Undertaking Spam, Spyware, And Fraud Enforcement With Enforcers Beyond Borders Act of 2006 or the U.S. SAFE WEB Act of 2006 - (Sec. 3) Amends the Federal Trade Commission Act to include within the definition of "unfair or deceptive acts or practices" those acts or practices involving foreign commerce that: (1) cause or are likely to cause reasonably foreseeable injury within the United States; or (2) involve material conduct occurring within the United States. Declares that remedies available to the Federal Trade Commission (FTC) for such unfair and deceptive acts or practices include restitution to domestic or foreign victims.
(Sec. 4) Authorizes the FTC to disclose certain privileged or confidential information to foreign law enforcement agencies.
Authorizes the FTC, upon written request, to provide investigative assistance to a foreign law enforcement agency that states it is investigating or enforcing proceedings against violations of laws prohibiting fraudulent or deceptive commercial practices or other practices substantially similar to practices prohibited by laws administered by the FTC, other than federal antitrust laws, without requiring that the conduct identified constitute a violation of U.S. laws. Requires FTC consideration of specified factors in determining whether to provide assistance, including whether the requesting agency has agreed to provide reciprocal assistance to the FTC. Authorizes the FTC to negotiate and conclude an international agreement for providing such assistance, materials, or information. Stipulates that this Act does not authorize the FTC to take any action or exercise any power with respect to a bank, savings and loan institution, or federal credit union. Prohibits FTC investigative assistance to foreign law enforcement agencies from foreign states which repeatedly provided support for acts of international terrorism.
Directs the FTC to: (1) transmit to the Attorney General evidence of a violation of federal criminal law by any domestic or foreign person, partnership, or corporation; and (2) ensure, with respect to memoranda of understanding and international agreements, that material obtained from foreign law enforcement agencies may be used for investigation, prosecution, or prevention of U.S. criminal law violations.
(Sec. 5) Authorizes the FTC to designate its attorneys to assist the Attorney General with litigation in foreign courts and to reimburse the Attorney General for the retention of foreign counsel for such litigation on matters in which the FTC has an interest.
(Sec. 6) Specifies conditions under which an FTC-designated custodian is authorized to share certain compelled or confidential material with foreign law enforcement agencies that certify that the material will be maintained in confidence and will be used only for official law enforcement purposes. Exempts from public disclosure requirements of the Freedom of Information Act any material received by the FTC from foreign sources in the course of an investigation.
(Sec. 7) Declares the FTC subject to the Right to Financial Privacy Act, but specifies: (1) conditions relating to procedures for delay of notification or prohibition of disclosure of information obtained in connection with compulsory process where the recipient is not a subject of the investigation; (2) venue and procedures for ex parte proceedings; and (3) inapplicability to an investigation or proceeding related to the administration of federal or foreign antitrust laws. Declares that recipients of compulsory process issued by the FTC are not liable under U.S. law for failure to provide notice to persons that such process has been issued or that such recipients provided information, if neither notification nor delayed notification by the FTC is required under the Right to Financial Privacy Act.
(Sec. 8) Shields from liability: (1) voluntary providers of material the provider believes is relevant to an unfair or deceptive act or practice or to assets subject to recovery by the FTC, including assets located in foreign jurisdictions; and (2) certain financial institutions, foreign and domestic, for making voluntary disclosures to the FTC of consumer complaints or violations of law or regulations, including regarding assets located in foreign jurisdictions.
(Sec. 9) Authorizes the FTC to: (1) retain employees of foreign government agencies on a temporary basis; (2) detail FTC employees to work for foreign agencies; (3) under the Right to Financial Privacy Act of 1978, share information with specified financial and market regulators; and (4) accept payment from a domestic or foreign law enforcement agency for FTC expenses and unconditional gifts, donations, bequests of property, and voluntary services.
(Sec. 13) Terminates the effect of this Act and its amendments seven years after enactment of this Act.
(Sec. 14) Requires the FTC to report to Congress on its actions under this act and recommendations for additional legislation.
