I 
108TH CONGRESS 
2D SESSION 
H. R. 4719 
To amend the Truth in Lending Act to limit the liability of any assignee 
of a creditor, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 25, 2004 
Mr. BAKER (for himself, Mr. ROYCE, and Mr. HENSARLING) introduced the 
following bill; which was referred to the Committee on Financial Services 
A BILL 
To amend the Truth in Lending Act to limit the liability 
of any assignee of a creditor, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Mortgage Market Pro-
tection Act of 2004’’. 
SEC. 2. LIMITATION ON LIABILITY OF THE ASSIGNEE OF A 
CREDITOR. 
(a) VIOLATIONS APPARENT ON FACE OF DISCLO-
SURE STATEMENTS.—Section 131(a) of Truth in Lending 
Act (15 U.S.C. 1641(a)) is amended—
(1) by striking ‘‘(a) Except as otherwise’’ and 
inserting ‘‘(a) CIVIL ACTION AGAINST ASSIGNEES— 
‘‘(1) IN GENERAL.—Except as otherwise pro-
vided’’; 
(2) by striking the 2nd sentence; and 
(3) by adding at the end the following new 
paragraph: 
‘‘(2) VIOLATIONS APPARENT ON FACE OF DOC-
UMENTS.—For the purpose of this section, a viola-
tion is apparent on the face of the disclosure docu-
ment if— 
‘‘(A) the disclosure can be determined to 
be incomplete or inaccurate from a comparison 
of any disclosure provided pursuant to section 
127, 127A, 128, or 129, a uniform disclosure 
statement provided pursuant to section 4 of the 
Real Estate Settlement Procedures Act of 
1974, the promissory note or other instrument 
signed by the consumer under which credit was 
extended, and any itemization of the amount fi-
nanced; or 
‘‘(B) any disclosure provided pursuant to 
section 127, 127A, 128, or 129 does not con-
tain terms required to be used under this 
title.’’.
(b) REPEAL OF RIGHT TO RESCIND ANY CREDIT 
TRANSACTION AS AGAINST AN ASSIGNEE.—Subsection (c) 
of section 131 of the Truth in Lending Act (15 U.S.C. 
1641(c)) is amended to read as follows: 
‘‘(c) [Repealed]’’. 
(c) LIMITATION ON RIGHTS UPON ASSIGNMENT OF 
HIGH COST MORTGAGES.—Subsection (d) of section 131 
of Truth in Lending Act (15 U.S.C. 1641(d) is amended— 
(1) by striking paragraph (1) and inserting the 
following new paragraph: 
‘‘(1) IN GENERAL.—Notwithstanding any other 
provision of law, any person who purchases or is 
otherwise assigned a mortgage referred to in section 
103(aa) shall be liable, jointly and severally with the 
original creditor and any prior or subsequent as-
signee, for all material violations committed by the 
original creditor, to the extent that the violation is 
apparent on the face of the disclosure.’’; 
(2) by striking paragraph (2) and inserting the 
following new paragraph: 
‘‘(2) 
LIMITATION
ON
DAMAGES.—Notwith-
standing any other provision of law— 
‘‘(A) a cause of action for a liability de-
scribed in paragraph (1) may be asserted by the 
borrower only in an individual action;
‘‘(B) in any such action the amount of re-
lief shall not exceed the sum of all of the 
amounts that the borrower has paid in connec-
tion with the loan and reasonable attorney’s 
fees in such individual action; 
‘‘(C) no such action may be brought after 
the end of the 3-year period beginning on the 
the date of the violation giving rise to the liabil-
ity; and 
‘‘(D) such cause of action shall constitute 
the exclusive remedy of the consumer against 
an assignee of a mortgage referred to in section 
103(aa).’’; and 
(3) by striking paragraph (3) and inserting the 
following new paragraph: 
‘‘(3) DENIAL
OF
RESCISSION
RIGHTS
AS 
AGAINST ASSIGNEES OF HIGH COST MORTGAGES.— 
Notwithstanding any other provision of this title, no 
provision of this title that permits a consumer to 
void or rescind a mortgage referred to in section 
103(aa) shall apply with respect to any assignee of 
such mortgage.’’. 
(d) TECHNICAL AND CONFORMING AMENDMENT.— 
Subsection (e) of section 131 of the Truth in Lending Act 
(15 U.S.C. 1641(e)) is amended to read as follows: