S T A T E O F N E W Y O R K
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3025
2017-2018 Regular Sessions
I N A S S E M B L Y
January 24, 2017
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Introduced by M. of A. SANTABARBARA -- read once and referred to the
Committee on Corporations, Authorities and Commissions
AN ACT to amend the public service law, in relation to establishing a
cap on the amount a subscriber may be charged for leasing a modem,
remote or other device from a cable television company
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The public service law is amended by adding a new section
section 231 to read as follows:
§ 231. LEASING OF EQUIPMENT. 1. FOR THE PURPOSES OF THIS SECTION, THE
FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
(A) "LEASE" MEANS A CONTRACT OR INSTRUMENT CONVEYING PROPERTY TO
ANOTHER FOR A SPECIFIED PERIOD OR FOR A PERIOD DETERMINABLE AT THE WILL
OF EITHER LESSOR OR LESSEE IN CONSIDERATION OF COMPENSATION; AND
(B) "MODEM" MEANS AN ELECTRONIC DEVICE THAT MAKES POSSIBLE THE TRANS-
MISSION OF DATA TO OR FROM A COMPUTER VIA TELEPHONE OR OTHER COMMUNI-
CATION LINES.
2. NO CABLE TELEVISION COMPANY SHALL CHARGE ANY SUBSCRIBER AN AMOUNT
WHICH IS MORE THAN THE ACTUAL COST OF THE MODEM, REMOTE CONTROL OR ANY
OTHER DEVICE PAID FOR BY THE COMPANY AND PROVIDED TO THE SUBSCRIBER.
3. A CABLE OR INTERNET PROVIDER SHALL DISCLOSE IN AN INITIAL BILLING
CORRESPONDENCE: (A) THE AMOUNT THE EQUIPMENT COSTS THE COMPANY, (B) HOW
MANY PAYMENTS THE SUBSCRIBER MUST MAKE ON THE EQUIPMENT IN TOTAL, AND
(C) INFORMATION REGARDING HOW OR WHERE A SUBSCRIBER MAY PURCHASE SUCH
EQUIPMENT AT RETAIL.
4. NO CABLE TELEVISION COMPANY SHALL CHARGE ANY SUBSCRIBER A MONTHLY
FEE FOR THE LEASE OR USE OF A NEW MODEM, REMOTE CONTROL OR OTHER DEVICE
BEYOND TWELVE MONTHS AFTER SUCH EQUIPMENT HAS BEEN PROVIDED BY SUCH
CABLE TELEVISION COMPANY. IF A CABLE TELEVISION COMPANY REPLACES THE
CUSTOMER'S EXISTING MODEM, REMOTE CONTROL OR OTHER DEVICE WITH A NEW
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07812-01-7
A. 3025 2
MODEM, REMOTE CONTROL OR OTHER DEVICE DURING OR AFTER SUCH TWELVE MONTH
PERIOD AN ADDITIONAL TWELVE MONTH PERIOD SHALL COMMENCE.
5. NO CABLE TELEVISION COMPANY SHALL CHARGE AN ADDITIONAL OR MONTHLY
FEE FOR THE MAINTENANCE OF A PROVIDED MODEM, REMOTE CONTROL OR OTHER
DEVICE.
6. WHENEVER THERE SHALL BE A VIOLATION OF THIS SECTION, APPLICATION
MAY BE MADE BY THE COMMISSION IN THE NAME OF THE PEOPLE OF THE STATE OF
NEW YORK TO A COURT OR JUSTICE HAVING JURISDICTION BY A SPECIAL PROCEED-
ING TO ISSUE AN INJUNCTION, AND UPON NOTICE TO THE DEFENDANT OF NOT LESS
THAN FIVE DAYS, TO ENJOIN AND RESTRAIN THE CONTINUANCE OF SUCH
VIOLATIONS; AND IF IT SHALL APPEAR TO THE SATISFACTION OF THE COURT OR
JUSTICE THAT THE DEFENDANT HAS, IN FACT, VIOLATED THIS SECTION, AN
INJUNCTION MAY BE ISSUED BY SUCH COURT OR JUSTICE, ENJOINING AND
RESTRAINING ANY FURTHER VIOLATION, WITHOUT REQUIRING PROOF THAT ANY
PERSON HAS, IN FACT, BEEN INJURED OR DAMAGED THEREBY.
7. WHENEVER THE COURT SHALL DETERMINE THAT A VIOLATION OF THIS SECTION
HAS OCCURRED, THE COURT MAY IMPOSE A CIVIL PENALTY OF NOT MORE THAN FIVE
HUNDRED DOLLARS FOR EACH VIOLATION.
§ 2. This act shall take effect immediately.