[109th Congress Public Law 455]
[From the U.S. Government Publishing Office]
[DOCID: f:publ455.109]
[[Page 3371]]
UNDERTAKING SPAM, SPYWARE, AND FRAUD WITH ENFORCERS BEYOND BORDERS ACT
OF 2006
[[Page 120 STAT. 3372]]
Public Law 109-455
109th Congress
An Act
To enhance Federal Trade Commission enforcement against illegal spam,
spyware, and cross-border fraud and deception, and for other
purposes. <<NOTE: Dec. 22, 2006 - [S. 1608]>>
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, <<NOTE: Undertaking
Spam, Spyware, and Fraud With Enforcers beyond Borders Act of 2006.>>
SECTION 1. <<NOTE: 15 USC 58 note.>> SHORT TITLE.
This Act may be cited as the ``Undertaking Spam, Spyware, And Fraud
Enforcement With Enforcers beyond Borders Act of 2006'' or the ``U.S.
SAFE WEB Act of 2006''.
SEC. 2. FOREIGN LAW ENFORCEMENT AGENCY DEFINED.
Section 4 of the Federal Trade Commission Act (15 U.S.C. 44) is
amended by adding at the end the following:
`` `Foreign law enforcement agency' means--
``(1) any agency or judicial authority of a foreign
government, including a foreign state, a political subdivision
of a foreign state, or a multinational organization constituted
by and comprised of foreign states, that is vested with law
enforcement or investigative authority in civil, criminal, or
administrative matters; and
``(2) any multinational organization, to the extent that it
is acting on behalf of an entity described in paragraph (1).''.
SEC. 3. AVAILABILITY OF REMEDIES.
Section 5(a) of the Federal Trade Commission Act (15 U.S.C. 45(a))
is amended by adding at the end the following:
``(4)(A) For purposes of subsection (a), the term `unfair or
deceptive acts or practices' includes such acts or practices
involving foreign commerce that--
``(i) cause or are likely to cause reasonably
foreseeable injury within the United States; or
``(ii) involve material conduct occurring within the
United States.
``(B) All remedies available to the Commission with respect
to unfair and deceptive acts or practices shall be available for
acts and practices described in this paragraph, including
restitution to domestic or foreign victims.''.
SEC. 4. POWERS OF THE COMMISSION.
(a) Publication of Information; Reports.--Section 6(f) of the
Federal Trade Commission Act (15 U.S.C. 46(f)) is amended--
(1) by inserting ``(1)'' after ``such information'' the
first place it appears; and
(2) by striking ``purposes.'' and inserting ``purposes, and
(2) to any officer or employee of any foreign law enforcement
[[Page 120 STAT. 3373]]
agency under the same circumstances that making material
available to foreign law enforcement agencies is permitted under
section 21(b).''.
(b) Other Powers of the Commission.--Section 6 of the Federal Trade
Commission Act (15 U.S.C. 46) is further amended by inserting after
subsection (i) and before the proviso the following:
``(j) Investigative Assistance for Foreign Law Enforcement
Agencies.--
``(1) In general.--Upon a written request from a foreign law
enforcement agency to provide assistance in accordance with this
subsection, if the requesting agency states that it is
investigating, or engaging in enforcement proceedings against,
possible violations of laws prohibiting fraudulent or deceptive
commercial practices, or other practices substantially similar
to practices prohibited by any provision of the laws
administered by the Commission, other than Federal antitrust
laws (as defined in section 12(5) of the International Antitrust
Enforcement Assistance Act of 1994 (15 U.S.C. 6211(5))), to
provide the assistance described in paragraph (2) without
requiring that the conduct identified in the request constitute
a violation of the laws of the United States.
``(2) Type of assistance.--In providing assistance to a
foreign law enforcement agency under this subsection, the
Commission may--
``(A) conduct such investigation as the Commission
deems necessary to collect information and evidence
pertinent to the request for assistance, using all
investigative powers authorized by this Act; and
``(B) when the request is from an agency acting to
investigate or pursue the enforcement of civil laws, or
when the Attorney General refers a request to the
Commission from an agency acting to investigate or
pursue the enforcement of criminal laws, seek and accept
appointment by a United States district court of
Commission attorneys to provide assistance to foreign
and international tribunals and to litigants before such
tribunals on behalf of a foreign law enforcement agency
pursuant to section 1782 of title 28, United States
Code.
``(3) Criteria for determination.--In deciding whether to
provide such assistance, the Commission shall consider all
relevant factors, including--
``(A) whether the requesting agency has agreed to
provide or will provide reciprocal assistance to the
Commission;
``(B) whether compliance with the request would
prejudice the public interest of the United States; and
``(C) whether the requesting agency's investigation
or enforcement proceeding concerns acts or practices
that cause or are likely to cause injury to a
significant number of persons.
