,,ii #aadth ,,congress #ast ,session ,s4 #bjdd ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,september #af1 #bjae ,mr4 ,thune 7for himself1 ,mr4 ,schatz1 and ,mr4 ,moran7 introduced the following bill2 which was read twice and referred to the ,committee on ,commerce1 ,science1 and ,transportation ,a ,,bill ,to prohibit the use of certain clauses in form contracts that restrict the ability of a consumer to communicate regarding the goods or services offered in interstate commerce that were the subject of the contract1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,consumer ,review ,freedom ,act of #bjae4 #b4 ,consumer review protection 7a7 ,definitions ,in this section3 7#a7 ,commission ,the term ,commission means the ,federal ,trade ,commission4 7#b7 ,covered communication ,the term covered communication means a written1 verbal1 or pictorial review1 performance assessment of1 or other similar analysis of1 the products1 services1 or conduct of a person by an individual who is party to a form contract with respect to which such person is also a party4 7#c7 ,form contract ,the term form contract means a standardized contract used by a person and imposed on an individual without a meaningful opportunity for such individual to negotiate the standardized terms1 but does not include a contract establishing an employer-employee or independent contractor relationship4 7#d7 ,pictorial ,the term pictorial includes pictures1 photographs1 and video provided by electronic means4 7#e7 ,verbal ,the term verbal includes speech provided by electronic means4 7#f7 ,written ,the term written includes words provided by electronic means4 7b7 ,invalidity of contracts that impede consumer reviews 7#a7 ,in general ,except as provided in paragraphs 7#b7 and 7#c71 a provision of a form contract is void from the inception of such contract if such provision-- 7,a7 prohibits or restricts the ability of an individual who is a party to the form contract to engage in a covered communication2 7,b7 imposes a penalty or fee against an individual who is a party to the form contract for engaging in a covered communication2 or 7,c7 transfers or requires an individual who is a party to the form contract to transfer to any person any intellectual property rights that the individual may have in any otherwise lawful covered communication about such person or the goods or services provided by such person4 7#b7 ,rule of construction ,nothing in paragraph 7#a7 shall be construed to affect-- 7,a7 any duty of confidentiality imposed by law 7including agency guidance72 or 7,b7 any civil action for defamation1 libel1 or slander1 or any similar cause of action4 7#c7 ,exceptions ,paragraph 7#a7 shall not apply to the extent that a provision of a form contract prohibits disclosure of the following3 7,a7 ,trade secrets or commercial or financial information obtained from a person and considered privileged or confidential4 7,b7 ,personnel and medical files and similar information the disclosure of which would constitute a clearly unwarranted invasion of personal privacy4 7,c7 ,records or information compiled for law enforcement purposes1 the disclosure of which would constitute a clearly unwarranted invasion of personal privacy4 7c7 ,prohibition ,it shall be unlawful for a person to offer or enter into a form contract containing a provision described as void in subsection 7b74 7d7 ,enforcement by ,commission 7#a7 ,unfair or deceptive acts or practices ,a violation of subsection 7c7 by a person with respect to which the ,commission is empowered under section #e7;a77#b7 of the ,federal ,trade ,commission ,act 7#ae ,u4,s4,c4 #de7;a77#b77 shall be treated as a violation of a rule defining an unfair or deceptive act or practice prescribed under section #ah7;a77#a77;,b7 of the ,federal ,trade ,commission ,act 7#ae ,u4,s4,c4 #eg;a7a77#a77;,b774 7#b7 ,powers of commission 7,a7 ,in general ,the ,commission shall enforce this section in the same manner1 by the same means1 and with the same jurisdiction1 powers1 and duties as though all applicable terms and provisions of the ,federal ,trade ,commission ,act 7#ae ,u4,s4,c4 #da et seq47 were incorporated into and made a part of this ,act4 7,b7 ,privileges and immunities ,any person who violates this section shall be subject to the penalties and entitled to the privileges and immunities provided in the ,federal ,trade ,commission ,act 7#ae ,u4,s4,c4 #da et seq474 7e7 ,enforcement by ,states 7#a7 ,in general ,in any case in which the attorney general of a ,state has reason to believe that an interest of the residents of the ,state has been or is threatened or adversely affected by the engagement of any person subject to subsection 7c7 in a practice that violates such subsection1 the attorney general of the ,state may1 as parens