STATE OF NEW YORK
________________________________________________________________________
3459--C
2025-2026 Regular Sessions
IN ASSEMBLY
January 27, 2025
___________
Introduced by M. of A. LAVINE, BURDICK, SAYEGH -- read once and referred
to the Committee on Banks -- committee discharged, bill amended,
ordered reprinted as amended and recommitted to said committee --
reported and referred to the Committee on Codes -- recommitted to the
Committee on Codes in accordance with Assembly Rule 3, sec. 2 --
committee discharged, bill amended, ordered reprinted as amended and
recommitted to said committee -- again reported from said committee
with amendments, ordered reprinted as amended and recommitted to said
committee
AN ACT to amend the financial services law, in relation to civil penal-
ties for certain fraud or misrepresentation of a material fact with
respect to a financial product or service
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Paragraph 1 of subsection (a) of section 408 of the finan-
2 cial services law is amended and a new subsection (c) is added to read
3 as follows:
4 (1) not to exceed five thousand dollars per offense, for:
5 (A) (i) any [intentional] fraud [or intentional misrepresentation]
6 with respect to a financial product or service or involving any person
7 offering to provide or providing financial products or services; or
8 (ii) any representation or omission of a material fact with respect to
9 a financial product or service or involving any person offering to
10 provide or providing financial products or services that misleads or is
11 likely to mislead a consumer when the consumer's interpretation of the
12 representation or omission is reasonable under the circumstances; [or]
13 (B) any violation of state or federal fair debt collection practices
14 or federal or state fair lending laws; or
15 (C) any act or practice that:
16 (i) causes or is likely to cause substantial injury to consumers which
17 is not reasonably avoidable by consumers; and
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD05052-08-6
A. 3459--C 2
1 (ii) such substantial injury is not outweighed by countervailing bene-
2 fits to consumers or to competition; and
3 (c) This section shall not be construed to limit any other criminal or
4 civil liability such entity may be subject to under law.
5 § 2. This act shall take effect immediately.
