 120 in the same manner as revocation of a license.
551	(6)  The office may impose an administrative fine of up to
552	$1,000 per violation against an offending registrant as an
553	administrative sanction. Final action by the office to impose an
554	administrative fine is subject to review in accordance with ss.
555	120.569 and 120.57.
556	(7)  Any administrative fine imposed under this part shall
557	be payable to the office. The office shall maintain an
558	appropriate record and deposit the fine into the Regulatory
559	Trust Fund of the office.
560	(8)  An administrative action by the office to impose
561	revocation, suspension, or a fine must be brought within 2 years
562	after the date of the last violation upon which the action is
563	founded.
564	Section 10.  Subsections (1) and (8) of section 559.55,
565	Florida Statutes, are amended, and subsections (10), (11), and
566	(12) are added to said section, to read:
567	559.55  Definitions.--The following terms shall, unless the
568	context otherwise indicates, have the following meanings for the
569	purpose of this part:
570	(1)  "Debt" or "consumer debt" means:
571	(a)  Any obligation or alleged obligation of a consumer to
572	pay money arising out of a transaction in which the money,
573	property, insurance, or services which are the subject of the
574	transaction are primarily for personal, family, or household
575	purposes, whether or not such obligation has been reduced to
576	judgment; or
577	(b)  Any unsatisfied obligation for the payment of money
578	arising out of any legal order.
579	(8)  "Out-of-state consumer debt collector" means any
580	person whose business activities in this state involve both
581	collecting or attempting to collect consumer debt from debtors
582	located in this state by means of interstate communication
583	originating from outside this state and soliciting consumer debt
584	accounts for collection from creditors who have a business
585	presence in this state.  For purposes of this subsection, a
586	creditor has a business presence in this state if either the
587	creditor or an affiliate or subsidiary of the creditor has an
588	office or resides in this state.
589	(10)  "Federal Trade Commission Act" means the federal
590	legislation regulating unfair or deceptive practices or acts, as
591	set forth in 15 U.S.C. ss. 41 et seq.
592	(11)  "A person who has control over an applicant or
593	registrant" means a person who:
594	(a)  Directly, indirectly, or acting through one or more
595	other persons owns, controls, or has the power to vote 25
596	percent or more or any class of voting securities of an
597	applicant or registrant.
598	(b)  The office determines, after notice and opportunity
599	for hearing, exercises a controlling influence, directly or
600	indirectly, over the activities of an applicant or registrant.
601	(12)  "Principal of a registrant or applicant" means the
602	applicant's or registrant's owners if a partnership or sole
603	proprietorship; the corporate officers; the corporate directors,
604	other than directors of a not-for-profit corporation organized
605	under chapter 617; or the Florida resident agent if a
606	corporation is the applicant or registrant.
607	Section 11.  Section 559.552, Florida Statutes, is amended
608	to read:
609	559.552  Relationship of state and federal law.--
610	(1)  Any violation of the federal Fair Debt Collection
611	Practices Act constitutes a prohibited practice under s. 559.72.
612	(2)  Nothing in This part does not shall be construed to
613	limit or restrict the continued applicability of the federal
614	Fair Debt Collection Practices Act to consumer collection
615	practices in this state.  This part is in addition to the
616	requirements and regulations of the federal act. In construing
617	this part, due consideration and great weight shall be given to
618	interpretations of the Federal Trade Commission Act and the Fair
619	Debt Collection Practices Act by the Federal Trade Commission
620	and the federal courts. In the event of any inconsistency
621	between any provision of this part and any provision of the
622	federal act, including federal case law, the provision that
623	which is more protective of the consumer or debtor shall
624	prevail.
625	Section 12.  Section 559.553, Florida Statutes, is amended
626	to read:
627	559.553  Registration of consumer collection agencies
628	required; exemptions.--
629	(1)  After January 1, 1994, a no person may not shall
630	engage in business in this state as a consumer collection agency
631	or continue to do business in this state as a consumer
632	collection agency without first registering in accordance with
633	this part, and thereafter maintaining a valid registration.
634	(2)  Each consumer collection agency doing business in this
635	state shall register with the office and renew its such
636	registration annually as set forth in s. 559.555.
637	(3)  A prospective registrant is shall be entitled to be
638	registered when registration information is complete on its face
639	and the applicable registration fee has been paid; however, the
640	office may deny an application for reject a registration
641	submitted by a prospective registrant if the applicant
642	registrant or any principal or person having control of the
643	applicant registrant previously has held any professional
644	license or state registration that which was the subject of any
645	suspension or revocation which has not been explained by the
646	prospective registrant to the satisfaction of the office either
647	in the registration information submitted initially or upon the
648	subsequent written request of the office. If In the event that
649	an application for attempted registration is denied rejected by
650	the office, the prospective registrant shall be informed of the
651	basis for the denial rejection.
652	(4)  This section does shall not apply to:
653	(a)  An Any original creditor.
654	(b)  A Any member of The Florida Bar.
655	(c)  A Any financial institution authorized to do business
656	in this state or and a any wholly owned subsidiary or and
657	affiliate thereof.
658	(d)  A Any licensed real estate broker.
659	(e)  An Any insurance company authorized to do business in
660	this state.
661	(f)  A Any consumer finance company or and a any wholly
662	owned subsidiary or and affiliate thereof.
663	(g)  A Any person licensed under pursuant to chapter 520.
664	(h)  An Any out-of-state consumer debt collector who does
665	not solicit consumer debt accounts for collection from credit
666	grantors who have a business presence in this state.
