Florida Senate - 2024                                    SB 1074
       
       
        
       By Senator Calatayud
       
       
       
       
       
       38-01025-24                                           20241074__
    1                        A bill to be entitled                      
    2         An act relating to debt relief services; amending s.
    3         817.801, F.S.; revising the definition of the term
    4         “debt management services”; defining the term “debt
    5         relief service”; amending s. 817.806, F.S.; specifying
    6         that provisions for enforcement of violations
    7         involving credit counseling services or debt
    8         management services do not apply to debt relief
    9         services; authorizing the Attorney General to bring
   10         certain actions for violations of specified federal
   11         regulations of debt relief services; providing an
   12         effective date.
   13          
   14  Be It Enacted by the Legislature of the State of Florida:
   15  
   16         Section 1. Present subsection (5) of section 817.801,
   17  Florida Statutes, is redesignated as subsection (6), a new
   18  subsection (5) is added to that section, and subsection (4) of
   19  that section is amended, to read:
   20         817.801 Definitions.—As used in this part:
   21         (4) “Debt management services” means services provided to a
   22  debtor by a credit counseling organization for a fee to:
   23         (a) Effect the adjustment, compromise, or discharge of any
   24  unsecured account, note, or other indebtedness of the debtor;
   25  and or
   26         (b) Receive from the debtor and disburse to a creditor any
   27  money or other thing of value.
   28  
   29  The term does not include debt relief services.
   30         (5) “Debt relief service” has the same meaning as provided
   31  in 16 C.F.R. s. 310.2. The term does not include a debt
   32  management service in which any money or other thing of value is
   33  received from a debtor and disbursed to a creditor.
   34         Section 2. Section 817.806, Florida Statutes, is amended to
   35  read:
   36         817.806 Violations.—
   37         (1)(a) Any person who violates any provision of this part
   38  commits an unfair or deceptive trade practice as defined in part
   39  II of chapter 501. Violators shall be subject to the penalties
   40  and remedies provided therein. Further, any consumer injured by
   41  a violation of this part may bring an action for recovery of
   42  damages. Judgment shall be entered for actual damages, but in no
   43  case less than the amount paid by the consumer to the credit
   44  counseling agency, plus reasonable attorney attorney’s fees and
   45  costs.
   46         (b)(2) Any person who violates any provision of this part
   47  commits a felony of the third degree, punishable as provided in
   48  s. 775.082 or s. 775.083.
   49         (c) This subsection does not apply to debt relief services.
   50         (2) As authorized in 16 C.F.R. s. 310.7, the Attorney
   51  General may bring an action under the federal Telemarketing and
   52  Consumer Fraud and Abuse Prevention Act, 15 U.S.C. ss. 6101
   53  6108, against a debt relief services provider for violations of
   54  debt relief services regulations in 16 C.F.R. part 310.
   55         Section 3. This act shall take effect July 1, 2024.