H.R. 7638

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7638 Introduced in House (IH)]

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119th CONGRESS
2d Session
H. R. 7638

To restore the integrity of the Fifth Amendment to the Constitution of 
the United States, and for other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

February 20, 2026

Mr. Walberg (for himself, Mr. Raskin, Mr. McClintock, and Ms. Scanlon) 
introduced the following bill; which was referred to the Committee on 
the Judiciary, and in addition to the Committees on Energy and 
Commerce, Ways and Means, and Financial Services, for a period to be 
subsequently determined by the Speaker, in each case for consideration 
of such provisions as fall within the jurisdiction of the committee 
concerned

_______________________________________________________________________

A BILL

To restore the integrity of the Fifth Amendment to the Constitution of 
the United States, 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 ``Fifth Amendment Integrity 
Restoration Act of 2026'' or the ``FAIR Act of 2026''.

SEC. 2. CIVIL FORFEITURE AND NONJUDICIAL FORFEITURE.

Section 983 of title 18, United States Code, is amended--
(1) in subsection (a)--
(A) in the subsection heading, by striking 
``Claim;'';
(B) in paragraph (1)--
(i) in subparagraph (A)--
(I) in clause (i)--
(aa) by striking ``clauses 
(ii) through (v), in any 
nonjudicial'' and inserting 
``clause (ii), in any''; and
(bb) by striking ``60'' and 
inserting ``7'';
(II) by striking clauses (ii) 
through (v); and
(III) by inserting after clause (i) 
the following:
``(ii) If the identity or interest of a 
party is not determined until after the seizure 
or turnover but is determined before a 
declaration of forfeiture is entered, the 
Government shall determine the identity and 
address of the party or interest within 7 days 
after the seizure or turnover, and notice shall 
be sent to such interested party not later than 
7 days after the determination by the 
Government of the identity and address of the 
party or the party's interest.'';
(ii) by striking subparagraphs (B) and (C);
(iii) by redesignating subparagraphs (D) 
through (F) as subparagraphs (B) through (D), 
respectively; and
(iv) in subparagraph (C), as so 
redesignated, by striking ``nonjudicial'';
(C) by striking paragraph (2);
(D) by redesignating paragraphs (3) and (4) as 
paragraphs (2) and (3), respectively; and
(E) in paragraph (2)(A), as so redesignated--
(i) by striking ``90'' and inserting 
``30''; and
(ii) by striking ``after a claim has been 
filed'' and inserting ``after the date of the 
seizure'';
(2) in subsection (b)--
(A) in paragraph (1)--
(i) by amending subparagraph (A) to read as 
follows:
``(A) If a person with standing to contest the 
forfeiture of property in a civil forfeiture proceeding 
under a civil forfeiture statute is--
``(i) financially unable to obtain 
representation by counsel; or
``(ii) the cost of obtaining representation 
would exceed the value of the seized property,
the court may authorize or appoint counsel to represent 
that person with respect to the claim.'';
(B) in subparagraph (B), by inserting ``or 
appoint'' after ``authorize''; and
(C) in paragraph (2)(A)--
(i) by striking ``in a judicial civil 
forfeiture proceeding'' and inserting ``in a 
civil forfeiture proceeding'';
(ii) by inserting ``under paragraph (1)'' 
after ``counsel'';
(iii) by striking ``, and the property 
subject to forfeiture is real property that is 
being used by the person as a primary 
residence,''; and
(iv) by striking ``, at the request of the 
person, shall insure'' and inserting ``shall 
ensure'';
(3) in subsection (c)--
(A) in paragraph (1), by striking ``a preponderance 
of the evidence'' and inserting ``clear and convincing 
evidence'';
(B) in paragraph (2), by striking ``a preponderance 
of the evidence'' and inserting ``clear and convincing 
evidence''; and
(C) by striking paragraph (3) and inserting the 
following:
``(3) if the Government's theory of forfeiture is that the 
property was used to commit or facilitate the commission of a 
criminal offense, or was involved in the commission of a 
criminal offense, the Government shall establish, by clear and 
convincing evidence, that--
``(A) there was a substantial connection between 
the property and the offense; and
``(B) the owner of any interest in the seized 
property--
``(i) used the property with intent to 
facilitate the offense; or
``(ii) knowingly consented or was willfully 
blind to the use of the property by another in 
connection with the offense.'';
(4) in subsection (d)--
(A) in paragraph (1), by striking the second 
sentence and inserting the following: ``The Government 
shall have the burden of proving that the claimant is 
not an innocent owner by a preponderance of the 
evidence.''; and
(B) in paragraph (2)--
(i) in subparagraph (A), by striking ``an 
owner who'' and all that follows through ``upon 
learning'' and inserting ``an owner who, upon 
learning''; and
(ii) in subparagraph (B)(i), by inserting 
before ``For purposes of this paragraph'' the 
following: ``If the Government satisfies its 
burden under paragraph (1), the claimant may 
rebut the Government's evidence related to his 
innocent ownership, including by showing that 
he did all that could reasonably be expected 
under the law.'';
(5) in subsection (e)--
(A) in paragraph (1), in the matter preceding 
subparagraph (A)--
(i) by striking ``nonjudicial''; and
(ii) by striking ``a declaration'' and 
inserting ``an order'';
(B) in paragraph (2)--
(i) in subparagraph (A), by striking 
``declaration'' and inserting ``order''; and
(ii) by striking subparagraph (B) and 
inserting the following:
``(B) Any proceeding described in subparagraph (A) shall be 
commenced within 6 months of the entry of the order granting 
the motion.''; and
(C) by striking paragraph (5);
(6) in subsection (f)(1), in the matter preceding 
subparagraph (A), by striking ``(a)'' and inserting 
``(a)(3)(A)'';
(7) in subsection (g)--
(A) in paragraph (1), by striking ``(a)(4)'' and 
inserting ``(a)(3)''; and
(B) by amending paragraph (2) to read as follows:
``(2) In making this determination, the court shall 
consider such factors as--
``(A) the seriousness of the offense;
``(B) the extent of the nexus of the property to 
the offense;
``(C) the range of sentences available for the 
offense giving rise to forfeiture;
``(D) the fair market value of the property; and
``(E) the hardship to the property owner and 
dependents.''; and
(8) by adding at the end the following:
``(k)(1) Notwithstanding any other provision of law--
``(A) no Federal seizing agency may conduct nonjudicial 
forfeitures;
``(B) no property may be subject to forfeiture except 
through judicial process; and
``(C) no order of forfeiture may be entered except by a 
United States district court.
``(2) In this subsection, the term `nonjudicial forfeiture' means 
an in rem action that permits the Federal seizing agency to start a 
forfeiture without judicial involvement.''.

