S T A T E O F N E W Y O R K
________________________________________________________________________
2394
2025-2026 Regular Sessions
I N S E N A T E
January 17, 2025
___________
Introduced by Sen. PERSAUD -- 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
third-party accommodation reservation services identify themselves as
such to users and not levy certain cancellation fees
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
391-x to read as follows:
§ 391-X. THIRD-PARTY ACCOMMODATION RESERVATION SERVICES. 1. DEFI-
NITIONS. FOR THE PURPOSES OF THIS SECTION, THE FOLLOWING TERMS SHALL
HAVE THE FOLLOWING MEANINGS:
(A) "PLACE OF PUBLIC ACCOMMODATION" SHALL MEAN ANY INN, HOTEL, MOTEL,
MOTOR COURT OR OTHER ESTABLISHMENT THAT PROVIDES LODGING TO TRANSIENT
GUESTS. SUCH TERM SHALL NOT INCLUDE AN ESTABLISHMENT TREATED AS AN
APARTMENT BUILDING FOR PURPOSES OF ANY STATE OR LOCAL LAW OR REGULATION
OR AN ESTABLISHMENT LOCATED WITHIN A BUILDING THAT CONTAINS NOT MORE
THAN FIVE ROOMS FOR RENT OR HIRE AND THAT IS ACTUALLY OCCUPIED AS A
RESIDENCE BY THE PROPRIETOR OF SUCH ESTABLISHMENT.
(B) "THIRD-PARTY ACCOMMODATION RESERVATION SERVICE" MEANS ANY WEBSITE,
MOBILE APPLICATION OR OTHER INTERNET SERVICE THAT: (I) OFFERS OR
ARRANGES FOR RESERVING ON-PREMISES SERVICE FOR A GUEST AT A PLACE OF
PUBLIC ACCOMMODATION; AND (II) THAT IS OWNED AND OPERATED BY A PERSON
OTHER THAN THE PERSON WHO OWNS SUCH PLACE OF PUBLIC ACCOMMODATION.
(C) "USER" MEANS ANY INDIVIDUAL USING A THIRD-PARTY ACCOMMODATION
RESERVATION SERVICE TO MAKE RESERVATIONS FOR THEMSELF AND OTHERS IN
THEIR PARTY.
2. A THIRD-PARTY ACCOMMODATION RESERVATION SERVICE SHALL, UPON A USER
ATTEMPTING TO COMPLETE A TRANSACTION ON SUCH SERVICE, INFORM THE USER
THAT THE THIRD-PARTY ACCOMMODATION RESERVATION SERVICE IS NOT THE PLACE
OF PUBLIC ACCOMMODATION BUT INSTEAD A THIRD-PARTY ACCOMMODATION RESERVA-
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06103-02-5
S. 2394 2
TION SERVICE. USERS WILL THEN HAVE THE OPTION TO CONTINUE TO USE THE
THIRD-PARTY ACCOMMODATION RESERVATION SERVICE OR CANCEL THE TRANSACTION.
AT NO POINT BEFORE A USER CHOOSES TO CONTINUE TO USE THE THIRD-PARTY
ACCOMMODATION RESERVATION SERVICE SHALL THE SERVICE CHARGE THE USERS'
CREDIT CARD.
3. NO THIRD-PARTY ACCOMMODATION RESERVATION SERVICE SHALL LEVY A FEE
OF MORE THAN TEN PERCENT OF THE COST OF THE FIRST NIGHT OF A RESERVED
ACCOMMODATION UPON A USER FOR CANCELING SUCH RESERVATION WITHIN FORTY-
EIGHT HOURS OF THE INTENDED STAY AND SHALL NOT LEVY ANY SUCH FEE WHERE
THE RESERVATION IS CANCELED MORE THAN FORTY-EIGHT HOURS IN ADVANCE,
SHOULD THE HOTEL WAIVE THE CANCELLATION FEE. SHOULD THE HOTEL NOT WAIVE
THE CANCELLATION FEE, A THIRD-PARTY ACCOMMODATION RESERVATION SERVICE
SHALL COLLECT THE CANCELLATION FEE AND NO MORE THAN A TEN PERCENT PENAL-
TY.
4. ANY PERSON WHO VIOLATES, OR CAUSES ANOTHER PERSON TO VIOLATE, A
PROVISION OF THIS SECTION OR ANY RULE PROMULGATED PURSUANT THERETO,
SHALL BE SUBJECT TO A CIVIL PENALTY THAT SHALL NOT EXCEED ONE THOUSAND
DOLLARS FOR EACH VIOLATION. VIOLATIONS BY THIRD-PARTY ACCOMMODATION
RESERVATION SERVICES UNDER THIS SECTION SHALL ACCRUE ON A DAILY BASIS
FOR EACH DAY AND FOR EACH PLACE OF PUBLIC ACCOMMODATION WITH RESPECT TO
WHICH A VIOLATION OF THIS SECTION OR ANY RULE PROMULGATED PURSUANT TO
THIS SECTION WAS COMMITTED. A PROCEEDING TO RECOVER ANY CIVIL PENALTY OR
RESTITUTION AUTHORIZED PURSUANT TO THIS SECTION MAY BE BROUGHT WITHIN
ANY AGENCY OF THE STATE DESIGNATED TO CONDUCT SUCH PROCEEDINGS.
§ 2. This act shall take effect on the sixtieth day after it shall
have become a law.