{"data":{"id":"us-ok/okla.-stat.-tit.-14a-14a-5-203","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 14A, § 14A-5-203","heading":"Civil liability for violation of disclosure provisions","body":"(1) Except as otherwise provided in this section, any creditor\n\nwho fails to comply with any requirement imposed by the provisions\n\non disclosure (Part 3), other than the provisions on advertising\n\npursuant to Sections 2-313 of Article 2 of this title and 3-312 of\n\nArticle 3 of this title, or with any requirement imposed by the\n\nprovision on the right to rescind pursuant to Section 5-204 of this\n\ntitle, with respect to any person is liable to that person in an\n\namount equal to the sum of:\n\n(a) any actual damage sustained by that person as a result\n\nof the failure;\n\n(b) (i) (aa) in the case of an individual action twice\n\nthe amount of the credit service or loan\n\nfinance charge in connection with the\n\ntransaction,\n\n(bb) in the case of an individual action relating\n\nto a consumer lease twenty-five percent\n\n(25%) of the total amount of monthly\n\npayments under the lease but the liability\n\npursuant to this division shall be not less\n\nthan One Hundred Dollars ($100.00) nor more\n\nthan One Thousand Dollars ($1,000.00),\n\n(cc) in the case of an individual action relating\n\nto a credit transaction not under an open-\n\nend credit plan that is secured by real\n\nproperty or a dwelling, not less than Four\n\nHundred Dollars ($400.00) or greater than\n\nFour Thousand Dollars ($4,000.00), or\n\n(dd) in the case of an individual action relating\n\nto an open-end consumer credit plan that is\n\nnot secured by real property or a dwelling,\n\ntwice the amount of any finance charge in\n\nconnection with the transaction, with a\n\nminimum of Five Hundred Dollars ($500.00)\n\nand a maximum of Five Thousand Dollars\n\n($5,000.00), or such higher amount as may be\n\nappropriate in the case of an established\n\npattern or practice of such failures; or\n\n(ii) in the case of a class action, an amount the\n\ncourt may allow, except that as to each member of\n\nthe class no minimum recovery shall be applicable\n\nand the total recovery other than for actual\n\ndamages in any class action or series of class\n\nactions arising out of the same failure to comply\n\nby the same creditor shall not be more than the\n\nlesser of Five Hundred Thousand Dollars\n\n($500,000.00) or one percent (1%) of the net\n\nworth of the creditor;\n\n(c) in the case of a successful action to enforce the\n\nliability under paragraph (b) of this subsection or in\n\nany action in which a person is determined to have a\n\nright of rescission under Section 11 of this act and\n\nSection 5-204 of this title, the costs of the action\n\ntogether with reasonable attorney fees as determined\n\nby the court. In determining the amount of award in\n\nany class action, the court shall consider among other\n\nrelevant factors the amount of any actual damages\n\nawarded, the frequency and persistence of failures of\n\ncompliance by the creditor, the resources of the\n\ncreditor, the number of persons adversely affected,\n\nand the extent to which the creditor's failure of\n\ncompliance was intentional. In connection with the\n\ndisclosures required by Sections 2-310 and 3-309 of\n\nthis title, a creditor shall have a liability\n\ndetermined under paragraph (b) of this subsection only\n\nfor failing to comply with the requirements of Section\n\n5-204 of this title, subsection (1) of Section 2-310\n\nand subsection (1) of Section 3-309 of this title,\n\nparagraphs (d) through (k) of subsection (2) of\n\nSection 2-310 of this title, and paragraphs (d)\n\nthrough (m) of subsection (2) and subsections (3) and\neditor shall have a liability\n\ndetermined under paragraph (b) of this subsection only\n\nfor failing to comply with the requirements of Section\n\n5-204 of this title, subsection (1) of Section 2-310\n\nand subsection (1) of Section 3-309 of this title,\n\nparagraphs (d) through (k) of subsection (2) of\n\nSection 2-310 of this title, and paragraphs (d)\n\nthrough (m) of subsection (2) and subsections (3) and\n\n(4) of Section 3-309 of this title. In connection\n\nwith