667	(i)  A Any FDIC-insured institution or subsidiary or
668	affiliate thereof.
669	(5)  An Any out-of-state consumer debt collector as defined
670	in s. 559.55(8) who is not exempt from registration by
671	application of subsection (4) and who fails to register in
672	accordance with this part shall be subject to an enforcement
673	action by the state as specified in s. 559.565.
674	Section 13.  Section 559.555, Florida Statutes, is amended
675	to read:
676	559.555  Registration of consumer collection agencies;
677	procedure.--
678	(1)  An application for registration under this part shall
679	be filed on a form prescribed by the commission and must
680	contain:
681	(a)  The full legal name, residential address, business
682	addresses, telephone number, and social security number or
683	federal identification number for:
684	1.  The applicant;
685	2.  Any person having control over the applicant or
686	registrant;
687	3.  Any principal of an applicant or registrant;
688	4.  Each member if the applicant is a partnership or
689	association; and
690	5.  Each owner, officer, director, and registered agent if
691	the applicant is a corporation.
692	(b)  The business name, trade name, fictitious name, or
693	name under which the consumer collection business is doing
694	business; the current mailing address of the consumer collection
695	agency; and the business location of each place from which the
696	consumer collection agency operates a main or branch office,
697	with a designation of which location constitutes its principal
698	place of business.
699	(c)  A statement listing each county in this state in which
700	the applicant is currently doing business or plans to do
701	business within the next calendar year, indicating each county
702	in which the applicant holds an occupational license.
703	(d)  A statement listing each county in this state in which
704	the applicant is currently operating under a fictitious name or
705	trade name other than that of the applicant, indicating the date
706	and place of registration of any fictitious name or trade name.
707	(e)  A statement listing the names of any other
708	corporations, entities, or trade names by which any owner or
709	director of the applicant was known or did business as a
710	collection agency in the 5 years immediately before the year in
711	which the agency is registering.
712	(f)  A statement clearly identifying and explaining each
713	occasion on which a professional or occupational license held by
714	the applicant, any principal of the applicant, or any business
715	entity in which any principal of the applicant was the owner of
716	10 percent or more of the business was the subject of any
717	suspension, revocation, or other disciplinary action.
718	(g)  A statement clearly identifying and explaining each
719	occasion when a principal of the applicant was found guilty of a
720	crime involving moral turpitude or dishonest conduct.
721	(h)  Any information and documentation reasonably necessary
722	to make a determination of the applicant's eligibility for
723	registration, as required by the office or commission.
724	(i)  A surety bond in the amount of $50,000 issued by a
725	surety company admitted to do business in this state and
726	assigned to the office for the benefit of consumers.
727	(2)  The application information must include a statement
728	clearly identifying and explaining each occasion when a
729	professional license or state registration held by a person with
730	control over an applicant or by any business entity in which any
731	person with control over an applicant was the owner of 10
732	percent or more of the business was the subject of a suspension
733	or revocation proceeding. Any person required to register as a
734	consumer collection agency shall furnish to the office the
735	registration fee and information as follows:
736	(3)(1)  The applicant or registrant shall pay to the office
737	a nonrefundable registration fee in the amount of $800 $200.
738	All amounts collected shall be deposited by the office to the
739	credit of the Regulatory Trust Fund of the office.
740	(4)(2)  Each applicant or registrant shall provide to the
741	office the business name or trade name, the current mailing
742	address, the current business location that which constitutes
743	its principal place of business, and the full name of each
744	individual who is a principal of the applicant or registrant.
745	"Principal of a registrant" means the registrant's owners if a
746	partnership or sole proprietorship, corporate officers,
747	corporate directors other than directors of a not-for-profit
748	corporation organized pursuant to chapter 617 and Florida
749	resident agent if a corporate registrant.  The registration
750	information shall include a statement clearly identifying and
751	explaining any occasion on which any professional license or
752	state registration held by the registrant, by any principal of
753	the registrant, or by any business entity in which any principal
754	of the registrant was the owner of 10 percent or more of such
755	business, was the subject of any suspension or revocation.