``(4) International agreements.--If a foreign law
enforcement agency has set forth a legal basis for requiring
execution of an international agreement as a condition for
reciprocal assistance, or as a condition for provision of
materials or information to the Commission, the Commission, with
prior approval and ongoing oversight of the Secretary of State,
and with final approval of the agreement by the Secretary of
State,
[[Page 120 STAT. 3374]]
may negotiate and conclude an international agreement, in the
name of either the United States or the Commission, for the
purpose of obtaining such assistance, materials, or information.
The Commission may undertake in such an international agreement
to--
``(A) provide assistance using the powers set forth
in this subsection;
``(B) disclose materials and information in
accordance with subsection (f) and section 21(b); and
``(C) engage in further cooperation, and protect
materials and information received from disclosure, as
authorized by this Act.
``(5) Additional authority.--The authority provided by this
subsection is in addition to, and not in lieu of, any other
authority vested in the Commission or any other officer of the
United States.
``(6) Limitation.--The authority granted by this subsection
shall not authorize the Commission to take any action or
exercise any power with respect to a bank, a savings and loan
institution described in section 18(f)(3) (15 U.S.C. 57a(f)(3)),
a Federal credit union described in section 18(f)(4) (15 U.S.C.
57a(f)(4)), or a common carrier subject to the Act to regulate
commerce, except in accordance with the undesignated proviso
following the last designated subsection of section 6 (15 U.S.C.
46).
``(7) Assistance to certain countries.--The Commission may
not provide investigative assistance under this subsection to a
foreign law enforcement agency from a foreign state that the
Secretary of State has determined, in accordance with section
6(j) of the Export Administration Act of 1979 (50 U.S.C. App.
2405(j)), has repeatedly provided support for acts of
international terrorism, unless and until such determination is
rescinded pursuant to section 6(j)(4) of that Act (50 U.S.C.
App. 2405(j)(4)).
``(k) Referral of Evidence for Criminal Proceedings.--
``(1) In general.--Whenever the Commission obtains evidence
that any person, partnership, or corporation, either domestic or
foreign, has engaged in conduct that may constitute a violation
of Federal criminal law, to transmit such evidence to the
Attorney General, who may institute criminal proceedings under
appropriate statutes. Nothing in this paragraph affects any
other authority of the Commission to disclose information.
``(2) International information.--The Commission shall
endeavor to ensure, with respect to memoranda of understanding
and international agreements it may conclude, that material it
has obtained from foreign law enforcement agencies acting to
investigate or pursue the enforcement of foreign criminal laws
may be used for the purpose of investigation, prosecution, or
prevention of violations of United States criminal laws.
``(l) Expenditures for Cooperative Arrangements.--To expend
appropriated funds for--
``(1) operating expenses and other costs of bilateral and
multilateral cooperative law enforcement groups conducting
activities of interest to the Commission and in which the
Commission participates; and
[[Page 120 STAT. 3375]]
``(2) expenses for consultations and meetings hosted by the
Commission with foreign government agency officials, members of
their delegations, appropriate representatives and staff to
exchange views concerning developments relating to the
Commission's mission, development and implementation of
cooperation agreements, and provision of technical assistance
for the development of foreign consumer protection or
competition regimes, such expenses to include necessary
administrative and logistic expenses and the expenses of
Commission staff and foreign invitees in attendance at such
consultations and meetings including--
``(A) such incidental expenses as meals taken in the
course of such attendance;
``(B) any travel and transportation to or from such
meetings; and
``(C) any other related lodging or subsistence.''.
(c) Authorization of Appropriations.--The Federal Trade Commission
is authorized to expend appropriated funds not to exceed $100,000 per
fiscal year for purposes of section 6(l) of the Federal Trade Commission
Act (15 U.S.C. 46(l)) (as added by subsection (b) of this section),
including operating expenses and other costs of the following bilateral
and multilateral cooperative law enforcement agencies and organizations:
(1) The International Consumer Protection and Enforcement
Network.
(2) The International Competition Network.
(3) The Mexico-U.S.-Canada Health Fraud Task Force.
(4) Project Emptor.
(5) The Toronto Strategic Partnership and other regional
partnerships with a nexus in a Canadian province.
(d) Conforming Amendment.--Section 6 of the Federal Trade Commission
Act (15 U.S.C. 46) is amended by striking ``clauses (a) and (b)'' in the
proviso following subsection (l) (as added by subsection (b) of this
section) and inserting ``subsections (a), (b), and (j)''.
