senate Bill S3851A

2019-2020 Legislative Session

Relates to prohibiting certain judgments by confession; and prohibiting certain financial institutions from using a marshal to execute certain judgments

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Sponsored By

Current Bill Status - In Senate Committee Rules Committee


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

view actions (5)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jun 20, 2019 recommitted to rules
Jun 19, 2019 amended on third reading (t) 3851a
Jun 19, 2019 ordered to third reading cal.1684
committee discharged and committed to rules
Feb 20, 2019 referred to consumer protection

Votes

view votes

Jun 19, 2019 - Rules committee Vote

S3851
19
0
committee
19
Aye
0
Nay
0
Aye with Reservations
0
Absent
0
Excused
0
Abstained
show committee vote details

Co-Sponsors

S3851 - Details

Current Committee:
Senate Rules
Law Section:
Civil Practice Law and Rules
Laws Affected:
Amd §3218, CPLR

S3851 - Summary

Prohibits certain judgments by confession; and prohibits certain financial institutions from using a marshal to execute certain judgments.

S3851 - Sponsor Memo

S3851 - Bill Text download pdf


                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  3851

                       2019-2020 Regular Sessions

                            I N  S E N A T E

                            February 20, 2019
                               ___________

Introduced  by  Sen. SANDERS -- 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 prohibiting the
  inclusion of a confession of judgment in a contract or agreement for a
  financial product or service

  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
396-aaa to read as follows:
  §  396-AAA.  CONFESSION OF JUDGMENT REQUIREMENT FOR CERTAIN CONTRACTS;
PROHIBITION. 1. NO PERSON SHALL REQUIRE A CONFESSION OF JUDGMENT IN  ANY
CONTRACT OR AGREEMENT FOR A FINANCIAL PRODUCT OR SERVICE.
  2.  AS USED IN THIS SECTION THE FOLLOWING TERMS SHALL HAVE THE FOLLOW-
ING MEANINGS:
  (A) "FINANCIAL PRODUCT OR SERVICE" SHALL MEAN ANY FINANCIAL PRODUCT OR
FINANCIAL SERVICE  OFFERED  OR  PROVIDED  BY  ANY  PERSON  REGULATED  OR
REQUIRED  TO  BE  REGULATED  BY THE SUPERINTENDENT OF FINANCIAL SERVICES
PURSUANT TO THE BANKING LAW OR THE INSURANCE LAW OR ANY FINANCIAL  PROD-
UCT OR SERVICE OFFERED OR SOLD TO CONSUMERS EXCEPT FINANCIAL PRODUCTS OR
SERVICES:  (I)  REGULATED  UNDER THE EXCLUSIVE JURISDICTION OF A FEDERAL
AGENCY OR AUTHORITY, (II) REGULATED  FOR  THE  PURPOSE  OF  CONSUMER  OR
INVESTOR PROTECTION BY ANY OTHER STATE AGENCY, STATE DEPARTMENT OR STATE
PUBLIC AUTHORITY, OR (III) WHERE RULES OR REGULATIONS PROMULGATED BY THE
SUPERINTENDENT  OF  FINANCIAL  SERVICES  ON  SUCH  FINANCIAL  PRODUCT OR
SERVICE WOULD BE PREEMPTED BY FEDERAL LAW.
  (B) "FINANCIAL PRODUCT OR SERVICE REGULATED FOR THE PURPOSE OF CONSUM-
ER OR INVESTOR PROTECTION": (I) SHALL INCLUDE (A) ANY PRODUCT OR SERVICE
FOR WHICH REGISTRATION OR LICENSING IS REQUIRED OR FOR WHICH THE OFFEROR
OR PROVIDER IS REQUIRED TO BE REGISTERED OR LICENSED BY STATE  LAW,  (B)
ANY  PRODUCT  OR SERVICE AS TO WHICH PROVISIONS FOR CONSUMER OR INVESTOR
PROTECTION ARE SPECIFICALLY SET FORTH FOR SUCH  PRODUCT  OR  SERVICE  BY

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

Co-Sponsors

S3851A (ACTIVE) - Details

Current Committee:
Senate Rules
Law Section:
Civil Practice Law and Rules
Laws Affected:
Amd §3218, CPLR

S3851A (ACTIVE) - Summary

Prohibits certain judgments by confession; and prohibits certain financial institutions from using a marshal to execute certain judgments.

S3851A (ACTIVE) - Sponsor Memo

S3851A (ACTIVE) - Bill Text download pdf


                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 3851--A
    Cal. No. 1684

                       2019-2020 Regular Sessions

                            I N  S E N A T E

                            February 20, 2019
                               ___________

Introduced  by  Sens.  SANDERS,  MAYER, PARKER -- read twice and ordered
  printed, and when printed to be committed to the Committee on Consumer
  Protection -- committee discharged and  said  bill  committed  to  the
  Committee  on Rules -- ordered to a third reading, amended and ordered
  reprinted, retaining its place in the order of third reading

AN ACT to amend the civil practice law and rules, in relation to prohib-
  iting certain judgments by confession; and prohibiting certain  finan-
  cial institutions from using a marshal to execute certain judgments

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The opening paragraph of subdivision (a) of section 3218 of
the civil practice law and rules, as amended by chapter 311 of the  laws
of  1963,  is  amended  and  a  new  subdivision (e) is added to read as
follows:
  Except as provided in section thirty-two hundred one OF  THIS  ARTICLE
AND  SUBDIVISION  (E)  OF  THIS SECTION, a judgment by confession may be
entered, without an action, either for money due or to become due, or to
secure the plaintiff against a contingent liability  in  behalf  of  the
defendant, or both, upon an affidavit executed by the defendant;
  (E)  PROHIBITION  ON  CERTAIN  JUDGMENTS BY CONFESSION. NO JUDGMENT BY
CONFESSION MAY BE:
  1. ENTERED ON  ANY  AMOUNT  DUE  FROM  ONE  OR  MORE  INDIVIDUALS  FOR
PERSONAL,  FAMILY,  HOUSEHOLD,  CONSUMER,  INVESTMENT,  OR  NON-BUSINESS
PURPOSES;
  2. ENTERED ON ANY AMOUNT UNDER TWO HUNDRED FIFTY THOUSAND DOLLARS  DUE
FROM ANY PERSON FOR ANY PURPOSE;
  3.  REQUIRED  AT  THE  TIME  A LOAN IS ORIGINATED OR AS A CONDITION OF
RECEIVING A LOAN; OR
  4. ENTERED ON ANY AMOUNT DUE FROM A PERSON THAT:
  (I) IS CURRENTLY A NONRESIDENT OF THE STATE;

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

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