756	(5)  Notwithstanding s. 559.553(3), the office may deny
757	registration if the applicant, any principal of the applicant,
758	or any person having control of the applicant:
759	(a)  Has committed any practice prohibited under s. 559.72;
760	(b)  Is under investigation by the office, any state
761	attorney, or the Department of Legal Affairs for committing a
762	practice prohibited under s. 559.72;
763	(c)  Is currently subject to pending enforcement by any
764	federal authority for violations of the Fair Debt Collection
765	Practices Act or the Federal Trade Commission Act;
766	(d)  Has been found guilty of, regardless of adjudication,
767	or has entered a plea of nolo contendere or guilty to,
768	racketeering or any offense involving fraud or dishonest
769	dealing;
770	(e)  Has been found guilty of, regardless of adjudication,
771	or has entered a plea of nolo contendere or guilty to, any
772	felony;
773	(f)  Has had entered against him or her, or any business
774	for which he or she has worked or been affiliated, an
775	injunction, a temporary restraining order, or a final judgment
776	or order, including a stipulated judgment or order, an assurance
777	of voluntary compliance, or any similar document, in any civil
778	or administrative action involving racketeering, fraud, theft,
779	embezzlement, fraudulent conversion, or misappropriation of
780	property or the use of any untrue, deceptive, or misleading
781	representation in an attempt to sell or dispose of real or
782	personal property or the use of any unfair, unlawful, or
783	deceptive trade practice, whether or not there is any litigation
784	pending against the applicant;
785	(g)  Is subject to or has worked or been affiliated with
786	any company that is, or ever has been, subject to any
787	injunction, temporary restraining order, including a stipulated
788	judgment or order, an assurance of voluntary compliance, or any
789	similar document, or any restrictive court order relating to
790	business activity as the result of any action brought by a
791	governmental agency, including any action affecting any license
792	to do business or practice an occupation or trade;
793	(h)  Has at any time during the previous 7 years filed for
794	bankruptcy, been adjudged bankrupt, or been reorganized because
795	of insolvency;
796	(i)  Falsified or willfully omitted any material
797	information asked for in any application, document, or record
798	required to be submitted under this part or the rules of the
799	office;
800	(j)  Made a material false statement of fact in an
801	application for registration or in response to any request or
802	investigation by the office, the Department of Legal Affairs, or
803	the state attorney; or
804	(k)  Has been the subject of any adverse decision, finding,
805	injunction, suspension, prohibition, revocation, denial, or
806	judgment by any court of competent jurisdiction or an
807	administrative order by an administrative law judge, or by any
808	state or federal agency or any business, professional, or
809	occupational association involving a violation of any law, rule,
810	or regulation relating to business or professional licensing.
811	(6)  A registrant shall maintain a surety bond of $50,000
812	issued by a surety company admitted to do business in this state
813	and assigned to the office for the benefit of consumers.
814	(7)  Upon the filing of an application for registration and
815	payment of all applicable fees, the office shall, unless the
816	application is to renew or reactivate an existing license,
817	investigate the applicant. If the office determines that
818	registration should be granted, it shall register the applicant
819	for a period not to exceed 1 year.
820	(8)  A registration must be obtained for each place of
821	business subject to registration under this chapter. A
822	registration is not transferable or assignable.
823	(9)  A registrant must give notice to the office within 10
824	business days of any of the following:
825	(a)  Relocation of the place of the registrant's business;
826	and
827	(b)  The registrant's becoming subject to a voluntary or
828	involuntary bankruptcy.
829	(10)  An application form is deemed to be received for
830	purposes of s. 120.60 upon receipt of a completed application,
831	as prescribed by commission rule, the nonrefundable application
832	fee, and any other fee prescribed by law or rule.
833	(11)(a)(3)  Renewal of registration shall be made between
834	October 1 and December 31 of each year.  There shall be no
835	proration of the fee for any registration. The office shall
836	adopt rules for the renewal of registration.
837	(b)  A registration that is not renewed by the end of the
838	calendar year expires automatically. A consumer collection
839	agency that has not renewed its registration by the time the
840	registration period expires may request reactivation of its
841	registration. The registrant must file its request with the
842	office on or before January 31 of the year following the year of
843	expiration. The request must contain any information the office
844	requires, together with the registration fee required in
845	subsection (1) and a late fee equal to the registration fee. Any
846	reactivation of registration granted by the office during the
847	month of January is deemed retroactive to January 1 of that
848	year. Any registrant that engages in the business of a consumer
849	collection agency after its registration has expired violates
850	ss. 559.553 and 559.785(1).
851	Section 14.  Section 559.565, Florida Statutes, is amended
852	to read:
853	559.565  Enforcement action against out-of-state consumer
854	debt collector.--The remedies of this section are cumulative to
855	other sanctions and enforcement provisions of this part for any
856	violation by an out-of-state consumer debt collector, as defined
857	in s. 559.55(8).
858	(1)  Any out-of-state consumer debt collector who collects
859	or attempts to collect consumer debts in this state without
860	first registering in accordance with this part shall be subject
861	to an administrative fine not to exceed $1,000 per violation
862	together with reasonable attorney fees and court costs in any
863	successful action by the state to collect the such fines.
864	(2)  Any person, whether or not exempt from registration
865	under this part, who is otherwise subject to the jurisdiction of
866	this state and violates the provisions of s. 559.72 shall be
867	subject to sanctions for the such violations the same as any
868	other consumer debt collector, including imposition of an
869	administrative fine.  The registration of a duly registered out-
870	of-state consumer debt collector shall be subject to revocation
871	or suspension in the same manner as the registration of any
872	other registrant under this part.
873	(3)  In order to effectuate the provisions of this section
874	and enforce the requirements of this part as it relates to out-
875	of-state consumer debt collectors, the Attorney General is
876	expressly authorized to initiate an such action on behalf of the
877	state as he or she deems appropriate in any federal district
878	court of competent jurisdiction.
