Text: H.R.5724 — 107th Congress (2001-2002)All Bill Information (Except Text)

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Introduced in House (11/13/2002)


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[Congressional Bills 107th Congress]
[From the U.S. Government Printing Office]
[H.R. 5724 Introduced in House (IH)]






107th CONGRESS
  2d Session
                                H. R. 5724

      To prevent the sale of tobacco products to minors, and the 
circumvention of State tobacco taxes, by means of electronic sales, and 
                          for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           November 13, 2002

Mr. Meehan (for himself and Mr. Hansen) introduced the following bill; 
       which was referred to the Committee on Energy and Commerce

_______________________________________________________________________

                                 A BILL


 
      To prevent the sale of tobacco products to minors, and the 
circumvention of State tobacco taxes, by means of electronic sales, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Tobacco Free Internet for Kids Act 
of 2002''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) The term ``adjusted for inflation'' means adjusted 
        annually to account for inflation by using the percentage 
        change in the consumer price index for all urban consumers (all 
        items; United States city average) for the 12-month period 
        ending on the June 30 preceding the beginning of the fiscal 
        year for which the adjustment is made.
            (2) The term ``authorized State tobacco distributor'' means 
        a person--
                    (A) that is authorized or otherwise licensed by a 
                State to account for and pay excise or other taxes 
                imposed by the State on tobacco products sold, 
                distributed, or otherwise delivered in or into the 
                State; and
                    (B) that has complied with the accounting and 
                payment requirements relating to such license or 
                authorization with respect to the tobacco products 
                involved.
            (3) The term ``carrier'' means any person who delivers 
        transit tobacco products to consumers, including all private 
        delivery services and the United States Postal Service, as 
        defined by section 102 of title 39, United States Code.
            (4) The term ``consumer'' means a human being who purchases 
        or arranges or attempts to purchase a tobacco product either 
        for the consumer or on behalf of some other person.
            (5) The term ``minor'' means an individual who has not 
        attained the age of 18 years or, if older, the minimum age for 
        the purchase of a tobacco product under applicable State law or 
        Indian tribal law.
            (6) The term ``person'' means any corporation, company, 
        partnership, joint stock companies, foundation, association, 
        organization, individual, State or local government, Indian 
        tribal government, or any group thereof.
            (7) The term ``State'' includes the District of Columbia, 
        the Commonwealth of Puerto Rico, and any other commonwealth, 
        territory, or possession of the United States.
            (8) The term ``tobacco product'' has the meaning given that 
        term in section 5702(c) of the Internal Revenue Code of 1986, 
        and also includes any other product that contains tobacco and 
        is meant for human consumption.
            (9) The term ``tobacco supplier'' means a person that 
        distributes, sells, or otherwise supplies a tobacco product to 
        a transit tobacco seller.
            (10)(A) The term ``transit tobacco sale'' means the sale or 
        offering for sale of a tobacco product, in or affecting 
        interstate commerce, in which--
                    (i) the product is not delivered directly to a 
                consumer at the time and place of purchase; or
                    (ii) the request for purchase is placed by a 
                consumer or a person--
                            (I) through electronic means (including by 
                        telephone, facsimile, or the Internet);
                            (II) by mail; or
                            (III) through any other means in which the 
                        consumer is not in the transit tobacco seller's 
                        physical presence at the time the request for 
                        purchase is made.
            (B) A tobacco product sale that would otherwise qualify as 
        a ``transit tobacco sale'' is not a ``transit tobacco sale'' 
        for the purposes of this Act if the transit tobacco seller 
        verifies that the purchaser is a person--
                    (i) in the business of lawfully selling tobacco 
                products;
                    (ii) seeking to purchase a tobacco product for use 
                in such business; and
                    (iii) licensed or otherwise authorized to sell 
                tobacco products, as required by applicable Federal or 
                State law;
            (11) The term ``transit tobacco seller'' means any person 
        making a transit tobacco sale.

SEC. 3. DUTIES OF TRANSIT TOBACCO SELLERS.

    (a) Prohibitions.--
            (1) Sale to minors.--No transit tobacco seller may sell a 
        tobacco product to a minor.
            (2) Sale without state authorization.--No person may sell a 
        tobacco product in a transit tobacco sale, offer a tobacco 
        product for sale in a transit tobacco sale, deliver a tobacco 
        product in a transit tobacco sale, or otherwise operate as a 
        transit tobacco seller, in, within, or into, a State unless 
        such person is an authorized State tobacco distributor in such 
        State.
    (b) Verification of Consumer Age, Identity, and Address.--
            (1) Documentation of identity, age, and address.--Prior to 
        accepting a tobacco product order in a transit tobacco sale, a 
        transit tobacco seller shall verify the consumer's age, 
        identity, and residential address by one of the following 
        means:
                    (A) Obtaining a copy of an official form of 
                identification of the consumer that is a valid, 
                unexpired identification card or other document--
                            (i) issued by a Federal, State, or local 
                        government;
                            (ii) bearing a unique identification 
                        number; and
                            (iii) providing the identified 
                        individual's--
                                    (I) photograph;
                                    (II) name;
                                    (III) residential address; and
                                    (IV) date of birth.
                    (B) Obtaining a statement from the consumer that 
                provides the following:
                            (i) A description of the type of official 
                        form of identification possessed by the 
                        consumer.
                            (ii) The information described in 
                        subparagraph (A) from the official form of 
                        identification described in clause (i).
                            (iii) An assurance that the information 
                        provided under clause (ii) is the same 
                        information appearing on the official form of 
                        identification.
                    (C) Obtaining a written statement that includes the 
                following:
                            (i) The information described in 
                        subparagraph (A).
                            (ii) A statement that the consumer 
                        displayed documentation that established the 
                        accuracy of the information provided in clause 
                        (i) to a notary public.
                            (iii) A description of the documentation 
                        referred to in clause (ii).
                            (iv) The signature of the consumer.
                            (v) The signature of a notary public, as 
                        provided under applicable State law.
                    (D) Using any other age and identity verification 
                procedure established by the Secretary of the Treasury 
                that employs new technologies to provide even more 
                stringent and accurate identity and age verification 
                methods than the other methods described in this 
                paragraph.
            (2) Age and identity verification using database.--Each 
        transit tobacco seller making a transit tobacco sale shall 
        verify all identity, age, and residential address information 
        provided by the consumer by use of a database, in accordance 
        with section 7.
            (3) Consumer identification verification statement.--In a 
        transit tobacco sale, the transit tobacco seller shall obtain a 
        statement signed by the consumer (which may be a statement 
        provided or obtained and signed electronically) that states the 
        following: ``I affirm the accuracy of the identifying 
        information I have provided in order to obtain a tobacco 
        product in a transit tobacco sale. I understand that forging 
        another person's signature, using false identification, or 
        providing false information to obtain a tobacco product in a 
        transit tobacco sale--especially when done by a minor, to 
        provide a tobacco product to a minor, or to avoid applicable 
        taxes--violates Federal law, may violate State law, and may 
        subject the violator to monetary fines or imprisonment, or 
        both.''.
    (c) Notices.--
            (1) Notice to addressee of intended tobacco delivery.--Not 
        less than 7 days before placing a tobacco product for delivery 
        in the initial transit tobacco sale to a consumer, the transit 
        tobacco seller shall send a notice addressed to the consumer at 
        the residential address provided under subsection (b)(1). The 
        notice shall provide each of the following:
                    (A) A statement that the transit tobacco seller has 
                received a request for purchase of a tobacco product to 
                be placed by the consumer.
                    (B) The date of the request for purchase, a 
                description of the tobacco product to be delivered 
                (including the quantity of such product), and the total 
                price of the sale.
                    (C) The minimum age (stated as a numeral) for 
