Assembly Bill A1845A

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 1845--A
                                                         Cal. No. 78

                       2011-2012 Regular Sessions

                          I N  A S S E M B L Y

                            January 12, 2011
                               ___________

Introduced  by  M.  of  A.  ROSENTHAL, GLICK, JAFFEE, DenDEKKER, HOOPER,
  CASTRO, COOK, SPANO, MAISEL, SCARBOROUGH,  BARRON,  KELLNER,  BOYLAND,
  ROBINSON, M. MILLER -- Multi-Sponsored by -- M. of A. CAHILL, GUNTHER,
  MAGEE,  McENENY,  REILLY,  WEISENBERG -- read once and referred to the
  Committee on Consumer Affairs and Protection -- reported from  commit-
  tee,  advanced  to  a  third  reading,  amended and ordered reprinted,
  retaining its place on the order of third reading

AN ACT to amend the general business law,  in  relation  to  prohibiting
  debt  collectors  from collecting or attempting to collect a debt owed
  by a deceased debtor that is known to be deceased

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The general business law is amended by adding a new section
601-a to read as follows:
  S  601-A.  PROHIBITED PRACTICES REGARDING DECEASED DEBTORS. 1. FOR THE
PURPOSES OF THIS SECTION, THE FOLLOWING TERMS SHALL HAVE  THE  FOLLOWING
MEANINGS:
  (A) "DEBT" MEANS ANY OBLIGATION OR ALLEGED OBLIGATION OF A CONSUMER TO
PAY  MONEY  ARISING  OUT  OF A TRANSACTION IN WHICH THE MONEY, PROPERTY,
INSURANCE, OR SERVICES WHICH ARE THE  SUBJECT  OF  THE  TRANSACTION  ARE
PRIMARILY  FOR  PERSONAL,  FAMILY, OR HOUSEHOLD PURPOSES, WHETHER OR NOT
SUCH OBLIGATION HAS BEEN REDUCED TO JUDGMENT; AND
  (B) "DEBT COLLECTOR" MEANS AN INDIVIDUAL WHO, AS PART OF  HIS  OR  HER
JOB, REGULARLY COLLECTS OR ATTEMPTS TO COLLECT DEBTS: (I) OWED OR DUE OR
ASSERTED  TO BE OWED OR DUE TO ANOTHER; OR (II) OBTAINED BY, OR ASSIGNED
TO, SUCH PERSON, FIRM OR CORPORATION, THAT ARE IN DEFAULT WHEN  OBTAINED
OR ACQUIRED BY SUCH PERSON, FIRM OR CORPORATION.
  2.    ANY  PRINCIPAL CREDITOR OR DEBT COLLECTOR COMMUNICATING WITH ANY
PERSON FOR THE PURPOSE OF ATTEMPTING TO COLLECT A  DEBT  INCURRED  BY  A
DECEASED  DEBTOR  THAT SUCH PERSON IS NOT LEGALLY REQUIRED TO PAY, SHALL
DISCLOSE TO SUCH PERSON THAT HE OR SHE IS NOT LEGALLY  REQUIRED  TO  PAY

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
              

                                                           LBD02253-02-1

A. 1845--A                          2

DEBTS INCURRED BY THE DECEASED.  IN ADDITION, SUCH PRINCIPAL CREDITOR OR
DEBT  COLLECTOR SHALL NOT MAKE ANY MISREPRESENTATION ABOUT SUCH PERSON'S
OBLIGATION TO PAY SUCH DEBT.
  3.  (A)  IN  ADDITION  TO  ANY RIGHT OF ACTION GRANTED TO THE ATTORNEY
GENERAL PURSUANT TO THIS ARTICLE, ANY PERSON AGGRIEVED BY REASON OF  ANY
VIOLATION  OF THIS SECTION MAY BRING AN ACTION IN HIS OR HER OWN NAME TO
ENJOIN SUCH UNLAWFUL ACT OR PRACTICE, AN ACTION TO RECOVER  HIS  OR  HER
ACTUAL  DAMAGES  OR  FIVE HUNDRED DOLLARS, WHICHEVER IS GREATER, OR BOTH
SUCH ACTIONS. IN THE CASE OF ANY SUCCESSFUL ACTION TO ENFORCE THE  FORE-
GOING  LIABILITY,  THE  COURT MAY AWARD THE COSTS OF THE ACTION TOGETHER
WITH REASONABLE ATTORNEY'S FEES. EACH COMMUNICATION THAT FAILS TO COMPLY
WITH THE REQUIREMENTS  OF  THIS  SECTION  SHALL  CONSTITUTE  A  SEPARATE
VIOLATION.
  (B)  ANY  CONSUMER  ENTITLED TO BRING AN ACTION UNDER THIS SUBDIVISION
MAY, IF THE UNLAWFUL ACT OR PRACTICE HAS CAUSED DAMAGE TO OTHER  CONSUM-
ERS  SIMILARLY  SITUATED,  BRING AN ACTION ON BEHALF OF HIMSELF AND SUCH
OTHER CONSUMERS TO RECOVER DAMAGES OR OBTAIN OTHER  RELIEF  AS  PROVIDED
FOR IN THIS SUBDIVISION. ANY ACTION BROUGHT UNDER THIS SUBDIVISION SHALL
COMPLY WITH ARTICLE NINE OF THE CIVIL PRACTICE LAW AND RULES.
  S  2.  Subdivision  1  of  section 602 of the general business law, as
added by chapter 753 of the laws of 1973, is amended to read as follows:
  1. Except as otherwise provided by law, any person who [shall violate]
WILLFULLY VIOLATES the terms of this  article  [shall  be],  EXCEPT  THE
TERMS  CONTAINED IN SECTION SIX HUNDRED ONE-A OF THIS ARTICLE, IS guilty
of a misdemeanor, and each such violation shall  be  deemed  a  separate
offense.
  S  3.  This  act shall take effect on the ninetieth day after it shall
have become a law.