89 / 234
HOT TOPICS
2015 GNYADA Membership Directory
79
Summary
Administrative
Civil Lawsuits
Criminal
of Law
Penalties
Penalties
Penalties for Violation of Federal Consumer Credit Laws and Regulations
Continued…
FTC Telemarketing
Up to $16,000 for each
Individual call recipients and
Rule
violation plus redress to
State AGs can obtain up to
injured consumers. For dealers, $500 per violation, the
subject to CFPB regulation
amount trebled for willful or
$5,000 to $1 million for each knowing violations.
day a violation continues.
Magnuson-Moss
May constitute an FTC § 5
Consumers can recover
Warranty Act
UDAP violation for which the damages from the breach.
FTC can assess penalities of up This includes remedies
to $16,000 per violation.
already available under state
law, such as recovery of the
purchase price, market price
of a replacement, loss in value
due to the problem, recovery
of other costs, and statutory
penalties, if any.“Other legal
and equitable relief,”court
costs and attorneys’fees are
also recoverable. Breach of
written warranty, breach of
implied warranty, breach of
service contract and failure
to comply with obligations
are the four causes of action
directly referenced in the Act.
Telephone Consumer
The FCC has authority to bring $500 - $1,500 per call or
Protection Act of 1991
enforcement actions for
text message sent to any
(TCPA) and FCC Regulations
damages and has done so
wireless number you can’t
prohibiting use of
repeatedly, assessing
prove you have prior
autodialers or text
penalties greater than $1
written consent to call or
messages to cell phones
million. States also have laws text. Class action liability is
or use of pre-recorded
on telemarketing allowing
unlimited.
messages to cell phones
Attorneys General to sue for
or land lines without the
administrative penalties.
prior written consent of
the consumer
Information provided Courtesy of Dealertrack Technologies 516.547.2242;
www.dealertrack.com*The above laws and regulations have provisions for assessing the wrongdoer plaintiffs’attorney’s fees and costs or costs of regulatory investigation along with civil or criminal
penalties. In a class action, the plaintiffs’attorney’s fees can easily be six figures or more depending on the length and complexity of the case.