A06698 Summary:
BILL NO | A06698C |
  | |
SAME AS | SAME AS S04129-D |
  | |
SPONSOR | Silver (MS) |
  | |
COSPNSR | Wright, Brennan, Millman, Lentol, Glick, Gottfried, Abbate, Kavanagh, Lancman, O'Donnell, Pretlow, Rosenthal, Castro, Schimel, Jaffee, Rivera P, Lopez V, Hevesi, Titone, Jeffries, Farrell |
  | |
MLTSPNSR | Galef, Jacobs, Perry, Sweeney |
  | |
Add SS196-b & 196-c, Lab L | |
  | |
Relates to payment of independent contractors and authorizes the department of labor to investigate complaints, make claims for compensation, assess liquid damages, civil penalties and criminal penalties; authorizes the award of attorney fees and liquidated damages; excludes construction contractors. |
A06698 Actions:
BILL NO | A06698C | |||||||||||||||||||||||||||||||||||||||||||||||||
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03/24/2011 | referred to labor | |||||||||||||||||||||||||||||||||||||||||||||||||
05/17/2011 | reported referred to codes | |||||||||||||||||||||||||||||||||||||||||||||||||
05/25/2011 | amend and recommit to codes | |||||||||||||||||||||||||||||||||||||||||||||||||
05/25/2011 | print number 6698a | |||||||||||||||||||||||||||||||||||||||||||||||||
06/01/2011 | reported referred to ways and means | |||||||||||||||||||||||||||||||||||||||||||||||||
06/16/2011 | reported referred to rules | |||||||||||||||||||||||||||||||||||||||||||||||||
06/16/2011 | reported | |||||||||||||||||||||||||||||||||||||||||||||||||
06/16/2011 | rules report cal.372 | |||||||||||||||||||||||||||||||||||||||||||||||||
06/16/2011 | ordered to third reading rules cal.372 | |||||||||||||||||||||||||||||||||||||||||||||||||
06/20/2011 | passed assembly | |||||||||||||||||||||||||||||||||||||||||||||||||
06/20/2011 | delivered to senate | |||||||||||||||||||||||||||||||||||||||||||||||||
06/20/2011 | REFERRED TO RULES | |||||||||||||||||||||||||||||||||||||||||||||||||
01/04/2012 | DIED IN SENATE | |||||||||||||||||||||||||||||||||||||||||||||||||
01/04/2012 | RETURNED TO ASSEMBLY | |||||||||||||||||||||||||||||||||||||||||||||||||
01/04/2012 | ordered to third reading cal.220 | |||||||||||||||||||||||||||||||||||||||||||||||||
06/06/2012 | amended on third reading 6698b | |||||||||||||||||||||||||||||||||||||||||||||||||
06/18/2012 | amended on third reading 6698c | |||||||||||||||||||||||||||||||||||||||||||||||||
06/21/2012 | passed assembly | |||||||||||||||||||||||||||||||||||||||||||||||||
06/21/2012 | delivered to senate | |||||||||||||||||||||||||||||||||||||||||||||||||
06/21/2012 | REFERRED TO RULES |
A06698 Floor Votes:
Yes
Abbate
Yes
Clark
Yes
Gottfried
Yes
Lifton
Yes
Nolan
Yes
Scarborough
Yes
Abinanti
Yes
Colton
No
Graf
Yes
Linares
No
Oaks
Yes
Schimel
No
Amedore
No
Conte
No
Gunther
No
Lopez PD
Yes
O'Donnell
No
Schimminger
ER
Arroyo
Yes
Cook
No
Hanna
Yes
Lopez VJ
Yes
Ortiz
No
Schroeder
Yes
Aubry
No
Corwin
No
Hawley
No
Losquadro
No
Palmesano
Yes
Simotas
No
Barclay
Yes
Crespo
No
Hayes
Yes
Lupardo
Yes
Paulin
No
Smardz
Yes
Barron
No
Crouch
Yes
Heastie
Yes
Magee
Yes
Peoples Stokes
Yes
Spano
Yes
Benedetto
No
Curran
Yes
Hevesi
Yes
Magnarelli
Yes
Perry
Yes
Stevenson
No
Bing
No
Cusick
No
Hikind
Yes
Maisel
Yes
Pretlow
Yes
Sweeney
No
Blankenbush
Yes
Cymbrowitz
Yes
Hooper
No
Malliotakis
Yes
Ra
No
Tedisco
Yes
Boyland
Yes
DenDekker
Yes
Hoyt
Yes
Markey
No
Rabbitt
No
Tenney
No
Boyle
Yes
Dinowitz
Yes
Jacobs
No
McDonough
No
Raia
Yes
Thiele
Yes
Braunstein
No
Duprey
Yes
Jaffee
Yes
McEneny
Yes
Ramos
Yes
Titone
Yes
Brennan
Yes
Englebright
Yes
Jeffries
No
McKevitt
No
Reilich
Yes
Titus
Yes
Bronson
Yes
Farrell
No
Johns
No
McLaughlin
Yes
Reilly
No
Tobacco
Yes
Brook Krasny
No
Finch
No
Jordan
Yes
Meng
ER
Rivera J
Yes
Weinstein
No
Burling
No
Fitzpatrick
No
Katz
No
Miller D
Yes
Rivera N
Yes
Weisenberg
No
Butler
No
Friend
Yes
Kavanagh
No
Miller JM
Yes
Rivera PM
Yes
Weprin
Yes
Cahill
No
Gabryszak
Yes
Kellner
No
Miller MG
Yes
Roberts
Yes
Wright
No
Calhoun
Yes
Galef
ER
Kirwan
Yes
Millman
Yes
Robinson
No
Zebrowski
Yes
Camara
ER
Gantt
No
Kolb
No
Molinaro
Yes
Rodriguez
Yes
Mr. Speaker
Yes
Canestrari
Yes
Gibson
Yes
Lancman
No
Montesano
Yes
Rosenthal
No
Castelli
No
Giglio
Yes
Latimer
