TASK DEFINITION: In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.
PROBLEM: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Keeping Families Home Act of 2014''.

SEC. 2. DEED-FOR-LEASE PROGRAM.

    (a) Establishment.--
            (1) In general.--Each servicer shall establish a deed-for-
        lease program (hereinafter referred to as the ``Program''), 
        which shall permit an eligible mortgagor to--
                    (A) enter into a deed in lieu of foreclosure 
                agreement;
                    (B) continue to occupy and lease the property that 
                is the subject of such agreement for a 1-year period 
                that begins on the date of such agreement; and
                    (C) have a right of first refusal to purchase such 
                property after the end of the 1-year lease period, if 
                the owner of the property intends to sell the property 
                at that time.
            (2) Exception for small servicers.--The Program requirement 
        under paragraph (1) shall not apply to a small servicer, as 
        such term is defined by the Secretary of Housing and Urban 
        Development.
    (b) Notice Requirement.--Servicers shall provide each eligible 
mortgagor with information about the Program and how to apply to 
participate in the Program.
    (c) Lease Terms.--A lease entered into by an eligible mortgagor 
under the Program shall--
            (1) carry a monthly rent amount equal to the fair market 
        rent for such property, as determined by an independent private 
        appraiser hired by and paid by the servicer; and
            (2) contain all typical lease provisions for similar rental 
        property.
    (d) Application Process.--
            (1) In general.--An eligible mortgagor may apply for the 
        Program at any time.
            (2) Effect of foreclosure sale.--If there is a foreclosure 
        sale pending with respect to the property--
                    (A) the eligible mortgagor may only apply for the 
                Program before the date that is 7 days before the date 
                of such foreclosure sale; and
                    (B) once the eligible mortgagor applies for the 
                Program, the foreclosure sale shall be halted until 
                after the eligible mortgagor's Program application has 
                been evaluated.
            (3) Contents of application.--
                    (A) In general.--In applying for the Program, an 
                eligible mortgagor shall provide the servicer with 
                proof of the following information:
                            (i) The eligible mortgagor is subject to a 
                        financial hardship that makes the eligible 
                        mortgagor unable to continue making timely 
                        payments on the eligible mortgage loan.
                            (ii) The eligible mortgagor is eligible to 
                        pay the monthly rent amount described under 
                        subsection (c)(1) and such amount is no more 
                        than 31 percent of the eligible mortgagor's 
                        monthly income.
                            (iii) The eligible mortgagor currently 
                        lives in the property and intends to continue 
                        doing so during the 1-year lease term.
                    (B) Ability to pay higher percentage of income in 
                rent.--Notwithstanding subparagraph (A)(ii), if an 
                eligible mortgagor believes they are able pay the 
                monthly rent amount despite such amount exceeding 31 
                percent of the eligible mortgagor's monthly income, the 
                eligible mortgagor may request that the Department of 
                Housing and Urban Development review their information, 
                along with any contributing factors the eligible 
                mortgagor may have (such as a low debt burden) and, if 
                the Department notifies the eligible mortgagor that the 
                Department agrees that the eligible mortgagor is able 
                to pay a monthly rent amount that is equal to a 
                percentage of their monthly income that is higher than 
                31 percent, such higher percentage shall be used for 
                purposes of subparagraph (A)(ii).
            (4) Effect of junior liens.--If an eligible mortgagor 
        applies for a Program with respect to a single family property 
        subject to a junior lien--
                    (A) if the servicer of the Program is also the 
                holder of the junior lien, the servicer shall release 
                the junior lien and, subject to the other requirements 
                of this section, the eligible mortgagor shall be 
                eligible to participate in the Program; and
                    (B) if the servicer of the Program is not the 
                holder of the junior lien, the servicer shall contact 
                such junior lien holder and request that the holder 
                release the lien, and--
                            (i) if the holder releases the lien, then, 
                        subject to the other requirements of this 
                        section, the eligible mortgagor shall be 
                        eligible to participate in the Program; and
                            (ii) if the holder does not release the 
                        lien, then the eligible mortgagor shall not be 
                        eligible to participate in the Program.
    (e) Evaluation and Notification.--
            (1) Deadline for evaluation.--The servicer shall evaluate 
        the eligible mortgagor's application within 30 days of 
        receiving such application and shall accept an eligible 
        mortgagor into the Program if the eligible mortgagor has 
        provided the proof described under subsection (d)(3)(A).
            (2) Notification.--Promptly after making a determination 
        under paragraph (1), the servicer shall notify the eligible 
        mortgagor of such determination in writing and, if the servicer 
        determines that the eligible mortgagor may not be accepted into 
        the Program, the servicer shall specifically explain in writing 
        why the eligible mortgage was not accepted.
    (f) Subsequent Owners Follow Program Requirements.--Any subsequent 
owner of the property being leased pursuant to the Program shall--
            (1) maintain the Program and abide by the terms of the 
        Program to the same extent as the servicer of the eligible 
        mortgage; and
            (2) certify to the Department of Housing and Urban 
        Development, before finalizing any purchase of the property, 
        that they will abide by the terms of the Program.
    (g) Rulemaking; Compliance Evaluation.--The Department of Housing 
and Urban Development shall--
            (1) issue such regulations as may be necessary to carry out 
        this section;
            (2) evaluate the compliance by servicers and owners with 
        the requirements of this section; and
            (3) enforce the requirements of this section.
    (h) Definitions.--For purposes of this section:
            (1) Eligible mortgagor.--The term ``eligible mortgagor'' 
        means a mortgagor under an eligible mortgage.
            (2) Eligible mortgage.--The term ``eligible mortgage'' 
        means a first or subordinate mortgage on a property that--
                    (A) is a single family property; and
                    (B) is currently being used as the principal 
                residence of the eligible mortgagor.
            (3) Single family property.--The term ``single family 
        property'' means--
                    (A) a structure consisting of 1 to 4 dwelling 
                units;
                    (B) a dwelling unit in a multi-unit condominium 
                property together with an undivided interest in the 
                common areas and facilities serving the property;
                    (C) a dwelling unit in a multi-unit project for 
                which purchase of stock or a membership interest 
                entitles the purchaser to permanent occupancy of that 
                unit; or
                    (D) a manufactured housing unit.