879	Section 15.  Section 559.72, Florida Statutes, is amended
880	to read:
881	559.72  Prohibited practices generally.--In collecting
882	consumer debts, a no person may not shall:
883	(1)  Simulate in any manner a law enforcement officer or a
884	representative of any governmental agency;
885	(2)  Use or threaten force, or violence, or any other means
886	to harm the physical person, property, or reputation of any
887	person;
888	(3)  Tell a debtor who disputes a consumer debt that she or
889	he or any person employing her or him will disclose to another,
890	orally or in writing, directly or indirectly, information
891	affecting the debtor's reputation for credit worthiness without
892	also informing the debtor that the existence of the dispute will
893	also be disclosed as required by subsection (6);
894	(4)  Communicate or threaten to communicate with a debtor's
895	employer prior to obtaining final judgment against the debtor,
896	unless the debtor gives her or his permission in writing to
897	contact her or his employer or acknowledges in writing the
898	existence of the debt after the debt has been placed for
899	collection, but this shall not prohibit a person from telling
900	the debtor that her or his employer will be contacted if a final
901	judgment is obtained;
902	(5)  Disclose to a person other than the debtor or her or
903	his family information affecting the debtor's reputation,
904	whether or not for credit worthiness, with knowledge or reason
905	to know that the other person does not have a legitimate
906	business need for the information or that the information is
907	false;
908	(6)  Disclose information concerning the existence of a
909	debt known to be reasonably disputed by the debtor without
910	disclosing that fact.  If a disclosure is made prior to such
911	reasonable dispute having been asserted and written notice is
912	received from the debtor that any part of the debt is disputed
913	and if such dispute is reasonable, the person who made the
914	original disclosure shall reveal upon the request of the debtor
915	within 30 days the details of the dispute to each person to whom
916	disclosure of the debt without notice of the dispute was made
917	within the preceding 90 days;
918	(7)  Willfully communicate with the debtor or any member of
919	her or his family with such frequency as can reasonably be
920	expected to harass the debtor or her or his family, or willfully
921	engage in other conduct which can reasonably be expected to
922	abuse or harass the debtor or any member of her or his family;
923	(8)  Use profane, obscene, vulgar, or willfully abusive
924	language in communicating with the debtor or any member of her
925	or his family;
926	(9)  Claim, attempt, or threaten to enforce a debt when
927	such person knows that the debt is not legitimate or assert the
928	existence of some other legal right when such person knows that
929	the right does not exist;
930	(10)  Use a communication which simulates in any manner
931	legal or judicial process or which gives the appearance of being
932	authorized, issued or approved by a government, governmental
933	agency, or attorney at law, when it is not;
934	(11)  Communicate with a debtor under the guise of an
935	attorney by using the stationery of an attorney or forms or
936	instruments which only attorneys are authorized to prepare;
937	(12)  Orally communicate with a debtor in such a manner as
938	to give the false impression or appearance that such person is
939	or is associated with an attorney;
940	(13)  Advertise or threaten to advertise for sale any debt
941	as a means to enforce payment except under court order or when
942	acting as an assignee for the benefit of a creditor;
943	(14)  Publish or post, threaten to publish or post, or
944	cause to be published or posted before the general public
945	individual names or any list of names of debtors, commonly known
946	as a deadbeat list, for the purpose of enforcing or attempting
947	to enforce collection of consumer debts;
948	(15)  Refuse to provide adequate identification of herself
949	or himself or her or his employer or other entity whom she or he
950	represents when requested to do so by a debtor from whom she or
951	he is collecting or attempting to collect a consumer debt;
952	(16)  Mail any communication to a debtor in an envelope or
953	postcard with words typed, written, or printed on the outside of
954	the envelope or postcard indicating that the purpose of the
955	communication is to collect a debt or is otherwise calculated to
956	embarrass the debtor.  An example of this would be an envelope
957	addressed to "Deadbeat, Jane Doe" or "Deadbeat, John Doe";
958	(17)  Communicate with the debtor between the hours of 9
959	p.m. and 8 a.m. in the debtor's time zone, at any unusual time
960	or place, or a time or place that is known or should be known to
961	be inconvenient for the debtor without the prior consent of the
962	debtor;
963	(18)  Communicate with a debtor if the person knows that
964	the debtor is represented by an attorney with respect to such
965	debt and has knowledge of, or can readily ascertain, such
966	attorney's name and address, unless the debtor's attorney fails
967	to respond within a reasonable period of time to a communication
968	from the person, unless the debtor's attorney consents to a
969	direct communication with the debtor, or unless the debtor
970	initiates the communication; or
971	(19)  Cause charges to be made to any debtor for
972	communications by concealment of the true purpose of the
973	communication, including collect telephone calls and telegram
974	fees.
975	Section 16.  Section 559.725, Florida Statutes, is amended
976	to read:
977	559.725  Consumer complaints; administrative duties.--
978	(1)  Any person having reason to believe that this part has
979	been violated may file a written complaint with the office
980	setting forth the details of the alleged violation.
981	(2)  The office may conduct an investigation of any person,
982	within or outside this state, which it believes is necessary in
983	order to determine whether a person has violated this part or
984	the rules adopted by the office.
985	(3)(a)  The office may conduct examinations of any
986	registrant. The office shall conduct all examinations at a
987	location in this state convenient to the registrant unless the
988	office determines that it is more effective or cost-efficient to
989	perform the examination at the registrant's out-of-state
990	location.
991	(b)  The registrant shall pay the travel expenses and per
992	diem subsistence at the rate provided by law for an examination
993	conducted at the registrant's out-of-state location. The
994	registrant shall pay for up to 30 8-hour days per year for each
995	office examiner participating in the examination. However, if
996	the examination involves or reveals fraudulent misconduct by the
997	registrant, the registrant shall pay the travel expenses and per
998	diem subsistence, without limitation, for each examiner
999	participating in the examination.
1000	(4)  Nothing in this part may be construed to be a
1001	jurisdictional prerequisite to enforcement by the office, the
1002	Department of Legal Affairs, or a state attorney.
1003	(1)  The Division of Consumer Services of the Department of
1004	Financial Services shall serve as the registry for receiving and
1005	maintaining records of inquiries, correspondence, and complaints
1006	from consumers concerning any and all persons who collect debts,
1007	including consumer collection agencies.
