; and (B) may require the person or entity to take other appropriate remedial action. (3) Order for civil money penalty for verification violations Notwithstanding paragraphs (4) and (5) of section 274A(e) and any other Federal law relating to civil monetary penalties, any person or entity that is required to comply with the provisions of this section that violates section 274A(a)(1)(B) shall be required to pay a civil penalty in an amount, subject to paragraphs (5), (6), and (7), that is equal to not less than $1,000 and not more than $25,000 for each individual with respect to whom such violation occurred. (4) System use violation Failure by a person or entity to utilize the System as required by law or providing information to the System that the person or entity knows or reasonably believes to be false, shall be treated as a violation of section 274A(a)(1)(A). (5) Exemption from penalty for good faith violation (A) In general A person or entity that uses the System is presumed to have acted with knowledge for purposes of paragraphs (1)(A) and (2) of section 274A(a) if the person or entity fails to make an inquiry to verify the identity and employment authorization of the individual through the System. (B) Good faith exemption In the case of imposition of a civil penalty under paragraph (2)(A) with respect to a violation of paragraph (1)(A) or (2) of section 274A(a) for hiring or continuation of employment or recruitment or referral by a person or entity, and in the case of imposition of a civil penalty under paragraph (3) for a violation of section 274A(a)(1)(B) for hiring or recruitment or referral by a person or entity, the penalty otherwise imposed may be waived or reduced if the person or entity establishes that the person or entity acted in good faith. (6) Penalty adjustment factors For purposes of paragraphs (2)(A) and (3), when assessing the level of civil money penalties for a particular case, in addition to the good faith of the person or entity being charged, due consideration shall be given to