S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    679
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced  by  M.  of  A.  NIOU, STECK -- read once and referred to the
   Committee on Consumer Affairs and Protection
 
 AN ACT to amend the general business law, in relation  to  standing  for
   persons affected by prohibited or unlawful business practices

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 349 of the general business law, as added by  chap-
 ter 43 of the laws of 1970, subdivision (h) as amended by chapter 157 of
 the  laws  of 1984, and subdivision (j) as added by section 6 of part HH
 of chapter 55 of the laws of 2014, is amended to read as follows:
   § 349. [Deceptive acts] PROHIBITED ACTS and practices [unlawful].  (a)
 [Deceptive]  THIS  SECTION  PROHIBITS ANY UNFAIR, UNLAWFUL, DECEPTIVE OR
 ABUSIVE acts or practices in the  conduct  of  any  business,  trade  or
 commerce  or  in the furnishing of any service [in this state are hereby
 declared unlawful].
   (1) FOR THE PURPOSES OF THIS SECTION, AN ACT  OR  PRACTICE  IS  UNFAIR
 WHEN:
   (I)  IT CAUSES OR IS LIKELY TO CAUSE SUBSTANTIAL INJURY, THE INJURY IS
 NOT REASONABLY AVOIDABLE, AND THE INJURY IS NOT OUTWEIGHED  BY  COUNTER-
 VAILING BENEFITS; OR
   (II)  IT  TAKES UNREASONABLE ADVANTAGE OF THE INABILITY OF A PERSON TO
 PROTECT HIS OR HER INTERESTS BECAUSE OF THE PERSON'S INFIRMITY, ILLITER-
 ACY OR INABILITY TO UNDERSTAND THE LANGUAGE OF AN AGREEMENT.
   (2) FOR THE PURPOSES OF THIS SECTION, AN ACT OR PRACTICE  IS  UNLAWFUL
 WHEN IT VIOLATES ANY LAW BE IT CIVIL OR CRIMINAL, FEDERAL, STATE, MUNIC-
 IPAL,  STATUTORY,  ADMINISTRATIVE  OR  ANY  OTHER LAW APPLICABLE IN THIS
 STATE.
   (3) FOR THE PURPOSES OF THIS SECTION, AN ACT OR PRACTICE IS  DECEPTIVE
 WHEN  THE  ACT OR PRACTICE MISLEADS OR IS LIKELY TO MISLEAD A PERSON AND
 THE PERSON'S INTERPRETATION IS REASONABLE UNDER THE CIRCUMSTANCES.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD02255-01-9