Yes
Morelle
Yes
Russell
Yes
Castro
Yes
Glick
Yes
Lavine
Yes
Moya
No
Saladino
No
Ceretto
No
Goodell
Yes
Lentol
No
Murray
No
Sayward
‡ Indicates voting via videoconference
ER
Abbate
No
Ceretto
Yes
Glick
Yes
Lentol
No
Murray
Yes
Ryan
Yes
Abinanti
Yes
Clark
Yes
Goldfeder
Yes
Lifton
Yes
Nolan
No
Saladino
No
Amedore
Yes
Colton
No
Goodell
Yes
Linares
No
Oaks
No
Sayward
Yes
Arroyo
ER
Conte
Yes
Gottfried
No
Lopez PD
Yes
O'Donnell
Yes
Scarborough
Yes
Aubry
Yes
Cook
ER
Graf
Yes
Lopez VJ
Yes
Ortiz
Yes
Schimel
No
Barclay
No
Corwin
Yes
Gunther
No
Losquadro
No
Palmesano
No
Schimminger
Yes
Barrett
Yes
Crespo
No
Hanna
Yes
Lupardo
Yes
Paulin
Yes
Simanowitz
Yes
Barron
No
Crouch
No
Hawley
Yes
Magee
Yes
Peoples Stokes
Yes
Simotas
Yes
Benedetto
No
Curran
Yes
Heastie
Yes
Magnarelli
Yes
Perry
Yes
Skartados
No
Blankenbush
Yes
Cusick
Yes
Hevesi
Yes
Maisel
Yes
Pretlow
ER
Smardz
ER
Boyland
Yes
Cymbrowitz
Yes
Hikind
No
Malliotakis
Yes
Quart
Yes
Stevenson
No
Boyle
Yes
DenDekker
Yes
Hooper
Yes
Markey
No
Ra
Yes
Sweeney
Yes
Braunstein
Yes
Dinowitz
Yes
Jacobs
Yes
Mayer
No
Rabbitt
No
Tedisco
Yes
Brennan
No
Duprey
Yes
Jaffee
No
McDonough
No
Raia
No
Tenney
Yes
Brindisi
Yes
Englebright
ER
Jeffries
Yes
McEneny
Yes
Ramos
Yes
Thiele
Yes
Bronson
Yes
Espinal
No
Johns
No
McKevitt
No
Reilich
Yes
Titone
Yes
Brook Krasny
Yes
Farrell
No
Jordan
No
McLaughlin
Yes
Reilly
Yes
Titus
No
Burling
No
Finch
No
Katz
ER
Meng
Yes
Rivera J
No
Tobacco
No
Butler
No
Fitzpatrick
Yes
Kavanagh
No
Miller D
Yes
Rivera N
No
Walter
Yes
Cahill
No
Friend
Yes
Kearns
No
Miller JM
Yes
Rivera PM
Yes
Weinstein
No
Calhoun
Yes
Gabryszak
Yes
Kellner
Yes
Miller MG
Yes
Roberts
Yes
Weisenberg
Yes
Camara
Yes
Galef
No
Kolb
Yes
Millman
Yes
Robinson
Yes
Weprin
Yes
Canestrari
ER
Gantt
ER
Lancman
No
Montesano
ER
Rodriguez
Yes
Wright
No
Castelli
Yes
Gibson
Yes
Latimer
Yes
Morelle
Yes
Rosenthal
Yes
Zebrowski
Yes
Castro
No
Giglio
Yes
Lavine
Yes
Moya
Yes
Russell
Yes
Mr. Speaker
‡ Indicates voting via videoconference
A06698 Text:
Go to top STATE OF NEW YORK ________________________________________________________________________ 6698--C Cal. No. 220 2011-2012 Regular Sessions IN ASSEMBLY March 24, 2011 ___________ Introduced by M. of A. SILVER, WRIGHT, BRENNAN, MILLMAN, LENTOL, GLICK, GOTTFRIED, ABBATE, KAVANAGH, LANCMAN, O'DONNELL, PRETLOW, ROSENTHAL, CASTRO, SCHIMEL, JAFFEE, P. RIVERA, V. LOPEZ, HEVESI, TITONE, JEFFRIES, FARRELL -- Multi-Sponsored by -- M. of A. GALEF, JACOBS, PERRY -- read once and referred to the Committee on Labor -- reported and referred to the Committee on Codes -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said commit- tee -- advanced to a third reading, amended and ordered reprinted, retaining its place on the order of third reading -- again amended on third reading, ordered reprinted, retaining its place on the order of third reading AN ACT to amend the labor law, in relation to independent contractors The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The labor law is amended by adding two new sections 196-b 2 and 196-c to read as follows: 3 § 196-b. Definitions. For purposes of this section and section one 4 hundred ninety-six-c of this article, the term: 5 1. "Compensation" means the earnings of an independent contractor. 6 The term "compensation" also includes reimbursement for expenses. 7 2. "Independent contractor" means a sole proprietor who is not an 8 employee and who is hired or retained by a client for an amount equal to 9 or greater than six hundred dollars; but shall not include a 10 construction contractor. 11 3. "Client" includes a corporation, limited liability company, part- 12 nership, association or non-profitmaking organization contracting with 13 an independent contractor in any occupation, industry, trade, business 14 or service for compensation equal to or greater than six hundred 15 dollars. The term "client" shall not include a governmental entity, 16 including but not limited to, any agency, board, department, commission EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD10169-10-2A. 6698--C 2 1 of the state or any political subdivision thereof; and client shall not 2 include a person. 