16a-5-203.   (UCCC) Civil liability for violation ofdisclosure provisions.(1) Except as otherwise provided in this section, a creditor who, inviolation of the provisions of the rules and regulations adoptedby the administrator pursuant to K.S.A. 16a-6-117, and amendmentsthereto, fails to discloseinformationto a person entitled to the information under the provisions of K.S.A.16a-1-101through 16a-9-102, and amendments thereto, is liable tothat person in an amount equal to the sum of:

      (a)   Twice the amount of the finance charge in connection with thetransaction, but the liability pursuant to this paragraph shall be notless than $200 or more than $2,000; and

      (b)   in the case of a successful action to enforce the liabilityunder paragraph (a), the costs of the action together with reasonableattorney's fees as determined by the court.

      (2)   A creditor has no liability under this section if within 15 days afterdiscovering an error, and prior to the institution of anaction under this section or the receipt of written notice of the error,the creditor notifies the person concerned of the error and makeswhatever adjustments in the appropriate account are necessary to assurethat the person will not be required to pay a credit service charge orloan finance charge in excess of the amount or percentage rate actuallydisclosed.

      (3)   A creditor may not be held liable in any action brought underthis section for a violation of the provisions of K.S.A. 16a-1-101 through16a-9-102, and amendments thereto,if the creditor shows by apreponderance of evidence that the violation was not intentional andresulted from a bona fide error notwithstanding the maintenance ofprocedures reasonably adapted to avoid the error.

      (4)   Any action which may be brought under this section against theoriginal creditor in any credit transaction involving a securityinterest in land may be maintained against any subsequent assignee ofthe original creditor where the assignee, its subsidiaries, oraffiliates were in a continuing business relationship with the originalcreditor either at the time the credit was extended or at the time ofthe assignment, unless the assignment was involuntary, or the assigneeshows by a preponderance of evidence that it did not have reasonablegrounds to believe that the original creditor was engaged in violationsof this act and that it maintained procedures reasonably adapted toapprise it of the existence of the violations.

      (5)   No action pursuant to this section may be brought more than oneyear after the date of the occurrence of the violation.

      (6)   The liability of the creditor under this section is in lieu ofand not in addition to the creditor's liability under the federal truth inlendingact; no action with respect to the same violation may be maintainedpursuant to both this section and the federal truth in lending act.

      History:   L. 1973, ch. 85, § 91; L. 1981, ch. 93, § 15;L. 1988, ch. 85, § 10;L. 1999, ch. 107, § 26; July 1.