                purchase of tobacco products under applicable law.
                    (D) A statement requesting that the recipient of 
                the notice inform the transit tobacco seller if the 
                recipient--
                            (i) is not the addressee;
                            (ii) did not make the request for purchase; 
                        or
                            (iii) is a minor.
                    (E) The means by which the recipient may contact 
                the transit tobacco seller, including--
                            (i) a mailing address;
                            (ii) a toll-free telephone number; and
                            (iii) an email address.
            (2) Effect of notification to transit tobacco seller of 
        improper sale.--A transit tobacco seller that receives a notice 
        provided under paragraph (1), pursuant to subparagraph (D) of 
        such paragraph may not deliver or place for delivery any 
        tobacco product related to that notice.
            (3) Notices to intended tobacco carriers.--When a transit 
        tobacco seller places a tobacco product for delivery with a 
        carrier, the transit tobacco seller shall provide to the 
        carrier both of the following:
                    (A) A notice that the transit tobacco seller is 
                placing (or intends to place) for delivery by the 
                carrier a tobacco product as part of a transit tobacco 
                sale.
                    (B) Documentation that the transit tobacco seller 
                is an authorized State tobacco distributor in each 
                State to which a parcel is placed for delivery with the 
                carrier.
            (4) Notices to tobacco suppliers.--Before purchasing from a 
        tobacco supplier a tobacco product that may be sold in a 
        transit tobacco sale, a transit tobacco seller shall provide to 
        the tobacco supplier each of the following:
                    (A) A notice that the transit tobacco seller 
                intends to sell the tobacco product in a transit 
                tobacco sale.
                    (B) Notice of each State to which the transit 
                tobacco seller may deliver the tobacco product in a 
                transit tobacco sale.
                    (C) Documentation that the transit tobacco seller 
                is an authorized State tobacco distributor in each 
                State identified by the seller under subparagraph (B).
    (d) Methods of Payment.--
            (1) Form of payment.--In a transit tobacco sale, the 
        transit tobacco seller may accept payment from a consumer only 
        by debit card, charge card, or credit card issued to the 
        consumer identified under subsection (b).
            (2) Identification of tobacco transaction.--In a transit 
        tobacco sale, the transit tobacco seller shall ensure that any 
        receipt, invoice, or summary of a payment made in accordance 
        with paragraph (1) provided by a debit card, credit card, or 
        charge card company to a consumer clearly indicates (by 
        including the use of the word ``tobacco'', ``cigarette'', or 
        ``cigar'' and by other means) at least one of the following:
                    (A) The transit tobacco seller is a seller of a 
                tobacco product.
                    (B) The transaction is a sale of a tobacco product.
            (3) Confirmation of address.--Prior to making a transit 
        tobacco sale, a transit tobacco seller shall confirm that the 
        billing address on record with the issuer of the debit card, 
        credit card, or charge card used by the consumer to make the 
        purchase is the same address as the residential address 
        provided by the consumer pursuant to subsection (b).
    (e) Methods of Delivery.--A transit tobacco seller may not deliver 
or place for delivery a tobacco product unless the arrangements for 
delivery to a consumer provide for the following:
            (1) Addressee.--The addressee for such a delivery shall be 
        the consumer.
            (2) Delivery address.--Delivery to the consumer shall be 
        made only to one of the following:
                    (A) The residential address of the consumer 
                provided under subsection (b).
                    (B) The workplace address of the consumer, if the 
                transit tobacco seller verifies the following:
                            (i) The address is the address of a 
                        business or governmental or other nonindividual 
                        entity.
                            (ii) The address is not a post office box 
                        or other location used by the consumer 
                        primarily to facilitate, or otherwise accept, 
                        deliveries.
                            (iii) The address is not more than 100 
                        miles from the residential address of the 
                        consumer provided under subsection (b)(1).
            (3) Receipt.--
                    (A) Authorized receiver.--No delivery shall be made 
                unless the addressee (or another individual present at 
                the delivery address) provides to the person making the 
                delivery--
                            (i) a signature acknowledging delivery;
                            (ii) an official form of identification 
                        showing that the person accepting delivery is 