3 4. "Construction contractor" means any person, sole proprietor, part- 4 nership, firm, corporation, limited liability company, association or 5 other legal entity who by oneself or through others offers to undertake, 6 or holds oneself out as being able to undertake, or does undertake a 7 construction project. 8 5. "Construction project" means the providing of any labor or 9 services, and the use of any materials or equipment in order to alter, 10 build, excavate, add to, subtract from, improve, repair, maintain, reno- 11 vate, move, wreck or demolish any bridge, building, highway, road, rail- 12 road, land, tunnel, sewer, drainage or other structure, project, devel- 13 opment, or improvement, or the doing of any part thereof, including the 14 erection of scaffolding or other structures or works in connection ther- 15 ewith. 16 § 196-c. Payment of independent contractors. 1. An independent 17 contractor shall be paid the compensation earned in accordance with the 18 agreed work terms. If an independent contractor and client did not 19 agree on a date for payment of compensation earned, the independent 20 contractor shall be paid the compensation earned not later than the last 21 day of the month following the month in which the compensation is 22 earned. The agreed work terms shall be reduced in writing, signed by 23 both the client and the independent contractor, kept on file by the 24 client for a period of not less than six years and made available to the 25 commissioner upon request. Such writing shall include a description of 26 how compensation earned and payable shall be calculated. The failure of 27 a client to produce such written work terms, upon request of the commis- 28 sioner, shall give rise to a presumption that the terms that the inde- 29 pendent contractor has presented are the agreed terms. 30 2. The commissioner shall investigate and attempt to adjust equitably 31 controversies between clients and independent contractors relating to 32 this section. 33 3. The commissioner may take assignments of claims for compensation as 34 defined in section one hundred ninety-six-b of this article from inde- 35 pendent contractors or third parties in trust for such independent 36 contractors or for the various funds for such independent contractors. 37 All such assignments shall run to the commissioner and his successor in 38 office. The commissioner may sue clients on compensation claims thus 39 assigned. He may join in a single action any number of compensation 40 claims against the same company. 41 4. Any independent contractor may file with the commissioner a 42 complaint regarding a violation of this article for an investigation of 43 such complaint and statement setting the appropriate remedy, if any. 44 Failure of a client to keep adequate records shall not operate as a bar 45 to filing of a complaint by an independent contractor. In such a case 46 the client in violation shall bear the burden of proving that the 47 complaining independent contractor was paid compensation. 48 5. On behalf of any independent contractor paid less than the compen- 49 sation to which he or she is entitled under the agreed work terms under 50 the provisions of this article, the commissioner may bring any legal 51 action necessary, including administrative action, to collect such claim 52 and as part of such legal action, in addition to any other remedies and 53 penalties otherwise available under this article, the commissioner shall 54 assess against the client an additional amount as liquidated damages, 55 unless the client proves a good faith basis for believing that its 56 underpayment of compensation was in compliance with the law. LiquidatedA. 