Senate Bill S6248

2023-2024 Legislative Session

Relates to requiring mandatory arbitration clauses in certain consumer contracts to be disclosed to the consumer

download bill text pdf

Sponsored By

Current Bill Status - In Senate Committee Consumer Protection 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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2023-S6248 (ACTIVE) - Details

See Assembly Version of this Bill:
A2157
Current Committee:
Senate Consumer Protection
Law Section:
General Business Law
Laws Affected:
Amd §399-c, Gen Bus L
Versions Introduced in Other Legislative Sessions:
2015-2016: A9545
2017-2018: A5248
2019-2020: S3581, A2608
2021-2022: S2748, A1450

2023-S6248 (ACTIVE) - Summary

Requires mandatory arbitration clauses in certain consumer contracts to be disclosed and explained to the consumer.

2023-S6248 (ACTIVE) - Sponsor Memo

2023-S6248 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6248
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                               April 6, 2023
                                ___________
 
 Introduced  by  Sen.  COMRIE -- 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  requiring
   notice of mandatory arbitration clauses in certain consumer contracts

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 399-c of the general  business  law,  as  added  by
 chapter 946 of the laws of 1984, is amended to read as follows:
   §  399-c.  Mandatory arbitration clauses in certain consumer contracts
 [prohibited]. 1. Definitions.
   a. The term "consumer" shall mean a natural person  residing  in  this
 state.
   b. The term "consumer goods" shall mean goods, wares, paid merchandise
 or  services  purchased  or  paid  for by a consumer, OR EMPLOYMENT, the
 intended use or benefit of which is intended for the personal, family or
 household purposes of such consumer.
   c. The term "mandatory  arbitration  clause"  shall  mean  a  term  or
 provision  contained  in  a written contract for the sale or purchase of
 consumer goods  OR  EMPLOYMENT,  which  requires  the  parties  to  such
 contract  to  submit  any  controversy  thereafter  arising  under  such
 contract to arbitration prior to the commencement of any legal action to
 enforce the provisions of such contract and which also further  provides
 language  to  the effect that the decision of the arbitrator or panel of
 arbitrators in its application to the consumer party shall be final  and
 not subject to court review.
   d.  The  term  "arbitration"  shall  mean the use of a decision making
 forum conducted by an arbitrator or  panel  of  arbitrators  within  the
 meaning  and  subject  to  the provisions of article seventy-five of the
 civil practice law and rules.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD00613-01-3
 S. 6248                             2
 
              

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