SEC. 5. REPRESENTATION IN FOREIGN LITIGATION.
Section 16 of the Federal Trade Commission Act (15 U.S.C. 56) is
amended by adding at the end the following:
``(c) Foreign Litigation.--
``(1) Commission attorneys.--With the concurrence of the
Attorney General, the Commission may designate Commission
attorneys to assist the Attorney General in connection with
litigation in foreign courts on particular matters in which the
Commission has an interest.
``(2) Reimbursement for foreign counsel.--The Commission is
authorized to expend appropriated funds, upon agreement with the
Attorney General, to reimburse the Attorney General for the
retention of foreign counsel for litigation in foreign courts
and for expenses related to litigation in foreign courts in
which the Commission has an interest.
``(3) Limitation on use of funds.--Nothing in this
subsection authorizes the payment of claims or judgments from
any source other than the permanent and indefinite appropriation
authorized by section 1304 of title 31, United States Code.
[[Page 120 STAT. 3376]]
``(4) Other authority.--The authority provided by this
subsection is in addition to any other authority of the
Commission or the Attorney General.''.
SEC. 6. SHARING INFORMATION WITH FOREIGN LAW ENFORCEMENT AGENCIES.
(a) Material Obtained Pursuant to Compulsory Process.--Section
21(b)(6) of the Federal Trade Commission Act (15 U.S.C. 57b-2(b)(6)) is
amended by adding at the end ``The custodian may make such material
available to any foreign law enforcement agency upon the prior
certification of an appropriate official of any such foreign law
enforcement agency, either by a prior agreement or memorandum of
understanding with the Commission or by other written certification,
that such material will be maintained in confidence and will be used
only for official law enforcement purposes, if--
``(A) the foreign law enforcement agency has set forth a
bona fide legal basis for its authority to maintain the material
in confidence;
``(B) the materials are to be used for purposes of
investigating, or engaging in enforcement proceedings related
to, possible violations of--
``(i) foreign laws prohibiting fraudulent or
deceptive commercial practices, or other practices
substantially similar to practices prohibited by any law
administered by the Commission;
``(ii) a law administered by the Commission, if
disclosure of the material would further a Commission
investigation or enforcement proceeding; or
``(iii) with the approval of the Attorney General,
other foreign criminal laws, if such foreign criminal
laws are offenses defined in or covered by a criminal
mutual legal assistance treaty in force between the
government of the United States and the foreign law
enforcement agency's government;
``(C) the appropriate Federal banking agency (as defined in
section 3(q) of the Federal Deposit Insurance Act (12 U.S.C.
1813(q)) or, in the case of a Federal credit union, the National
Credit Union Administration, has given its prior approval if the
materials to be provided under subparagraph (B) are requested by
the foreign law enforcement agency for the purpose of
investigating, or engaging in enforcement proceedings based on,
possible violations of law by a bank, a savings and loan
institution described in section 18(f)(3) of the Federal Trade
Commission Act (15 U.S.C. 57a(f)(3)), or a Federal credit union
described in section 18(f)(4) of the Federal Trade Commission
Act (15 U.S.C. 57a(f)(4)); and
``(D) the foreign law enforcement agency is not from a
foreign state that the Secretary of State has determined, in
accordance with section 6(j) of the Export Administration Act of
1979 (50 U.S.C. App. 2405(j)), has repeatedly provided support
for acts of international terrorism, unless and until such
determination is rescinded pursuant to section 6(j)(4) of that
Act (50 U.S.C. App. 2405(j)(4)).
Nothing in the preceding sentence authorizes the disclosure of material
obtained in connection with the administration of the Federal antitrust
laws or foreign antitrust laws (as defined in
[[Page 120 STAT. 3377]]
paragraphs (5) and (7), respectively, of section 12 of the International
Antitrust Enforcement Assistance Act of 1994 (15 U.S.C. 6211)) to any
officer or employee of a foreign law enforcement agency.''.
(b) Information Supplied by and About Foreign Sources.--Section
21(f) of the Federal Trade Commission Act (15 U.S.C. 57b-2(f)) is
amended to read as follows:
``(f) Exemption From Public Disclosure.--
``(1) In general.--Any material which is received by the
Commission in any investigation, a purpose of which is to
determine whether any person may have violated any provision of
the laws administered by the Commission, and which is provided
pursuant to any compulsory process under this Act or which is
provided voluntarily in place of such compulsory process shall
not be required to be disclosed under section 552 of title 5,
United States Code, or any other provision of law, except as
provided in paragraph (2)(B) of this section.