SOLUTION: Keeping Families Home Act of 2014 - Directs each mortgage servicer to establish a deed-for-lease program which shall permit an eligible mortgagor to:  enter into a deed in lieu of foreclosure agreement; continue to occupy and lease the property that is the subject of the agreement for one year; and have a right of first refusal to purchase such property after the end of the one-year lease period, if the owner intends to sell the property at that time.  Exempts small servicers from such requirement. Requires a lease to carry a monthly rent amount equal to the fair market rent for the property, as determined by an independent private appraiser hired by and paid by the servicer.

PROBLEM: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Preservation of Antibiotics for 
Medical Treatment Act of 2011''.

SEC. 2. FINDINGS.

    The Congress finds the following:
            (1) In January 2001, a Federal interagency task force--
                    (A) released an action plan to address the 
                continuing decline in effectiveness of antibiotics 
                against common bacterial infections, referred to as 
                antibiotic resistance;
                    (B) determined that antibiotic resistance is a 
                growing menace to all people and poses a serious threat 
                to public health; and
                    (C) cautioned that if current trends continue, 
                treatments for common infections will become 
                increasingly limited and expensive, and, in some cases, 
                nonexistent.
            (2) Antibiotic resistance, resulting in a reduced number of 
        effective antibiotics, may significantly impair the ability of 
        the United States to respond to terrorist attacks involving 
        bacterial infections or a large influx of hospitalized 
        patients.
            (3)(A) Any overuse or misuse of antibiotics contributes to 
        the spread of antibiotic resistance, whether in human medicine 
        or in agriculture.
            (B) Recognizing the public health threat caused by 
        antibiotic resistance, Congress took several steps to curb 
        antibiotic overuse in human medicine through amendments to the 
        Public Health Service Act (42 U.S.C. 201 et seq.) made by 
        section 102 of the Public Health Threats and Emergencies Act 
        (Public Law 106-505, title I; 114 Stat. 2315), but has not yet 
        addressed antibiotic overuse in agriculture.
            (4) In a March 2003 report, the National Academy of 
        Sciences stated that--
                    (A) a decrease in antimicrobial use in human 
                medicine alone will have little effect on the current 
                situation; and
                    (B) substantial efforts must be made to decrease 
                inappropriate overuse in animals and agriculture.
            (5) In 2010, the FDA determined that--
                    (A) 13.1 million kilograms of antibacterial drugs 
                were sold for use on food animals in the United States 
                in 2009;
                    (B) 3.3 million kilograms of antibacterial drugs 
                were used for human health in 2009; and
                    (C) therefore, 80 percent of antibacterial drugs 
                disseminated in the United States in 2009 were sold for 
                use on food animals, rather than being used for human 
                health.
            (6)(A) Large-scale, voluntary surveys by the Department of 
        Agriculture's Animal and Plant Health Inspection Service in 
        1999, 2001, and 2006 revealed that--
                    (i) 84 percent of grower-finisher swine farms, 83 
                percent of cattle feedlots, and 84 percent of sheep 
                farms administer antimicrobials in the feed or water 
                for health or growth promotion reasons; and
                    (ii) many of the antimicrobials identified are 
                identical or closely related to drugs used in human 
                medicine, including tetracyclines, macrolides, 
                Bacitracin, penicillins, and sulfonamides; and
            (B) these drugs are used in people to treat serious 
        diseases such as pneumonia, scarlet fever, rheumatic fever, 
        venereal disease, skin infections, and even pandemics like 
        malaria and plague, as well as bioterrorism agents like 
        smallpox and anthrax.
            (7) Many scientific studies confirm that the nontherapeutic 
        use of antibiotics in agricultural animals contributes to the 
        development of antibiotic-resistant bacterial infections in 
        people.
            (8) The periodical entitled ``Clinical Infectious 
        Diseases'' published a report in June 2002, that--
                    (A) was based on a 2-year review by experts in 
                human and veterinary medicine, public health, 
                microbiology, biostatistics, and risk analysis, of more 
                than 500 scientific studies on the human health impacts 
                of antimicrobial use in agriculture; and
                    (B) recommended that antimicrobial agents should no 
                longer be used in agriculture in the absence of 
                disease, but should be limited to therapy for diseased 
                individual animals and prophylaxis when disease is 
                documented in a herd or flock.
