Enforcement

(a) Referral If the Secretary determines that a legal entity has acquired, or holds title to or interest in, agricultural land in violation of this Act, the Secretary shall report that violation to the Attorney General for enforcement in accordance with subsection (b). (b) Enforcement by Attorney General (1) In general On receipt of a referral of a violation of this Act reported by the Secretary pursuant to subsection (a), the Attorney General— (A) shall conduct an investigation relating to that referral; and (B) may initiate an action in the district court of the United States with jurisdiction over the county in which the applicable agricultural land is located to require divestiture of the agricultural land by the legal entity. (2) Notice; order (A) In general The Attorney General shall file notice of the pendency of an action brought under paragraph (1)(B) with the recorder of deeds of each county in which the applicable agricultural land is located. (B) Order required If the applicable district court of the United States finds that the agricultural land subject to an action brought under paragraph (1)(B) was acquired, or held, in violation of this Act, the court shall— (i) enter an order declaring that violation; and (ii) file a copy of the order with the recorder of deeds in each county in which any portion of the agricultural land is located. (3) Divestment of agricultural land (A) In general On issuance of an order described in paragraph (2)(B), the unauthorized legal entity owning or having an ownership interest in the agricultural land subject to that order shall have a period of 1 year from the date on which the order was issued to divest the agricultural land. (B) Covenant The 1-year period described in subparagraph (A) shall be deemed to be a covenant running with the title to the agricultural land against any legal entity, grantee, assignee, or successor. (C) Violation Any agricultural land not divested in accordance with subparagraph (A) shall be sold at public sale in the manner prescribed by law for the foreclosure of a mortgage by action. (4) Enjoinment Any prospective or threatened violation of this Act may be enjoined through an action brought by the Attorney General in a manner provided by law. (5) Penalties (A) Civil penalties (i) In general Any natural person or legal entity that violates this Act may be assessed a civil penalty by the Secretary in an amount that is not more than 2 times the fair market value of the agricultural land at issue for each violation. (ii) Multiple violations Each violation of this Act shall constitute a separate offense. (iii) Notice No penalty shall be assessed on any natural person or legal entity unless the natural person or legal entity is given notice and opportunity for a hearing with respect to the violation. (iv) Failure to pay (I) In general On failure to pay the penalty assessed under clause (i), the Secretary may request the Attorney General institute a civil action in a district court of the United States for any district in which the natural person or legal entity is found, resides, or transacts business to collect the penalty. (II) Deference In any action commenced under subclause (I), the applicable district court of the United States shall sustain the issuance of a penalty by the Secretary under clause (i) if supported by substantial evidence. (B) Criminal penalties (i) In general Any natural person who knowingly violates this Act as a shareholder, partner, member, or beneficial owner of an unauthorized legal entity with an ownership interest in the agricultural land at issue shall be imprisoned for not more than 5 years, fined in accordance with section 3571 of title 18, United States Code, or both. (ii) Multiple violations Each violation of this Act shall constitute a separate offense. (c) Enforcement by State attorneys general (1) In general If the attorney general of a State has reason to believe that an interest of the residents of the State has been, or is, threatened or adversely affected by the engagement of an unauthorized legal entity in a practice that violates this Act, or a regulation promulgated pursuant to this Act, the attorney general of the State may, as parens patriae, bring a civil action on behalf of the residents of the State in an appropriate district court of the United States— (A) to enjoin that practice; (B) to compel divestiture of the agricultural land; (C) to obtain damages, restitution, or other compensation on behalf of the residents of the State; (D) to obtain such other relief as the court considers appropriate; or (E) to obtain a civil penalty in an amount determined under paragraph (2). (2) Civil penalties (A) Calculation Subject to subparagraph (B), for purposes of imposing a civil penalty under paragraph (1)(E) with respect to an unauthorized legal entity that violates this Act, the amount determined under this paragraph is the amount obtained by multiplying— (i) the number of days that the unauthorized legal entity is not in compliance with this Act; and (ii) an amount not greater than $3,000, as determined by the appropriate district court of the United States. (B) Maximum total liability The total amount of civil penalties that may be imposed with respect to an unauthorized legal entity that violates this Act shall not exceed the greater of $1,000,000 and the fair market value of the ownership interest in agricultural land involved in the applicable action for all civil actions brought against that unauthorized legal entity under paragraph (1) for that violation. (3) Investigatory powers Nothing in this paragraph prevents the attorney general of a State from exercising the powers conferred on the attorney general by the laws of the State to conduct investigations, to administer oaths or affirmations, or to compel the attendance of witnesses or the production of documentary or other evidence. (4) Actions by other State officials In addition to civil actions brought by State attorneys general under paragraph (1), any other officer of a State who is authorized by the State may bring a civil action under that paragraph, subject to the same requirements and limitations that apply under that paragraph to civil actions brought by the attorney general in the State. (5) Savings provision Nothing in this subsection prohibits an attorney general or other authorized official of a State from initiating or continuing any proceeding in a court of the State for a violation of any civil or criminal law of the State.