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A11670 Summary:

BILL NOA11670
 
SAME ASNo Same As
 
SPONSORRules (Dinowitz)
 
COSPNSR
 
MLTSPNSR
 
Amd §§399-x & 399-xx, Gen Bus L
 
Requires commercial towing companies and storage lot operators to accept at least two major credit or debit cards; increases fines for violations.
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A11670 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          11670
 
                   IN ASSEMBLY
 
                                    September 2, 2026
                                       ___________
 
        Introduced by COMMITTEE ON RULES -- (at request of M. of A. Dinowitz) --
          read  once  and  referred  to  the  Committee  on Consumer Affairs and
          Protection
 
        AN ACT to amend the general business law, in relation to  payments  made
          to commercial towers and storage lot operators
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Subdivision 1 of section 399-x of the general business  law
     2  is  amended by adding a new paragraph d and subdivisions 2 and 3, subdi-
     3  vision 2 as added by chapter 166 of the laws of 1997 and  subdivision  3
     4  as  amended  by  chapter 328 of the laws of 2008, are amended to read as
     5  follows:
     6    d. For purposes of this section, "major credit card" shall mean  Mast-
     7  erCard, Visa, American Express or Discover.
     8    2. Requirements. Each and every commercial tower or storage lot opera-
     9  tor,  which requires the payment by an owner of a towed motor vehicle of
    10  all or part of the towing and/or storage  charges  associated  with  the
    11  towing and/or storage of such owner's motor vehicle as a precondition to
    12  the  release  of  such motor vehicle to such owner or [his or her] their
    13  authorized representative[, and which accepts] must accept cash  and  at
    14  least  two major credit cards, as that term is defined in paragraph d of
    15  subdivision one of this section or debit cards,  as  [those  terms  are]
    16  that  term  is defined in section five hundred eleven of this chapter as
    17  forms of payment [in the ordinary course of business, must  accept  each
    18  of these forms of payment] for such towing and/or storage charges.
    19    3. Penalties. (a) Whenever there shall be a violation of this section,
    20  an  application  may  be made by the attorney general in the name of the
    21  people of the state of New York to a court or justice  having  jurisdic-
    22  tion  to  issue  an  injunction, and upon notice to the defendant of not
    23  less than five days, to enjoin and  restrain  the  continuance  of  such
    24  violations;  and  if it shall appear to the satisfaction of the court or
    25  justice that the defendant has,  in  fact,  violated  this  section,  an
    26  injunction  may  be  issued  by  such  court  or  justice, enjoining and
    27  restraining any further violation,  without  requiring  proof  that  any
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD16123-02-6

        A. 11670                            2
 
     1  person  has,  in  fact,  been  injured  or  damaged thereby. In any such
     2  proceeding the court may make allowances  to  the  attorney  general  as
     3  provided  in  paragraph  six  of subdivision (a) of section eighty-three
     4  hundred  three  of the civil practice law and rules, and direct restitu-
     5  tion. Whenever the court  shall  determine  that  a  violation  of  this
     6  section  has  occurred, the court may impose a civil penalty of not less
     7  than [fifty] one thousand dollars and not more than [one  thousand]  two
     8  thousand  five  hundred  dollars  for each such violation. In connection
     9  with any such proposed application, the attorney general  is  authorized
    10  to  take  proof  and  make  a determination of the relevant facts and to
    11  issue subpoenas in accordance with the civil practice law and rules.
    12    (b) The provisions of this section may be enforced concurrently by the
    13  town attorney, city corporation counsel, or other lawful designee  of  a
    14  municipality  or  local  government, and all moneys collected thereunder
    15  shall be retained by such municipality or local government.
    16    § 2. Subdivisions 2 and 3 of section 399-xx of  the  general  business
    17  law, as added by chapter 690 of the laws of 2004, are amended to read as
    18  follows:
    19    2. Requirements. A commercial tower who responds to a call for assist-
    20  ance from an owner or operator of a vehicle that is inoperable or cannot
    21  be  safely operated or who offers to transport, repair, or render safely
    22  operable such a vehicle shall, in compliance with any reasonable request
    23  of an owner or operator of such vehicle, repair the vehicle or transport
    24  the vehicle and its  occupants  to  a  reasonably  safe  location  where
    25  repairs  can  be  made.  The  commercial  tower shall not be required to
    26  transport all vehicle occupants if the number of occupants  exceeds  the
    27  number of passengers that can be safely transported. The owner or opera-
    28  tor  of the vehicle shall be liable to the commercial tower for the cost
    29  of towing and repair  services  provided.  The  commercial  tower  shall
    30  accept  cash  and [all other forms of payment that such commercial tower
    31  accepts in the ordinary course of  business,  including]  at  least  two
    32  major  credit  [and]  cards,  as  that term is defined in paragraph d of
    33  subdivision one of section three hundred ninety-nine-x of  this  article
    34  or  debit  cards as [those terms are] as that term is defined in section
    35  five hundred eleven of this chapter as payment for all or  part  of  the
    36  charges  for  towing  and  repair  services  accepted  and provided. The
    37  commercial tower may require such proof of identification  from  persons
    38  making  payments  in  forms  other  than  cash  as  the commercial tower
    39  requires for such payments in the ordinary course of  business.  If  the
    40  owner or operator of a vehicle declines services of the commercial tower
    41  or  cannot  or will not provide payment and identification for towing or
    42  repair services, a commercial tower shall notify law  enforcement  about
    43  the  location  and  identification of the vehicle and its occupants. The
    44  provisions of this section do not apply to a vehicle which  is  lawfully
    45  parked at the home of the vehicle's owner or operator.
    46    3. Penalties. (a) Whenever there shall be a violation of this section,
    47  an  application  may  be made by the attorney general in the name of the
    48  people of the state of New York to a court or justice  having  jurisdic-
    49  tion  to  issue  an  injunction, and upon notice to the defendant of not
    50  less than five days, to enjoin and  restrain  the  continuance  of  such
    51  violations;  and  if it shall appear to the satisfaction of the court or
    52  justice that the defendant has,  in  fact,  violated  this  section,  an
    53  injunction  may  be  issued  by  such  court  or  justice, enjoining and
    54  restraining any further violation,  without  requiring  proof  that  any
    55  person  has,  in  fact,  been  injured  or  damaged thereby. In any such
    56  proceeding the court may make allowances  to  the  attorney  general  as

        A. 11670                            3
 
     1  provided  in  paragraph  six  of subdivision (a) of section eighty-three
     2  hundred three of the civil practice law and rules, and  direct  restitu-
     3  tion.  Whenever  the  court  shall  determine  that  a violation of this
     4  section  has  occurred, the court may impose a civil penalty of not less
     5  than one thousand dollars and not more than two  thousand  five  hundred
     6  dollars  for  each  such violation. In connection with any such proposed
     7  application, the attorney general is authorized to take proof and make a
     8  determination of the relevant facts and to issue subpoenas in accordance
     9  with the civil practice law and rules.
    10    (b) The provisions of this section may be enforced concurrently by the
    11  town attorney, city corporation counsel, or other lawful designee  of  a
    12  municipality  or  local  government, and all moneys collected thereunder
    13  shall be retained by such municipality or local government.
    14    § 3. This act shall take effect on the ninetieth day  after  it  shall
    15  have become a law.
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