S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9564
 
                           I N  A S S E M B L Y
 
                             January 23, 2018
                                ___________
 
 Introduced by M. of A. DINOWITZ -- read once and referred to the Commit-
   tee on Judiciary
 
 AN  ACT to amend the uniform commercial code, the civil practice law and
   rules, the lien law, the general obligations law, the banking law, the
   general business law, the  arts  and  cultural  affairs  law  and  the
   personal  property law, in relation to making technical corrections to
   conform with revisions to the uniform commercial code
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Paragraph  (g)  of subsection 1 of section 4-A-105 of the
 uniform commercial code, as added by chapter 208 of the laws of 1990, is
 amended to read as follows:
 (g) "Prove" with respect to a fact means to meet the  burden  of  estab-
        lishing the fact (subsection (B)(8) of section [1-201] 1--201).
   §  2.  Subsection 1 of section 4-A-106 of the uniform commercial code,
 as added by chapter 208 of the laws of  1990,  is  amended  to  read  as
 follows:
   (1) The time of receipt of a payment order or communication cancelling
 or  amending  a  payment  order is determined by the rules applicable to
 receipt of a notice stated  in  [subsection  (27)  of]  Section  [1-201]
 1--202.    A  receiving bank may fix a cut-off time or times on a funds-
 transfer business day for the receipt and processing of  payment  orders
 and  communications  cancelling  or  amending  payment orders. Different
 cut-off times may apply to payment orders, cancellations, or amendments,
 or to different categories of payment orders, cancellations,  or  amend-
 ments.  A  cut-off time may apply to senders generally or different cut-
 off times may apply  to  different  senders  or  categories  of  payment
 orders.  If  a  payment  order or communication cancelling or amending a
 payment order is received after the close of a  funds-transfer  business
 day  or  after the appropriate cut-off time on a funds-transfer business
 day, the receiving bank may treat the payment order or communication  as
 received at the opening of the next funds-transfer business day.
   §  3.  Subsection 2 of section 4-A-204 of the uniform commercial code,
 as added by chapter 208 of the laws of  1990,  is  amended  to  read  as
 follows:
   (2)  Reasonable time under subsection (1) may be fixed by agreement as
              

 stated in subsection [(1)] (B) of Section [1-204] 1--302, but the  obli-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD14138-01-8