``(2) Material obtained from a foreign source.--
``(A) In general.--Except as provided in
subparagraph (B) of this paragraph, the Commission shall
not be required to disclose under section 552 of title
5, United States Code, or any other provision of law--
``(i) any material obtained from a foreign law
enforcement agency or other foreign government
agency, if the foreign law enforcement agency or
other foreign government agency has requested
confidential treatment, or has precluded such
disclosure under other use limitations, as a
condition of providing the material;
``(ii) any material reflecting a consumer
complaint obtained from any other foreign source,
if that foreign source supplying the material has
requested confidential treatment as a condition of
providing the material; or
``(iii) any material reflecting a consumer
complaint submitted to a Commission reporting
mechanism sponsored in part by foreign law
enforcement agencies or other foreign government
agencies.
``(B) Savings provision.--Nothing in this subsection
shall authorize the Commission to withhold information
from the Congress or prevent the Commission from
complying with an order of a court of the United States
in an action commenced by the United States or the
Commission.''.
SEC. 7. CONFIDENTIALITY; DELAYED NOTICE OF PROCESS.
(a) In General.--The Federal Trade Commission Act (15 U.S.C. 41 et
seq.) is amended by inserting after section 21 the following:
``SEC. 21A. <<NOTE: 15 USC 57b-2a.>> CONFIDENTIALITY AND DELAYED NOTICE
OF COMPULSORY PROCESS FOR CERTAIN THIRD PARTIES.
``(a) Application With Other Laws.--The Right to Financial Privacy
Act (12 U.S.C. 3401 et seq.) and chapter 121 of title 18, United States
Code, shall apply with respect to the Commission, except as otherwise
provided in this section.
``(b) Procedures for Delay of Notification or Prohibition of
Disclosure.--The procedures for delay of notification or prohibition of
disclosure under the Right to Financial Privacy Act (12
[[Page 120 STAT. 3378]]
U.S.C. 3401 et seq.) and chapter 121 of title 18, United States Code,
including procedures for extensions of such delays or prohibitions,
shall be available to the Commission, provided that, notwithstanding any
provision therein--
``(1) a court may issue an order delaying notification or
prohibiting disclosure (including extending such an order) in
accordance with the procedures of section 1109 of the Right to
Financial Privacy Act (12 U.S.C. 3409) (if notification would
otherwise be required under that Act), or section 2705 of title
18, United States Code, (if notification would otherwise be
required under chapter 121 of that title), if the presiding
judge or magistrate judge finds that there is reason to believe
that such notification or disclosure may cause an adverse result
as defined in subsection (g) of this section; and
``(2) if notification would otherwise be required under
chapter 121 of title 18, United States Code, the Commission may
delay notification (including extending such a delay) upon the
execution of a written certification in accordance with the
procedures of section 2705 of that title if the Commission finds
that there is reason to believe that notification may cause an
adverse result as defined in subsection (g) of this section.
``(c) Ex Parte Application by Commission.--
``(1) In general.--If neither notification nor delayed
notification by the Commission is required under the Right to
Financial Privacy Act (12 U.S.C. 3401 et seq.) or chapter 121 of
title 18, United States Code, the Commission may apply ex parte
to a presiding judge or magistrate judge for an order
prohibiting the recipient of compulsory process issued by the
Commission from disclosing to any other person the existence of
the process, notwithstanding any law or regulation of the United
States, or under the constitution, or any law or regulation, of
any State, political subdivision of a State, territory of the
United States, or the District of Columbia. The presiding judge
or magistrate judge may enter such an order granting the
requested prohibition of disclosure for a period not to exceed
60 days if there is reason to believe that disclosure may cause
an adverse result as defined in subsection (g). The presiding
judge or magistrate judge may grant extensions of this order of
up to 30 days each in accordance with this subsection, except
that in no event shall the prohibition continue in force for
more than a total of 9 months.
``(2) Application.--This subsection shall apply only in
connection with compulsory process issued by the Commission
where the recipient of such process is not a subject of the
investigation or proceeding at the time such process is issued.