1008	(2)  The division shall classify complaints by type and
1009	identify the number of written complaints against persons
1010	collecting or attempting to collect debts in this state,
1011	including credit grantors collecting their own debts, debt
1012	collectors generally, and, specifically, consumer collection
1013	agencies as distinguished from other persons who collect debts
1014	such as commercial debt collection agencies regulated under part
1015	V of this chapter. The division shall identify the nature and
1016	number of various kinds of written complaints, including
1017	specifically those alleging violations of s. 559.72.
1018	(3)  The division shall inform and furnish relevant
1019	information to the appropriate regulatory body of the state, or
1020	The Florida Bar in the case of attorneys, when any consumer debt
1021	collector exempt from registration under this part has been
1022	named in five or more written consumer complaints alleging
1023	violations of s. 559.72 within a 12-month period.
1024	(4)  The division shall furnish a form to each complainant
1025	whose complaint concerns an alleged violation of s. 559.72 by a
1026	consumer collection agency.  Such form may be filed with the
1027	office.  The form shall identify the accused consumer collection
1028	agency and provide for the complainant's summary of the nature
1029	of the alleged violation and facts which allegedly support the
1030	complaint.  The form shall include a provision for the
1031	complainant to state under oath before a notary public that the
1032	allegations therein made are true.
1033	(5)  Upon receipt of such sworn complaint, the office shall
1034	promptly furnish a copy of the sworn complaint to the accused
1035	consumer collection agency.
1036	(6)  The office shall investigate sworn complaints by
1037	direct written communication with the complainant and the
1038	affected consumer collection agency. In addition, the office
1039	shall attempt to resolve each sworn complaint and shall record
1040	the resolution of such complaints.
1041	(7)  Periodically, the office shall identify consumer
1042	collection agencies that have unresolved sworn consumer
1043	complaints from five or more different consumers within a 12-
1044	month period under the provisions of this part.
1045	(8)  The office shall issue a written warning notice to the
1046	accused consumer collection agency if the office is unable to
1047	resolve all such sworn complaints and fewer than five unresolved
1048	complaints remain. Such notice shall include a statement that
1049	the warning may constitute evidence in any future investigation
1050	of similar complaints against that agency and in any future
1051	administrative determination of the imposition of other
1052	administrative remedies available to the office under this part.
1053	(9)  The office may issue a written reprimand when five or
1054	more such unresolved sworn complaints against a consumer
1055	collection agency collectively fall short of constituting
1056	apparent repeated violations that warrant more serious
1057	administrative sanctions. Such reprimand shall include a
1058	statement that the reprimand may constitute evidence in any
1059	future investigation of similar complaints against that agency
1060	and in any future administrative determination of the imposition
1061	of other administrative remedies available to the office.
1062	(10)  The office shall issue a notice of intent either to
1063	revoke or suspend the registration or to impose an
1064	administrative fine when the office preliminarily determines
1065	that repeated violations of s. 559.72 by an accused registrant
1066	have occurred which would warrant more serious administrative
1067	sanctions being imposed under this part.  The office shall
1068	advise each registrant of the right to require an administrative
1069	hearing under chapter 120, prior to the agency's final action on
1070	the matter as authorized by s. 559.730.
1071	(5)(11)  Any government office or agency receiving a
1072	complaint under this section The office shall advise any other
1073	government office or agency with apparent jurisdiction,
1074	including the office, the appropriate state attorney, or the
1075	Attorney General in the case of an out-of-state consumer debt
1076	collector, of any determination by that agency the office of a
1077	violation, or possible violation, of the requirements of this
1078	part by any consumer collection agency, whether or which is not
1079	registered or exempt from registration as required by this part.
1080	The office shall furnish the state attorney or Attorney General
1081	with the office's information concerning the alleged violations
1082	of such requirements.
1083	Section 17.  Section 559.726, Florida Statutes, is created
1084	to read:
1085	559.726  Powers and duties of the Office of Financial
1086	Regulation.--
1087	(1)  Compliance with this part shall be enforced by the
1088	office, except to the extent that enforcement is specifically
1089	committed to another agency.
1090	(2)  The commission may adopt rules under ss. 120.536(1)
1091	and 120.54 to implement and administer this part. The commission
1092	may adopt a rule to require electronic submission of any form,
1093	document, or fee required by this part, provided that the rule
1094	reasonably accommodates a person with a technological or
1095	financial hardship. The commission may adopt a rule setting
1096	forth the criteria and procedures for obtaining an exemption due
1097	to a technological or financial hardship exemption. The
1098	commission may adopt a rule to accept certification of
1099	compliance with the requirements of this part in lieu of
1100	requiring submission of documents.
1101	(3)  All fees, charges, and fines collected by the office
1102	under this part shall be deposited to the credit of the
1103	Regulatory Trust Fund of the office.
1104	(4)  The office, or any duly authorized representative,
1105	including any financial examiner or analyst, financial
1106	investigator, or attorney at law, may:
1107	(a)  Issue, revoke, quash, or modify and serve subpoenas to
1108	compel the attendance of witnesses and subpoenas duces tecum to
1109	compel the production of all books, accounts, records, and other
1110	documents and materials relevant to an examination or
1111	investigation. The office may exercise these powers even if the
1112	subject of the investigation or examination is exempt from
1113	registration;
1114	(b)  Administer oaths and affirmations to any person; or
1115	(c)  Take, or cause to be taken, testimony and depositions.
