Relates to a smart phone device "kill switch"; requires the ability to remotely delete data on a smart phone device in the event such device is lost or stolen; provides that such technology is required by July 1, 2018.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A6953
SPONSOR: Titone (MS)
 
TITLE OF BILL:
An act to amend the general business law, in relation to smart phone
device "kill switch"
 
PURPOSE OR GENERAL IDEA OF BILL:
An act to amend the general business law, in relation to smart phone
device "kill switch"
 
SUMMARY OF PROVISIONS:
Section 1: The bill requires all smartphones and other advanced mobile
communications devices offered for sale in New York to come with a tech-
nological solution enabled, in order to deter theft and protect consum-
ers. The bill includes a clause to prohibit any term or condition in a
service contract between a customer and a commercial mobile radio
service provider that requires or encourages the customer to disable the
technological solution that renders the customer's smartphone or other
advanced communications device useless if stolen.
Section 2: Establishes that section 399-7777 be added to the general
business law, which states any advanced mobile communications device
that is sold on or after January 1, 2015 will include a technological
solution that can render the essential features of the device inoperable
when the device is not in the possession of the rightful owner. The
section also permits rightful owners of advanced mobile communications
devices to choose to disable the technological solution after sale. Any
violators of this section will be subject to a civil penalty of not less
than $500 and no more than $2500.
Section 3: Establishes the effective date.
 
DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE):
N/A
 
JUSTIFICATION:
According to the Federal Communications Commission, one in three
robberies in the United States involves the theft of a mobile communi-
cations device, making it the number one property crime in the country.
Many of these robberies often turn violent with some resulting in the
loss of life. The FCC estimates that between thirty to forty percent of
United States street-theft involves a mobile device. In fact, more than
forty percent of all robberies in New York City involve smartphones and
other cell phones. Replacement of lost or stolen mobile communications
devices was an estimated thirty-billion dollar business in 2012, and the
four largest providers of mobile radio services made an estimated seven
billion eight hundred million dollars from theft and loss insurance
products in 2013. With robberies of smartphones reaching an all-time
high, New York should utilize the readily available solution to the
problem. The "kill switches" will combat surging smartphone theft
across the state by reducing the incentive and ability criminals have to
make money off the stolen devices.In order to deter criminals from
stealing phones from consumers, there needs to be a way to render stolen
phones worthless. Currently the only way this is possible is to make
the phones unusable, and therefore unable to be profited from on the
secondhand market. Utilizing kill switch technology ensures this is
possible while maintaining the safety and integrity of the
victim/consumer. In addition, there should be no inclination on the part
of the consumer to turn off the kill switch and to ensure this; it has
been written into the bill that no provider may attempt to entice the
consumer in any way to turn it off.
 
PRIOR LEGISLATIVE HISTORY:
(2013-2014) - A8984-A Advanced to third reading cal. 840
(2015-2016) - A3409 Referred to Consumer Affairs and Protection
 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
None
 
EFFECTIVE DATE:
This act shall take effect immediately.