Assembly Bill A10161

2019-2020 Legislative Session

Restricts automatic renewal of contracts for electronic and life safety alarm services

download bill text pdf

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Archive: Last Bill Status - In Assembly Committee

  • 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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2019-A10161 (ACTIVE) - Details

See Senate Version of this Bill:
S8045
Current Committee:
Assembly Judiciary
Law Section:
General Business Law
Laws Affected:
Add §69-xx, Gen Bus L
Versions Introduced in Other Legislative Sessions:
2009-2010: A10043
2011-2012: A4338
2013-2014: A2146
2015-2016: A6496, S4231
2017-2018: A6191, S5468
2021-2022: A9131, S1881
2023-2024: A5671, S3343

2019-A10161 (ACTIVE) - Summary

Restricts automatic renewal of contracts for electronic and life safety alarm services; makes such automatic renewal provisions unenforceable unless: the automatic renewal offer terms or continuous service offer terms are presented to the consumer in a clear and conspicuous manner; the business or person furnishing the electronic and life safety alarm service obtains the consumer's affirmative consent; and such renewal or continuous service offer provides an acknowledgment of the contract cancellation policy, and information regarding how to cancel in a manner that is capable of being retained by the consumer.

2019-A10161 (ACTIVE) - Bill Text download pdf 

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10161
 
                           I N  A S S E M B L Y
 
                              March 24, 2020
                                ___________
 
 Introduced  by  M.  of  A.  SCHIMMINGER -- read once and referred to the
   Committee on Judiciary
 
 AN ACT to amend the general  business  law,  in  relation  to  automatic
   renewal of contracts for electronic and life safety alarm services
 
   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
 69-xx to read as follows:
   § 69-XX. AUTOMATIC RENEWAL OR CONTINUOUS SERVICE OFFER FOR  ELECTRONIC
 AND  LIFE  SAFETY  ALARM SERVICES CONTRACTS UNENFORCEABLE; MECHANISM FOR
 CANCELLATION;  TERMS;  APPLICABILITY  OF  REQUIREMENTS.    1.  AUTOMATIC
 RENEWAL OF A CONTRACT FOR INSTALLING, SERVICING, MONITORING OR MAINTAIN-
 ING  SECURITY  OR  FIRE  ALARM SYSTEMS UNDER THIS ARTICLE SHALL BE UNEN-
 FORCEABLE UNLESS:
   (A) THE AUTOMATIC RENEWAL OFFER  TERMS  OR  CONTINUOUS  SERVICE  OFFER
 TERMS ARE PRESENTED TO THE CONSUMER IN A CLEAR AND CONSPICUOUS MANNER;
   (B)  THE  BUSINESS OR PERSON FURNISHING THE ELECTRONIC AND LIFE SAFETY
 ALARM SERVICE OBTAINS THE CONSUMER'S AFFIRMATIVE CONSENT TO  THE  AGREE-
 MENT  CONTAINING THE AUTOMATIC RENEWAL OFFER TERMS OR CONTINUOUS SERVICE
 OFFER TERMS PRIOR TO CHARGING THE CONSUMER'S CREDIT OR DEBIT CARD OR THE
 CONSUMER'S ACCOUNT WITH A  THIRD  PARTY  FOR  AN  AUTOMATIC  RENEWAL  OR
 CONTINUOUS  SERVICE.  ANY  FORM OF PAYMENT FOR SERVICES INITIATED BY THE
 CONSUMER SHALL BE CONSIDERED AFFIRMATIVE CONSENT UNDER THE PROVISIONS OF
 THIS ARTICLE; AND
   (C) SUCH RENEWAL OR CONTINUOUS SERVICE OFFER PROVIDES  AN  ACKNOWLEDG-
 MENT  OF THE CONTRACT CANCELLATION POLICY, AND INFORMATION REGARDING HOW
 TO CANCEL IN A MANNER THAT IS CAPABLE OF BEING RETAINED BY THE CONSUMER.
   2. A BUSINESS MAKING AUTOMATIC RENEWAL OR  CONTINUOUS  SERVICE  OFFERS
 SHALL  PROVIDE  A TOLL-FREE TELEPHONE NUMBER, ELECTRONIC MAIL ADDRESS, A
 POSTAL ADDRESS ONLY WHEN THE SELLER  DIRECTLY  BILLS  THE  CONSUMER,  OR
 ANOTHER  COST-EFFECTIVE, TIMELY, AND EASY-TO-USE MECHANISM FOR CANCELLA-
 TION THAT SHALL BE DESCRIBED IN THE RENEWAL OFFER AS  REQUIRED  BY  THIS
 SECTION.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

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