 A. 679                              2
 
   (4) FOR THE PURPOSES OF THIS SECTION, AN ACT OR  PRACTICE  IS  ABUSIVE
 WHEN:
   (I)  IT  MATERIALLY  INTERFERES WITH THE ABILITY OF A PERSON TO UNDER-
 STAND A TERM OR CONDITION OF A CONSUMER FINANCIAL PRODUCT OR SERVICE; OR
   (II) TAKES UNREASONABLE ADVANTAGE OF:
   (A) A PERSON'S LACK OF UNDERSTANDING OF THE MATERIAL RISKS, COSTS,  OR
 CONDITIONS OF THE PRODUCT OR SERVICE;
   (B)  A PERSON'S INABILITY TO PROTECT HIS OR HER INTERESTS IN SELECTING
 OR USING A CONSUMER FINANCIAL PRODUCT OR SERVICE; OR
   (C) A PERSON'S REASONABLE RELIANCE ON A PERSON COVERED BY THIS SECTION
 TO ACT IN HIS OR HER INTERESTS.
   (b) Whenever the attorney general shall believe from  evidence  satis-
 factory  to him OR HER that any person, firm, corporation or association
 or agent or employee thereof has engaged in or is about to engage in any
 of the acts or practices stated to be  UNFAIR,  unlawful,  DECEPTIVE  OR
 ABUSIVE,  he OR SHE may bring an action in the name and on behalf of the
 people of the state of New York to enjoin such unlawful  acts  or  prac-
 tices  and  to  obtain  restitution  of  any moneys or property obtained
 directly or indirectly by any such unlawful acts or practices.  In  such
 action  preliminary  relief  may be granted under article sixty-three of
 the civil practice law and rules.
   (c) Before any violation of this section is sought to be enjoined, the
 attorney general shall be required to give the person against whom  such
 proceeding  is  contemplated notice by certified mail and an opportunity
 to show in writing within five business days after receipt of notice why
 proceedings should not be instituted against  him  OR  HER,  unless  the
 attorney  general  shall  find,  in  any  case  in which he OR SHE seeks
 preliminary relief, that to give such notice and opportunity is  not  in
 the public interest.
   (d) [In any such action it shall be a complete defense that the act or
 practice  is,  or  if  in  interstate  commerce would be, subject to and
 complies with the rules and regulations of, and  the  statutes  adminis-
 tered by, the federal trade commission or any official department, divi-
 sion,  commission  or  agency  of the United States as such rules, regu-
 lations or statutes are interpreted by the federal trade  commission  or
 such department, division, commission or agency or the federal courts.
   (e)]  Nothing  in  this section shall apply to any television or radio
 broadcasting station or to any publisher  or  printer  of  a  newspaper,
 magazine   or   other  form  of  printed  advertising,  who  broadcasts,
 publishes, or prints the advertisement.
   [(f)] (E) In  connection  with  any  proposed  proceeding  under  this
 section,  the  attorney  general  is authorized to take proof and make a
 determination of the relevant facts, and to issue subpoenas  in  accord-
 ance with the civil practice law and rules.
   [(g)]  (F) This section shall apply to all [deceptive] PROHIBITED acts
 [or] AND practices [declared to be unlawful], whether or not subject  to
 any  other  law  of this state, and shall not supersede, amend or repeal
 any other law of this state under which the attorney general is  author-
 ized to take any action or conduct any inquiry.
   [(h)] (G) (1) In addition to the right of action granted to the attor-
 ney general pursuant to this section, any person who has been injured by