1116	(5)(a)  If the office determines that a person is in
1117	substantial noncompliance with a subpoena or subpoena duces
1118	tecum that the office issued or caused to be issued, it may
1119	petition a court of competent jurisdiction in the county in
1120	which the person subpoenaed resides or has her, his, or its
1121	principal place of business for an order requiring the
1122	subpoenaed person to appear and testify and to produce the
1123	books, accounts, records, and other documents that are specified
1124	in the subpoena duces tecum.
1125	(b)  The court may grant injunctive relief restraining the
1126	person from advertising, promoting, soliciting, entering into,
1127	offering to enter into, continuing, or completing any
1128	transaction involving consumer debt collection. The court may
1129	grant such other relief, including, but not limited to, the
1130	restraint, by injunction or appointment of a receiver, of any
1131	transfer, pledge, assignment, or other disposition of the
1132	person's assets or any concealment, alteration, destruction, or
1133	other disposition of the books, accounts, records, or other
1134	documents and materials, that the court deems appropriate until
1135	the person has fully complied with the subpoena duces tecum and
1136	the office has completed its investigation or examination. The
1137	court may order the refund of any sums collected whenever books
1138	and documents substantiating the transaction are not produced or
1139	cannot be produced. The office is entitled to the summary
1140	procedure provided in s. 51.011, and the court shall advance the
1141	cause on its calendar.
1142	(c)  Attorney's fees and any other costs incurred by the
1143	office to obtain an order granting, in whole or part, a petition
1144	to enforce a subpoena or subpoena duces tecum shall be taxed
1145	against the subpoenaed person, and failure to comply with the
1146	order is a contempt of court.
1147	(6)  When it appears to the office that compliance with a
1148	subpoena or subpoena duces tecum issued under subsection (4) is
1149	essential and that the person or documents subpoenaed are
1150	otherwise unavailable to an investigation or examination, the
1151	office, in addition to the other remedies provided for in this
1152	section, may petition a court of competent jurisdiction in the
1153	county in which the subpoenaed person resides or has her, his,
1154	or its principal place of business for a writ of ne exeat. The
1155	court shall direct the issuance of the writ against the
1156	subpoenaed person requiring sufficient bond conditioned on
1157	compliance with the subpoena or subpoena duces tecum. The court
1158	shall cause to be endorsed on the writ a suitable amount of bond
1159	upon the payment of which the person named in the writ shall be
1160	freed, having a due regard to the nature of the case.
1161	(7)  The office may seek a writ of attachment from the
1162	court having jurisdiction over the person who refuses to obey a
1163	subpoena, to give testimony, or to produce the matters described
1164	in the subpoena duces tecum.
1165	(8)  A copy of the petition shall be served upon the person
1166	by anyone authorized by law or this section to serve subpoenas.
1167	The individual serving the petition shall make and file with the
1168	court an affidavit showing the date, time, place, and manner of
1169	service.
1170	(9)  At a hearing on the petition to enforce compliance
1171	with a subpoena, the person subpoenaed, or any person whose
1172	interest will be substantially affected by the investigation,
1173	examination, or subpoena, may appear and object to the subpoena
1174	and to the granting of the petition. The court may make any
1175	order that justice requires in order to protect a party or other
1176	person and her or his personal and property rights, including,
1177	but not limited to, protection from annoyance, embarrassment,
1178	oppression, undue burden, or expense.
1179	(10)  Failure to comply with an order granting, in whole or
1180	in part, a petition to enforce a subpoena is a contempt of the
1181	court.
1182	(11)  Witnesses are entitled to the same fees and mileage
1183	to which they would be entitled by law for attending as
1184	witnesses in circuit court, except that fees or mileage may not
1185	be allowed for testimony of a person taken at the person's
1186	principal office or residence.
1187	(12)  Reasonable and necessary costs incurred by the office
1188	and payable to persons involved with an investigation may be
1189	assessed against any debt collector on the basis of actual costs
1190	incurred. Assessed expenses may include, but are not limited to,
1191	expenses for interpreters; expenses for communications; expenses
1192	for legal representation; expenses for economic, legal, or other
1193	research; expenses for analysis and testimony; and fees and
1194	expenses for witnesses. The failure to reimburse the office for
1195	its reasonable and necessary costs is a reason to deny a
1196	registrant's application or to revoke the prior approval of an
1197	application.
1198	Section 18.  Section 559.7262, Florida Statutes, is created
1199	to read:
1200	559.7262  Injunction to restrain violations.--
1201	(1)  The office may bring an action on behalf of the state
1202	to enjoin any person who has violated, or who is about to
1203	violate, this part or any rule or order of the office issued
1204	under this part.
1205	(2)  In an injunctive proceeding, the court may issue a
1206	subpoena requiring the attendance of any witness or a subpoena
1207	duces tecum requiring the production of any book, account,
1208	record, or other documents and materials relevant to the pending
1209	case.
1210	(3)(a)  In addition to any procedure provided by law to
1211	enforce a temporary restraining order, temporary injunction, or
1212	permanent injunction, the court may, upon application of the
1213	office, impound the property, assets, and business of the
1214	registrant, including, but not limited to, the books, records,
1215	documents, and papers of the registrant. The receiver, when
1216	appointed and qualified, has the powers and duties that are
1217	conferred by the court.