SEC. 3. DISPOSITION OF FORFEITED PROPERTY.

(a) Revisions to Controlled Substances Act.--Section 511(e) of the 
Controlled Substances Act (21 U.S.C. 881(e)) is amended--
(1) in paragraph (1)--
(A) in the matter preceding subparagraph (A), by 
striking ``civilly or'';
(B) by striking subparagraph (A); and
(C) by redesignating subparagraphs (B) through (E) 
as subparagraphs (A) through (D), respectively;
(2) in paragraph (2)--
(A) in subparagraph (A), in the matter preceding 
clause (i), by striking ``subparagraph (B) of paragraph 
(1)'' and inserting ``paragraph (1)(A)''; and
(B) in subparagraph (B), by striking ``accordance 
with section 524(c) of title 28,'' and inserting ``the 
General Fund of the Treasury of the United States'';
(3) by striking paragraph (3);
(4) by redesignating paragraph (4) as paragraph (3); and
(5) in paragraph (3), as redesignated--
(A) in subparagraph (A), by striking ``paragraph 
(1)(B)'' and inserting ``paragraph (1)(A)''; and
(B) in subparagraph (B), in the matter preceding 
clause (i), by striking ``paragraph (1)(B) that is 
civilly or'' and inserting ``paragraph (1)(A) that 
is''.
(b) Revisions to Title 18.--Chapter 46 of title 18, United States 
Code, is amended--
(1) in section 981(e)--
(A) by striking ``is authorized'' and all that 
follows through ``or forfeiture of the property;'' and 
inserting ``shall forward to the Treasurer of the 
United States any proceeds of property forfeited 
pursuant to this section for deposit in the General 
Fund of the Treasury or transfer such property on such 
terms and conditions as such officer may determine--'';
(B) by redesignating paragraphs (3), (4), (5), (6), 
and (7) as paragraphs (1), (2), (3), (4), and (5), 
respectively; and
(C) in the matter following paragraph (5), as so 
redesignated--
(i) by striking the first, second, third, 
sixth, and eighth sentences; and
(ii) by striking ``paragraph (3), (4), or 
(5)'' and inserting ``paragraph (1), (2), or 
(3)''; and
(2) in section 983(g)--
(A) in paragraph (3), by striking ``grossly''; and
(B) in paragraph (4), by striking ``grossly''.
(c) Tariff Act of 1930.--The Tariff Act of 1930 (19 U.S.C. 1304 et 
seq.) is amended--
(1) in section 613A(a) (19 U.S.C. 1613b(a))--
(A) in paragraph (1)--
(i) in subparagraph (D), by inserting 
``and'' after the semicolon;
(ii) in subparagraph (E), by striking ``; 
and'' and inserting a period; and
(iii) by striking subparagraph (F); and
(B) in paragraph (2)--
(i) by striking ``(A) Any payment'' and 
inserting ``Any payment''; and
(ii) by striking subparagraph (B); and
(2) in section 616 (19 U.S.C. 1616a)--
(A) in the section heading, by striking ``transfer 
of forfeited property'' and inserting ``dismissal in 
favor of forfeiture under state law'';
(B) in subsection (a), by striking ``(a) The 
Secretary'' and inserting ``The Secretary''; and
(C) by striking subsections (b) through (d).
(d) Title 31.--Section 9705 of title 31, United States Code, is 
amended--
(1) in subsection (a)(1)--
(A) by striking subparagraph (G); and
(B) by redesignating subparagraphs (H) through (J) 
as subparagraphs (G) through (I), respectively; and
(2) in subsection (b)--
(A) by striking paragraphs (2) and (4); and
(B) by redesignating paragraphs (3) and (5) as 
paragraphs (2) and (3), respectively.

