12 USC 4010 - Civil liability

U.S Code last checked for updates: Oct 16, 2024

§ 4010.

Civil liability

(a)

Civil liability

Except as otherwise provided in this section, any depository institution which fails to comply with any requirement imposed under this chapter or any regulation prescribed under this chapter with respect to any person other than another depository institution is liable to such person in an amount equal to the sum of—

(1)

any actual damage sustained by such person as a result of the failure;

(2)

(A)

in the case of an individual action, such additional amount as the court may allow, except that the liability under this subparagraph shall not be less than $100 nor greater than $1,000; or

(B)

in the case of a class action, such amount as the court may allow, except that—

(i)

as to each member of the class, no minimum recovery shall be applicable; and

(ii)

the total recovery under this subparagraph in any class action or series of class actions arising out of the same failure to comply by the same depository institution shall not be more than the lesser of $500,000 or 1 percent of the net worth of the depository institution involved; and

(3)

in the case of any successful action to enforce the foregoing liability, the costs of the action, together with a reasonable attorney’s fee as determined by the court.

(b)

Class action awards

In determining the amount of any award in any class action, the court shall consider, among other relevant factors—

(1)

the amount of any actual damages awarded;

(2)

the frequency and persistence of failures of compliance;

(3)

the resources of the depository institution;

(4)

the number of persons adversely affected; and

(5)

the extent to which the failure of compliance was intentional.

(c)

Bona fide errors

(1)

General rule

(2)

Examples

(d)

Jurisdiction

(e)

Reliance on Board rulings

(f)

Authority to establish rules regarding losses and liability among depository institutions

(Pub. L. 100–86, title VI, § 611, Aug. 10, 1987, 101 Stat. 650.)

cite as: 12 USC 4010