District Of Columbia § 26-1153.01 - Violations and remedies.
Full text of District Of Columbia D.C. Code § 26-1153.01 — Violations and remedies., with citation guidance and answers to common questions.
§ 26-1153.01. Violations and remedies.
26-1153.01The Mayor or any borrower under a covered loan may recover damages for a lender’s violation of or .
Notwithstanding subsection (a) of this section, if the violation of or was caused by the borrower, his or her employer, or a creditor providing materially incorrect information to the lender, which inaccuracy the lender did not discover prior to the covered loan funding, and if the lender reasonably attempted to verify the current and expected income and current debts of the borrowers in accordance with , the lender shall not be liable.
Damages or other relief awarded to the borrower under this section may include:
Reformation of the covered loan to correct or remove an unfair term or a term obtained in violation of or , whichever is applicable as of the date of initial funding;
Actual damages;
Injunctive relief;
Reasonable attorneys’ fees and costs; or
Statutory damages in an amount to be determined by the finder of fact if the finder of fact determines that the lender has engaged in a systematic pattern of practices and acted in violation of or .
An action for violation of or shall be filed no later than 3 years after the violation has been discovered or should have been discovered.
A lender making a covered loan who, when acting in good faith, fails to comply with or , shall not be deemed to have violated or if the lender establishes one of the following:
Without regard to who discovered the error, within 120 days of the covered loan initial funding and prior to the institution of judicial process under this section, the borrower was notified of the violation, appropriate restitution was made, and whatever adjustments are necessary were made to the covered loan, at the choice of the lender, to:
Conform the covered loan to the requirements of or ;
Materially change the terms of the covered loan to benefit the borrower; or
Remove the features that caused the loan to be considered a covered loan.
The violation resulted from a bona fide error notwithstanding the lender’s maintenance of procedures reasonably designed to avoid the error and, within 60 days after the discovery of the compliance failure and prior to the filing of an action under this section, the borrower was notified of the compliance failure, appropriate restitution was made, and whatever adjustments are necessary were made to the covered loan, at the choice of the lender, to:
Conform the covered loan to the requirements of or ;
Materially change the terms of the covered loan to benefit the borrower; or
Remove the features that caused the loan to be considered a covered loan.
If the lender fails to comply with or section 129(a) and (b) of the Truth in Lending Act in the case of a lender covered by , the lender shall not be deemed to have violated or , only if:
The lender satisfies paragraph (1) (A) (i) or (B) (ii) of this subsection;
The lender provided the borrower with a disclosure notice prior to the closing of the covered loan; and
The failure to comply with , or section 129(a) or (b) of the Truth in Lending Act in the case of a lender covered by , shall not have been shown to be part of a pattern or practice of such non-compliance.
For the purposes of this subsection, a bona fide error shall include clerical error or, calculation, computer malfunction, and programming and printing errors. An error of legal judgment with respect to a lender’s obligations under or shall not constitute a bona fide error.
No provision of this chapter shall be applied or interpreted to bar a borrower from bringing an action in an appropriate court of competent jurisdiction pursuant to any District or federal law for damages, injunctive relief, or any other relief.
The remedies provided in this chapter shall be the sole and exclusive remedies for the violation of any provision of this chapter.
Annotations
Source: official District Of Columbia text · Last verified 2026-08-27
Frequently Asked Questions About District Of Columbia § 26-1153.01
What does D.C. Code § 26-1153.01 cover?
Section 26-1153.01 ("Violations and remedies.") is part of the D.C. Code, the codified statutory law of District Of Columbia. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite District Of Columbia § 26-1153.01?
A common citation format is "D.C. Code § 26-1153.01" (District Of Columbia). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of District Of Columbia law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the District Of Columbia official source linked on this page or consult a licensed District Of Columbia attorney.
How does District Of Columbia § 26-1153.01 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in District Of Columbia can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in District Of Columbia.