            (9) The United States Geological Survey reported in March 
        2002 that--
                    (A) antibiotics were present in 48 percent of the 
                streams tested nationwide; and
                    (B) almost half of the tested streams were 
                downstream from agricultural operations.
            (10) An April 1999 study by the General Accounting Office 
        concluded that resistant strains of 3 microorganisms that cause 
        food-borne illness or disease in humans (Salmonella, 
        Campylobacter, and E. coli) are linked to the use of 
        antibiotics in animals.
            (11) Epidemiological research has shown that resistant 
        Salmonella and Campylobacter infections are associated with 
        increased numbers of ill patients and bloodstream infections, 
        and increased death.
            (12) In 2010, the peer-reviewed journal Molecular Cell 
        published a study demonstrating that low-dosage use of 
        antibiotics causes a dramatic increase in genetic mutation, 
        raising new concerns about the agricultural practice of using 
        low-dosage antibiotics in order to stimulate growth promotion 
        and routinely prevent disease in unhealthy conditions.
            (13)(A) In January 2003, Consumer Reports published test 
        results on poultry products bought in grocery stores nationwide 
        showing disturbingly high levels of Campylobacter and 
        Salmonella bacteria that were resistant to the antibiotics used 
        to treat food-borne illnesses.
            (B) The Food and Drug Administration's National 
        Antimicrobial Resistance Monitoring System routinely finds that 
        retail meat products are contaminated with bacteria (including 
        the foodborne pathogens Campylobacter and Salmonella) that are 
        resistant to antibiotics important in human medicine.
            (C) In December 2007, the USDA issued a fact sheet on the 
        recently recognized link between antimicrobial drug use in 
        animals and Methicillin Resistant Staphylococcus Aureas (MRSA) 
        infections in humans.
            (14) In October 2001, the New England Journal of Medicine 
        published an editorial urging a ban on nontherapeutic use of 
        medically important antibiotics in animals.
            (15)(A) In 1998, the National Academy of Sciences noted 
        that antibiotic-resistant bacteria generate a minimum of 
        $4,000,000,000 to $5,000,000,000 in costs to United States 
        society and individuals yearly.
            (B) In 2009, Cook County Hospital and the Alliance for 
        Prudent Use of Antibiotics estimated that the total health care 
        cost of antibiotic resistant infections in the United States 
        was between $16,600,000,000 and $26,000,000,000 annually.
            (16) The American Medical Association, the American Public 
        Health Association, the National Association of County and City 
        Health Officials, and the National Campaign for Sustainable 
        Agriculture are among the more than 300 organizations 
        representing health, consumer, agricultural, environmental, 
        humane, and other interests that have supported enactment of 
        legislation to phase out nontherapeutic use in farm animals of 
        medically important antibiotics.
            (17) In 2010, the Danish Veterinary and Food Administration 
        testified that the Danish ban of the non-therapeutic use of 
        antibiotics in food animal production resulted in a marked 
        reduction in antimicrobial resistance in multiple bacterial 
        species, including Campylobacter and Enterococci.
            (18) In 2009, the Congressional Research Service concluded 
        that restrictions overseas on the use of antimicrobial drugs in 
        the production of livestock could impact U.S. export markets 
        for livestock and poultry.
            (19) The Federal Food, Drug, and Cosmetic Act (21 U.S.C. 
        301 et seq.)--
                    (A) requires that all drugs be shown to be safe 
                before the drugs are approved; and
                    (B) places the burden on manufacturers to account 
                for health consequences and prove safety.
            (20)(A) The Food and Drug Administration recently modified 
        the drug approval process for antibiotics to recognize the 
        development of resistant bacteria as an important aspect of 
        safety, but most antibiotics currently used in animal 
        production systems for nontherapeutic purposes were approved 
        before the Food and Drug Administration began considering 
        resistance during the drug-approval process.
            (B) The Food and Drug Administration has not established a 
        schedule for reviewing those existing approvals.
            (21) Certain non-routine uses of antibiotics in animal 
        agriculture are legitimate to prevent animal disease.
            (22) An April 2004 study by the General Accounting Office--
                    (A) concluded that Federal agencies do not collect 
                the critical data on antibiotic use in animals that 
                they need to support research on human health risks; 
                and
                    (B) recommends that the Department of Agriculture 
                and the Department of Health and Human Services develop 
                and implement a plan to collect data on antibiotic use 
                in animals.

