STATE OF NEW YORK
________________________________________________________________________
2237
2021-2022 Regular Sessions
IN ASSEMBLY
January 14, 2021
___________
Introduced by M. of A. SIMON, ENGLEBRIGHT, GALEF, HYNDMAN -- Multi-Spon-
sored by -- M. of A. COLTON, COOK, CRUZ, DICKENS, DILAN, EPSTEIN,
GLICK, GOTTFRIED, JEAN-PIERRE, MAGNARELLI, SAYEGH, STECK, STIRPE --
read once and referred to the Committee on Consumer Affairs and
Protection
AN ACT to amend the general business law, in relation to prohibiting
consumer contract provisions waiving the consumer's right to make
statements concerning goods or services
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
2 398-g to read as follows:
3 § 398-g. Provisions waiving the consumer's right to make statements
4 concerning goods or services in consumer contracts prohibited. 1. (a) A
5 contract or proposed contract for the sale or lease of consumer goods or
6 services shall not include a provision waiving the consumer's right to
7 make any statement regarding the seller or lessor or its employees or
8 agents, or concerning the goods or services.
9 (b) It shall be unlawful to threaten or to seek to enforce a provision
10 made unlawful under this section, or to otherwise penalize a consumer
11 for making any statement protected under this section.
12 2. Any waiver of the provisions of this section is contrary to public
13 policy, and is void and unenforceable.
14 3. Any person who violates this section shall be subject to a civil
15 penalty not to exceed two thousand five hundred dollars for the first
16 violation, and five thousand dollars for the second and for each subse-
17 quent violation, to be assessed and collected in a civil action brought
18 by the consumer, by the attorney general, or by the district attorney or
19 city attorney of the county or city in which the violation occurred.
20 When collected, the civil penalty shall be payable, as appropriate, to
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD01130-01-1
A. 2237 2
1 the consumer or to the general fund of whichever governmental entity
2 brought the action to assess the civil penalty.
3 4. In addition, for a willful, intentional, or reckless violation of
4 this section, a consumer, the attorney general, or the district attorney
5 or city attorney of the county or city in which the violation occurred
6 may recover a civil penalty not to exceed ten thousand dollars.
7 5. The penalty provided by this section is not an exclusive remedy,
8 and does not affect any other relief or remedy provided by law. This
9 section shall not be construed to prohibit or limit a person or business
10 that hosts online consumer reviews or comments from removing a statement
11 that is otherwise lawful to remove.
12 § 2. This act shall take effect immediately.
