S T A T E O F N E W Y O R K
________________________________________________________________________
1276
2017-2018 Regular Sessions
I N S E N A T E
January 9, 2017
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Introduced by Sen. AVELLA -- 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 the distrib-
ution of circular advertisements
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
397-b to read as follows:
§ 397-B. DISTRIBUTION OF CIRCULARS. 1. FOR THE PURPOSES OF THIS
SECTION:
A. "CONSUMER" SHALL MEAN ANY NATURAL PERSON WHO MAY BE REQUIRED TO PAY
FOR OR TO EXCHANGE CONSIDERATION FOR GOODS AND SERVICES OFFERED THROUGH
CIRCULAR ADVERTISEMENTS.
B. "CIRCULAR ADVERTISEMENT" SHALL MEAN ANY PAMPHLET, FORM, DOCUMENT OR
COMMERCIAL ADVERTISEMENT PRINTED ON ANY FORM OF MEDIA, INCLUDING, BUT
NOT LIMITED TO LEAFLETS, LETTERS, PAMPHLETS AND MENUS, THEREAFTER
DISTRIBUTED TO TWO OR MORE CONSUMERS THROUGH A PLAN, PROGRAM OR CAMPAIGN
CONDUCTED TO INDUCE PAYMENT OR THE EXCHANGE OF ANY OTHER CONSIDERATION
FOR ANY GOODS OR SERVICES, OR TO PROMOTE SOME PRODUCT OR SERVICE. THIS
DEFINITION SHALL NOT INCLUDE ADVERTISEMENTS DISTRIBUTED BY THE UNITED
STATES POSTAL SERVICE OR THOSE ADVERTISEMENTS REGULARLY INCLUDED WITH
ANY OTHER MEDIA SUBSCRIPTION, INCLUDING, BUT NOT LIMITED TO, NEWSPAPERS,
PERIODICALS AND MAGAZINES.
C. "PERSON" SHALL MEAN ANY NATURAL PERSON, ASSOCIATION, PARTNERSHIP,
FIRM, CORPORATION OR OTHER BUSINESS ENTITY.
D. "ADVERTISER" SHALL MEAN ANY NATURAL PERSON, ASSOCIATION, PARTNER-
SHIP, FIRM, CORPORATION OR OTHER BUSINESS ENTITY THAT DELIVERS CIRCULAR
ADVERTISEMENTS TO A CONSUMER FOR A COMMERCIAL PURPOSE.
E. "COMMERCIAL PURPOSE" SHALL MEAN HAVING THE GOAL OR END OF BUYING OR
SELLING OF A GOOD OR SERVICE FOR THE PURPOSE OF MAKING A PROFIT.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00618-01-7
S. 1276 2
F. "UNSOLICITED CIRCULAR DELIVERY" MEANS ANY DELIVERY OF A CIRCULAR
ADVERTISEMENT, BY AN ADVERTISER OR EMPLOYEE THEREOF, TO A CONSUMER,
OTHER THAN A DELIVERY MADE:
(I) IN RESPONSE TO AN EXPRESS WRITTEN OR VERBAL REQUEST OF THE CONSUM-
ER RECEIVING SUCH CIRCULAR; OR
(II) IN CONNECTION WITH AN ESTABLISHED BUSINESS OR CUSTOMER RELATION-
SHIP, WHICH HAS NOT BEEN TERMINATED BY EITHER PARTY, UNLESS SUCH CONSUM-
ER HAS STATED TO THE ADVERTISER THAT SUCH CONSUMER NO LONGER WISHES TO
RECEIVE THE CIRCULAR ADVERTISEMENTS OF SUCH ADVERTISER.
G. "DEPARTMENT" SHALL MEAN THE DEPARTMENT OF STATE.
2. A. THE DEPARTMENT SHALL ESTABLISH, MANAGE AND MAINTAIN A REGISTRY
WHICH SHALL CONTAIN A LIST OF CONSUMERS WHO DO NOT WISH TO RECEIVE UNSO-
LICITED CIRCULAR DELIVERIES.
B. THE REGISTRY SHALL BE UPDATED ON A QUARTERLY BASIS, OR MORE
FREQUENTLY AS PRESCRIBED BY RULE. SUCH UPDATES SHALL BE MADE READILY
AVAILABLE TO ANY PROSPECTIVE ADVERTISER IN A MANNER TO BE PRESCRIBED BY
THE DEPARTMENT.
3. NO ADVERTISER MAY MAKE OR CAUSE TO BE MADE ANY UNSOLICITED CIRCULAR
DELIVERIES TO ANY CONSUMER WHEN THAT CONSUMER'S PERSONAL INFORMATION HAS
BEEN POSTED ON THE REGISTRY, ESTABLISHED PURSUANT TO THIS SECTION.
4. A. THE DEPARTMENT SHALL PROVIDE NOTICE TO CONSUMERS OF THE ESTAB-
LISHMENT OF THE REGISTRY. ANY CONSUMER WHO WISHES TO BE INCLUDED ON SUCH
REGISTRY SHALL NOTIFY THE SECRETARY OF STATE IN A MANNER TO BE
PRESCRIBED BY THE DEPARTMENT.
B. THE DEPARTMENT SHALL PROVIDE NOTICE TO ADVERTISERS OF THE ESTAB-
LISHMENT OF THE REGISTRY, AS WELL AS PROVIDE SUCH ADVERTISER WITH INFOR-
MATION FOR OBTAINING ALL SCHEDULED REGISTRY UPDATES IN A MANNER TO BE
PRESCRIBED BY THE DEPARTMENT.
5. ANY PERSON WHO VIOLATES THIS SECTION SHALL: FOR A FIRST VIOLATION
THEREOF, BE LIABLE FOR A CIVIL PENALTY OF NOT LESS THAN TWO HUNDRED
DOLLARS AND NOT MORE THAN FOUR HUNDRED DOLLARS; FOR A SECOND VIOLATION,
BOTH VIOLATIONS WHICH WERE COMMITTED WITHIN A PERIOD OF THIRTY DAYS, BE
LIABLE FOR A CIVIL PENALTY OF NOT LESS THAN FIVE HUNDRED DOLLARS AND NOT
MORE THAN ONE THOUSAND DOLLARS; AND FOR A THIRD OR SUBSEQUENT VIOLATION,
ALL VIOLATIONS WHICH WERE COMMITTED WITHIN A PERIOD OF THIRTY DAYS, BE
LIABLE FOR A CIVIL PENALTY OF NOT LESS THAN ONE THOUSAND DOLLARS AND NOT
MORE THAN TWO THOUSAND DOLLARS.
§ 2. This act shall take effect on the one hundred twentieth day after
it shall have become a law; provided, however, that effective immediate-
ly, the addition, amendment and/or repeal of any rule or regulation
necessary for the implementation of this act on its effective date are
authorized and directed to be made and completed on or before such
effective date.