Relates to prohibited debt collection practices during a disaster emergency including the collection of debts, the enforcement of judgments and the disclosure of information affecting the debtor's creditworthiness.
STATE OF NEW YORK
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8402
IN SENATE
May 21, 2020
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Introduced by Sen. SANDERS -- read twice and ordered printed, and when
printed to be committed to the Committee on Consumer Protection
AN ACT to amend the general business law, in relation to prohibited debt
collection practices during a disaster emergency
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
2 601-b to read as follows:
3 § 601-b. Prohibited practices; disaster emergency. During a declared
4 state of disaster emergency, no principal creditor, as defined by this
5 article, or his agent shall:
6 1. communicate in any way with debtors to collect a debt during a
7 state disaster emergency and for ninety days thereafter;
8 2. knowingly collect, attempt to collect, or assert a right to any
9 collection fee, attorney's fee, court cost or expense during a state
10 disaster emergency;
11 3. disclose or threaten to disclose information affecting the debtor's
12 reputation for credit worthiness during a state disaster emergency; or
13 4. enforce any judgments or have any third parties enforce any judg-
14 ments, or place a judgment lien on any bank accounts, personal or
15 commercial during a state disaster emergency and for ninety days there-
16 after.
17 § 2. This act shall take effect immediately and shall be deemed to
18 have been in full force and effect on and after March 7, 2020.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD16411-02-0