SEC. 3. PURPOSE.

    The purpose of this Act is to preserve the effectiveness of 
medically important antibiotics used in the treatment of human and 
animal diseases by reviewing the safety of certain antibiotics for 
nontherapeutic purposes in food-producing animals.

SEC. 4. PROOF OF SAFETY OF CRITICAL ANTIMICROBIAL ANIMAL DRUGS.

    (a) Definitions.--Section 201 of the Federal Food, Drug, and 
Cosmetic Act (21 U.S.C. 321) is amended by adding at the end the 
following:
    ``(ss) Critical Antimicrobial Animal Drug.--The term `critical 
antimicrobial animal drug' means a drug that--
            ``(1) is intended for use in food-producing animals; and
            ``(2) is composed wholly or partly of--
                    ``(A) any kind of penicillin, tetracycline, 
                macrolide, lincosamide, streptogramin, aminoglycoside, 
                or sulfonamide; or
                    ``(B) any other drug or derivative of a drug that 
                is used in humans or intended for use in humans to 
                treat or prevent disease or infection caused by 
                microorganisms.
    ``(tt) Nontherapeutic Use.--The term `nontherapeutic use', with 
respect to a critical antimicrobial animal drug, means any use of the 
drug as a feed or water additive for an animal in the absence of any 
clinical sign of disease in the animal for growth promotion, feed 
efficiency, weight gain, routine disease prevention, or other routine 
purpose.''.
    (b) Applications Pending or Submitted After Enactment.--Section 
512(d)(1) of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 
360b(d)(1)) is amended--
            (1) in the first sentence--
                    (A) in subparagraph (H), by striking ``or'' at the 
                end;
                    (B) in subparagraph (I), by inserting ``or'' at the 
                end; and
                    (C) by inserting after subparagraph (I) the 
                following:
                    ``(J) with respect to a critical antimicrobial 
                animal drug or a drug of the same chemical class as a 
                critical antimicrobial animal drug, the applicant has 
                failed to demonstrate that there is a reasonable 
                certainty of no harm to human health due to the 
                development of antimicrobial resistance that is 
                attributable, in whole or in part, to the 
                nontherapeutic use of the drug; or''; and
            (2) in the second sentence, by striking ``(A) through (I)'' 
        and inserting ``(A) through (J)''.
    (c) Phased Elimination of Nontherapeutic Use in Animals of Critical 
Antimicrobial Animal Drugs Important for Human Health.--Section 512 of 
the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 360b) is amended by 
adding at the end the following:
    ``(q) Phased Elimination of Nontherapeutic Use in Animals of 
Critical Antimicrobial Animal Drugs Important for Human Health.--
            ``(1) Applicability.--This subsection applies to the 
        nontherapeutic use in a food-producing animal of a drug--
                    ``(A)(i) that is a critical antimicrobial animal 
                drug; or
                    ``(ii) that is of the same chemical class as a 
                critical antimicrobial animal drug; and
                    ``(B)(i) for which there is in effect an approval 
                of an application or an exemption under subsection (b), 
                (i), or (j) of section 505; or
                    ``(ii) that is otherwise marketed for use.
            ``(2) Withdrawal.--The Secretary shall withdraw the 
        approval of a nontherapeutic use in food-producing animals 
        described in paragraph (1) on the date that is 2 years after 
        the date of enactment of this subsection unless--
                    ``(A) before the date that is 2 years after the 
                date of the enactment of this subsection, the Secretary 
                makes a final written determination that the holder of 
                the approved application has demonstrated that there is 
                a reasonable certainty of no harm to human health due 
                to the development of antimicrobial resistance that is 
                attributable in whole or in part to the nontherapeutic 
                use of the drug; or
                    ``(B) before the date specified in subparagraph 
                (A), the Secretary makes a final written determination 
                under this subsection, with respect to a risk analysis 
                of the drug conducted by the Secretary and other 
                relevant information, that there is a reasonable 
                certainty of no harm to human health due to the 
                development of antimicrobial resistance that is 
                attributable in whole or in part to the nontherapeutic 
                use of the drug.
            ``(3) Exemptions.--Except as provided in paragraph (5), if 
        the Secretary grants an exemption under section 505(i) for a 
        drug that is a critical antimicrobial animal drug, the 
        Secretary shall rescind each approval of a nontherapeutic use 
        in a food-producing animal of the critical antimicrobial animal 
        drug, or of a drug in the same chemical class as the critical 
        antimicrobial animal drug, as of the date that is 2 years after 
        the date on which the Secretary grants the exemption.
            ``(4) Approvals.--Except as provided in paragraph (5), if 
        an application for a drug that is a critical antimicrobial 
        animal drug is submitted to the Secretary under section 505(b), 
        the Secretary shall rescind each approval of a nontherapeutic 
        use in a food-producing animal of the critical antimicrobial 
        animal drug, or of a drug in the same chemical class as the 
        critical antimicrobial animal drug, as of the date that is 2 
        years after the date on which the application is submitted to 
        the Secretary.
            ``(5) Exception.--Paragraph (3) or (4), as the case may be, 
        shall not apply if--
                    ``(A) before the date on which approval would be 
                rescinded under that paragraph, the Secretary makes a 
                final written determination that the holder of the 
                application for the approved nontherapeutic use has 
                demonstrated that there is a reasonable certainty of no 
                harm to human health due to the development of 
                antimicrobial resistance that is attributable in whole 
                or in part to the nontherapeutic use in the food-
                producing animal of the critical antimicrobial animal 
                drug; or
                    ``(B) before the date specified in subparagraph 
                (A), the Secretary makes a final written determination 
                under this subsection, with respect to a risk analysis 
                of the critical antimicrobial animal drug conducted by 
                the Secretary and any other relevant information, that 
                there is a reasonable certainty of no harm to human 
                health due to the development of antimicrobial 
                resistance that is attributable in whole or in part to 
                the nontherapeutic use of the drug.''.

