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A BILL TO BE ENTITLED
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AN ACT
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relating to the authority of a debt collector to contact a person |
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other than the debtor; providing a civil penalty. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter D, Chapter 392, Finance Code, is |
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amended by adding Section 392.307 to read as follows: |
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Sec. 392.307. CONTACTING PERSON OTHER THAN CONSUMER. (a) |
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In this section, "location information" means a person's place of |
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permanent or temporary residence, telephone number, or place of |
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employment. |
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(b) A debt collector may contact a person regarding a debt, |
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other than the consumer who has the debt or person with whom the |
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debt collector has a business relationship for the purpose of debt |
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collection, only for the purpose of determining the location |
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information of the debtor. |
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(c) A debt collector may not contact a person, other than |
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the consumer who has the debt or person with whom the debt collector |
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has a business relationship for the purpose of debt collection, as |
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provided by Subsection (b) more than once, unless the debt |
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collector is able to produce evidence that: |
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(1) was not available at the time the debt collector |
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first contacted the person; and |
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(2) would lead a reasonable person to believe that the |
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earlier response of the person was erroneous or incomplete and that |
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the person now has correct or complete location information for the |
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debtor. |
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(d) A debt collector who violates this section is liable to |
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this state for a civil penalty in an amount not to exceed $150 for |
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each violation. The attorney general may bring an action to recover |
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a civil penalty under this subsection. |
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(e) The attorney general has exclusive authority to enforce |
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this section. Sections 392.402 and 392.403, and Section 392.404 to |
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the extent that section creates a private right of action, do not |
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apply to a violation of this section. |
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SECTION 2. This Act takes effect September 1, 2007. |