                        of minimum age for purchase of tobacco products 
                        under applicable law; and
                            (iii) in the case of an individual other 
                        than the addressee, a signed statement, as 
                        follows: ``I know the addressee of the tobacco 
                        product delivery for which I am signing and I 
                        affirm that the addressee has reached the 
                        minimum legal age for purchase of tobacco 
                        products under applicable law.''.
                    (B) Receiver age and identity verification.--The 
                age and identity of the individual accepting delivery 
                under subparagraph (A) shall be verified by the person 
                making the delivery by using a database in accordance 
                with section 7, whenever such verification is available 
                to the Transit Seller or can be done by the Transit 
                Seller at a cost of $2.50 (adjusted for inflation) or 
                less for each such verification.
    (f) Limitations on Frequency, Content, and Amount.--A transit 
tobacco seller may not sell, deliver, or place for delivery one or more 
tobacco products unless--
            (1) the consumer has not purchased a tobacco product from 
        the transit tobacco seller within the preceding 7-day period;
            (2) the amount of tobacco product sold in a single transit 
        tobacco sale does not exceed--
                    (A) the lesser of--
                            (i) 2,000 cigarettes;
                            (ii) 200 cigars;
                            (iii) 100 ounces of smokeless tobacco or 
                        pipe tobacco; or
                            (iv) such amount of any tobacco product as 
                        the Secretary of the Treasury may, by 
                        regulation, establish in order to minimize--
                                    (I) tax-avoidance by means of 
                                transit tobacco sales; or
                                    (II) illegal resale of tobacco 
                                products purchased in transit tobacco 
                                sales.
                    (B) For purchases of more than one type of tobacco 
                product, the total of the purchased amounts of each 
                type of product, calculated as percentages of the 
                maximum amounts permitted under subparagraph (A), must 
                not exceed 100 percent.
    (g) Privacy of Consumer Personal Information.--
            (1) Use of consumer personal information.--A transit 
        tobacco seller may not use any information about a consumer 
        obtained in the course of a transit tobacco sale for a purpose 
        unrelated to the sale, unless--
                    (A) the consumer affirmatively grants authorization 
                for such use;
                    (B) the transit tobacco seller provides to a 
                consumer--
                            (i) an option to revoke or otherwise limit 
                        an authorization granted under subparagraph 
                        (A); and
                            (ii) clear and conspicuous notice of such 
                        an option in any communication permitted by or 
                        otherwise relating to the authorization under 
                        subparagraph (A); and
                    (C) the consumer has not revoked or otherwise 
                limited an authorization granted under subparagraph 
                (A).
            (2) Other protections not affected.--This subsection may 
        not be construed to limit the effect of any other provision of 
        Federal or State law protecting the disclosure or use of 
        consumer personal information.
    (h) Use of Internet Websites.--A transit tobacco seller may not 
offer a tobacco product for sale through an Internet website unless--
            (1) a consumer cannot access any website page that offers 
        tobacco products for sale or transacts any tobacco product sale 
        until the transit tobacco seller has first satisfied the 
        requirements of subsection (b) in relation to that consumer; 
        and
            (2) any Internet website pages used by the transit tobacco 
        to comply with the requirements of subsection (b) (including 
        any website pages a consumer must access prior to accessing the 
        age and identify verification website pages)--
                    (A) are not used for any other purpose than to 
                fulfill the requirements of section 3(b) (or to provide 
                access to the website pages used to comply with those 
                requirements); and
                    (B) consist only of nonmoving black text on a white 
                background, with no graphics or other pictorial 
                depictions.
    (i) Exceptions for Indian Tribe Tobacco Sales.--Paragraph (2) of 
subsection (a) and paragraphs (3) and (4) of subsection (c) do not 
apply to a transit tobacco sale in which the transit tobacco seller and 
the consumer are each--
            (1) a member of, or owned by, the same Indian tribe (as 
        such term is defined in section 4(e) of the Indian Self 
        Determination and Education Assistance Act (25 U.S.C. 
        450b(e))); and
            (2) located in Indian country (as defined in section 1151 
        of title 18, United States Code) occupied by the same Indian 
        tribe.