SEC. 5. COMMITTEE HEARINGS ON IMPLEMENTATION.

    (a) In General.--The Committee on Energy and Commerce of the House 
of Representatives and the Committee on Energy of the Senate shall each 
hold a hearing on the implementation by the Commissioner of Food and 
Drugs of section 512(q) of the Federal Food, Drug, and Cosmetic Act, as 
added by section 4 of this Act.
    (b) Exercise of Rulemaking Authority.--Subsection (a) is enacted--
            (1) as an exercise of the rulemaking power of the House of 
        Representatives and Senate, and, as such, they shall be 
        considered as part of the rules of the House or Senate (as the 
        case may be), and such rules shall supersede any other rule of 
        the House or Senate only to the extent that rule is 
        inconsistent therewith; and
            (2) with full recognition of the constitutional right of 
        either House to change such rules (so far as relating to the 
        procedure in such House) at any time, in the same manner, and 
        to the same extent as in the case of any other rule of the 
        House or Senate.

SOLUTION: Preservation of Antibiotics for Medical Treatment Act of 2011 - Amends the Federal Food, Drug, and Cosmetic Act to require the Secretary of Health and Human Services (HHS) to deny an application for a new animal drug that is a critical antimicrobial animal drug unless the applicant demonstrates that there is a reasonably certainty of no harm to human health due to the development of antimicrobial resistance attributable to the nontherapeutic use of the drug. Defines "critical antimicrobial animal drug" as a drug intended for use in food-producing animals that contains specified antibiotics or other drugs used in humans to treat or prevent disease or infection caused by microorganisms.

Requires the Secretary to withdraw approval of a nontherapeutic use of such drugs in food-producing animals two years after the date of enactment of this Act unless certain safety requirements are met. Directs specified congressional committees to hold hearings on the implementation of such a withdrawal of approval.

PROBLEM: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Foreclosure Rescue Fraud Act of 
2008''.

SEC. 2. DEFINITIONS.

