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Senate Bill S8816

2019-2020 Legislative Session

Relates to third-party delivery services

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Sponsored By

Archive: Last Bill Status - In Senate Committee Rules Committee

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2019-S8816 (ACTIVE) - Details

See Assembly Version of this Bill:
A10926
Current Committee:
Senate Rules
Law Section:
General Business Law
Laws Affected:
Add Art 39-H §§900 - 901, Gen Bus L

2019-S8816 (ACTIVE) - Summary

Requires third-party delivery services to have a valid agreement with a merchant before they advertise, promote, or sell the merchant's products on their platform, and prohibits the inclusion of an indemnity clause in such agreements.

2019-S8816 (ACTIVE) - Sponsor Memo

2019-S8816 (ACTIVE) - Bill Text download pdf 

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8816
 
                             I N  S E N A T E
 
                               July 20, 2020
                                ___________
 
 Introduced  by  Sen.  SAVINO -- read twice and ordered printed, and when
   printed to be committed to the Committee on Rules
 
 AN ACT to amend the general business law,  in  relation  to  third-party
   delivery 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 article
 39-H to read as follows:
                               ARTICLE 39-H
                       THIRD-PARTY DELIVERY SERVICES
 SECTION 900. DEFINITIONS.
         901. AGREEMENT; INDEMNITY; PENALTIES.
   § 900. DEFINITIONS. AS USED IN THIS ARTICLE, THE FOLLOWING TERMS SHALL
 HAVE THE FOLLOWING MEANINGS:
   1.  "AGREEMENT"  MEANS  A  WRITTEN  CONTRACTUAL  AGREEMENT  BETWEEN  A
 MERCHANT AND A THIRD-PARTY DELIVERY SERVICE AUTHORIZING THE INCLUSION OF
 THE MERCHANT'S PRODUCTS ON THE THIRD-PARTY DELIVERY PLATFORM.
   2.  "CONSUMER" MEANS A PERSON, BUSINESS, OR OTHER ENTITY WHO PLACES AN
 ORDER FOR A MERCHANT'S PRODUCTS THROUGH A THIRD-PARTY DELIVERY PLATFORM.
   3. "MERCHANT" MEANS A RESTAURANT OR OTHER RETAIL ENTITY.
   4. "THIRD-PARTY DELIVERY SERVICE" MEANS A  COMPANY,  ORGANIZATION,  OR
 OTHER  ENTITY, OTHER THAN A MERCHANT, THAT PROVIDES DELIVERY SERVICES TO
 CONSUMERS.
   5. "THIRD-PARTY DELIVERY PLATFORM" MEANS THE ONLINE OR MOBILE PLATFORM
 OF THE THIRD-PARTY  DELIVERY  SERVICE  ON  WHICH  A  CONSUMER  CAN  VIEW
 PRODUCTS AVAILABLE FOR SALE AND PLACE AN ORDER FOR MERCHANT PRODUCTS.
   §  901.  AGREEMENT;  INDEMNITY;  PENALTIES.  1. A THIRD-PARTY DELIVERY
 SERVICE SHALL NOT ADVERTISE, PROMOTE, OR SELL A MERCHANT'S PRODUCTS ON A
 THIRD-PARTY  DELIVERY  PLATFORM  WITHOUT  A  VALID  AGREEMENT  WITH  THE
 MERCHANT  AUTHORIZING  THE  INCLUSION OF THE MERCHANT'S PRODUCTS ON SUCH
 PLATFORM.
   2. AN AGREEMENT EXECUTED IN ACCORDANCE WITH  THIS  SECTION  SHALL  NOT
 INCLUDE  A  PROVISION,  CLAUSE,  OR COVENANT THAT REQUIRES A MERCHANT TO
 INDEMNIFY A THIRD-PARTY DELIVERY  SERVICE,  ANY  INDEPENDENT  CONTRACTOR
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

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