SEC. 4. DUTIES OF CARRIERS.

    (a) Acceptance for Delivery.--A carrier may not knowingly accept a 
tobacco product for delivery from a transit tobacco seller unless the 
transit tobacco seller has provided the carrier with all notices 
required by section 3(c)(3).
    (b) Unauthorized Transit Tobacco Seller.--Notwithstanding a 
carrier's receipt of complete notice under section 3(c)(3), the carrier 
may not accept the parcel for delivery if the carrier has actual 
knowledge that the transit tobacco seller is not an authorized State 
tobacco distributor in the State to which such parcel is addressed.

SEC. 5. DUTIES OF TOBACCO SUPPLIERS.

    A tobacco supplier shall not sell or otherwise supply a tobacco 
product to a transit tobacco seller if--
            (1) the tobacco supplier has not received from the transit 
        tobacco seller notice under section 3(c)(4); or
            (2) the tobacco supplier has actual knowledge that the 
        transit tobacco seller is not an authorized State tobacco 
        distributor in each State mentioned in the notice provided by 
the transit tobacco seller under section 3(c)(4).

SEC. 6. RECORDKEEPING.

    (a) Maintenance.--(1) A transit tobacco seller in a transit tobacco 
sale and a tobacco supplier shall maintain records (which may be 
through electronic means) of the information described in section 
3(c)(4) for not less than 5 years.
    (2) A transit tobacco seller shall maintain records in electronic 
form for not less than 5 years of all of its transit sales, segregated 
by State of delivery, that includes the information provided to the 
transit tobacco seller by each consumer through the transit tobacco 
sale process, including--
            (A) the name and contact information of the consumer 
        (including E-mail addresses for all transit sales made via the 
        Internet),
            (B) the amount purchased, the price paid (including 
        subtotals for any collected State or other taxes),
            (C) the delivery address,
            (D) the name of the carrier, and
            (E) all information provided by the consumer under section 
        3(b).
    (b) Access.--A transit tobacco seller in a transit tobacco sale and 
a tobacco supplier shall provide access to the records described in 
subsection (a) upon the request of a Federal, State, or local 
government official authorized to administer or enforce Federal, State, 
or local laws pertaining to--
            (1) the sale of tobacco products to minors; or
            (2) taxes on tobacco products.

SEC. 7. USE OF DATABASES.

    (a) Database Requirements.--Wherever in this Act verification of 
consumer information is required, such verification shall employ a 
database or aggregate of databases consisting of information obtained 
exclusively from government-issued identification that includes a 
photograph of the identified person (such as a State driver license or 
United States passport) whenever each such verification is available to 
the Transit Seller or can be done by the Transit Seller at a cost of 
$2.50 (adjusted for inflation) or less.
    (b) Alternative Requirement.--When the verification of subsection 
(a) is not available at a cost of $2.50 (adjusted for inflation) or 
less for each such verification, the verification of consumer 
information required by this Act shall either employ the verification 
of subsection (a), regardless of cost, or employ a database or 
aggregate of databases consisting of information obtained from 
government-issued identification (such as a State driver license or 
United States passport), State voter registration lists, or other 
government data sources that provide reliable name, residential 
address, and birth date or other age information from which it is 
possible to determine whether a person is not a minor.
    (c) Alternative Verification Database Nd Requirements.--The 
Secretary of the Treasury, in consultation with the Attorney General, 
may--
            (1) establish an alternative or supplementary verification 
        database consisting entirely of information from government-
        issued identification that includes a photograph of the 
        identified person or some other personal identifier at least as 
        reliable as the person's photograph (such as the person's 
        fingerprints) that establishes the validity of the 
        identification and its information to facilitate the 
        verification required by this Act; and
            (2) offer the database described in paragraph (1) as an 
        alternative to either or both of the databases described in 
        subsections (b) and (c) or require its use instead of either or 
        both of the databases described in subsections (b) and (c) for 
        any or all of the verifications of consumer information 
        required by this Act.

SEC. 8. PENALTIES.

    (a) Civil Penalties.--A transit tobacco seller, carrier, or tobacco 
supplier found to have violated this Act, shall be liable to the United 
States for the profit made (or loss avoided) by reason of the 
transaction that is the subject of such violation, together with an 
additional amount equal to--
            (1) not less than $500 or more than $1,000 for each 
        separate violation found in the first enforcement action 
        resulting in such a finding; and
            (2) not less than $1,000 nor more than $5,000 for each 
        separate violation found in a subsequent enforcement action 
        resulting in such a finding.
The Secretary of the Treasury may bring an action in the appropriate 
United States district court to assess and collect penalties under this 
section, and such court may impose such penalties. In addition, such 
court may order the violator to pay any unpaid Federal, State, or local 
taxes associated with the tobacco product or the transaction that is 
the subject to such violation to the Federal, State, or local 
government to which such taxes are due and payable, and the court may 
provide such other equitable and legal relief as the court, in its 
discretion, deems appropriate.
    (b) Prohibition on Certain Activities.--
            (1) Violations by sellers.--A transit tobacco seller found 
        to have violated this Act shall be prohibited from selling 
        tobacco products for the following periods:
                    (A) For the first finding of one or more 
                violations, a period of up to 10 years after the date 
                of final determination of violation.
                    (B) For a second or subsequent finding of one or 
                more violations, permanently.
            (2) Violations by carriers.--A carrier found to have 
        violated this Act shall be prohibited from delivering tobacco 
        products in a transit tobacco sale into or within a State in 
        which the carrier committed a violation of this Act for the 
        following periods:
                    (A) For the first finding of one or more 
                violations, a period up to 10 years after the date of 
                final determination of violation.
                    (B) For a second or subsequent finding of one or 
                more violations, a period from 1 year to permanently.
            (3) Violations by suppliers.--A tobacco supplier found to 
        have violated this Act shall be prohibited from selling tobacco 
        products to transit tobacco sellers for the following periods:
                    (A) For the first finding of one or more 
                violations, a period up to 10 years after the date of 
                final determination of violation.
                    (B) For a second or subsequent finding one or more 
                violations, a period from 1 year to permanently.
    (c) Criminal Penalties.--A transit tobacco seller that knowingly 
violates this Act (or any person willfully participating in any such 
violation, including but not limited to any person who owns, controls, 
or manages the transit tobacco seller) shall be--
            (1) fined under title 18, United States Code; or
            (2) imprisoned for--
                    (A) not more than 3 years for the first offense; 
                and
                    (B) not more than 5 years for a subsequent offense; 
                or
            (3) both imprisoned and fined.