SEC. 4. DEPARTMENT OF JUSTICE ASSETS FORFEITURE FUND DEPOSITS.

Section 524(c)(4) of title 28, United States Code, is amended--
(1) by striking subparagraphs (A) and (B); and
(2) by redesignating subparagraphs (C) and (D) as 
subparagraphs (A) and (B), respectively.

SEC. 5. STRUCTURING TRANSACTIONS TO EVADE REPORTING REQUIREMENT 
PROHIBITED.

(a) Amendments to Title 31.--Section 5324 of title 31, United 
States Code, is amended--
(1) in subsection (a)--
(A) in the matter preceding paragraph (1), by 
inserting ``knowingly'' after ``Public Law 91-508''; 
and
(B) in paragraph (3), by inserting ``of funds not 
derived from a legitimate source'' after ``any 
transaction'';
(2) in subsection (b), in the matter preceding paragraph 
(1), by inserting ``knowingly'' after ``such section''; and
(3) in subsection (c), in the matter preceding paragraph 
(1), by inserting ``knowingly'' after ``section 5316''.
(b) Probable Cause Hearing in Connection With Property Seizures 
Relating to Certain Monetary Instruments Transactions.--
(1) Amendment.--Section 5317 of title 31, United States 
Code, is amended by adding at the end the following:
``(d) Probable Cause Hearing in Connection With Property Seizures 
Relating to Certain Monetary Instruments Transactions.--
``(1) In general.--Not later than 14 days after the date on 
which notice is provided under paragraph (2)--
``(A) a court of competent jurisdiction shall 
conduct a hearing on any property seized or restrained 
under subsection (c)(2) with respect to an alleged 
violation of section 5324; and
``(B) any property described in subparagraph (A) 
shall be returned unless the court finds that there is 
probable cause to believe that there is a violation of 
section 5324 involving the property.
``(2) Notice.--Each person from whom property is seized or 
restrained under subsection (c)(2) with respect to an alleged 
violation of section 5324 shall be notified of the right of the 
person to a hearing under paragraph (1).''.
(2) Applicability.--The amendment made by paragraph (1) 
shall apply to property seized or restrained after the date of 
enactment of this Act.

SEC. 6. REPORTING REQUIREMENTS.

Section 524(c)(6)(A)(i) of title 28, United States Code, is amended 
by inserting ``from each type of forfeiture, and specifically 
identifying which funds were obtained from including criminal 
forfeitures and which were obtained from civil forfeitures,'' after 
``deposits''.

SEC. 7. APPLICABILITY.

The amendments made by this Act shall apply to--
(1) any civil forfeiture proceeding pending on or filed on 
or after the date of enactment of this Act; and
(2) any amounts received from the forfeiture of property on 
or after the date of enactment of this Act.
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