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Senate Bill S6038

2025-2026 Legislative Session

Prohibits the charging of membership fees during a state disaster emergency

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Current Bill Status - In Senate Committee Consumer Protection Committee

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2025-S6038 (ACTIVE) - Details

Current Committee:
Senate Consumer Protection
Law Section:
General Business Law
Laws Affected:
Add §399-vv, Gen Bus L
Versions Introduced in Other Legislative Sessions:
2019-2020: S8191
2021-2022: S5905
2023-2024: S7148

2025-S6038 (ACTIVE) - Summary

Prohibits the charging of membership fees during a state disaster emergency including when a consumer can demonstrate a financial hardship.

2025-S6038 (ACTIVE) - Sponsor Memo

2025-S6038 (ACTIVE) - Bill Text download pdf 

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6038
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                               March 5, 2025
                                ___________
 
 Introduced  by  Sen.  PARKER -- 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 prohibiting the
   charging of membership fees during a state disaster emergency
 
   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-vv to read as follows:
   §  399-VV.  PROHIBITION  OF MEMBERSHIP FEE CHARGES.  1. DURING A STATE
 DISASTER EMERGENCY, DECLARED PURSUANT TO ARTICLE TWO-B OF THE  EXECUTIVE
 LAW,  NO PERSON, PARTNERSHIP, CORPORATION, ASSOCIATION OR OTHER BUSINESS
 ENTITY SHALL CHARGE A CONSUMER ANY CONTRACTED MEMBERSHIP FEE  WHEN,  DUE
 TO SUCH STATE DISASTER EMERGENCY:
   (A) THE CONTRACTED SERVICE HAS CEASED, PARTIALLY OR FULLY;
   (B) THE CONTRACTED SERVICE HAS BEEN RENDERED IMPOSSIBLE OR ILLEGAL;
   (C) THE NON-USE OF A FACILITY OR PREMISES, OR THE NON-RENDERING OR THE
 NON-USE  OF  A  CONTRACTED  SERVICE,  HAS  FRUSTRATED THE PURPOSE OF THE
 CONTRACT; OR
   (D) A CONSUMER WOULD EXPERIENCE AND DEMONSTRATES FINANCIAL HARDSHIP IF
 SUCH CONSUMER WERE TO PAY SUCH MEMBERSHIP FEE.
   2. EVERY VIOLATION OF THIS SECTION SHALL  BE  PUNISHABLE  BY  A  CIVIL
 PENALTY NOT TO EXCEED ONE THOUSAND DOLLARS.
   3.  NOTHING  IN  THIS SECTION SHALL BE CONSTRUED TO RESTRICT ANY RIGHT
 WHICH ANY PERSON MAY HAVE UNDER ANY OTHER STATUTE OR THE COMMON LAW.
   § 2. This act shall take effect immediately.
 
 
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD10584-01-5

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