SEC. 9. ENFORCEMENT.

    The Secretary of the Treasury, through the Bureau of Alcohol, 
Tobacco, and Firearms (or its successor agency), shall investigate and 
administratively enforce this Act and the Act of October 19, 1949 (15 
U.S.C. 375 et seq.; Chapter 699; 63 Stat. 884; commonly known as the 
Jenkins Act).

SEC. 10. ACTIONS BY STATES AND FEDERAL REPORTING.

    (a) Action Authorized.--The attorney general of a State, or an 
official or agency designated by a State, may bring, in an appropriate 
United States district court, a civil action against a transit tobacco 
seller, carrier, or tobacco supplier that violates this Act--
            (1) to enjoin such violation;
            (2) to recover from a transit tobacco seller any taxes due 
        to the State or to any of its political subdivisions under an 
        applicable State or local law relating to tobacco products sold 
        or delivered into or within the State by the transit tobacco 
        seller; and
            (3) to obtain such other equitable or legal relief as the 
        court, in its discretion, deems appropriate, including the 
        prohibitions described in section 8(c) and a temporary or 
        permanent injunction prohibiting carriers from delivering 
        tobacco products to a transit tobacco seller that has violated 
        any provision of this Act, or prohibiting tobacco product 
        manufacturers, wholesalers, distributors, or retailers from 
        selling tobacco products to a transit tobacco seller that 
        violates any provision of this Act.
    (b) Notice.--The State shall serve prior written notice of any 
civil action brought under this section upon the Secretary of the 
Treasury and provide the Secretary with a copy of the complaint, except 
in any case where such prior notice is not feasible, in which case the 
State shall serve such notice immediately upon instituting such action, 
and the State shall notify the Secretary of the outcome or other 
resolution of any such civil actions.
    (c) Publication.--The Secretary of the Treasury shall promptly make 
freely available to the public (including through the Internet) 
information concerning all actions under this section or section 9, 
including the names of all parties to each action and the outcomes of 
all such actions.

SEC. 11. RELATION TO OTHER LAWS.

    (a) More Stringent Laws Not Affected.--Nothing in this Act may be 
construed to limit or interfere with any other Federal, State, or local 
law that place additional, or more stringent, restrictions or penalties 
on transit tobacco sales.
    (b) Effect on Coordinated Law Enforcement Efforts.--Nothing in this 
chapter may be construed to inhibit or otherwise affect any coordinated 
law enforcement effort by one or more States or other jurisdictions, 
through interstate compact or otherwise, that--
            (1) provides for the administration of tobacco product tax 
        laws or laws pertaining to transit tobacco sales;
            (2) provides for the seizure of tobacco products or other 
        property related to a violation of such laws; or
            (3) establishes cooperative programs for the administration 
        of such laws.
    (c) Business Entities Not Subject to Liability.--This Act does not 
create any new Federal requirements or potential liability of any kind 
for business entities providing communication technologies (e.g., phone 
companies or internet service providers), computer software or related 
services, or credit or debit card services; nor does this Act limit, 
amend, or expand any existing Federal requirements or potential 
liability for any such entities, except to the extent that those 
entities are Transit Sellers, Carriers, or Tobacco Suppliers.

SEC. 12. SEVERABILITY.

    If any provision of this Act (or the application of that provision 
to particular persons or circumstances) is held invalid, the remainder 
of this Act (or the application of that provision to other persons or 
circumstances) shall not be affected.
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