Senate Bill S10709

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10709
 
                             I N  S E N A T E
 
                            September 30, 2026
                                ___________
 
 Introduced  by  Sen.  SUTTON -- read twice and ordered printed, and when
   printed to be committed to the Committee on Rules
 
 AN ACT to amend the  not-for-profit  corporation   law, in  relation  to
   enacting  the  "Count  me  out!: Ending New York funding of designated
   foreign terrorist  organizations  act"  to    prohibit  not-for-profit
   corporations from knowingly providing material support or resources to
   designated foreign terrorist organizations
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Short title. This act shall be known and may  be  cited  as
 the  "Count  me  out!:  Ending  New  York  funding of designated foreign
 terrorist organizations act".
   § 2. The not-for-profit corporation law is amended  by  adding  a  new
 section 116 to read as follows:
 §  116.  UNAUTHORIZED  SUPPORT OF DESIGNATED FOREIGN TERRORIST ORGANIZA-
          TIONS.
   (A) DEFINITIONS. NOTWITHSTANDING ANY OTHER PROVISION  OF  LAW  TO  THE
 CONTRARY,  FOR  THE  PURPOSES OF THIS SECTION, THE FOLLOWING TERMS SHALL
 HAVE THE FOLLOWING MEANINGS:
   (1) "FOREIGN TERRORIST ORGANIZATION" MEANS AN ORGANIZATION  DESIGNATED
 BY THE UNITED STATES SECRETARY OF STATE AS A FOREIGN TERRORIST ORGANIZA-
 TION  PURSUANT  TO SECTION 219 OF THE IMMIGRATION AND NATIONALITY ACT (8
 U.S.C.  § 1189).
   (2) "UNAUTHORIZED SUPPORT OF DESIGNATED  FOREIGN  TERRORIST  ORGANIZA-
 TIONS"  MEANS  KNOWINGLY PROVIDING, ATTEMPTING TO PROVIDE, OR CONSPIRING
 TO PROVIDE MATERIAL SUPPORT OR RESOURCES, DIRECTLY OR INDIRECTLY,  TO  A
 DESIGNATED  FOREIGN TERRORIST ORGANIZATION OR TO ANY INDIVIDUAL, ENTITY,
 OR GOVERNMENT ACTING ON BEHALF OF OR UNDER THE DIRECTION OR  CONTROL  OF
 SUCH ORGANIZATION, IN VIOLATION OF FEDERAL LAW.
   (3)  "MATERIAL  SUPPORT  OR  RESOURCES" SHALL HAVE THE SAME MEANING AS
 PROVIDED IN 18 U.S.C. § 2339A(B), AS AMENDED,  INCLUDING  ANY  PROPERTY,
 TANGIBLE  OR  INTANGIBLE,  OR  SERVICE,  INCLUDING  CURRENCY OR MONETARY
 INSTRUMENTS, FINANCIAL SERVICES, LODGING,  TRAINING,  EXPERT  ADVICE  OR
 ASSISTANCE,  SAFEHOUSES, FALSE DOCUMENTATION OR IDENTIFICATION, COMMUNI-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD16242-01-6
 S. 10709                            2
 
 CATIONS EQUIPMENT, FACILITIES, WEAPONS, LETHAL  SUBSTANCES,  EXPLOSIVES,
 PERSONNEL,  TRANSPORTATION, OR OTHER PHYSICAL ASSETS, EXCEPT MEDICINE OR
 RELIGIOUS MATERIALS.
   (B)  UNAUTHORIZED  SUPPORT OF A DESIGNATED FOREIGN TERRORIST ORGANIZA-
 TION.  UNAUTHORIZED SUPPORT OF A DESIGNATED FOREIGN TERRORIST  ORGANIZA-
 TION  BY  A  NOT-FOR-PROFIT  CORPORATION  SHALL BE PROHIBITED AS AGAINST
 PUBLIC POLICY AND INCONSISTENT WITH ANY CHARITABLE PURPOSE.
   (C) RECOVERY OF CIVIL PENALTY BY ATTORNEY GENERAL. THE ATTORNEY GENER-
 AL MAY BRING AN ACTION IN THE NAME AND ON BEHALF OF  THE  STATE  AGAINST
 ANY  TRUSTEE, DIRECTOR, MANAGER, OR OTHER OFFICER OR AGENT OF A NOT-FOR-
 PROFIT CORPORATION, OR AGAINST A NOT-FOR-PROFIT CORPORATION, FOREIGN  OR
 DOMESTIC,  TO  RECOVER  A  SUM  OF NOT LESS THAN ONE MILLION DOLLARS FOR
 KNOWINGLY ENGAGING IN  UNAUTHORIZED  SUPPORT  OF  A  DESIGNATED  FOREIGN
 TERRORIST  ORGANIZATION  IN  VIOLATION OF PARAGRAPH (B) OF THIS SECTION.
 SUCH ACTION SHALL BE BROUGHT NO LATER THAN TEN YEARS AFTER  THE  COMMIS-
 SION OF THE ACT UPON WHICH SUCH ACTION IS BASED.
   (D)  PRIVATE  RIGHT OF ACTION. AN INDIVIDUAL DAMAGED BY A VIOLATION OF
 THIS SECTION MAY BRING A CIVIL ACTION  AGAINST  ANY  TRUSTEE,  DIRECTOR,
 MANAGER,  OR  OTHER OFFICER OR AGENT OF A NOT-FOR-PROFIT CORPORATION, OR
 AGAINST A NOT-FOR-PROFIT CORPORATION, FOREIGN  OR  DOMESTIC,  TO  ENJOIN
 UNAUTHORIZED SUPPORT OF A DESIGNATED FOREIGN TERRORIST ORGANIZATION BY A
 NOT-FOR-PROFIT CORPORATION IN VIOLATION OF PARAGRAPH (B) OF THIS SECTION
 AND  RECOVER  ACTUAL  DAMAGES FOR KNOWINGLY ENGAGING IN SUCH VIOLATIONS.
 SUCH ACTION SHALL BE BROUGHT NO LATER THAN TEN YEARS AFTER  THE  COMMIS-
 SION  OF THE ACT UPON WHICH SUCH ACTION IS BASED. A COURT MAY ALSO AWARD
 ATTORNEYS' FEES TO A PREVAILING PLAINTIFF.
   § 3. Subparagraph 3-b of paragraph (a) of section 102 of the  not-for-
 profit corporation law, as amended by chapter 23 of the laws of 2014, is
 amended to read as follows:
   (3-b)  "Charitable purposes" of a corporation means one or more of the
 following  purposes:  charitable,  educational,  religious,  scientific,
 literary,  cultural  or  for  the  prevention  of cruelty to children or
 animals. THE TERM "CHARITABLE  PURPOSES"  SHALL  NOT  INCLUDE  ANY  ACTS
 COMMITTED IN VIOLATION OF SECTION ONE HUNDRED SIXTEEN OF THIS ARTICLE.
   §  4.  Paragraph  (a) of section 112 of the not-for-profit corporation
 law is amended by adding a new subparagraph 11 to read as follows:
   (11) TO DISSOLVE A CHARITABLE CORPORATION FOR  VIOLATIONS  OF  SECTION
 ONE HUNDRED SIXTEEN OF THIS ARTICLE.
   § 5. This act shall take effect immediately.