Senate Bill S9917

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9917
 
                             I N  S E N A T E
 
                            September 20, 2024
                                ___________
 
 Introduced  by  Sen. MATTERA -- 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  prohibiting
   persons  from  receiving  compensation  for advising or assisting with
   veterans' benefits
 
   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
 399-ppp to read as follows:
   §  399-PPP. VETERANS' BENEFITS CONSUMER FRAUD AND ABUSE PREVENTION. 1.
 FOR THE PURPOSES OF THIS SECTION, THE FOLLOWING  TERMS  SHALL  HAVE  THE
 FOLLOWING MEANINGS:
   (A)  "VETERANS' BENEFITS MATTER" SHALL MEAN THE PREPARATION, PRESENTA-
 TION, OR PROSECUTION OF ANY CLAIM AFFECTING ANY INDIVIDUAL WHO HAS FILED
 OR EXPRESSED AN INTENT  TO  FILE  A  CLAIM  FOR  ANY  BENEFIT,  PROGRAM,
 SERVICE,  COMMODITY,  FUNCTION,  OR  STATUS PERTAINING TO VETERANS, SUCH
 VETERANS' DEPENDENTS, SUCH DEPENDENTS' SURVIVORS, AND ANY OTHER INDIVID-
 UAL ELIGIBLE FOR SUCH BENEFITS PURSUANT TO FEDERAL LAWS AND  REGULATIONS
 ADMINISTERED  BY THE UNITED STATES DEPARTMENT OF VETERANS AFFAIRS OR THE
 VETERANS' SERVICES LAW.
   (B) "COMPENSATION" SHALL MEAN PAYMENT OF ANY MONEY, THING OF VALUE, OR
 FINANCIAL BENEFIT.
   (C) "PERSON" SHALL MEAN AN INDIVIDUAL,  CORPORATION,  BUSINESS  TRUST,
 ESTATE,  TRUST,  PARTNERSHIP,  LIMITED  LIABILITY  COMPANY, ASSOCIATION,
 JOINT VENTURE, PUBLIC CORPORATION, GOVERNMENT OR  GOVERNMENTAL  SUBDIVI-
 SION, AGENCY, OR INSTRUMENTALITY, OR ANY OTHER LEGAL OR COMMERCIAL ENTI-
 TY.
   2.  (A) NO PERSON SHALL RECEIVE COMPENSATION FOR ADVISING OR ASSISTING
 AN INDIVIDUAL WITH REGARD TO ANY VETERANS' BENEFITS  MATTER,  EXCEPT  AS
 PERMITTED UNDER FEDERAL LAW.
   (B)  NO  PERSON SHALL RECEIVE COMPENSATION FOR REFERRING AN INDIVIDUAL
 TO ANOTHER PERSON TO ADVISE OR ASSIST SUCH INDIVIDUAL WITH ANY VETERANS'
 BENEFITS MATTER.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD16089-01-4
              