 reason  of  any  violation of this section may bring an action in his OR
 HER own name to enjoin such unlawful  act  or  practice,  an  action  to
 recover  his  OR  HER actual damages [or fifty] AND STATUTORY DAMAGES OF
 TWO THOUSAND dollars, [whichever is greater,] or both such actions. SUCH
 ACTIONS MAY BE BROUGHT REGARDLESS  OF  WHETHER  OR  NOT  THE  UNDERLYING

 A. 679                              3
 
 VIOLATION IS CONSUMER-ORIENTED OR HAS A PUBLIC IMPACT. The court may, in
 its  discretion,  increase  the  award  of  damages [to an amount not to
 exceed three times the actual damages up to one  thousand  dollars,]  if
 the  court  finds  the  defendant  willfully  or knowingly violated this
 section. The court [may] SHALL  award  reasonable  attorney's  fees  AND
 COSTS to a prevailing plaintiff.
   [(j)]  (I)  FOR  PURPOSES OF THIS SECTION, A "PERSON" IS DEFINED AS AN
 INDIVIDUAL, FIRM, CORPORATION,  PARTNERSHIP,  COOPERATIVE,  ASSOCIATION,
 COALITION OR ANY OTHER ORGANIZATION'S LEGAL ENTITY, OR GROUP OF INDIVID-
 UALS HOWEVER ORGANIZED;
   (II)  GIVEN  THE REMEDIAL NATURE OF THIS SECTION, STANDING TO BRING AN
 ACTION UNDER THIS SECTION, INCLUDING BUT NOT LIMITED  TO  ORGANIZATIONAL
 STANDING  AND  THIRD-PARTY  STANDING,  SHALL  BE LIBERALLY CONSTRUED AND
 SHALL BE AVAILABLE TO THE FULLEST EXTENT OTHERWISE PERMITTED BY LAW.
   (2) ANY PERSON ENTITLED TO BRING AN ACTION UNDER THIS ARTICLE MAY,  IF
 THE  PROHIBITED  ACT  OR  PRACTICE HAS CAUSED DAMAGE TO OTHERS SIMILARLY
 SITUATED, BRING AN ACTION ON BEHALF  OF  HIMSELF  OR  HERSELF  AND  SUCH
 OTHERS  TO  RECOVER  ACTUAL, STATUTORY AND/OR PUNITIVE DAMAGES OR OBTAIN
 OTHER RELIEF AS PROVIDED FOR IN THIS ARTICLE. THUS, ANY  ACTION  BROUGHT
 UNDER THIS SUBDIVISION SHALL COMPLY WITH ARTICLE NINE OF THE CIVIL PRAC-
 TICE LAW AND RULES.
   (3)  AN ORGANIZATION MAY BRING AN ACTION UNDER THIS SECTION, ON BEHALF
 OF ITSELF OR ANY OF ITS MEMBERS, OR ON BEHALF OF THOSE  MEMBERS  OF  THE
 GENERAL  PUBLIC WHO HAVE BEEN INJURED BY REASON OF ANY VIOLATION OF THIS
 SECTION, INCLUDING A VIOLATION INVOLVING  GOODS  OR  SERVICES  THAT  THE
 ORGANIZATION  PURCHASED  OR RECEIVED IN ORDER TO TEST OR EVALUATE QUALI-
 TIES PERTAINING TO USE FOR PERSONAL, HOUSEHOLD, OR FAMILY PURPOSES.   AN
 ORGANIZATION  MAY  SEEK  THE SAME REMEDIES AND DAMAGES THAT A PERSON MAY
 SEEK UNDER PARAGRAPH ONE OF THIS SUBDIVISION.
   (H) Notwithstanding any law to the contrary, all monies  recovered  or
 obtained  under  this  article  by  a  state agency or state official or
 employee acting in their official capacity shall be subject to  subdivi-
 sion eleven of section four of the state finance law.
   §  2.  Section  389-c of the general business law, as added by chapter
 309 of the laws of 1996, is amended to read as follows:
   § 389-c. Special application of section three  hundred  forty-nine  of
 this  chapter.  In addition to the power set forth in subdivision (b) of
 section three hundred forty-nine of this chapter, the  attorney  general
 shall  have the power to assess a fine of up to one thousand dollars for
 each violation of this article[; and the defense under  subdivision  (d)
 of  section three hundred forty-nine of this chapter shall not be avail-
 able in connection with any violation of this article].
   § 3. This act shall take effect on the sixtieth  day  after  it  shall
 have become a law.