``(3) Limitation.--No order issued under this subsection
shall prohibit any recipient from disclosing to a Federal agency
that the recipient has received compulsory process from the
Commission.
``(d) No Liability for Failure To Notify.--If neither notification
nor delayed notification by the Commission is required under the Right
to Financial Privacy Act (12 U.S.C. 3401 et seq.) or chapter 121 of
title 18, United States Code, the recipient of compulsory process issued
by the Commission under this Act shall not be liable under any law or
regulation of the United States, or under the constitution, or any law
or regulation, of any State, political subdivision of a State, territory
of the United States, or
[[Page 120 STAT. 3379]]
the District of Columbia, or under any contract or other legally
enforceable agreement, for failure to provide notice to any person that
such process has been issued or that the recipient has provided
information in response to such process. The preceding sentence does not
exempt any recipient from liability for--
``(1) the underlying conduct reported;
``(2) a failure to comply with the record retention
requirements under section 1104(c) of the Right to Financial
Privacy Act (12 U.S.C. 3404), where applicable; or
``(3) any failure to comply with any obligation the
recipient may have to disclose to a Federal agency that the
recipient has received compulsory process from the Commission or
intends to provide or has provided information to the Commission
in response to such process.
``(e) Venue and Procedure.--
``(1) In general.--All judicial proceedings initiated by the
Commission under the Right to Financial Privacy Act (12 U.S.C.
3401 et seq.), chapter 121 of title 18, United States Code, or
this section may be brought in the United States District Court
for the District of Columbia or any other appropriate United
States District Court. All ex parte applications by the
Commission under this section related to a single investigation
may be brought in a single proceeding.
``(2) In camera proceedings.--
Upon <<NOTE: Records.>> application by the Commission, all
judicial proceedings pursuant to this section shall be held in
camera and the records thereof sealed until expiration of the
period of delay or such other date as the presiding judge or
magistrate judge may permit.
``(f) Section Not To Apply to Antitrust Investigations or
Proceedings.--This section shall not apply to an investigation or
proceeding related to the administration of Federal antitrust laws or
foreign antitrust laws (as defined in paragraphs (5) and (7),
respectively, of section 12 of the International Antitrust Enforcement
Assistance Act of 1994 (15 U.S.C. 6211)).
``(g) Adverse Result Defined.--For purposes of this section the term
`adverse result' means--
``(1) endangering the life or physical safety of an
individual;
``(2) flight from prosecution;
``(3) the destruction of, or tampering with, evidence;
``(4) the intimidation of potential witnesses; or
``(5) otherwise seriously jeopardizing an investigation or
proceeding related to fraudulent or deceptive commercial
practices or persons involved in such practices, or unduly
delaying a trial related to such practices or persons involved
in such practices, including, but not limited to, by--
``(A) the transfer outside the territorial limits of
the United States of assets or records related to
fraudulent or deceptive commercial practices or related
to persons involved in such practices;
``(B) impeding the ability of the Commission to
identify persons involved in fraudulent or deceptive
commercial practices, or to trace the source or
disposition of funds related to such practices; or
``(C) the dissipation, fraudulent transfer, or
concealment of assets subject to recovery by the
Commission.''.
(b) Conforming Amendment.--Section 16(a)(2) of the Federal Trade
Commission Act (15 U.S.C. 56(a)(2)) is amended--
[[Page 120 STAT. 3380]]
(1) in subparagraph (C) by striking ``or'' after the
semicolon;
(2) in subparagraph (D) by inserting ``or'' after the
semicolon; and
(3) by inserting after subparagraph (D) the following:
``(E) under section 21A of this Act;''.
SEC. 8. PROTECTION FOR VOLUNTARY PROVISION OF INFORMATION.
The Federal Trade Commission Act (15 U.S.C. 41 et seq.) is further
amended by adding after section 21A (as added by section 7 of this Act)
the following:
``SEC. 21B. <<NOTE: 15 USC 57b-2b.>> PROTECTION FOR VOLUNTARY PROVISION
OF INFORMATION.
``(a) In General.--
``(1) No liability for providing certain material.--An
entity described in paragraphs (2) or (3) of subsection (d) that
voluntarily provides material to the Commission that such entity
reasonably believes is relevant to--
``(A) a possible unfair or deceptive act or
practice, as defined in section 5(a) of this Act; or
``(B) assets subject to recovery by the Commission,
including assets located in foreign jurisdictions;
shall not be liable to any person under any law or regulation of
the United States, or under the constitution, or any law or
regulation, of any State, political subdivision of a State,
territory of the United States, or the District of Columbia, for
such provision of material or for any failure to provide notice
of such provision of material or of intention to so provide
material.