6698--C 3 1 damages shall be calculated by the commissioner as no more than one 2 hundred percent of the total amount of compensation found to be due. In 3 any action instituted in the courts upon a compensation claim by an 4 independent contractor or the commissioner in which the independent 5 contractor prevails, the court shall allow such independent contractor 6 all reasonable attorney's fees, prejudgment interest as required under 7 the civil practice law and rules, and, unless the client proves a good 8 faith basis to believe that its underpayment of compensation was in 9 compliance with the law, an additional amount as liquidated damages 10 equal to one hundred percent of the total amount of compensation found 11 to be due. The remedies provided by this article may be enforced simul- 12 taneously or consecutively so far as not inconsistent with each other. 13 6. Notwithstanding any other provision of law, an action to recover 14 upon a liability imposed by this article must be commenced within six 15 years. All independent contractors shall have the right to recover full 16 compensation accrued during the six years previous to the commencing of 17 such action, whether such action is instituted by the independent 18 contractor or by the commissioner. 19 7. Each independent contractor who files a complaint regarding a 20 violation of a provision of this article shall be provided with a writ- 21 ten description of the anticipated processing of the complaint, includ- 22 ing investigation, case conference, potential civil and criminal penal- 23 ties, and collection procedures. 24 8. Each independent contractor and his or her representative shall be 25 notified in writing of any case conference before it is held and given 26 the opportunity to attend. 27 9. Each independent contractor and his or her representative shall be 28 notified in writing of any award and collection of back compensation and 29 civil penalties, and of any intent to seek criminal penalties. In the 30 event that criminal penalties are sought the independent contractor and 31 his or her representative shall be notified of the outcome of prose- 32 cution. 33 10. If the commissioner determines that a client has violated a 34 provision of this article, or a rule or regulation promulgated there- 35 under, by failing to pay the compensation of their independent contrac- 36 tors, the commissioner shall issue to the client an order directing 37 compliance therewith, which shall describe particularly the nature of 38 the alleged violation, and order the payment of interest at the rate of 39 interest then in effect as prescribed pursuant to section fourteen-a of 40 the banking law per annum from the date of the underpayment to the date 41 of the payment. In addition to directing payment of compensation found 42 to be due, such order, if issued to a client who previously has been 43 found in violation of those provisions, rules or regulations, or to a 44 client whose violation is willful or egregious, shall direct payment to 45 the commissioner of an additional sum as a civil penalty in an amount 46 equal to double the total amount found to be due. 47 11. Every client who does not pay the compensation of all of its inde- 48 pendent contractors in accordance with the provisions of this chapter, 49 and the officers and agents of any client who knowingly permit the 50 client to violate this chapter by failing to pay the compensation of any 51 of its independent contractors in accordance with the provisions there- 52 of, shall be guilty of a misdemeanor for the first offense and upon 53 conviction therefor shall be fined not less than five hundred nor more 54 than twenty thousand dollars or imprisoned for not more than one year, 55 and, in the event that any second or subsequent offense occurs within 56 six years of the date of conviction for a prior offense, shall be guiltyA. 6698--C 4 1 of a felony for the second or subsequent offense, and upon conviction 2 therefor, shall be fined not less than five hundred nor more than twenty 3 thousand dollars or imprisoned for not more than one year plus one day, 4 or punished by both such fine and imprisonment, for each such offense. 5 12. This section shall not apply to: (a) real estate brokers, associ- 6 ate brokers or salespersons licensed pursuant to article twelve-A of the 7 real property law; 8 (b) work performed on one or two family dwellings; or 9 (c) construction contractors or construction projects. 10 § 2. This act shall take effect immediately.