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  679--A
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced  by  M.  of  A.  NIOU, STECK, BARRON, KIM, DINOWITZ, EPSTEIN,
   FRONTUS, RICHARDSON, D'URSO, FALL, REYES, SIMOTAS  --  Multi-Sponsored
   by  --  M.  of A. SAYEGH -- read once and referred to the Committee on
   Consumer Affairs and Protection -- committee discharged, bill amended,
   ordered reprinted as amended and recommitted to said committee
 
 AN ACT to amend the general business law, in relation  to  standing  for
   persons affected by prohibited or unlawful business practices
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 349 of the general business law, as added by  chap-
 ter 43 of the laws of 1970, subdivision (h) as amended by chapter 157 of
 the  laws  of 1984, and subdivision (j) as added by section 6 of part HH
 of chapter 55 of the laws of 2014, is amended to read as follows:
   § 349. [Deceptive acts] PROHIBITED ACTS and  practices  unlawful.  (a)
 [Deceptive] THIS SECTION PROHIBITS ANY UNFAIR, DECEPTIVE OR ABUSIVE acts
 or practices in the conduct of any business, trade or commerce or in the
 furnishing of any service [in this state are hereby declared unlawful].
   (1)  FOR  THE  PURPOSES  OF THIS SECTION, AN ACT OR PRACTICE IS UNFAIR
 WHEN:
   (I) IT CAUSES OR IS LIKELY TO CAUSE SUBSTANTIAL INJURY, THE INJURY  IS
 NOT  REASONABLY  AVOIDABLE, AND THE INJURY IS NOT OUTWEIGHED BY COUNTER-
 VAILING BENEFITS; OR
   (II) IT TAKES UNREASONABLE ADVANTAGE OF THE INABILITY OF A  PERSON  TO
 PROTECT HIS OR HER INTERESTS BECAUSE OF THE PERSON'S INFIRMITY, ILLITER-
 ACY OR INABILITY TO UNDERSTAND THE LANGUAGE OF AN AGREEMENT.
   (2)  FOR THE PURPOSES OF THIS SECTION, AN ACT OR PRACTICE IS DECEPTIVE
 WHEN THE ACT OR PRACTICE MISLEADS OR IS LIKELY TO MISLEAD A  PERSON  AND
 THE PERSON'S INTERPRETATION IS REASONABLE UNDER THE CIRCUMSTANCES.
   (3)  FOR  THE  PURPOSES OF THIS SECTION, AN ACT OR PRACTICE IS ABUSIVE
 WHEN:
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD02255-03-9

