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This entry was published on 2014-09-22
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SECTION 520-A
Certain credit and debit card transaction forms required
General Business (GBS) CHAPTER 20, ARTICLE 29-A
§ 520-a. Certain credit and debit card transaction forms required. 1.
Any person, firm, partnership, association or corporation which issues
forms used for credit or debit card transactions between the credit card
or debit card holder and seller, shall only issue such credit or debit
card forms, except for such forms utilized for a special purpose
incidental but related to the actual purchase and sale agreement
including but not limited to shipping, delivery or installment of
purchased merchandise or special orders, which:

a. are carbonless; or

b. after the transaction is complete, do not render a separate piece
of paper, carbon or otherwise, which readily identifies the cardholder
by name or number, other than those necessary for use by the seller,
credit or debit card holder and issuer to complete the credit or debit
card transaction.

2. Any person, firm, partnership, association or corporation which
accepts credit or debit cards used for credit or debit card transactions
between the credit card or debit card holder and seller, shall only use
credit or debit card forms except for such forms utilized for a special
purpose incidental but related to the actual purchase and sale agreement
including but not limited to shipping, delivery or installment of
purchased merchandise or special orders, which:

a. are carbonless; or

b. after the transaction is complete, do not render a separate piece
of paper, carbon or otherwise, which readily identifies the cardholder
by name or number, other than those necessary for use by the seller,
credit card or debit card holder and issuer to complete the credit or
debit card transaction. No person, firm, partnership, association or
corporation which accepts credit or debit cards for the transaction of
business shall be deemed to have violated the provisions of this
subdivision, if such person, firm, partnership, association or
corporation shows by a preponderance of evidence that the violation was
not intentional and resulted from bona fide error made notwithstanding
the maintenance of procedures reasonably adopted to avoid any such
error.

3. No person, firm, partnership or corporation which accepts credit or
debit cards for the transaction of business shall require the credit or
debit card holder to write on the credit or debit card transaction form,
nor shall it write or cause to be written on such form or on any
attachment thereto, any personal identification information, including
but not limited to the credit or debit card holder's address or
telephone number, that is not required by the credit or debit card
issuer to complete the credit or debit card transaction; provided,
however, that the credit or debit card holder's address and telephone
number may be required on such form or attachment thereto where (i) such
information is necessary for shipping, delivery or installation of
purchased merchandise or for special orders; or (ii) the person, firm,
partnership or corporation processes credit or debit card transactions
by mailing transaction forms to a designated bankcard center for
settlement.

4. No person, firm, partnership, association or corporation which
accepts a personal check, gift certificate, traveler's check or money
order in payment for goods or services used or bought for use primarily
for personal, family or household purposes, and which as a condition of
such acceptance requires that the check drawer or redeemer of the gift
certificate, traveler's check or money order provide a credit or charge
card, shall record on such check, gift certificate, traveler's check or
money order or elsewhere, the card account number. Nothing in this
subdivision shall be construed to prohibit any person, firm,
partnership, association or corporation, as a condition for the
acceptance of a check, gift certificate, traveler's check or money order
in payment for goods or services from: (i) requesting a purchaser to
display a credit or charge card as a means of identification, or as an
indication of credit worthiness or financial responsibility; or (ii)
recording on the check, gift certificate, traveler's check or money
order the type of credit or charge card so displayed and/or the credit
or charge card expiration date; provided, further, that nothing in this
subdivision shall require any business entity to accept a check, gift
certificate, traveler's check or money order in payment for goods or
services whether or not a credit or charge card is displayed.

4-a. a. No person, firm, partnership, association, limited liability
company, corporation, or other entity that accepts charge, credit, or
debit cards for the transaction of business shall print the expiration
date of the charge, credit, or debit card nor shall any person, firm,
corporation, partnership, association, limited liability company, or
other entity print more than the last five digits of the charge, credit,
or debit card account number upon any receipt provided to the card
holder.

b. This subdivision shall apply only to receipts that are
electronically printed and shall not apply to transactions in which the
sole means of recording the person's charge, credit, or debit card
number is by handwriting or by an imprint or copy of the credit card.

c. The provisions of this subdivision shall apply to all cash
registers or other machines or devices, which electronically print
receipts for charge, credit, or debit card transactions, that are placed
in service on or after January first, two thousand four.

d. For all cash registers or other machines or devices that
electronically print receipts for charge, credit, or debit card
transactions in service prior to January first, two thousand four, the
provisions of this subdivision shall not apply until January first, two
thousand seven.

e. A person, firm, corporation, partnership, association, limited
liability company, or other entity who violates this subdivision shall
be given notice with specificity of such violation and be granted two
weeks to correct such violation in its entirety. If such violation is
not corrected in its entirety at the end of such two-week period, the
violation shall be punishable by a civil penalty of five hundred
dollars, and the violator shall be granted an additional one week in
which to correct such violation in its entirety. If such violation is
not corrected in its entirety at the end of such one-week period, such
violation shall be punishable by a civil penalty of one thousand dollars
per week until such violation is corrected in its entirety. The
aggregate penalties imposed on an individual person, firm, corporation,
partnership, association, limited liability company, or other entity for
violations of this subdivision shall not exceed four thousand five
hundred dollars for violations occurring on the same premises.

5. A violation of subdivision one of this section shall be punishable
by a civil fine not to exceed one thousand dollars. A violation of
subdivision two, three, or four of this section, if such violation
constitutes the first such offense by such person shall be punishable by
a civil fine not to exceed two hundred fifty dollars. The second offense
and any offense committed thereafter shall be punishable by a civil fine
not to exceed one thousand dollars.

6. Whenever there shall be a violation of this section an application
may be made by the attorney general in the name of the people of the
state of New York to a court or justice having jurisdiction by a special
proceeding to issue an injunction, and upon notice to the defendant of
not less than five days, to enjoin and restrain the continuance of such
violation; and if it shall appear to the satisfaction of the court or
justice that the defendant has, in fact, violated this section, an
injunction may be issued by the court or justice, enjoining and
restraining any further violations, without requiring proof that any
person has, in fact, been injured or damaged thereby. In any such
proceeding, the court may make allowances to the attorney general as
provided in paragraph six of subdivision (a) of section eighty-three
hundred three of the civil practice law and rules, and direct
restitution. In connection with any such proposed application the
attorney general is authorized to take proof and make a determination of
the relevant facts and to issue subpoenas in accordance with the civil
practice law and rules.