    In this title:
            (1) Commission.--The term ``Commission'' means the Federal 
        Trade Commission.
            (2) Foreclosure consultant.--The term ``foreclosure 
        consultant''--
                    (A) means a person who directly or indirectly makes 
                any solicitation, representation, or offer to a 
                homeowner facing foreclosure on residential real 
                property to perform, with or without compensation, or 
                who performs, with or without compensation, any service 
                that such person represents will prevent, postpone, or 
                reverse the effect of such foreclosure; and
                    (B) does not include--
                            (i) an attorney licensed to practice law in 
                        the State in which the property is located who 
                        has established an attorney-client relationship 
                        with the homeowner;
                            (ii) a person licensed as a real estate 
                        broker or salesperson in the State where the 
                        property is located, and such person engages in 
                        acts permitted under the licensure laws of such 
                        State;
                            (iii) a housing counseling agency approved 
                        by the Secretary;
                            (iv) a depository institution (as defined 
                        in section 3 of the Federal Deposit Insurance 
                        Act (12 U.S.C. 1813));
                            (v) a Federal credit union or a State 
                        credit union (as defined in section 101 of the 
                        Federal Credit Union Act (12 U.S.C. 1752)); or
                            (vi) an insurance company organized under 
                        the laws of any State.
            (3) Homeowner.--The term ``homeowner'', with respect to 
        residential real property for which an action to foreclose on 
        the mortgage or deed of trust on such real property is filed, 
        means the person holding record title to such property as of 
        the date on which such action is filed.
            (4) Loan servicer.--The term ``loan servicer'' has the same 
        meaning as the term ``servicer'' in section 6(i)(2) of the Real 
        Estate Settlement Procedures Act of 1974 (12 U.S.C. 
        2605(i)(2)).
            (5) Residential mortgage loan.--The term ``residential 
        mortgage loan'' means any loan primarily for personal, family, 
        or household use that is secured by a mortgage, deed of trust, 
        or other equivalent consensual security interest on a dwelling 
        (as defined in section 103(v) of the Truth in Lending Act (15 
        U.S.C. 1602)(v)) or residential real estate upon which is 
        constructed or intended to be constructed a dwelling (as so 
        defined).
            (6) Residential real property.--The term ``residential real 
        property'' has the meaning given the term ``dwelling'' in 
        section 103 of the Consumer Credit Protection Act (15 U.S.C. 
        1602).
            (7) Secretary.--The term ``Secretary'' means the Secretary 
        of Housing and Urban Development.

SEC. 3. MORTGAGE RESCUE FRAUD PROTECTION.