 A. 679--A                           2
 
   (I) IT MATERIALLY INTERFERES WITH THE ABILITY OF A  PERSON  TO  UNDER-
 STAND A TERM OR CONDITION OF A CONSUMER FINANCIAL PRODUCT OR SERVICE; OR
   (II) TAKES UNREASONABLE ADVANTAGE OF:
   (A)  A PERSON'S LACK OF UNDERSTANDING OF THE MATERIAL RISKS, COSTS, OR
 CONDITIONS OF THE PRODUCT OR SERVICE;
   (B) A PERSON'S INABILITY TO PROTECT HIS OR HER INTERESTS IN  SELECTING
 OR USING A CONSUMER FINANCIAL PRODUCT OR SERVICE; OR
   (C) A PERSON'S REASONABLE RELIANCE ON A PERSON COVERED BY THIS SECTION
 TO ACT IN HIS OR HER INTERESTS.
   (b)  Whenever  the attorney general shall believe from evidence satis-
 factory to him OR HER that any person, firm, corporation or  association
 or agent or employee thereof has engaged in or is about to engage in any
 of  the  acts  or  practices stated to be UNFAIR, unlawful, DECEPTIVE OR
 ABUSIVE, he OR SHE may bring an action in the name and on behalf of  the
 people  of  the  state of New York to enjoin such unlawful acts or prac-
 tices and to obtain restitution  of  any  moneys  or  property  obtained
 directly  or  indirectly by any such unlawful acts or practices. In such
 action preliminary relief may be granted under  article  sixty-three  of
 the civil practice law and rules.
   (c) Before any violation of this section is sought to be enjoined, the
 attorney  general shall be required to give the person against whom such
 proceeding is contemplated notice by certified mail and  an  opportunity
 to show in writing within five business days after receipt of notice why
 proceedings  should  not  be  instituted  against him OR HER, unless the
 attorney general shall find, in any  case  in  which  he  OR  SHE  seeks
 preliminary  relief,  that to give such notice and opportunity is not in
 the public interest.
   (d) In any such action it shall be a complete defense that the act  or
 practice  is,  or  if  in  interstate  commerce would be, subject to and
 complies with the rules and regulations of, and  the  statutes  adminis-
 tered by, the federal trade commission or any official department, divi-
 sion,  commission  or  agency  of the United States as such rules, regu-
 lations or statutes are interpreted by the federal trade  commission  or
 such department, division, commission or agency or the federal courts.
   (e)  Nothing  in  this  section shall apply to any television or radio
 broadcasting station or to any publisher  or  printer  of  a  newspaper,
 magazine   or   other  form  of  printed  advertising,  who  broadcasts,
 publishes, or prints the advertisement.
   (f) In connection with any proposed proceeding under this section, the
 attorney general is authorized to take proof and make a determination of
 the relevant facts, and to issue subpoenas in accordance with the  civil
 practice law and rules.
   (g)  This  section shall apply to all [deceptive] PROHIBITED acts [or]
 AND practices [declared to be unlawful], whether or not subject  to  any
 other  law  of  this state, and shall not supersede, amend or repeal any
 other law of this state under which the attorney general  is  authorized
 to take any action or conduct any inquiry.
   (h)  (1)  In  addition  to the right of action granted to the attorney
 general pursuant to this section, any person who  has  been  injured  by
 reason  of  any  violation of this section may bring an action in his OR
 HER own name to enjoin such unlawful  act  or  practice,  an  action  to
 recover  his  OR  HER actual damages [or fifty] AND STATUTORY DAMAGES OF
 TWO THOUSAND dollars, [whichever is greater,] or both such actions. SUCH
 ACTIONS MAY BE BROUGHT REGARDLESS  OF  WHETHER  OR  NOT  THE  UNDERLYING
 VIOLATION IS CONSUMER-ORIENTED OR HAS A PUBLIC IMPACT. The court may, in
 its  discretion,  increase  the  award  of  damages [to an amount not to