1218	(b)  After appointing the receiver, the court may issue an
1219	order staying all pending suits and enjoining any further
1220	litigation affecting the receiver's custody or possession of the
1221	property, assets, and business, and the court, with the consent
1222	of the chief judge of the circuit, may require that all suits be
1223	assigned to the circuit court judge who appointed the receiver.
1224	Section 19.  Section 559.7263, Florida Statutes, is created
1225	to read:
1226	559.7263  Cease and desist orders; refund orders.--
1227	(1)  The office may issue and serve upon a person an order
1228	to cease and desist and to take corrective action whenever the
1229	office has reason to believe that the person is violating, has
1230	violated, or is about to violate this part, any rule or order of
1231	the office issued under this part, or any written agreement
1232	between the person and the office. Procedural matters relating
1233	to issuance and enforcement of such a cease and desist order are
1234	governed by chapter 120.
1235	(2)  The office has the power to seek an order of
1236	restitution for collected funds due to creditors or any sum
1237	collected from a debtor without valid proof of debt.
1238	Section 20.  Section 559.7264, Florida Statutes, is created
1239	to read:
1240	559.7264  Evidence; examiner's worksheets, investigative
1241	reports, other related documents.--An official written report,
1242	sworn complaint, worksheet, or other related paper, or a duly
1243	certified copy thereof, compiled, prepared, drafted, or
1244	otherwise made by the financial examiner is admissible into
1245	evidence if the financial examiner is available for cross-
1246	examination; authenticates the worksheet; and testifies that the
1247	report, worksheet, or related document was prepared as a result
1248	of an examination of the books and records of a registrant or
1249	other person conducted under the authority of this part.
1250	Section 21.  Section 559.7265, Florida Statutes, is created
1251	to read:
1252	559.7265  Books, accounts, and records; maintenance;
1253	examinations by the office.--
1254	(1)  Each registrant shall maintain, at its principal place
1255	of business designated on the registration, all books, accounts,
1256	records, and documents necessary to determine the registrant's
1257	compliance with this part.
1258	(2)  The office may authorize maintenance of records at a
1259	location other than a principal place of business. The office
1260	may require books, accounts, and records to be produced and
1261	available at a reasonable and convenient location in this state.
1262	(3)  All books, accounts, records, documents, and receipts
1263	for payments to a registrant by a debtor, and payments made to a
1264	creditor by a registrant, shall be preserved and kept available
1265	for examination by the department for 3 years after the date of
1266	original entry. The commission shall adopt requirements by rule
1267	for maintaining the books, accounts, records, and documents
1268	retained by the registrant and for destroying the records.
1269	(4)  The commission shall designate by rule the minimum
1270	information that must be contained in the books, accounts,
1271	records, and documents of a registrant in order that the records
1272	will enable the office to determine a registrant's compliance
1273	with this part.
1274	Section 22.  Section 559.730, Florida Statutes, is amended
1275	to read:
1276	559.730  Administrative remedies.--
1277	(1)  The office may revoke or suspend the registration of
1278	any registrant under this part who:
1279	(a)  Has committed a violation of s. 559.72 or of the
1280	federal Fair Debt Collection Practices Act;
1281	(b)  Is the subject of a complaint received by a
1282	governmental authority which indicates a clear pattern of abuse
1283	of prohibited collection practices under s. 559.72 or the
1284	federal Fair Debt Collection Practices Act;
1285	(c)  Is currently under investigation by a governmental
1286	authority for violating s. 559.72, the Florida Deceptive and
1287	Unfair Trade Practices Act, or the federal Fair Debt Collection
1288	Practices Act;
1289	(d)  Has been found guilty of, regardless of adjudication,
1290	or has entered a plea of nolo contendere or guilty to, any crime
1291	involving fraud, dishonest dealing, or moral turpitude;
1292	(e)  Had a final judgment entered against her or him in a
1293	civil action upon the grounds of fraud, embezzlement,
1294	misrepresentation, or deceit;
1295	(f)  Has pending against her or him in any jurisdiction a
1296	criminal prosecution or administrative enforcement action that
1297	involves fraud, dishonest dealing, or moral turpitude;
1298	(g)  Had a business, professional, or occupational license
1299	or registration suspended, revoked, or otherwise acted against
1300	in any jurisdiction;
1301	(h)  Fails to maintain the surety bond required pursuant to
1302	s. 559.555(6);
1303	(i)  Fails to maintain books and records as required by s.
1304	559.7265;
1305	(j)  Violates any order issued by the office;
1306	(k)  Paid for a registration with a check or electronic
1307	funds transfer that failed to clear the applicant's or
1308	registrant's financial institution; or
1309	(l)  Has engaged in repeated violations that which
1310	establish a clear pattern of abuse of prohibited collection
1311	practices under s. 559.72.
1312	(2)  Any registration made under this part which is based
1313	upon false identification or false information, or an
1314	identification that is not current with respect to name,
1315	address, business location, or other fact that is material to
1316	the registration, is void. A registration made and subsequently
1317	found to be void under this section does not create a defense to
1318	any action brought by the office to impose a sanction for a
1319	violation of this part.
1320	(3)  A registrant may request to terminate its registration
1321	by delivering written notice of its proposed termination to the
1322	office. However, the delivery of the termination notice does not
1323	affect any civil or criminal liability of the registrant or the
1324	authority of the office to enforce this part.
1325	(4)  The office may deny a request to terminate a
1326	registration or to withdraw an application for registration if
1327	the office believes that the registrant or applicant has
1328	committed an act that would be grounds for denial, suspension,
1329	or revocation of the registration.