``(2) Limitations.--Nothing in this subsection shall be
construed to exempt any such entity from liability--
``(A) for the underlying conduct reported; or
``(B) to any Federal agency for providing such
material or for any failure to comply with any
obligation the entity may have to notify a Federal
agency prior to providing such material to the
Commission.
``(b) Certain Financial Institutions.--An entity described in
paragraph (1) of subsection (d) shall, in accordance with section
5318(g)(3) of title 31, United States Code, be exempt from liability for
making a voluntary disclosure to the Commission of any possible
violation of law or regulation, including--
``(1) a disclosure regarding assets, including assets
located in foreign jurisdictions--
``(A) related to possibly fraudulent or deceptive
commercial practices;
``(B) related to persons involved in such practices;
or
``(C) otherwise subject to recovery by the
Commission; or
``(2) a disclosure regarding suspicious chargeback rates
related to possibly fraudulent or deceptive commercial
practices.
``(c) Consumer Complaints.--Any entity described in subsection (d)
that voluntarily provides consumer complaints sent to it, or information
contained therein, to the Commission shall not be liable to any person
under any law or regulation of the United States, or under the
constitution, or any law or regulation, of any State, political
subdivision of a State, territory of the United States, or the District
of Columbia, for such provision of material or for any failure to
provide notice of such provision of material
[[Page 120 STAT. 3381]]
or of intention to so provide material. This subsection shall not
provide any exemption from liability for the underlying conduct.
``(d) Application.--This section applies to the following entities,
whether foreign or domestic:
``(1) A financial institution as defined in section 5312 of
title 31, United States Code.
``(2) To the extent not included in paragraph (1), a bank or
thrift institution, a commercial bank or trust company, an
investment company, a credit card issuer, an operator of a
credit card system, and an issuer, redeemer, or cashier of
travelers' checks, money orders, or similar instruments.
``(3) A courier service, a commercial mail receiving agency,
an industry membership organization, a payment system provider,
a consumer reporting agency, a domain name registrar or registry
acting as such, and a provider of alternative dispute resolution
services.
``(4) An Internet service provider or provider of telephone
services.''.
SEC. 9. STAFF EXCHANGES.
The Federal Trade Commission Act (15 U.S.C. 41 et seq.) is amended
by adding after section 25 the following new section:
``SEC. 25A. <<NOTE: 15 USC 57c-1.>> STAFF EXCHANGES.
``(a) In General.--The Commission may--
``(1) retain or employ officers or employees of foreign
government agencies on a temporary basis as employees of the
Commission pursuant to section 2 of this Act or section 3101 or
section 3109 of title 5, United States Code; and
``(2) detail officers or employees of the Commission to work
on a temporary basis for appropriate foreign government
agencies.
``(b) Reciprocity and Reimbursement.--The staff arrangements
described in subsection (a) need not be reciprocal. The Commission may
accept payment or reimbursement, in cash or in kind, from a foreign
government agency to which this section is applicable, or payment or
reimbursement made on behalf of such agency, for expenses incurred by
the Commission, its members, and employees in carrying out such
arrangements.
``(c) Standards of Conduct.--A person appointed under subsection
(a)(1) shall be subject to the provisions of law relating to ethics,
conflicts of interest, corruption, and any other criminal or civil
statute or regulation governing the standards of conduct for Federal
employees that are applicable to the type of appointment.''.
SEC. 10. INFORMATION SHARING WITH FINANCIAL REGULATORS.
Section 1112(e) of the Right to Financial Privacy Act of 1978 (12
U.S.C. 3412(e)) is amended by inserting ``the Federal Trade
Commission,'' after ``the Securities and Exchange Commission,''.
SEC. 11. AUTHORITY TO ACCEPT REIMBURSEMENTS.
The Federal Trade Commission Act (15 U.S.C. 41 et seq.) is amended--
(1) <<NOTE: 15 USC 58.>> by redesignating section 26 as
section 28; and
(2) by inserting after section 25A, as added by section 9 of
this Act, the following:
[[Page 120 STAT. 3382]]
``SEC. 26. <<NOTE: 15 USC 57c-2.>> REIMBURSEMENT OF EXPENSES.