 A. 679--A                           3

 exceed three times the actual damages up to one  thousand  dollars,]  if
 the  court  finds  the  defendant  willfully  or knowingly violated this
 section. The court [may] SHALL  award  reasonable  attorney's  fees  AND
 COSTS to a prevailing plaintiff.
   [(j)]  (I)  FOR  PURPOSES OF THIS SECTION, A "PERSON" IS DEFINED AS AN
 INDIVIDUAL, FIRM, CORPORATION,  PARTNERSHIP,  COOPERATIVE,  ASSOCIATION,
 COALITION OR ANY OTHER ORGANIZATION'S LEGAL ENTITY, OR GROUP OF INDIVID-
 UALS HOWEVER ORGANIZED;
   (II)  GIVEN  THE REMEDIAL NATURE OF THIS SECTION, STANDING TO BRING AN
 ACTION UNDER THIS SECTION, INCLUDING BUT NOT LIMITED  TO  ORGANIZATIONAL
 STANDING  AND  THIRD-PARTY  STANDING,  SHALL  BE LIBERALLY CONSTRUED AND
 SHALL BE AVAILABLE TO THE FULLEST EXTENT OTHERWISE PERMITTED BY LAW.
   (2) ANY PERSON ENTITLED TO BRING AN ACTION UNDER THIS ARTICLE MAY,  IF
 THE  PROHIBITED  ACT  OR  PRACTICE HAS CAUSED DAMAGE TO OTHERS SIMILARLY
 SITUATED, BRING AN ACTION ON BEHALF  OF  HIMSELF  OR  HERSELF  AND  SUCH
 OTHERS  TO  RECOVER  ACTUAL, STATUTORY AND/OR PUNITIVE DAMAGES OR OBTAIN
 OTHER RELIEF AS PROVIDED FOR IN THIS ARTICLE. THUS, ANY  ACTION  BROUGHT
 UNDER THIS SUBDIVISION SHALL COMPLY WITH ARTICLE NINE OF THE CIVIL PRAC-
 TICE LAW AND RULES.
   (3)  AN ORGANIZATION MAY BRING AN ACTION UNDER THIS SECTION, ON BEHALF
 OF ITSELF OR ANY OF ITS MEMBERS, OR ON BEHALF OF THOSE  MEMBERS  OF  THE
 GENERAL  PUBLIC WHO HAVE BEEN INJURED BY REASON OF ANY VIOLATION OF THIS
 SECTION, INCLUDING A VIOLATION INVOLVING  GOODS  OR  SERVICES  THAT  THE
 ORGANIZATION  PURCHASED  OR RECEIVED IN ORDER TO TEST OR EVALUATE QUALI-
 TIES PERTAINING TO USE FOR PERSONAL, HOUSEHOLD, OR FAMILY PURPOSES.   AN
 ORGANIZATION  MAY  SEEK  THE SAME REMEDIES AND DAMAGES THAT A PERSON MAY
 SEEK UNDER PARAGRAPH ONE OF THIS SUBDIVISION.
   (I) Notwithstanding any law to the contrary, all monies  recovered  or
 obtained  under  this  article  by  a  state agency or state official or
 employee acting in their official capacity shall be subject to  subdivi-
 sion eleven of section four of the state finance law.
   §  2.  Section  389-c of the general business law, as added by chapter
 309 of the laws of 1996, is amended to read as follows:
   § 389-c. Special application of section three  hundred  forty-nine  of
 this  chapter.  In addition to the power set forth in subdivision (b) of
 section three hundred forty-nine of this chapter, the  attorney  general
 shall  have the power to assess a fine of up to one thousand dollars for
 each violation of this article[; and the defense under  subdivision  (d)
 of  section three hundred forty-nine of this chapter shall not be avail-
 able in connection with any violation of this article].
   § 3. This act shall take effect on the sixtieth  day  after  it  shall
 have become a law.

