15 U.S.C. § 1264 : US Code - Section 1264: Penalties; exceptions

Search 15 U.S.C. § 1264 : US Code - Section 1264: Penalties; exceptions

(a) Criminal penalties
Any person who violates any of the provisions of section 1263 of
this title shall be guilty of a misdemeanor and shall on conviction
thereof be subject to a fine of not more than $500 or to
imprisonment for not more than ninety days, or both; but for
offenses committed with intent to defraud or mislead, or for second
and subsequent offenses, the penalty shall be imprisonment for not
more than one year, or a fine of not more than $3,000, or both such
imprisonment and fine.
(b) Exceptions
No person shall be subject to the penalties of subsection (a) of
this section, (1) for having violated section 1263(c) of this
title, if the receipt, delivery, or proffered delivery of the
hazardous substance was made in good faith, unless he refuses to
furnish on request of an officer or employee duly designated by the
Commission, the name and address of the person from whom he
purchased or received such hazardous substance, and copies of all
documents, if any there be, pertaining to the delivery of the
hazardous substance to him; or (2) for having violated section
1263(a) of this title, if he established a guarantee or undertaking
signed by, and containing the name and address of, the person
residing in the United States from whom he received in good faith
the hazardous substance, to the effect that the hazardous substance
is not a misbranded hazardous substance or a banned hazardous
substance within the meaning of those terms in this chapter; or (3)
for having violated subsection (a) or (c) of section 1263 of this
title with respect to any hazardous substance shipped or delivered
for shipment for export to any foreign country, in a package marked
for export on the outside of the shipping container and labeled in
accordance with the specifications of the foreign purchaser and in
accordance with the laws of the foreign country, but if such
hazardous substance is sold or offered for sale in domestic
commerce or if the Consumer Product Safety Commission determines
that exportation of such substance presents an unreasonable risk of
injury to persons residing within the United States, this clause
shall not apply.
(c) Civil penalties
(1) Any person who knowingly violates section 1263 of this title
shall be subject to a civil penalty not to exceed $5,000 for each
such violation. Subject to paragraph (2), a violation of
subsections (a), (b), (c), (d), (f), (g), (i), (j), and (k) of
section 1263 of this title shall constitute a separate offense with
respect to each substance involved, except that the maximum civil
penalty shall not exceed $1,250,000 for any related series of
violations. A violation of section 1263(e) of this title shall
constitute a separate violation with respect to each failure or
refusal to allow or perform an act required by section 1263(e) of
this title; and, if such violation is a continuing one, each day of
such violation shall constitute a separate offense, except that the
maximum civil penalty shall not exceed $1,250,000 for any related
series of violations.
(2) The second sentence of paragraph (1) of this subsection shall
not apply to violations of subsection (a) or (c) of section 1263 of
this title -
(A) if the person who violated such subsection is not the
manufacturer, importer, or private labeler or a distributor of
the substances involved; and
(B) if such person did not have either (i) actual knowledge
that such person's distribution or sale of the substance violated
such subsection, or (ii) notice from the Commission that such
distribution or sale would be a violation of such subsection.
(3) In determining the amount of any penalty to be sought upon
commencing an action seeking to assess a penalty for a violation of
section 1263 of this title, the Commission shall consider the
nature of the substance, the severity of the risk of injury, the
occurrence or absence of injury, the amount of the substance
distributed, and the appropriateness of such penalty in relation to
the size of the business of the person charged.
(4) Any civil penalty under this subsection may be compromised by
the Commission. In determining the amount of such penalty or
whether it should be remitted or mitigated, and in what amount, the
Commission shall consider the appropriateness of such penalty to
the size of the business of the persons charged, the nature of the
substance involved, the severity of the risk of injury, the
occurrence or absence of injury, and the amount of the substance
distributed. The amount of such penalty when finally determined, or
the amount agreed on compromise, may be deducted from any sums
owing by the United States to the person charged.
(5) As used in the first sentence of paragraph (1), the term
"knowingly" means (A) having actual knowledge, or (B) the presumed
having of knowledge deemed to be possessed by a reasonable person
who acts in the circumstances, including knowledge obtainable upon
the exercise of due care to ascertain the truth of representations.
(6)(A) The maximum penalty amounts authorized in paragraph (1)
shall be adjusted for inflation as provided in this paragraph.
(B) Not later than December 1, 1994, and December 1 of each fifth
calendar year thereafter, the Commission shall prescribe and
publish in the Federal Register a schedule of maximum authorized
penalties that shall apply for violations that occur after January
1 of the year immediately following such publication.
(C) The schedule of maximum authorized penalties shall be
prescribed by increasing each of the amounts referred to in
paragraph (1) by the cost-of-living adjustment for the preceding
five years. Any increase determined under the preceding sentence
shall be rounded to -
(i) in the case of penalties greater than $1,000 but less than
or equal to $10,000, the nearest multiple of $1,000;
(ii) in the case of penalties greater than $10,000 but less
than or equal to $100,000, the nearest multiple of $5,000;
(iii) in the case of penalties greater than $100,000 but less
than or equal to $200,000, the nearest multiple of $10,000; and
(iv) in the case of penalties greater than $200,000, the
nearest multiple of $25,000.
(D) For purposes of this subsection:
(i) The term "Consumer Price Index" means the Consumer Price
Index for all-urban consumers published by the Department of
Labor.
(ii) The term "cost-of-living adjustment for the preceding five
years" means the percentage by which -
(I) the Consumer Price Index for the month of June of the
calendar year preceding the adjustment; exceeds
(II) the Consumer Price Index for the month of June preceding
the date on which the maximum authorized penalty was last
adjusted.
(d) Civil action for injunction
In the case of an attorney general of a State alleging a
violation that affects or may affect such State or its residents,
such attorney general may bring a civil action for an injunction to
enforce any requirement of this chapter relating to misbranded or
banned hazardous substances. The procedural requirements of section
2073 of this title shall apply to any such action.