    (a) Limits on Foreclosure Consultants.--A foreclosure consultant 
may not--
            (1) claim, demand, charge, collect, or receive any 
        compensation from a homeowner for services performed by such 
        foreclosure consultant with respect to residential real 
        property until such foreclosure consultant has fully performed 
        each service that such foreclosure consultant contracted to 
        perform or represented would be performed with respect to such 
        residential real property;
            (2) hold any power of attorney from any homeowner, except 
        to inspect documents, as provided by applicable law;
            (3) receive any consideration from a third party in 
        connection with services rendered to a homeowner by such third 
        party with respect to the foreclosure of residential real 
        property, unless such consideration is fully disclosed to such 
        homeowner in writing before such services are rendered;
            (4) accept any wage assignment, any lien of any type on 
        real or personal property, or other security to secure the 
        payment of compensation with respect to services provided by 
        such foreclosure consultant in connection with the foreclosure 
        of residential real property; or
            (5) acquire any interest, directly or indirectly, in the 
        residence of a homeowner with whom the foreclosure consultant 
        has contracted.
    (b) Contract Requirements.--
            (1) Written contract required.--Notwithstanding any other 
        provision of law, a foreclosure consultant may not provide to a 
        homeowner a service related to the foreclosure of residential 
        real property--
                    (A) unless--
                            (i) a written contract for the purchase of 
                        such service has been signed and dated by the 
                        homeowner; and
                            (ii) such contract complies with the 
                        requirements described in paragraph (2); and
                    (B) before the end of the 3-business-day period 
                beginning on the date on which the contract is signed.
            (2) Terms and conditions of contract.--The requirements 
        described in this paragraph, with respect to a contract, are as 
        follows:
                    (A) The contract includes, in writing--
                            (i) a full and detailed description of the 
                        exact nature of the contract and the total 
                        amount and terms of compensation;
                            (ii) the name, physical address, phone 
                        number, email address, and facsimile number, if 
                        any, of the foreclosure consultant to whom a 
                        notice of cancellation can be mailed or sent 
                        under subsection (d); and
                            (iii) a conspicuous statement in at least 
                        12 point bold face type in immediate proximity 
                        to the space reserved for the homeowner's 
                        signature on the contract that reads as 
                        follows: ``You may cancel this contract without 
                        penalty or obligation at any time before 
                        midnight of the 3rd business day after the date 
                        on which you sign the contract. See the 
                        attached notice of cancellation form for an 
                        explanation of this right.''.
                    (B) The contract is written in the principal 
                language used by the homeowner.
                    (C) The contract is accompanied by the form 
                required by subsection (c)(2).
    (c) Right To Cancel Contract.--
            (1) In general.--With respect to a contract between a 
        homeowner and a foreclosure consultant regarding the 
        foreclosure on the residential real property of such homeowner, 
        such homeowner may cancel such contract without penalty or 
        obligation by mailing a notice of cancellation not later than 
        midnight of the 3rd business day after the date on which such 
        contract is executed or would become enforceable against the 
        parties to such contract.
            (2) Cancellation form and other information.--Each contract 
        described in paragraph (1) shall be accompanied by a form, in 
        duplicate, that--
                    (A) has the heading ``Notice of Cancellation'' in 
                boldface type; and
                    (B) contains in boldface type the following 
                statement:
            ``You may cancel this contract, without any penalty or 
        obligation, at any time before midnight of the 3rd day after 
        the date on which the contract is signed by you.
            ``To cancel this contract, mail or deliver a signed and 
        dated copy of this cancellation notice or any other equivalent 
        written notice to [insert name of foreclosure consultant] at 
        [insert address of foreclosure consultant] before midnight on 
        [insert date].
            ``I hereby cancel this transaction on [insert date] [insert 
        homeowner signature].''.
    (d) Waiver of Rights and Protections Prohibited.--
            (1) In general.--A waiver by a homeowner of any protection 
        provided by this section or any right of a homeowner under this 
        section--
                    (A) shall be treated as void; and
                    (B) may not be enforced by any Federal or State 
                court or by any person.
            (2) Attempt to obtain a waiver.--Any attempt by any person 
        to obtain a waiver from any homeowner of any protection 
        provided by this section or any right of the homeowner under 
        this section shall be treated as a violation of this section.
            (3) Contracts not in compliance.--Any contract that does 
        not comply with the applicable provisions of this title shall 
        be void and may not be enforceable by any party.

SEC. 4. WARNINGS TO HOMEOWNERS OF FORECLOSURE RESCUE SCAMS.

    (a) In General.--If a loan servicer finds that a homeowner has 
failed to make 2 consecutive payments on a residential mortgage loan 
and such loan is at risk of being foreclosed upon, the loan servicer 
shall notify such homeowner of the dangers of fraudulent activities 
associated with foreclosure.
    (b) Notice Requirements.--Each notice provided under subsection (a) 
shall--
            (1) be in writing;
            (2) be included with a mailing of account information;
            (3) have the heading ``Notice Required by Federal Law'' in 
        a 14-point boldface type in English and Spanish at the top of 
        such notice; and
            (4) contain the following statement in English and Spanish: 
        ``Mortgage foreclosure is a complex process. Some people may 
        approach you about saving your home. You should be careful 
        about any such promises. There are government and nonprofit 
        agencies you may contact for helpful information about the 
        foreclosure process. Contact your lender immediately at [____], 
        call the Department of Housing and Urban Development Housing 
        Counseling Line at (800) 569-4287 to find a housing counseling 
        agency certified by the Department to assist you in avoiding 
        foreclosure, or visit the Department's Tips for Avoiding 
        Foreclosure website at http://www.hud.gov/foreclosure for 
        additional assistance.'' (the blank space to be filled in by 
        the loan servicer).

SEC. 5. CIVIL LIABILITY.

    (a) Liability Established.--Any foreclosure consultant who fails to 
comply with any provision of section 3 or 4 with respect to any other 
person shall be liable to such person in an amount equal to the sum of 
the amounts determined under each of the following paragraphs:
            (1) Actual damages.--The greater of--
                    (A) the amount of any actual damage sustained by 
                such person as a result of such failure; or
                    (B) any amount paid by the person to the 
                foreclosure consultant.
            (2) Punitive damages.--In the case of any action by an 
        individual, such amount (in addition to damages described in 
        paragraph (1)) as the court may allow.
            (3) Attorneys' fees.--In the case of any successful action 
        to enforce any liability under paragraph (1) or (2), the costs 
        of the action, together with reasonable attorneys' fees.
    (b) Factors To Be Considered in Awarding Punitive Damages.--In 
determining the amount of any liability of any foreclosure consultant 
under subsection (a)(2), the court shall consider, among other relevant 
factors--
            (1) the frequency and persistence of noncompliance by the 
        foreclosure consultant;
            (2) the nature of the noncompliance; and
            (3) the extent to which such noncompliance was intentional.