the disclosures referred to in subsections (1)\n\nthrough (7) of Sections 2-310.1 and 3-309.1 of this\n\ntitle, a card issuer shall have a liability under this\n\nsection only to a cardholder who pays a fee described\n\nin paragraph (d) of subsection (1) or subparagraph (i)\n\nof paragraph (a) of subsection (5) of Section 2-310.1,\n\nor paragraph (d) of subsection (1) or subparagraph (i)\n\nof paragraph (a) of subsection (5) of Section 3-309.1\n\nof this title or who uses the credit card or charge\n\ncard. In connection with disclosures for closed-end\n\ncredit, a creditor shall have a liability determined\n\nunder paragraph (b) of this subsection only for\n\nfailing to comply with the requirements of Section 5-\n\n204 of this title, paragraphs (b) insofar as it\n\nrequires a disclosure of the amount financed, through\n\n(f) and paragraph (j) of subsection (2) of Section 2-\n\n306 of this title, and paragraphs (b) insofar as it\n\nrequires a disclosure of the amount financed, through\n\n(f) and paragraph (h) of subsection (2) of Section 3-\n\n306 of this title, subsections (2) and (3) of Section\n\n3-310 of this title, and paragraph (a), (b), (d), (f),\n\nor (j) of subsection (2) of Section 11 of this act\n\n(for purposes of subsection (2) or (4), paragraph (c)\n\nof subsection (4) and subsection (6), (7), or (8) of\n\nSection 11 of this act). With respect to any failure\n\nto make disclosure, liability shall be imposed only\n\nupon the creditor required to make disclosure, except\n\nas provided in subsection (3) of Section 2-302 of this\n\ntitle, subsection (3) of Section 3-302 of this title\n\nand otherwise in this section; and\n\n(d) in the case of a failure to comply with any\n\nrequirement under Section 3-309.4 of this title, an\n\namount equal to the sum of all finance charges and\n\nfees paid by the consumer, unless the creditor\n\ndemonstrates that the failure to comply is not\n\nmaterial.\n\n(2) A creditor or assignee has no liability under this section,\n\nSection 5-302 of this title or Article 6 of this title in relation\n\nto disclosure if within sixty (60) days after discovering an error\n\nwhether pursuant to a final written examination report or notice\n\nissued under subsection (4) of Section 6-105 of this title or\n\nthrough the creditor's or assignee's own procedures, and prior to\n\nthe institution of an action under this section or the receipt of\n\nwritten notice of the error from the obligor, the creditor or\n\nassignee notifies the person concerned of the error and makes\n\nwhatever adjustments in the appropriate account are necessary to\n\nassure that the person will not be required to pay a credit service\n\ncharge or loan finance charge in excess of the amount actually\n\ndisclosed or the dollar equivalent of the percentage rate actually\n\ndisclosed, whichever is lower.\n\n(3) A creditor or assignee may not be held liable in any action\n\nbrought under this section or Section 5-204 of this title for a\n\nviolation of this title if the creditor or assignee shows by a\n\npreponderance of evidence that the violation was not intentional and\n\nresulted from a bona fide error notwithstanding the maintenance of\n\nprocedures reasonably adapted to avoid the error. A bona fide error\n\nincludes, but is not limited to, a clerical, calculation, computer\n\nmalfunction and programming, and printing error, but not an error of\n\nlegal judgment with respect to a person's disclosure obligations\n\nunder this title.\nfide error notwithstanding the maintenance of\n\nprocedures reasonably adapted to avoid the error. A bona fide error\n\nincludes, but is not limited to, a clerical, calculation, computer\n\nmalfunction and programming, and printing error, but not an error of\n\nlegal judgment with respect to a person's disclosure obligations\n\nunder this title.