``The Commission may accept payment or reimbursement, in cash or in
kind, from a domestic or foreign law enforcement agency, or payment or
reimbursement made on behalf of such agency, for expenses incurred by
the Commission, its members, or employees in carrying out any activity
pursuant to a statute administered by the Commission without regard to
any other provision of law. Any such payments or reimbursements shall be
considered a reimbursement to the appropriated funds of the
Commission.''.
SEC. 12. <<NOTE: 15 USC 44 note.>> PRESERVATION OF EXISTING AUTHORITY.
The authority provided by this Act, and by the Federal Trade
Commission Act (15 U.S.C. 41 et seq.) and the Right to Financial Privacy
Act (12 U.S.C. 3401 et seq.), as such Acts are amended by this Act, is
in addition to, and not in lieu of, any other authority vested in the
Federal Trade Commission or any other officer of the United States.
SEC. 13. <<NOTE: 15 USC 44 note.>> SUNSET.
This Act, and the amendments made by this Act, shall cease to have
effect on the date that is 7 years after the date of enactment of this
Act.
SEC. 14. REPORT.
Not later than 3 years after the date of enactment of this Act, the
Federal Trade Commission shall transmit to Congress a report describing
its use of and experience with the authority granted by this Act, along
with any recommendations for additional legislation. The report shall
include--
(1) the number of cross-border complaints received by the
Commission;
(2) identification of the foreign agencies to which the
Commission has provided nonpublic investigative information
under this Act;
(3) the number of times the Commission has used compulsory
process on behalf of foreign law enforcement agencies pursuant
to section 6 of the Federal Trade Commission Act (15 U.S.C. 46),
as amended by section 4 of this Act;
(4) a list of international agreements and memoranda of
understanding executed by the Commission that relate to this
Act;
(5) the number of times the Commission has sought delay of
notice pursuant to section 21A of the Federal Trade Commission
Act, as added by section 7 of this Act, and the number of times
a court has granted a delay;
(6) a description of the types of information private
entities have provided voluntarily pursuant to section 21B of
the Federal Trade Commission Act, as added by section 8 of this
Act;
(7) a description of the results of cooperation with foreign
law enforcement agencies under section 21 of the Federal Trade
Commission Act (15 U.S.C. 57-2) as amended by section 6 of this
Act;
(8) an analysis of whether the lack of an exemption from the
disclosure requirements of section 552 of title 5, United States
Code, with regard to information or material voluntarily
[[Page 120 STAT. 3383]]
provided relevant to possible unfair or deceptive acts or
practices, has hindered the Commission in investigating or
engaging in enforcement proceedings against such practices; and
(9) a description of Commission litigation brought in
foreign courts.
Approved December 22, 2006.
LEGISLATIVE HISTORY--S. 1608:
---------------------------------------------------------------------------
SENATE REPORTS: No. 109-219 (Comm. on Commerce, Science, and
Transportation).
CONGRESSIONAL RECORD, Vol. 152 (2006):
Mar. 16, considered and passed Senate.
Dec. 8, considered and passed House, amended. Senate
concurred in House amendment.
<all>
Message on Senate action sent to the House.
Received in the House.
Referred to the House Committee on Energy and Commerce.
Referred to the Subcommittee on Commerce, Trade and Consumer Protection.
Committee on Energy and Commerce discharged.
Committee on Energy and Commerce discharged.
Mr. Barton (TX) asked unanimous consent to discharge from committee and consider.
Considered by unanimous consent. (consideration: CR 12/8/2006 H9275-9282; text of measure as referred in House: CR 12/8/2006 H9275-9278)
Passed/agreed to in House: On passage Passed without objection.
On passage Passed without objection.
Motion to reconsider laid on the table Agreed to without objection.
Message on House action received in Senate and at desk: House amendment to Senate bill.
Enacted as Public Law 109-455
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Resolving differences -- Senate actions: Senate agreed to House amendment by Unanimous Consent.(consideration: CR 12/8/2006 S11841-11844; text as Senate agreed to House amendment: CR 12/8/2006 S11841-11844)
Senate agreed to House amendment by Unanimous Consent. (consideration: CR 12/8/2006 S11841-11844; text as Senate agreed to House amendment: CR 12/8/2006 S11841-11844)
Presented to President.
Presented to President.
Signed by President.
Signed by President.
Became Public Law No: 109-455.
Became Public Law No: 109-455.