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  679--C
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced  by  M.  of  A.  NIOU, STECK, BARRON, KIM, DINOWITZ, EPSTEIN,
   FRONTUS, RICHARDSON, D'URSO,  FALL,  REYES,  SIMOTAS,  MOSLEY,  SIMON,
   QUART, SOLAGES, BICHOTTE, BARNWELL, GOTTFRIED, JACOBSON, L. ROSENTHAL,
   ABBATE,  OTIS,  CRUZ,  BLAKE,  MONTESANO,  DeSTEFANO,  JAFFEE, WEPRIN,
   LAWRENCE, ORTIZ, TAYLOR, WALKER, REILLY,  DICKENS,  RIVERA  --  Multi-
   Sponsored  by -- M. of A. ENGLEBRIGHT, LENTOL, SAYEGH -- read once and
   referred to the  Committee  on  Consumer  Affairs  and  Protection  --
   committee  discharged,  bill amended, ordered reprinted as amended and
   recommitted to said committee -- again reported  from  said  committee
   with  amendments, ordered reprinted as amended and recommitted to said
   committee -- reported and  referred  to  the  Committee  on  Codes  --
   reported  and  referred  to  the Committee on Rules -- Rules Committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to the Committee on Rules
 
 AN ACT to amend the general business law, in relation  to  standing  for
   persons affected by prohibited or unlawful business practices

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 349 of the general business law, as added by  chap-
 ter 43 of the laws of 1970, subdivision (h) as amended by chapter 157 of
 the  laws  of 1984, and subdivision (j) as added by section 6 of part HH
 of chapter 55 of the laws of 2014, is amended to read as follows:
   § 349. [Deceptive acts] PROHIBITED ACTS and  practices  unlawful.  (a)
 [Deceptive] THIS SECTION PROHIBITS ANY UNFAIR, DECEPTIVE OR ABUSIVE acts
 or practices in the conduct of any business, trade or commerce or in the
 furnishing of any service [in this state are hereby declared unlawful].
   (1)  FOR  THE  PURPOSES  OF THIS SECTION, AN ACT OR PRACTICE IS UNFAIR
 WHEN:

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD02255-09-9
              

 A. 679--C                           2
 
   (I) IT CAUSES OR IS LIKELY TO CAUSE SUBSTANTIAL INJURY, THE INJURY  IS
 NOT  REASONABLY  AVOIDABLE, AND THE INJURY IS NOT OUTWEIGHED BY COUNTER-
 VAILING BENEFITS; OR
   (II)  IT  TAKES UNREASONABLE ADVANTAGE OF THE INABILITY OF A PERSON TO
 PROTECT HIS OR HER INTERESTS BECAUSE OF THE PERSON'S INFIRMITY, ILLITER-
 ACY OR INABILITY TO UNDERSTAND THE LANGUAGE OF AN AGREEMENT.
   (2) FOR THE PURPOSES OF THIS SECTION, AN ACT OR PRACTICE IS  DECEPTIVE
 WHEN  THE  ACT OR PRACTICE MISLEADS OR IS LIKELY TO MISLEAD A PERSON AND
 THE PERSON'S INTERPRETATION IS REASONABLE UNDER THE CIRCUMSTANCES.
   (3) FOR THE PURPOSES OF THIS SECTION, AN ACT OR  PRACTICE  IS  ABUSIVE
 WHEN:
   (I)  IT  MATERIALLY  INTERFERES WITH THE ABILITY OF A PERSON TO UNDER-
 STAND A TERM OR CONDITION OF A PRODUCT OR SERVICE; OR
   (II) TAKES UNREASONABLE ADVANTAGE OF:
   (A) A PERSON'S LACK OF UNDERSTANDING OF THE MATERIAL RISKS, COSTS,  OR
 CONDITIONS OF THE PRODUCT OR SERVICE;
   (B)  A PERSON'S INABILITY TO PROTECT HIS OR HER INTERESTS IN SELECTING
 OR USING A PRODUCT OR SERVICE; OR
   (C) A PERSON'S REASONABLE RELIANCE ON A PERSON COVERED BY THIS SECTION
 TO ACT IN HIS OR HER INTERESTS.
   (b) Whenever the attorney general shall believe from  evidence  satis-
 factory  to him OR HER that any person, firm, corporation or association
 or agent or employee thereof has engaged in or is about to engage in any
 of the acts or practices stated to be  UNFAIR,  unlawful,  DECEPTIVE  OR
 ABUSIVE,  he OR SHE may bring an action in the name and on behalf of the
 people of the state of New York to enjoin such unlawful  acts  or  prac-
 tices  and  to  obtain  restitution  of  any moneys or property obtained
 directly or indirectly by any such unlawful acts or practices.  In  such
 action  preliminary  relief  may be granted under article sixty-three of
 the civil practice law and rules.  SUCH ACTIONS MAY BE  BROUGHT  REGARD-
 LESS  OF WHETHER OR NOT THE UNDERLYING VIOLATION IS DIRECTED AT INDIVID-
 UALS OR BUSINESSES, IS CONSUMER-ORIENTED, OR INVOLVES  THE  OFFERING  OF
 GOODS, SERVICES, OR PROPERTY FOR PERSONAL, FAMILY OR HOUSEHOLD PURPOSES.
   (c) Before any violation of this section is sought to be enjoined, the
 attorney  general shall be required to give the person against whom such
 proceeding is contemplated notice by certified mail and  an  opportunity
 to show in writing within five business days after receipt of notice why
 proceedings  should  not  be  instituted  against him OR HER, unless the
 attorney general shall find, in any  case  in  which  he  OR  SHE  seeks
 preliminary  relief,  that to give such notice and opportunity is not in
 the public interest.
   (d) In any such action it shall be a complete defense that the act  or
 practice  is,  or  if  in  interstate  commerce would be, subject to and
 complies with the rules and regulations of, and  the  statutes  adminis-
 tered by, the federal trade commission or any official department, divi-
 sion,  commission  or  agency  of the United States as such rules, regu-
 lations or statutes are interpreted by the federal trade  commission  or
 such department, division, commission or agency or the federal courts.
   (e)  Nothing  in  this  section shall apply to any television or radio
 broadcasting station or to any publisher  or  printer  of  a  newspaper,
 magazine   or   other  form  of  printed  advertising,  who  broadcasts,
 publishes, or prints the advertisement.
   (f) In connection with any proposed proceeding under this section, the
 attorney general is authorized to take proof and make a determination of
 the relevant facts, and to issue subpoenas in accordance with the  civil
 practice law and rules.