\n\n(4) (a) Except as otherwise specifically provided in this\n\nsection, any civil action for a violation of this\n\nsection or administrative proceeding for restitution\n\nwhich may be brought against the original creditor in\n\nany transaction may be maintained against any\n\nsubsequent assignee of the original creditor in any\n\ntransaction where the violation from which the alleged\n\nliability arose is apparent on the face of the\n\ndisclosure statement unless the assignment was\n\ninvoluntary. For the purpose of this section, a\n\nviolation apparent on the face of the disclosure\n\nstatement includes, but is not limited to, a\n\ndisclosure which can be determined to be incomplete or\n\ninaccurate from the face of the disclosure statement\n\nor other documents assigned or a disclosure which does\n\nnot use the terms required to be used by this title.\n\n(b) (i) Except as otherwise specifically provided in this\n\ntitle, any civil action against a creditor for a\n\nviolation of this title, and any administrative\n\nproceeding against a creditor, with respect to a\n\nconsumer credit transaction secured by real\n\nproperty may be maintained against any assignee\n\nof such creditor only if:\n\n(aa) the violation for which such action or\n\nproceeding is brought is apparent on the\n\nface of the disclosure statement provided in\n\nconnection with such transaction pursuant to\n\nthis title; and\n\n(bb) the assignment to the assignee was\n\nvoluntary.\n\n(ii) For the purpose of this section, a violation is\n\napparent on the face of the disclosure statement\n\nif:\n\n(aa) the disclosure can be determined to be\n\nincomplete or inaccurate by a comparison\n\namong the disclosure statement, any\n\nitemization of the amount financed, the\n\nnote, or any other disclosure of\n\ndisbursement; or\n\n(bb) the disclosure statement does not use the\n\nterms or format required to be used by this\n\ntitle.\n\n(5) Any person who has the right to rescind a transaction under\n\nSection 5-204 of this title may rescind the transaction as against\n\nany assignee of the obligation.\n\n(6) No action pursuant to this section may be brought more than\n\none (1) year after the date of the occurrence of the violation or in\n\nthe case of a private education loan, as the term is defined in\n\nSection 8 of this act, one (1) year from the date on which the first\n\nregular payment of principal is due under the loan.\n\n(7) (a) In this section, \"creditor\" includes sellers, lessors,\n\nlenders, persons who regularly offer to lease or\n\narrange to lease under consumer leases and any other\n\nperson required to make disclosures under Part 3 of\n\neither Article 2 or Article 3 of this title.\ndefined in\n\nSection 8 of this act, one (1) year from the date on which the first\n\nregular payment of principal is due under the loan.\n\n(7) (a) In this section, \"creditor\" includes sellers, lessors,\n\nlenders, persons who regularly offer to lease or\n\narrange to lease under consumer leases and any other\n\nperson required to make disclosures under Part 3 of\n\neither Article 2 or Article 3 of this title.\n\n(b) (i) A servicer of a consumer obligation arising from\n\na consumer credit transaction shall not be\n\ntreated as an assignee of such obligation for\n\npurposes of this section unless the servicer is\n\nor was the owner of the obligation.\n\n(ii) A servicer of a consumer obligation arising from\n\na consumer credit transaction shall not be\n\ntreated as the owner of the obligation for\n\npurposes of this section on the basis of an\n\nassignment of the obligation from the creditor or\n\nanother assignee to the servicer solely for the\n\nadministrative convenience of the servicer in\n\nservicing the obligation. Upon written request\n\nby the obligor, the servicer shall provide the\n\nobligor, to the best knowledge of the servicer,\n\nwith the name, address, and telephone number of\n\nthe owner of the obligation or the master\n\nservicer of the obligation.\n\n(iii) For purposes of this subsection, the term\n\n\"servicer\" has the same meaning as in Section\n\n6(i)(2) of the Real Estate Settlement Procedures\n\nAct of 1974.\n\n(iv) This subsection shall apply to all consumer\n\ncredit transactions in existence or consummated\n\non or after September 30, 1995.\n\n(8) Where there are multiple obligors in a consumer credit\n\ntransaction or consumer lease, there shall be no more than one\n\nrecovery under paragraph (b) of subsection (1) of this section for a\n\nviolation of this title.