Assembly Bill A5223

2017-2018 Legislative Session

Prohibits certain practices by businesses making an automatic renewal or continuous service offer to consumers in the state

download bill text pdf

Sponsored By

Archive: Last Bill Status - On Floor Calendar


  • Introduced
    • In Committee Assembly
    • In Committee Senate
    • On Floor Calendar Assembly
    • On Floor Calendar Senate
    • Passed Assembly
    • Passed Senate
  • Delivered to Governor
  • Signed By Governor

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2017-A5223 (ACTIVE) - Details

See Senate Version of this Bill:
S265
Law Section:
General Business Law
Laws Affected:
Add Art 29-BB §§527 & 527-a, Gen Bus L
Versions Introduced in Other Legislative Sessions:
2013-2014: S4268
2015-2016: A2135, S40
2019-2020: A3173, S1475

2017-A5223 (ACTIVE) - Summary

Prohibits certain practices by businesses making an automatic renewal or continuous service offer to consumers in the state; provides exemptions.

2017-A5223 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5223
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 7, 2017
                                ___________
 
 Introduced  by  M.  of  A. DINOWITZ, SKOUFIS, GOTTFRIED, HOOPER, ARROYO,
   STIRPE, GALEF, JOYNER, PICHARDO -- Multi-Sponsored  by  --  M.  of  A.
   BRAUNSTEIN,  COOK,  GLICK,  HIKIND,  MAGEE,  RIVERA  --  read once and
   referred to the Committee on Consumer Affairs and Protection
 
 AN ACT to amend the general business law,  in  relation  to  prohibiting
   certain practices by businesses making an automatic renewal or contin-
   uous service offer to consumers in the state
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Legislative intent. It is the intent of the legislature  to
 end  the  practice of ongoing charging of consumer credit or debit cards
 or third party payment accounts without the consumers' explicit  consent
 for ongoing shipments of a product or ongoing deliveries of service.
   § 2. The general business law is amended by adding a new article 29-BB
 to read as follows:
                               ARTICLE 29-BB
                    PROHIBITED SERVICE OFFER PRACTICES
 SECTION 527. DEFINITIONS.
         527-A. UNLAWFUL PRACTICES.
   §  527.  DEFINITIONS.  FOR THE PURPOSES OF THIS ARTICLE, THE FOLLOWING
 DEFINITIONS SHALL APPLY:
   1. "AUTOMATIC RENEWAL" MEANS A PLAN OR ARRANGEMENT  IN  WHICH  A  PAID
 SUBSCRIPTION OR PURCHASING AGREEMENT IS AUTOMATICALLY RENEWED AT THE END
 OF A DEFINITE TERM FOR A SUBSEQUENT TERM.
   2.  "AUTOMATIC  RENEWAL  OFFER  TERMS"  MEANS  THE FOLLOWING CLEAR AND
 CONSPICUOUS DISCLOSURES:
   A. THAT THE SUBSCRIPTION OR PURCHASING AGREEMENT WILL  CONTINUE  UNTIL
 THE CONSUMER CANCELS;
   B.  THE  DESCRIPTION  OF  THE  CANCELLATION POLICY THAT APPLIES TO THE
 OFFER;
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD03600-01-7
              

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