AN ACT to prohibit firearms codes for payment card transactions.

The General Assembly of North Carolina enacts:

SECTION 1.  Chapter 66 of the General Statutes is amended by adding a new Article to read:

Article 52.

No Firearms Codes for Payment Card Transactions.

§ 66‑511.  Definitions.

The following definitions apply in this Article:

(1)        Financial institution. – An entity involved in facilitating or processing a payment card transaction, including a bank, acquirer, payment card network, or payment card issuer.

(2)        Firearms code. – Any code or other indicator that identifies whether a person is a firearms retailer or whether a payment card transaction involves the purchase of a firearm, firearm ammunition, or other good related to firearms.

(3)        Firearms retailer. – A person engaged in the lawful business of selling or trading firearms, firearm ammunition, or other goods related to firearms.

§ 66‑512.  Prohibition.

No financial institution shall use a firearms code in connection with a payment card transaction involving a firearms retailer located in this State.

§ 66‑513.  Enforcement; civil penalty.

The Attorney General may investigate an alleged violation of this Article. After notice and an opportunity for hearing, if the Attorney General determines that a financial institution violated this Article, the Attorney General may assess a civil penalty of not more than ten thousand dollars ($10,000) for each violation. The clear proceeds of any penalty assessed pursuant to this section shall be remitted to the Civil Penalty and Forfeiture Fund in accordance with G.S. 115C‑457.2.

§ 66‑514.  Civil liability for violation.

(a)        Cause of Action. – A civil action may be brought against a financial institution for violation of this Article by either of the following:

(1)        A firearms retailer located in this State whose payment card transactions are designated with a firearms code.

(2)        A person that makes a payment card transaction with a firearms retailer located in this State and whose payment card record includes a firearms code for that transaction.

(b)        Relief and Damages. – A person authorized to institute a civil action by subsection (a) of this section may seek, and the court may award, any or all of the following types of relief:

(1)        An injunction to enjoin continued violation of this Article.

(2)        Statutory damages in the amount of ten thousand dollars ($10,000) for each instance of violation of this Article connected to the person filing the civil action.

(3)        Costs and attorneys' fees.

(c)        Statute of Limitations. – No action shall be maintained under subsection (a) of this section unless it is commenced no later than three years after the discovery of the violation of this Article.

SECTION 2.  There is appropriated from the General Fund to the NC Chamber the sum of five thousand dollars ($5,000) for the 2024‑2025 fiscal year to notify businesses throughout this State of this act.

SECTION 3.  Section 2 of this act becomes effective July 1, 2024. The remainder of this act becomes effective October 1, 2024.