 S. 9917                             2
 
   (C) A PERSON SEEKING TO RECEIVE COMPENSATION FOR ADVISING OR ASSISTING
 AN INDIVIDUAL WITH ANY VETERANS' BENEFITS MATTER SHALL, BEFORE RENDERING
 ANY SERVICES, PREPARE A WRITTEN AGREEMENT, SIGNED BY BOTH PARTIES, THAT:
   (I) CONTAINS ALL TERMS REGARDING SUCH INDIVIDUAL'S PAYMENT OF FEES FOR
 SERVICES RENDERED RELATING TO ANY VETERANS' BENEFITS MATTER; AND
   (II) ADHERES TO ALL CRITERIA SPECIFIED WITHIN 38 C.F.R. § 14.636.
   (D) NO PERSON SHALL RECEIVE ANY COMPENSATION FOR ANY SERVICES RENDERED
 BEFORE  THE DATE ON WHICH A FEDERAL NOTICE OF DISAGREEMENT IS FILED WITH
 RESPECT TO THE INDIVIDUAL'S CASE.
   (E) NO PERSON SHALL GUARANTEE, EITHER DIRECTLY OR BY IMPLICATION, THAT
 AN INDIVIDUAL SHALL RECEIVE SPECIFIC VETERANS' BENEFITS, OR  A  SPECIFIC
 LEVEL, PERCENTAGE, OR AMOUNT OF VETERANS' BENEFITS.
   (F)  NO PERSON SHALL RECEIVE EXCESSIVE OR UNREASONABLE FEES, AS DETER-
 MINED PURSUANT TO 28 C.F.R. § 14.636, AS COMPENSATION  FOR  ADVISING  OR
 ASSISTING AN INDIVIDUAL WITH A VETERANS' BENEFITS MATTER.
   3.  (A)  (I)  A PERSON SEEKING TO RECEIVE COMPENSATION FOR ADVISING OR
 ASSISTING AN INDIVIDUAL WITH ANY VETERANS' BENEFITS MATTER SHALL, BEFORE
 RENDERING ANY SERVICES, CLEARLY PROVIDE,  ORALLY  AND  IN  WRITING,  THE
 FOLLOWING DISCLOSURE:
   "THIS  BUSINESS  IS  NOT  SPONSORED BY, OR AFFILIATED WITH, THE UNITED
 STATES DEPARTMENT OF VETERANS AFFAIRS OR  THE  NEW  YORK  DEPARTMENT  OF
 VETERANS'  SERVICES, OR ANY OTHER FEDERALLY CHARTERED VETERANS' SERVICES
 ORGANIZATION. OTHER ORGANIZATIONS, INCLUDING BUT NOT LIMITED TO THE  NEW
 YORK  DEPARTMENT  OF  VETERANS'  SERVICES,  YOUR  LOCAL COUNTY VETERANS'
 SERVICES AGENCIES, AND  OTHER  FEDERALLY  CHARTERED  VETERANS'  SERVICES
 ORGANIZATIONS,  MAY  BE  ABLE  TO  PROVIDE YOU WITH THIS SERVICE FREE OF
 CHARGE. PRODUCTS OR SERVICES OFFERED BY THIS BUSINESS ARE NOT  NECESSAR-
 ILY  ENDORSED  BY  ANY OF THESE ORGANIZATIONS. YOU MAY QUALIFY FOR OTHER
 VETERANS' BENEFITS BEYOND THE  BENEFITS  FOR  WHICH  YOU  ARE  RECEIVING
 SERVICES HERE."
   (II)  THE  WRITTEN DISCLOSURE REQUIRED PURSUANT TO SUBPARAGRAPH (I) OF
 THIS PARAGRAPH SHALL APPEAR IN AT  LEAST  TWELVE-POINT  FONT  AND  SHALL
 APPEAR  IN  A  READILY  NOTICEABLE AND IDENTIFIABLE PLACE IN THE WRITTEN
 AGREEMENT REQUIRED PURSUANT TO PARAGRAPH (C) OF SUBDIVISION TWO OF  THIS
 SECTION.  THE INDIVIDUAL SHALL VERBALLY ACKNOWLEDGE UNDERSTANDING OF THE
 ORAL DISCLOSURE AND SHALL SIGN THE DOCUMENT IN WHICH THE WRITTEN DISCLO-
 SURE   APPEARS  TO  AFFIRM  SUCH  INDIVIDUAL'S  UNDERSTANDING  OF  THESE
 PROVISIONS.  THE PERSON ADVISING OR ASSISTING  SUCH  INDIVIDUAL  WITH  A
 VETERANS' BENEFITS MATTER SHALL RETAIN A COPY OF SUCH WRITTEN DISCLOSURE
 FOR  THE  DURATION  OF  SUCH SERVICE AND FOR AT LEAST ONE YEAR AFTER THE
 DATE ON WHICH SUCH SERVICE RELATIONSHIP TERMINATES.
   (B) (I) A PERSON ADVERTISING FOR COMPENSATION SERVICES TO AN  INDIVID-
 UAL IN REGARD TO A VETERANS' BENEFITS MATTER SHALL INCLUDE THE FOLLOWING
 DISCLOSURE:
   "THIS  BUSINESS  IS  NOT  SPONSORED BY, OR AFFILIATED WITH, THE UNITED
 STATES DEPARTMENT OF VETERANS AFFAIRS OR  THE  NEW  YORK  DEPARTMENT  OF
 VETERANS'  SERVICES, OR ANY OTHER FEDERALLY CHARTERED VETERANS' SERVICES
 ORGANIZATION. OTHER ORGANIZATIONS, INCLUDING BUT NOT LIMITED TO THE  NEW
 YORK  DEPARTMENT  OF  VETERANS'  SERVICES,  YOUR  LOCAL COUNTY VETERANS'
 SERVICES AGENCIES, AND  OTHER  FEDERALLY  CHARTERED  VETERANS'  SERVICES
 ORGANIZATIONS,  MAY  BE  ABLE  TO  PROVIDE YOU WITH THIS SERVICE FREE OF
 CHARGE. PRODUCTS OR SERVICES OFFERED BY THIS BUSINESS ARE NOT  NECESSAR-
 ILY  ENDORSED  BY  ANY OF THESE ORGANIZATIONS. YOU MAY QUALIFY FOR OTHER
 VETERANS' BENEFITS BEYOND THE SERVICES THAT THIS BUSINESS OFFERS."
   (II) IF SUCH ADVERTISEMENT IS PRINTED, INCLUDING BUT  NOT  LIMITED  TO
 ADVERTISEMENTS VISIBLE TO INTERNET USERS, THE DISCLOSURE REQUIRED PURSU-
 S. 9917                             3
 
 ANT  TO  SUBPARAGRAPH  (I)  OF  THIS PARAGRAPH SHALL APPEAR IN A READILY
 VISIBLE PLACE ON SUCH ADVERTISEMENT.  IF SUCH ADVERTISEMENT  IS  VERBAL,
 THE SPOKEN STATEMENT OF THE DISCLOSURE SHALL BE CLEAR AND INTELLIGIBLE.
   4.  ANY VIOLATION OF THE PROVISIONS OF THIS SECTION SHALL BE A CLASS A
 MISDEMEANOR, AND UPON CONVICTION THEREOF, SHALL BE PUNISHABLE BY A  FINE
 OF  NOT  MORE THAN ONE THOUSAND DOLLARS, OR BY IMPRISONMENT FOR NOT MORE
 THAN ONE YEAR, OR BY BOTH SUCH FINE AND IMPRISONMENT; PROVIDED, HOWEVER,
 THAT A SECOND OR SUBSEQUENT OFFENSE SHALL BE PUNISHABLE BY A FINE OF NOT
 MORE THAN THREE THOUSAND DOLLARS, OR BY IMPRISONMENT FOR NOT  MORE  THAN
 ONE  YEAR, OR BY BOTH SUCH FINE AND IMPRISONMENT. IN ADDITION, THE COURT
 MAY ORDER AS PART OF THE SENTENCE IMPOSED RESTITUTION OR  REPARATION  TO
 THE  VICTIM OF THE CRIME PURSUANT TO SECTION 60.27 OF THE PENAL LAW. THE
 ATTORNEY GENERAL SHALL HAVE THE POWER TO PROSECUTE ANY VIOLATION OF THIS
 SECTION.
   § 2. This act shall take effect immediately.