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 gation  of  a  receiving  bank to refund payment as stated in subsection
 [(1)] (B) may not otherwise be varied by agreement.
   §  4. Subsection (c) of section 5--103 of the uniform commercial code,
 as added by chapter 471 of the laws of  2000,  is  amended  to  read  as
 follows:
   (c) With  the exception of this subsection, subsections (a) and (d) of
 this section, paragraphs (9) and  (10)  of  subsection  (a)  of  section
 5--102,  subsection (d) of section 5--106, and subsection (d) of section
 5--114, and except to the  extent  prohibited  in  [subsection  (3)  of]
 section [1--102] 1--302 and subsection (d) of section 5--117, the effect
 of  this  article may be varied by agreement or by a provision stated or
 incorporated by reference in an undertaking. A term in an  agreement  or
 undertaking  generally excusing liability or generally limiting remedies
 for failure to perform obligations is not sufficient to vary obligations
 prescribed by this article.
   § 5. Subdivision (c) of rule 4518 of the civil practice law and rules,
 as amended by chapter 229 of the laws of 2017, is  amended  to  read  as
 follows:
   (c)  Other records. All records, writings and other things referred to
 in sections 2306 and 2307 are admissible in evidence under this rule and
 are prima facie evidence of the facts contained, provided  they  bear  a
 certification or authentication by the head of the hospital, laboratory,
 department  or  bureau of a municipal corporation or of the state, or by
 an employee delegated for that purpose  or  by  a  qualified  physician.
 Where  a  hospital  record  is in the custody of a warehouse[, or "ware-
 houseman"] as that term is defined by paragraph (thirteen) of subsection
 (a) of section [7-102] 7--102 of the uniform commercial  code,  pursuant
 to  a  plan  approved  in  writing  by the state commissioner of health,
 admissibility under this subdivision may be  established  by  a  certif-
 ication  made  by  the  manager of the warehouse that sets forth (i) the
 authority by which the record is held, including but not  limited  to  a
 court  order,  order  of the commissioner, or order or resolution of the
 governing body or official of the hospital, and (ii) that the record has
 been in the exclusive custody of such warehouse  or  warehousemen  since
 its  receipt  from the hospital or, if another has had access to it, the
 name and address of such person and the date on which  and  the  circum-
 stances  under  which  such access was had. Any [warehouseman] WAREHOUSE
 providing a certification as required by this subdivision shall have  no
 liability for acts or omissions relating thereto, except for intentional
 misconduct, and the [warehouseman] WAREHOUSE is authorized to assess and
 collect a reasonable charge for providing the certification described by
 this  subdivision.  Where a hospital record is located in a jurisdiction
 other than this state,  admissibility  under  this  subdivision  may  be
 established  by  either a certification or authentication by the head of
 the hospital, laboratory, department or bureau  of  a  municipal  corpo-
 ration  or of the state or by an employee delegated for that purpose, or
 by a qualified physician.
   § 6. Section 200 of the lien law, as amended by chapter 30 of the laws
 of 1968, is amended to read as follows:
   § 200. Sale of personal property to satisfy a  lien.  A  lien  against
 personal  property,  other  than  the lien of a [warehouseman] WAREHOUSE
 pursuant to section 7--209 of the uniform commercial code, the lien of a
 carrier pursuant to section 7--307 of the  uniform  commercial  code,  a
 security  interest  in goods and the lien of a keeper of a hotel, apart-
 ment hotel, inn, boarding-house or lodging-house,  except  an  immigrant
 lodging-house,  if  in the legal possession of the lienor, may be satis-

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 fied by the sale of such property according to the  provisions  of  this
 article.
   §  7.  Subdivision 1 of section 5-1401 of the general obligations law,
 as added by chapter 421 of the laws of  1984,  is  amended  to  read  as
 follows:
   1.  The  parties to any contract, agreement or undertaking, contingent
 or otherwise, in consideration of, or relating to any obligation arising
 out of a transaction covering in the aggregate not less than two hundred
 fifty thousand dollars, including a  transaction  otherwise  covered  by
 subsection [one] (A) of section [1-105] 1--301 of the uniform commercial
 code, may agree that the law of this state shall govern their rights and
 duties  in  whole or in part, whether or not such contract, agreement or
 undertaking bears a reasonable relation  to  this  state.  This  section
 shall  not apply to any contract, agreement or undertaking (a) for labor
 or personal services, (b) relating  to  any  transaction  for  personal,
 family  or  household  services,  or  (c)  to the extent provided to the
 contrary in subsection [two]  (C)  of  section  [1-105]  1--301  of  the
 uniform commercial code.
   §  8. Subdivision 1-c of section 7-101 of the general obligations law,
 as amended by chapter 84 of the laws of 2001,  is  amended  to  read  as
 follows:
   1-c.  This  section  shall  apply  to  money  deposited or advanced on
 contracts for the use or rental of personal  property  as  security  for
 performance  of  the  contract  or  to  be applied to payments upon such
 contract when due, only if (a) such contract is governed by the laws  of
 this  state as the result of a choice of law provision in such contract,
 in accordance with section [1-105] 1--301 of the uniform commercial code
 (subject to the limitations on choice of law by the parties to a consum-
 er lease under section 2-A-106 of the uniform commercial code), or  such
 contract  is  otherwise governed by the laws of this state in accordance
 with applicable conflict of laws rules, and (b) the  lessee  under  such
 contract is located within this state, within the meaning of the uniform
 commercial code (with respect to the location of debtors), except that a
 foreign  air carrier under the Federal Aviation Act of 1958, as amended,
 shall not be deemed located in this state solely as a result of having a
 designated office of an agent upon whom service of process may  be  made
 located in this state.
   §  9.  Subdivisions  1  and  2  of  section 138 of the banking law, as
 amended by chapter 689 of the laws of  1984,  are  amended  to  read  as
 follows:
   1.  Notwithstanding  section  [1-105] 1--301 of the uniform commercial
 code, any bank or trust company or national bank located in  this  state
 which  in  accordance  with  the provisions of this chapter or otherwise
 applicable law shall have opened and occupied a branch office or  branch
 offices  in  any  foreign  country  shall  be liable for contracts to be
 performed at such branch office or offices and for deposits to be repaid
 at such branch office or offices to no greater extent than a bank, bank-
 ing  corporation  or  other  organization  or  association  for  banking
 purposes  organized  and existing under the laws of such foreign country
 would be liable under its laws. The laws of such foreign country for the
 purpose of this section shall be deemed to include  all  acts,  decrees,
 regulations  and  orders promulgated or enforced by a dominant authority
 asserting governmental, military or police power  of  any  kind  at  the
 place where any such branch office is located, whether or not such domi-
 nant authority be recognized as a de facto or de jure government.