\n\n(9) The multiple failure to disclose to any person any\n\ninformation required under this title to be disclosed in connection\n\nwith a single account under an open-end consumer credit plan, other\n\nsingle consumer credit sale, consumer loan, consumer lease, or other\n\nextension of consumer credit shall entitle the person to a single\n\nrecovery under this section but continued failure to disclose after\n\na recovery has been granted shall give rise to rights to additional\n\nrecoveries. This subsection does not bar any remedy permitted by\n\nSection 5-204 of this title.\n\n(10) A person may not take any action to offset any amount for\n\nwhich a creditor or assignee is potentially liable to that person\n\nunder paragraph b of subsection (1) of this section against any\n\namount owed by that person unless the amount of the creditor's or\n\nassignee's liability has been determined by judgment of a court of\n\ncompetent jurisdiction in an action to which the person was a party.\n\nThis subsection does not bar a person then in default on the\n\nobligation from asserting a violation of disclosure requirements as\n\nan original action or as a defense or counterclaim to an action to\n\ncollect amounts owed by the person brought by another person liable\n\nunder this title if the claim is not time barred, or as a setoff or\n\ndefense in accordance with Section 5-205 of this title.\n\n(11) (a) Any person who purchases or is otherwise assigned a\n\nmortgage referred to in subsection (10) of Section 1-\n\n301 of this title shall be subject to all claims and\n\ndefenses with respect to that mortgage that the\n\nconsumer could assert against the creditor of the\n\nmortgage, unless the purchaser or assignee\n\ndemonstrates, by a preponderance of the evidence, that\n\na reasonable person exercising ordinary due diligence,\n\ncould not determine, based on the documentation\n\nrequired by this title, the itemization of the amount\n\nfinanced, and other disclosure of disbursements that\n\nthe mortgage was a mortgage referred to in subsection\nert against the creditor of the\n\nmortgage, unless the purchaser or assignee\n\ndemonstrates, by a preponderance of the evidence, that\n\na reasonable person exercising ordinary due diligence,\n\ncould not determine, based on the documentation\n\nrequired by this title, the itemization of the amount\n\nfinanced, and other disclosure of disbursements that\n\nthe mortgage was a mortgage referred to in subsection\n\n(10) of Section 1-301 of this title. The preceding\n\nsentence does not affect rights of a consumer under\n\nparagraph (a) of subsection (4) or subsection (5) of\n\nthis section or any other provision of this title.\n\n(b) Notwithstanding any other provision of law, relief\n\nprovided as a result of any action made permissible by\n\nparagraph (a) of this subsection may not exceed:\n\n(i) with respect to actions based upon a violation of\n\nthis title, the amount specified in subsection\n\n(1) of this section; and\n\n(ii) with respect to all other causes of action, the\n\nsum of:\n\n(aa) the amount of all remaining indebtedness;\n\nand\n\n(bb) the total amount paid by the consumer in\n\nconnection with the transaction.\n\n(c) The amount of damages that may be awarded under\n\nsubparagraph (ii) of paragraph (b) of this subsection\n\nshall be reduced by the amount of any damages awarded\n\nunder subparagraph (i) of paragraph (b) of this\n\nsubsection.\n\n(d) Any person who sells or otherwise assigns a mortgage\n\nreferred to in subsection (10) of Section 1-301 of\n\nthis title shall include a prominent notice of the\n\npotential liability under this subsection as\n\ndetermined by the Administrator.\n\n(12) A private educational lender, as the term is defined in\n\nSection 8 of this act, has no liability under this section for\n\nfailure to comply with subsection (3) of Section 11 of this act.","path":["OK Code","Title 14A"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os14A.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"f4ee49bafc84ceeb65ba9b9ff24cb9119e8c6541159eecead8d23e49f19d5156","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-14a-14a-5-202","next":"us-ok/okla.-stat.-tit.-14a-14a-5-204"},"notice":"GroundRules: Original legal text. Not legal advice."}