HB 1393 — A BILL for an Act to create and enact a new chapter to title 13 of the North Dakota Century Code, relating to earned wage access providers; and to provide a penalty.

25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly of North Dakota FIRST ENGROSSMENT with Senate Amendments ENGROSSED HOUSE BILL NO.

1 25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly hourly, project-based, piecework, or other basis, and including circumstances in which the consumer is acting as an independent contractor of the employer, but has not, at the time of the payment of proceeds, been paid to the consumer by the employer.

2 25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly (1) A service provider, such as a payroll service provider, whose role may include verifying the available earnings but is not contractually obligated to fund any proceeds delivered as part of an earned wage access service;

3 25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly 5.

4 25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly b.

5 25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly 2.

6 25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly c.

7 25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly a.

8 25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly 2.

9 25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly removed from any further participation in the affairs of, or employment with, the licensee.

10 25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly 1.

11 25.1073.0300025.1073.02000 Sixty-ninth Legislative Assembly c.

Consumer-directed wage access services database.

1.

The commissioner shall administer or authorize the creation or procurement of a database in which each consumer-directed wage access services transaction is recorded.

2.

Before entering a consumer-directed wage access service transaction with a consumer, the licensee must submit the transaction, in a manner prescribed by the commissioner, for entry into the database.

3.

An earned wage access service provider providing a consumer-directed wage access service may rely on the accuracy of the information contained in the database and may not be subject to an administrative penalty or civil liability arising from reliance on inaccurate information contained in the database.

4.

The commissioner shall establish a per transaction fee for submission of transactions into the database payable in a manner prescribed by the commissioner.

5.

A licensee may charge the consumer the fee required under subsection 4 unless the consumer elects the no-cost option.

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12 25.1073.03000 Sixty-ninth Legislative Assembly 6.

Employer-integrated wage access services transactions are not required to be submitted for entry into the database.

Submit consumer-directed wage access services transactions to the database.

5.

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12 25.1073.02000 Sixty-ninth Legislative Assembly 5.

7.6.

8.7.

8.

If soliciting, charging, or receiving a tip, gratuity, or other donation from a consumer, clearly and conspicuously disclose in its service contract with the consumer and elsewhere that tips, gratuities, or donations are voluntary and that the offering of earned wage access services, including the amount of proceeds a consumer is eligible to request and the frequency with which proceeds are provided to a consumer, is not contingent on whether the consumer pays a tip, gratuity, or other donation or on the size of the tip, gratuity, or other donation.

If soliciting, charging, or receiving a tip, gratuity, or other donation from a consumer, clearly and conspicuously disclose in its service contract with the consumer and elsewhere that tips, gratuities, or donations are voluntary and that the offering of earned wage access services, including the amount of proceeds a consumer is eligible to request and the frequency with which proceeds are provided to a consumer, is not Page No.

13 25.1073.03000 Sixty-ninth Legislative Assembly contingent on whether the consumer pays a tip, gratuity, or other donation or on the size of the tip, gratuity, or other donation.

10.

11.10.

The provider is not subject to the requirements in this subdivisionPage withNo. respect to payments of outstanding proceeds or charges incurred by a consumer through fraudulent or other unlawful means.

13 25.1073.02000 Sixty-ninth Legislative Assembly subdivision with respect to payments of outstanding proceeds or charges incurred by a consumer through fraudulent or other unlawful means.