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   2.  Notwithstanding  section  [1-105] 1--301 of the uniform commercial
 code, if by action of any such dominant authority which  is  not  recog-
 nized  by  the  United  States  as the de jure government of the foreign
 territory concerned, any property  situated  in  or  any  amount  to  be
 received in such foreign territory and carried as an asset of any branch
 office  of  such  bank or trust company or national bank in such foreign
 territory is seized, destroyed or cancelled, then the liability of  such
 bank  or  trust  company  or  national  bank for any deposit theretofore
 received and thereafter to be repaid by it, and for any contract  there-
 tofore  made  and thereafter to be performed by it, at any branch office
 in such foreign territory shall be reduced pro tanto by  the  proportion
 that  the  value (as shown by the books or other records of such bank or
 trust company or national bank at the time of such seizure,  destruction
 or cancellation) of such assets bears to the aggregate of all the depos-
 it and contract liabilities of the branch office or offices of such bank
 or trust company or national bank in such foreign territory, as shown at
 such time by the books or other records of such bank or trust company or
 national bank.
   §  10. Paragraphs (a) and (b) of subdivision 3 of section 204-a of the
 banking law, as amended by chapter 552 of the laws of 1962, are  amended
 to read as follows:
   (a)  Notwithstanding  section [1-105] 1--301 of the uniform commercial
 code, any foreign banking corporation doing business in this state under
 a license issued by the superintendent in accordance with the provisions
 of this chapter shall be liable  in  this  state  for  contracts  to  be
 performed  at  its  office  or  offices  in any foreign country, and for
 deposits to be repaid at such office or offices, to  no  greater  extent
 than  a  bank,  banking corporation or other organization or association
 for banking purposes organized and  existing  under  the  laws  of  such
 foreign country would be liable under its laws. The laws of such foreign
 country  for  the purpose of this subdivision shall be deemed to include
 all acts, decrees, regulations and orders promulgated or enforced  by  a
 dominant  authority  asserting governmental, military or police power of
 any kind at the place where any such office is located, whether  or  not
 such  dominant  authority be recognized as a de facto or de jure govern-
 ment.
   (b) Notwithstanding section [1-105] 1--301 of the  uniform  commercial
 code,  if  by  action of any such dominant authority which is not recog-
 nized by the United States as the de  jure  government  of  the  foreign
 territory  concerned,  any  property  situated  in  or  any amount to be
 received in such foreign territory and carried as an asset of any office
 of such foreign banking corporation in such foreign territory is seized,
 destroyed or cancelled, then the liability, if any,  in  this  state  of
 such  foreign  banking  corporation for any deposit theretofore received
 and thereafter to be repaid by it, and for any contract theretofore made
 and thereafter to be performed by it, at  any  office  in  such  foreign
 territory  shall  be  reduced pro tanto by the proportion that the value
 (as shown by the books or other records of such foreign  banking  corpo-
 ration,  at  the  time  of such seizure, destruction or cancellation) of
 such assets bears to the aggregate  of  all  the  deposit  and  contract
 liabilities of the office or offices of such foreign banking corporation
 in  such  foreign territory, as shown at such time by the books or other
 records of such foreign banking corporations. Nothing contained in  this
 paragraph  shall  diminish or otherwise affect the liability of any such
 foreign banking corporation to any corporation, firm or individual which