SEC. 6. ADMINISTRATIVE ENFORCEMENT.

    (a) Enforcement by Federal Trade Commission.--
            (1) Unfair or deceptive act or practice.--A violation of a 
        prohibition described in section 3 or a failure to comply with 
        any provision of section 3 or 4 shall be treated as a violation 
        of a rule defining an unfair or deceptive act or practice 
        described under section 18(a)(1)(B) of the Federal Trade 
        Commission Act (15 U.S.C. 57a(a)(1)(B)).
            (2) Actions by the federal trade commission.--The Federal 
        Trade Commission shall enforce the provisions of sections 3 and 
        4 in the same manner, by the same means, and with the same 
        jurisdiction, powers, and duties as though all applicable terms 
        and provisions of the Federal Trade Commission Act (15 U.S.C. 
        41 et seq.) were incorporated into and made part of this title.
    (b) State Action for Violations.--
            (1) Authority of states.--In addition to such other 
        remedies as are provided under State law, whenever the chief 
        law enforcement officer of a State, or an official or agency 
        designated by a State, has reason to believe that any person 
        has violated or is violating the provisions of section 3 or 4, 
        the State--
                    (A) may bring an action to enjoin such violation;
                    (B) may bring an action on behalf of its residents 
                to recover damages for which the person is liable to 
                such residents under section 5 as a result of the 
                violation; and
                    (C) in the case of any successful action under 
                subparagraph (A) or (B), shall be awarded the costs of 
                the action and reasonable attorney fees, as determined 
                by the court.
            (2) Rights of federal trade commission.--
                    (A) Notice to commission.--The State shall serve 
                prior written notice of any civil action under 
                paragraph (1) upon the Commission and provide the 
                Commission with a copy of its complaint, except in any 
                case in which such prior notice is not feasible, in 
                which case the State shall serve such notice 
                immediately upon instituting such action.
                    (B) Intervention.--The Commission shall have the 
                right--
                            (i) to intervene in any action referred to 
                        in subparagraph (A);
                            (ii) upon so intervening, to be heard on 
                        all matters arising in the action; and
                            (iii) to file petitions for appeal in such 
                        actions.
            (3) Investigatory powers.--For purposes of bringing any 
        action under this subsection, nothing in this subsection shall 
        prevent the chief law enforcement officer, or an official or 
        agency designated by a State, from exercising the powers 
        conferred on the chief law enforcement officer or such official 
        by the laws of such State to conduct investigations or to 
        administer oaths or affirmations, or to compel the attendance 
        of witnesses or the production of documentary and other 
        evidence.
            (4) Limitation.--Whenever the Federal Trade Commission has 
        instituted a civil action for a violation of section 3 or 4, no 
        State may, during the pendency of such action, bring an action 
        under this section against any defendant named in the complaint 
        of the Commission for any violation of section 3 or 4 that is 
        alleged in that complaint.

SEC. 7. PREEMPTION.

    Nothing in this title affects any provision of State or local law 
respecting any foreclosure consultant, residential mortgage loan, or 
residential real property that provides equal or greater protection to 
homeowners than what is provided under this title.

SOLUTION:
Foreclosure Rescue Fraud Act of 2008 - Prohibits a foreclosure consultant from: (1) receiving compensation from a homeowner for services performed regarding residential real property until such consultant has fully performed each service contracted for; (2) holding power of attorney from any homeowner, except to inspect documents; (3) receiving consideration from a third party in connection with services rendered to a homeowner by such third party with respect to the foreclosure, unless such consideration is fully disclosed in writing before such services are rendered; (4) accepting any wage assignment, lien, or other security to secure compensation for services rendered regarding foreclosure of the residential real property; or (5) acquiring any interest in the residence of a homeowner with whom the consultant has contracted.

Sets forth contract requirements. Permits a homeowner to cancel such contract without penalty or obligation.

Declares void and unenforceable: (1) any waiver by a homeowner of the protections provided in this Act; and (2) any contract that does not comply with this Act.



Requires a loan servicer to notify a homeowner of the dangers of fraudulent activities associated with foreclosure if the servicer finds that the homeowner has failed to make two consecutive payments on a residential mortgage loan and such loan is at risk of foreclosure.

Subjects any foreclosure consultant who fails to comply with this Act to liability for actual and punitive damages and attorneys' fees.

Empowers the Federal Trade Commission (FTC) and the states to enforce this Act.