|Assembly Actions - Lowercase
Senate Actions - UPPERCASE
|Jan 04, 2012||referred to consumer protection|
|Jan 05, 2011||referred to consumer protection|
senate Bill S686
Archive: Last Bill Status - In Committee
- In Committee
- On Floor Calendar
- Passed Senate
- Passed Assembly
- Delivered to Governor
- Signed/Vetoed by Governor
S686 - Details
- Current Committee:
- Law Section:
- General Business Law
- Laws Affected:
- Amd §602, Gen Bus L
- Versions Introduced in 2009-2010 Legislative Session:
S686 - Summary
Creates a private right of action for improper debt collection procedures; allows plaintiffs to recover punitive damages and reasonable attorneys' fees.
S686 - Sponsor Memo
BILL NUMBER:S686 TITLE OF BILL: An act to amend the general business law, in relation to allowing a private right of action for improper debt collection SUMMARY OF SPECIFIC PROVISIONS: This bill amends section 602 of the general business law to create a private right of action for a debtor for improper debt collection procedures based on the following: 1. Any person who violates this article shall be guilty of a misdemeanor, and each violation shall be a separate offense. 2. A debtor can bring a private right of action for violations of this article. The person shall be liable to the debtor for any actual damages the debtor sustained as a result of the violation of the article. JUSTIFICATION: This bill adds significant new protection to debtors in this state. It expressly provides for a private right of action in debt collection cases. Given that a private right of action was not expressly provided for in article 29-H of the General Business Law, which regulates debt collection practices, intermediate state courts decided the issue with varying results.
S686 - Bill Text download pdf
S T A T E O F N E W Y O R K ________________________________________________________________________ 686 2011-2012 Regular Sessions I N S E N A T E (PREFILED) January 5, 2011 ___________ Introduced by Sen. SAMPSON -- read twice and ordered printed, and when printed to be committed to the Committee on Consumer Protection AN ACT to amend the general business law, in relation to allowing a private right of action for improper debt collection THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Section 602 of the general business law, as added by chap- ter 753 of the laws of 1973, is amended to read as follows: S 602. Violations and penalties. 1. Except as otherwise provided by law, any person who shall violate the terms of this article shall be guilty of a misdemeanor, and each such violation shall be deemed a sepa- rate offense. 2. The attorney general or the district attorney of any county may bring an action in the name of the people of the state to restrain or prevent any violation of this article or any continuance of any such violation. 3. A DEBTOR SHALL HAVE A PRIVATE RIGHT OF ACTION AGAINST ANY PERSON OR PERSONS, OTHER THAN BANKING INSTITUTIONS AS DEFINED IN SECTION NINE-F OF THE BANKING LAW, AND THEIR AFFILIATES, IN VIOLATION OF THIS ARTICLE. SUCH PERSON OR PERSONS SHALL BE LIABLE TO THE DEBTOR FOR ANY ACTUAL DAMAGES THE DEBTOR SUSTAINED AS A RESULT OF THE VIOLATION OF THIS ARTI- CLE, ANY PUNITIVE DAMAGES AWARDED BY THE COURT, AND REASONABLE ATTOR- NEY'S FEES. S 2. This act shall take effect on the sixtieth day after it shall have become a law. EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD04131-01-1
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