patriae1 bring a civil action on behalf of the residents of the ,state in an appropriate district court of the ,united ,states to obtain appropriate relief4 7#b7 ,rights of ,federal ,trade ,commission 7,a7 ,notice to ,federal ,trade ,commission 7i7 ,in general ,except as provided in clause 7iii71 the attorney general of a ,state shall notify the ,commission in writing that the attorney general intends to bring a civil action under paragraph 7#a7 before initiating the civil action against a person described in subsection 7d77#a74 7ii7 ,contents ,the notification required by clause 7i7 with respect to a civil action shall include a copy of the complaint to be filed to initiate the civil action4 7iii7 ,exception ,if it is not feasible for the attorney general of a ,state to provide the notification required by clause 7i7 before initiating a civil action under paragraph 7#a71 the attorney general shall notify the ,commission immediately upon instituting the civil action4 7,b7 ,intervention by federal trade commission ,the ,commission may-- 7i7 intervene in any civil action brought by the attorney general of a ,state under paragraph 7#a7 against a person described in subsection 7d77#a72 and 7ii7 upon intervening-- 7,i7 be heard on all matters arising in the civil action2 and 7,,ii7 file petitions for appeal of a decision in the civil action4 7#c7 ,investigatory powers ,nothing in this subsection may be construed to prevent the attorney general of a ,state from exercising the powers conferred on the attorney general by the laws of the ,state to conduct investigations1 to administer oaths or affirmations1 or to compel the attendance of witnesses or the production of documentary or other evidence4 7#d7 ,preemptive action by ,federal ,trade ,commission ,if the ,federal ,trade ,commission institutes a civil action or an administrative action with respect to a violation of subsection 7c71 the attorney general of a ,state may not1 during the pendency of such action1 bring a civil action under paragraph 7#a7 against any defendant named in the complaint of the ,commission for the violation with respect to which the ,commission instituted such action4 7#e7 ,venue2 service of process 7,a7 ,venue ,any action brought under paragraph 7#a7 may be brought in-- 7i7 the district court of the ,united ,states that meets applicable requirements relating to venue under section #acia of title #bh1 ,united ,states ,code2 or 7ii7 another court of competent jurisdiction4 7,b7 ,service of process ,in an action brought under paragraph 7#a71 process may be served in any district in which the defendant-- 7i7 is an inhabitant2 or 7ii7 may be found4 7#f7 ,actions by other ,state officials 7,a7 ,in general ,in addition to civil actions brought by attorneys general under paragraph 7#a71 any other officer of a ,state who is authorized by the ,state to do so may bring a civil action under paragraph 7#a71 subject to the same requirements and limitations that apply under this subsection to civil actions brought by attorneys general4 7,b7 ,savings provision ,nothing in this subsection may be construed to prohibit an authorized official of a ,state from initiating or continuing any proceeding in a court of the ,state for a violation of any civil or criminal law of the ,state4 7#g7 ,prohibition on entering into contingency fee agreement with outside counsel for ,state enforcement 7,a7 ,contingency fee agreement defined ,for purposes of this paragraph1 the term contingency fee agreement means a contract or other agreement to provide services under which the amount or the payment of the fee for services is contingent in whole or in part on the outcome of the matter for which the services were obtained4 7,b7 ,prohibition ,an attorney general of a ,state1 or any ,state or local law enforcement agency1 may not enter into a contingency fee agreement for legal or expert witness services relating to an action commenced under paragraph 7#a74 7f7 ,education and ,outreach for ,businesses ,not later than #fj days after the date of the enactment of this ,act1 the ,commission shall commence conducting education and outreach that provides businesses with non-binding best practices for compliance with this ,act4 7g7 ,relation to ,state causes of action ,nothing in this section shall be construed to affect any cause of action brought by a person that exists or may exist under ,state law4 7h7 ,effective dates ,this section shall take effect on the date of the enactment of this ,act1 except that-- 7#a7 subsections 7b7 and 7c7 shall apply with respect to contracts in effect on or after the date of the enactment of this ,act2 and 7#b7 subsections 7d7 and 7e7 shall apply with respect to contracts in effect on or after the date that is #a year after the date of the enactment of this ,act4