 A. 9564                             5
 
 at the time of such seizure, destruction or  cancellation  was  incorpo-
 rated or resident in any state of the United States.
   §  11. Subdivision 4 of section 11.01 of the arts and cultural affairs
 law, as added by chapter 849 of the laws of 1984, is amended to read  as
 follows:
   4.  "Creditors"  means  "creditor"  as defined in [subdivision twelve]
 PARAGRAPH THIRTEEN of SUBSECTION (B) OF section [1-201]  1--201  of  the
 uniform [commerical] COMMERCIAL code.
   §  12.  Subdivision  5 of section 331 of the personal property law, as
 added by chapter 1 of the laws of 1994, is amended to read as follows:
   5. "Retail lease agreement" or "agreement" means an agreement, entered
 into in this state, for the lease of a  motor  vehicle,  and  which  may
 include  the  purchase  of  goods  or  services incidental thereto, by a
 retail lessee for a scheduled term exceeding four months, whether or not
 the lessee has the option to purchase or otherwise become the  owner  of
 the  vehicle  at the expiration of the agreement. The term includes such
 an agreement wherever entered into if executed by  the  lessee  in  this
 state and if solicited in person by a person acting on his own behalf or
 that  of  the  lessor.  The  term  does  not include a retail instalment
 contract or a rental-purchase agreement as defined in articles nine  and
 eleven  of  this  chapter. An agreement that substantially complies with
 this article does not create a security interest in a motor  vehicle  as
 the  term  "security  interest" is defined in [subdivision thirty-seven]
 PARAGRAPH THIRTY-FIVE of SUBSECTION (B) OF section [1-201] 1--201 of the
 uniform commercial code.
   § 13. Paragraph (e) of subdivision 7 of section 399-w of  the  general
 business  law, as amended by chapter 140 of the laws of 1995, is amended
 to read as follows:
   (e) "Retail  lease  agreement"  or  "agreement"  means  an  agreement,
 entered into in this state, for the lease of goods and which may include
 the  purchase  of goods or services incidental thereto by a lessee for a
 scheduled term exceeding four months, whether or not the lessee has  the
 option  to  purchase  or  otherwise become the owner of the goods at the
 expiration of the agreement. The term includes such an agreement wherev-
 er entered into if executed by the lessee in this state and if solicited
 in person by a person acting on his or her own behalf  or  that  of  the
 lessor.  The  term  does  not  include a retail instalment contract or a
 rental-purchase agreement as defined in articles ten and eleven  of  the
 personal  property  law.  An  agreement that substantially complies with
 this article does not create a security interest in  the  goods  as  the
 term  "security interest" is defined in [subdivision thirty-seven] PARA-
 GRAPH THIRTY-FIVE of SUBSECTION (B) OF section  [1-201]  1--201  of  the
 uniform commercial code.
   §  14.  Subdivision  6 of section 500 of the personal property law, as
 amended by chapter 309 of the laws  of  2010,  is  amended  to  read  as
 follows:
   6.  "Rental-purchase  agreement"  means  an  agreement  for the use of
 merchandise by a consumer for primarily personal, family,  or  household
 purposes,  for an initial period of four months or less, that is renewa-
 ble with each payment after the initial  period  and  that  permits  the
 consumer to become the owner of the property. An agreement that complies
 with this article is not a retail installment sales contract, agreement,
 or  obligation  as  defined  in  this chapter nor a security interest as
 defined  in  [subdivision  thirty-seven]    PARAGRAPH   THIRTY-FIVE   of
 SUBSECTION (B) OF section [1-201] 1--201 of the uniform commercial code.
   § 15. This act shall take effect immediately.