 A. 679--C                           3
 
   (g)  This  section shall apply to all [deceptive] PROHIBITED acts [or]
 AND practices [declared to be unlawful], whether or not subject  to  any
 other  law  of  this state, and shall not supersede, amend or repeal any
 other law of this state under which the attorney general  is  authorized
 to take any action or conduct any inquiry.
   (h)  (1)  In  addition  to the right of action granted to the attorney
 general pursuant to this section, any person who  has  been  injured  by
 reason  of  any  violation of this section may bring an action in his OR
 HER own name to enjoin such unlawful  act  or  practice,  an  action  to
 recover  his  OR  HER actual damages [or fifty] AND STATUTORY DAMAGES OF
 ONE THOUSAND dollars, [whichever is greater,] or both such actions. SUCH
 ACTIONS MAY BE BROUGHT REGARDLESS  OF  WHETHER  OR  NOT  THE  UNDERLYING
 VIOLATION IS CONSUMER-ORIENTED OR HAS A PUBLIC IMPACT. The court may, in
 its  discretion,  increase  the  award  of  damages [to an amount not to
 exceed three times the actual damages up to one  thousand  dollars,]  if
 the  court  finds  the  defendant  willfully  or knowingly violated this
 section. The court [may] SHALL  award  reasonable  attorney's  fees  AND
 COSTS to a prevailing plaintiff.
   [(j)]  (I)  FOR  PURPOSES OF THIS SECTION, A "PERSON" IS DEFINED AS AN
 INDIVIDUAL, FIRM, CORPORATION,  PARTNERSHIP,  COOPERATIVE,  ASSOCIATION,
 COALITION OR ANY OTHER ORGANIZATION'S LEGAL ENTITY, OR GROUP OF INDIVID-
 UALS HOWEVER ORGANIZED;
   (II) FOR PURPOSES OF THIS SECTION "NON-PROFIT ORGANIZATION" IS DEFINED
 AS  AN  ORGANIZATION  THAT  IS (1) NOT AN INDIVIDUAL; AND (2) IS NEITHER
 ORGANIZED NOR OPERATING IN WHOLE, OR IN SIGNIFICANT PART, FOR PROFIT;
   (III) GIVEN THE REMEDIAL NATURE OF THIS SECTION, STANDING TO BRING  AN
 ACTION  UNDER  THIS SECTION, INCLUDING BUT NOT LIMITED TO ORGANIZATIONAL
 STANDING AND THIRD-PARTY STANDING,  SHALL  BE  LIBERALLY  CONSTRUED  AND
 SHALL BE AVAILABLE TO THE FULLEST EXTENT OTHERWISE PERMITTED BY LAW.
   (2)  ANY  INDIVIDUAL  OR  NON-PROFIT ORGANIZATION ENTITLED TO BRING AN
 ACTION UNDER THIS ARTICLE MAY, IF THE PROHIBITED  ACT  OR  PRACTICE  HAS
 CAUSED DAMAGE TO OTHERS SIMILARLY SITUATED, BRING AN ACTION ON BEHALF OF
 HIMSELF  OR  HERSELF AND SUCH OTHERS TO RECOVER ACTUAL, STATUTORY AND/OR
 PUNITIVE DAMAGES OR OBTAIN OTHER RELIEF AS PROVIDED FOR IN THIS ARTICLE.
 STATUTORY DAMAGES UNDER THIS SECTION WILL BE LIMITED TO (I) SUCH  AMOUNT
 FOR  EACH  NAMED  PLAINTIFF AS COULD BE RECOVERED UNDER PARAGRAPH ONE OF
 THIS SUBDIVISION; AND (II) SUCH AMOUNT AS THE COURT MAY  ALLOW  FOR  ALL
 OTHER CLASS MEMBERS WITHOUT REGARD TO A MINIMUM INDIVIDUAL RECOVERY, NOT
 TO EXCEED THE LESSER OF ONE MILLION DOLLARS OR TWO PER CENTUM OF THE NET
 WORTH  OF THE BUSINESS.  THUS, ANY ACTION BROUGHT UNDER THIS SUBDIVISION
 SHALL COMPLY WITH ARTICLE NINE OF THE CIVIL PRACTICE LAW AND RULES.
   (3) A NON-PROFIT ORGANIZATION MAY BRING AN ACTION UNDER THIS  SECTION,
 ON BEHALF OF ITSELF OR ANY OF ITS MEMBERS, OR ON BEHALF OF THOSE MEMBERS
 OF  THE  GENERAL PUBLIC WHO HAVE BEEN INJURED BY REASON OF ANY VIOLATION
 OF THIS SECTION, INCLUDING A VIOLATION INVOLVING GOODS OR SERVICES  THAT
 THE  NON-PROFIT  ORGANIZATION  PURCHASED OR RECEIVED IN ORDER TO TEST OR
 EVALUATE QUALITIES PERTAINING TO USE FOR PERSONAL, HOUSEHOLD, OR  FAMILY
 PURPOSES.    A  NON-PROFIT  ORGANIZATION  MAY SEEK THE SAME REMEDIES AND
 DAMAGES THAT A PERSON MAY SEEK UNDER PARAGRAPH ONE OF THIS SUBDIVISION.
   (4) BEFORE ANY VIOLATION OF THIS SECTION IS SOUGHT TO BE ENJOINED, THE
 PERSON BRINGING THE ACTION SHALL BE REQUIRED TO GIVE THE PERSON  AGAINST
 WHOM  SUCH ACTION IS CONTEMPLATED NOTICE BY CERTIFIED MAIL, TO THE PLACE
 WHERE THE TRANSACTION OCCURRED OR TO THE  PRINCIPAL  PLACE  OF  BUSINESS
 WITHIN THE STATE OF THE PERSON AGAINST WHOM SUCH ACTION IS CONTEMPLATED,
 AND  AN  OPPORTUNITY  TO  SHOW IN WRITING WITHIN TEN BUSINESS DAYS AFTER
 MAILING OF NOTICE WHY PROCEEDINGS SHOULD NOT BE INSTITUTED  AGAINST  HIM

 A. 679--C                           4
 
 OR  HER,  UNLESS,  IN  ANY  CASE  IN  WHICH THE PERSON SEEKS PRELIMINARY
 RELIEF, THE GIVING OF SUCH NOTICE AND OPPORTUNITY WOULD CAUSE  IMMEDIATE
 AND IRREPARABLE INJURY, LOSS OR DAMAGES.
   (I)  Notwithstanding  any law to the contrary, all monies recovered or
 obtained under this article by a  state  agency  or  state  official  or
 employee  acting in their official capacity shall be subject to subdivi-
 sion eleven of section four of the state finance law.
   § 2. This act shall take effect on the sixtieth  day  after  it  shall
 have become a law.