1330	(5)  Final office action to revoke or suspend the
1331	registration of any registrant is shall be subject to review in
1332	accordance with chapter 120 in the same manner as revocation of
1333	a license.  The repeated violations of the law by one employee
1334	shall not be grounds for revocation or suspension of the
1335	registration of the employing consumer collection agency, unless
1336	the employee is also the owner of a majority interest in the
1337	collection agency.
1338	(2)  The registration of a registrant shall not be revoked
1339	or suspended if the registrant shows by a preponderance of the
1340	evidence that the violations were not intentional and resulted
1341	from bona fide error notwithstanding the maintenance of
1342	procedures reasonably adapted to avoid any such error.
1343	(3)  The office shall consider the number of complaints
1344	against the registrant in relation to the accused registrant's
1345	volume of business when determining whether suspension or
1346	revocation is the more appropriate sanction when circumstances
1347	warrant that one or the other should be imposed upon a
1348	registrant.
1349	(4)  The office shall impose suspension rather than
1350	revocation when circumstances warrant that one or the other
1351	should be imposed upon a registrant and the accused registrant
1352	demonstrates that the registrant has taken affirmative steps
1353	which can be expected to effectively eliminate the repeated
1354	violations and that the registrant's registration has never
1355	previously been suspended.
1356	(6)(5)  The office may impose an administrative fine up to
1357	$1,000 per violation against the offending registrant as an
1358	administrative a sanction for repeated violations of the
1359	provisions of s. 559.72 when violations do not rise to the level
1360	of misconduct governed by subsection (1). Final office action to
1361	impose an administrative fine is shall be subject to review in
1362	accordance with ss. 120.569 and 120.57.
1363	(7)(6)  An Any administrative fine imposed under this part
1364	shall be payable to the office.  The office shall maintain an
1365	appropriate record and shall deposit the such fine into the
1366	Regulatory Trust Fund of the office.
1367	(8)(7)  An administrative action by the office to impose
1368	revocation, suspension, or fine must shall be brought within 2
1369	years after the date of the last violation upon which the action
1370	is founded.
1371	(9)(8)  Nothing in This part does not shall be construed to
1372	preclude any person from pursuing remedies available under the
1373	federal Fair Debt Collection Practices Act, the Federal Trade
1374	Commission Act, or the Florida Deceptive and Unfair Trade
1375	Practices Act for any violation of these acts such act,
1376	including specifically against any person who is exempt from the
1377	registration provisions of this part.
1378	(10)  The remedies under this part are in addition to
1379	remedies otherwise available for the same conduct under state or
1380	local law.
1381	Section 23.  Subsection (5) of section 559.77, Florida
1382	Statutes, is amended to read:
1383	559.77  Civil remedies.--
1384	(5)  In applying and construing this section, due
1385	consideration and great weight shall be given to the
1386	interpretations of the Federal Trade Commission and the federal
1387	courts relating to the federal Fair Debt Collection Practices
1388	Act and the Federal Trade Commission Act. If there is an
1389	inconsistency between this part and an interpretation of the
1390	federal case law or the federal acts, the provision that is more
1391	protective of the consumer or debtor shall prevail.
1392	Section 24.  Section 559.785, Florida Statutes, is amended
1393	to read:
1394	559.785  Criminal penalty.--
1395	(1)  It shall be a felony misdemeanor of the third first
1396	degree, punishable as provided in s. 775.082, or s. 775.083, or
1397	s. 775.084, for any person not exempt from registering as
1398	provided in this part to:
1399	(a)  Operate or solicit business as a consumer collection
1400	agency engage in collecting consumer debts in this state without
1401	first registering with the office;, or to
1402	(b)  Register or attempt to register by means of fraud,
1403	misrepresentation, or concealment;.
1404	(c)  Engage in any consumer debt collection activity after
1405	suspension or revocation of the registrant's registration under
1406	s. 559.730(1); or
1407	(d)  Engage in any consumer debt collection activity while
1408	under a temporary or permanent injunction issued under s.
1409	559.78.
1410	(2)  Each of the following acts constitutes a misdemeanor
1411	of the second degree, punishable as provided in s. 775.082 or s.
1412	775.083:
1413	(a)  Relocating a business as a consumer collection agency
1414	or operating under any name other than that designated in the
1415	registration, unless written notification is given to the office
1416	and to the surety or sureties on the original bond.
1417	(b)  Assigning or attempting to assign a registration under
1418	this part.
1419	(3)  The court may, in addition to penalties provided in
1420	this part, invalidate the registration of any registrant under
1421	this part who has been found guilty of conduct prohibited in
1422	subsection (1) or subsection (2).
1423	(4)  The office may refer evidence concerning a violation
1424	of this part, or of any rule or order, to any criminal
1425	prosecuting agency that may, with or without the reference and
1426	in addition to any other action it might commence, bring an
1427	action against any person to enjoin, restrain, and prevent the
1428	commission of any prohibited act or practice.
1429	Section 25.  Sections 559.547 and 559.563, Florida
1430	Statutes, are repealed.
1431	Section 26.  For the 2004-2005 fiscal year, seven positions
1432	are authorized and the sum of $450,575 is appropriated from the
1433	Regulatory Trust Fund to the Office of Financial Regulation for
1434	the purpose of enforcing this act. The seven positions consist
1435	of six examiners and one registration analyst.
1436	Section 27.  This act shall take effect July 1, 2004.

CODING: Words stricken are deletions; words underlined are additions.