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A01323 Summary:

BILL NOA01323
 
SAME ASNo Same As
 
SPONSORVanel
 
COSPNSR
 
MLTSPNSR
 
Add §209-h, Gen Bus L
 
Prohibits deceptive rate advertising for certain accommodations; requires advertised rates to be inclusive of all taxes and automatic fees; requires the non-inclusive rate, and an itemized list of taxes and automatic fees to be provided to the consumer prior to a person finalizing their purchase.
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A01323 Actions:

BILL NOA01323
 
01/09/2025referred to consumer affairs and protection
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A01323 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          1323
 
                               2025-2026 Regular Sessions
 
                   IN ASSEMBLY
 
                                     January 9, 2025
                                       ___________
 
        Introduced  by M. of A. VANEL -- read once and referred to the Committee
          on Consumer Affairs and Protection
 
        AN ACT to amend the general business law,  in  relation  to  prohibiting
          deceptive rate advertising for certain accommodations
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. The general business law is amended by adding a new section
     2  209-h to read as follows:
     3    § 209-h. Deceptive advertising. 1. Every advertisement or solicitation
     4  communicating a rate or rates for an accommodation in this state made by
     5  an operator of an accommodation or marketer shall be deemed deceptive if
     6  such rate or rates are not inclusive of all taxes  and  automatic  fees.
     7  This section shall be construed as applying to all instances and mediums
     8  where the rate or rates are communicated.
     9    2.  For  purposes  of this section, the following terms shall have the
    10  following meanings:
    11    (a) "Rate" shall mean the costs associated with staying at an accommo-
    12  dation, whether displayed as a nightly, daily, or  aggregate  price  and
    13  whether represented in currency, points, credits, or a similar represen-
    14  tation, paid by a guest to stay at the accommodation.
    15    (b)  "Accommodation"  shall  mean  a  hotel,  motel, inn or short-term
    16  rental. "Short-term rental" shall be defined as an entire dwelling unit,
    17  or a room, group of rooms, other living or sleeping space, or any  other
    18  space,  made  available  for rent by guests for less than thirty consec-
    19  utive days.
    20    (c) "Automatic fees" shall include all such fees that are charged to a
    21  guest without respect for such guest's right or ability to be reimbursed
    22  for or refuse to pay the fee or any part thereof. Automatic  fees  shall
    23  include,  but shall not be limited to, service fees, resort fees, desti-
    24  nation fees, amenity fees, facility fees, housekeeping or cleaning fees,
    25  mandatory gratuities, and any fee for a  good  or  service  due  at  the
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03736-01-5

        A. 1323                             2
 
     1  accommodation or elsewhere, before, during, or after the guest concludes
     2  their stay, that is automatically charged in full absent notification to
     3  the  accommodation  by  the guest that the good or service being charged
     4  for  was not utilized. A guest's right to refuse or be reimbursed for an
     5  automatic payment shall have no  effect  on  the  fee's  classification.
     6  Taxes shall include all applicable federal, state, and local taxes.
     7    (d)  "Inclusive rate" shall mean the total cost amount the consumer is
     8  expected to pay, including any additional taxes or fees.
     9    (e) "Non-inclusive rate" shall mean  the  cost  amount  for  only  the
    10  services  being  provided,  which  does not include additional taxes and
    11  fees which may be imposed.
    12    (f) "Marketer" shall mean any person or  entity  who,  in  the  normal
    13  course  of business, displays, advertises or solicits rates for accommo-
    14  dations.
    15    (g)  "Points" and "credits" shall include all incentives offered by an
    16  issuing entity that can be redeemed at an accommodation, irrespective of
    17  the issuer. Points  and  credits shall include, but shall not be limited
    18  to, points issued by credit card issuers, operators  of  accommodations,
    19  rewards programs, loyalty programs, and any combination thereof.
    20    3.  Upon  request  by  a consumer, the operator of an accommodation or
    21  marketer shall be required to provide the consumer with  the  non-inclu-
    22  sive  rate,  and an itemized list of taxes and automatic fees prior to a
    23  person finalizing their purchase. Absent of such request,  the  operator
    24  of  an  accommodation  or  marketer  shall  be  permitted to provide the
    25  consumer with the inclusive rate.
    26    4. Where a rate is payable in points or credits, irrespective  of  the
    27  issuing entity, every instance of the rate shall be conspicuously accom-
    28  panied  by  the sum of taxes and automatic fees, including all taxes and
    29  automatic fees charged by the issuing entity where the entity is not the
    30  operator of the accommodation.
    31    5. No operator of an accommodation or marketer shall be  liable  under
    32  this section for any unforeseeable acts or circumstances which cause the
    33  inadvertent  communication  of  a  non-inclusive  rate provided that the
    34  operator, upon being notified of the existence of such an error, prompt-
    35  ly notify any guest who has reserved the rate and provide them with  the
    36  option  to  refund  their reservation without penalty in the same amount
    37  and type of consideration paid.
    38    6. Any operator of an  accommodation  or  marketer  who  violates  the
    39  provisions  of  this  section shall be liable for a civil penalty of not
    40  less than one  thousand  dollars,  but  not  more  than  three  thousand
    41  dollars, per violation.
    42    7.  Any  agreement relating to the waiver of any provision within this
    43  section shall be void.
    44    8. This section shall not be construed as having any effect on  adver-
    45  tisements  or solicitations for accommodations located outside the state
    46  of New York.
    47    § 2. This act shall take effect on the one hundred eightieth day after
    48  it shall have become a law.
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