S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4020
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 31, 2019
                                ___________
 
 Introduced  by M. of A. HYNDMAN, DICKENS, D'URSO, MOSLEY, ARROYO, BLAKE,
   WRIGHT -- read once and referred to the Committee on Consumer  Affairs
   and Protection
 
 AN ACT to amend the general business law, in relation to prohibiting the
   rental of motor vehicles that are subject to a recall

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 396-z of the general business law,  as  amended  by
 chapter  109 of the laws of 2018, is amended by adding a new subdivision
 17 to read as follows:
   17. RENTAL VEHICLE COMPANIES SHALL INSPECT AND, IF APPROPRIATE, REPAIR
 ANY RENTAL VEHICLE COVERED UNDER  A  FEDERAL  OR  MANUFACTURER'S  SAFETY
 RECALL  WITHIN  ONE  HUNDRED  TWENTY  DAYS  AFTER RECEIVING SUCH NOTICE.
 FOLLOWING RECEIPT OF SUCH NOTICE  BY  A  RENTAL  VEHICLE  COMPANY,  SUCH
 COMPANY  MAY  RENT A VEHICLE THAT IS SUBJECT TO A SAFETY RECALL PROVIDED
 THAT SUCH COMPANY  DISCLOSES  TO  ANY  PROSPECTIVE  RENTER  OF  VEHICLES
 COVERED  UNDER  A FEDERAL OR MANUFACTURER'S SAFETY RECALL THAT THE VEHI-
 CLES ARE SUBJECT TO SAFETY RECALL NOTICES AND HAVE NOT BEEN INSPECTED OR
 REPAIRED PRIOR TO THE SIGNING OF THE RENTAL AGREEMENT.  IF  ONE  HUNDRED
 TWENTY  DAYS  SHALL  LAPSE  FOLLOWING  THE RECEIPT OF NOTICE BY A RENTAL
 VEHICLE COMPANY THAT A FEDERAL OR MANUFACTURER'S  SAFETY  RECALL  IS  IN
 EFFECT  ON  ANY OF THE VEHICLES OWNED BY THE RENTAL VEHICLE COMPANY, AND
 SUCH RENTAL VEHICLE COMPANY HAS FAILED TO INSPECT OR REPAIR  SUCH  VEHI-
 CLES,  THE  RENTAL VEHICLE COMPANY SHALL HAVE THE OPTION, AS AN ALTERNA-
 TIVE TO UNDERTAKING THE INSPECTIONS OR REPAIRS SUBJECT TO THE RECALL, TO
 DISCLOSE TO PROSPECTIVE RENTERS OF VEHICLES COVERED UNDER A  FEDERAL  OR
 MANUFACTURER'S  SAFETY  RECALL  THAT  THE VEHICLES ARE SUBJECT TO SAFETY
 RECALL NOTICES AND HAVE NOT BEEN INSPECTED  OR  REPAIRED  PRIOR  TO  THE
 SIGNING  OF  THE  AGREEMENT. ANY DISCLOSURES REQUIRED UNDER THIS SECTION
 SHALL BE SET FORTH IN A SEPARATE DOCUMENT ATTACHED TO THE RENTAL  AGREE-
 MENT  AND  SHALL STATE (A) THAT THE SPECIFIC VEHICLE IS THE SUBJECT OF A
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD06251-01-9

 A. 4020                             2
 
 SAFETY RECALL, (B) DESCRIBE THE RECALL IN QUESTION, AND (C) DESCRIBE THE
 NATURE OF THE  DEFECT.  SUCH  DISCLOSURE  SHALL  BE  INITIALLED  BY  THE
 PROSPECTIVE RENTER PRIOR TO THE SIGNING OF THE RENTAL AGREEMENT.
   §  2. Section 396-z of the general business law, as amended by chapter
 731 of the laws of 2006, is amended by adding a new  subdivision  16  to
 read as follows:
   16. RENTAL VEHICLE COMPANIES SHALL INSPECT AND, IF APPROPRIATE, REPAIR
 ANY  RENTAL  VEHICLE  COVERED  UNDER  A FEDERAL OR MANUFACTURER'S SAFETY
 RECALL WITHIN ONE HUNDRED  TWENTY  DAYS  AFTER  RECEIVING  SUCH  NOTICE.
 FOLLOWING  RECEIPT  OF  SUCH  NOTICE  BY  A RENTAL VEHICLE COMPANY, SUCH
 COMPANY MAY RENT A VEHICLE THAT IS SUBJECT TO A SAFETY  RECALL  PROVIDED
 THAT  SUCH  COMPANY  DISCLOSES  TO  ANY  PROSPECTIVE  RENTER OF VEHICLES
 COVERED UNDER A FEDERAL OR MANUFACTURER'S SAFETY RECALL THAT  THE  VEHI-
 CLES ARE SUBJECT TO SAFETY RECALL NOTICES AND HAVE NOT BEEN INSPECTED OR
 REPAIRED  PRIOR  TO  THE SIGNING OF THE RENTAL AGREEMENT. IF ONE HUNDRED
 TWENTY DAYS SHALL LAPSE FOLLOWING THE RECEIPT  OF  NOTICE  BY  A  RENTAL
 VEHICLE  COMPANY  THAT  A  FEDERAL OR MANUFACTURER'S SAFETY RECALL IS IN
 EFFECT ON ANY OF THE VEHICLES OWNED BY THE RENTAL VEHICLE  COMPANY,  AND
 SUCH  RENTAL  VEHICLE COMPANY HAS FAILED TO INSPECT OR REPAIR SUCH VEHI-
 CLES, THE RENTAL VEHICLE COMPANY SHALL HAVE THE OPTION, AS  AN  ALTERNA-
 TIVE TO UNDERTAKING THE INSPECTIONS OR REPAIRS SUBJECT TO THE RECALL, TO
 DISCLOSE  TO  PROSPECTIVE RENTERS OF VEHICLES COVERED UNDER A FEDERAL OR
 MANUFACTURER'S SAFETY RECALL THAT THE VEHICLES  ARE  SUBJECT  TO  SAFETY
 RECALL  NOTICES  AND  HAVE  NOT  BEEN INSPECTED OR REPAIRED PRIOR TO THE
 SIGNING OF THE AGREEMENT. ANY DISCLOSURES REQUIRED  UNDER  THIS  SECTION
 SHALL  BE SET FORTH IN A SEPARATE DOCUMENT ATTACHED TO THE RENTAL AGREE-
 MENT AND SHALL STATE (A) THAT THE SPECIFIC VEHICLE IS THE SUBJECT  OF  A
 SAFETY RECALL, (B) DESCRIBE THE RECALL IN QUESTION, AND (C) DESCRIBE THE
 NATURE  OF  THE  DEFECT.  SUCH  DISCLOSURE  SHALL  BE  INITIALLED BY THE
 PROSPECTIVE RENTER PRIOR TO THE SIGNING OF THE RENTAL AGREEMENT.
   § 3. This act shall take effect immediately, provided that the  amend-
 ments  to section 396-z of the general business law, made by section one
 of this act, shall be subject to the expiration and  reversion  of  such
 section  pursuant  to subdivision (a) of section 4 of chapter 109 of the
 laws of 2018, as amended, when upon such date section two  of  this  act
 shall take effect.