NY State Senate Bill 2009-S7658

Archive: Last Bill Status - In Assembly Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jun 16, 2010	referred to economic development delivered to assembly passed senate ordered to third reading cal.1026
Jun 15, 2010	committee discharged and committed to rules
Jun 08, 2010	reported and committed to codes
May 11, 2010	print number 7658a
May 11, 2010	amend and recommit to consumer protection
Apr 29, 2010	referred to consumer protection

Votes

- Jun 16, 2010 - Floor Vote
  S7658
  
  50
  
  Aye
  
  11
  
  Nay
  
  0
  
  Absent
  
  1
  
  Excused
  
  0
  
  Abstained
  - - Floor Vote: Jun 16, 2010
      
      aye (50)
      
      Adams
      
      Addabbo Jr.
      
      Alesi
      
      Aubertine
      
      Bonacic
      
      Breslin
      
      Diaz
      
      Dilan
      
      Duane
      
      Espada
      
      Farley
      
      Foley
      
      Fuschillo
      
      Golden
      
      Griffo
      
      Hassell-Thompson
      
      Huntley
      
      Johnson
      
      Klein
      
      Krueger
      
      Kruger
      
      Lanza
      
      Leibell
      
      Libous
      
      Maziarz
      
      McDonald
      
      Montgomery
      
      Nozzolio
      
      Onorato
      
      Oppenheimer
      
      Parker
      
      Peralta
      
      Perkins
      
      Robach
      
      Saland
      
      Sampson
      
      Savino
      
      Schneiderman
      
      Serrano
      
      Seward
      
      Skelos
      
      Smith
      
      Squadron
      
      Stachowski
      
      Stavisky
      
      Stewart-Cousins
      
      Thompson
      
      Valesky
      
      Volker
      
      Young
      
      nay (11)
      
      DeFrancisco
      
      Flanagan
      
      Hannon
      
      Johnson
      
      LaValle
      
      Larkin
      
      Little
      
      Marcellino
      
      Padavan
      
      Ranzenhofer
      
      Winner
      
      excused (1)
      
      Morahan
  Jun 16, 2010 - Rules Committee Vote
  S7658
  
  22
  
  Aye
  
  1
  
  Nay
  
  0
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Rules Committee Vote: Jun 16, 2010
      
      aye (22)
      
      Dilan
      
      Duane
      
      Espada
      
      Farley
      
      Hassell-Thompson
      
      Johnson
      
      Klein
      
      Krueger
      
      LaValle
      
      Larkin
      
      Montgomery
      
      Padavan
      
      Parker
      
      Saland
      
      Serrano
      
      Seward
      
      Skelos
      
      Smith
      
      Stachowski
      
      Stewart-Cousins
      
      Valesky
      
      Volker
      
      nay (1)
      
      Hannon
  Jun 8, 2010 - Consumer Protection Committee Vote
  S7658
  
  7
  
  Aye
  
  0
  
  Nay
  
  3
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Consumer Protection Committee Vote: Jun 8, 2010
      
      aye (7)
      
      Adams
      
      Flanagan
      
      Hassell-Thompson
      
      Huntley
      
      Peralta
      
      Perkins
      
      Savino
      
      aye wr (3)
      
      Fuschillo
      
      Robach
      
      Saland

Bill Amendments

Original

A (Active)

2009-S7658 - Details

Current Committee:: Assembly Economic Development
Law Section:: General Business Law
Laws Affected:: Add §390-d, Gen Bus L
Versions Introduced in Other Legislative Sessions:: 2011-2012: S3718
2013-2014: S2990

2009-S7658 - Summary

Relates to the illegal use of stolen or misappropriated computer software; definitions and penalties.

2009-S7658 - Sponsor Memo

                                 BILL NUMBER:  S7658

 TITLE OF BILL :
An act to amend the general business law, in relation to stolen or
misappropriated computer software


 PURPOSE OF THE BILL :
To make it unlawful for a person to develop or manufacture a product
or supply services using stolen or misappropriated software.

 SUMMARY OF SPECIFIC PROVISIONS :
This bill adds a new §390-d to the General Business Law to make it
unlawful for a person to develop or manufacture a product or supply
services using stolen or misappropriated software, including software
that does not have the necessary license agreements.

The Attorney General, the provider of the stolen/misappropriated
software, and third parties adversely affected by reason of a
violation of this section, are empowered to enjoin further violation
and to recover actual damages, including treble damages upon a showing
of a pattern or practice of violating the provisions of this law.

 JUSTIFICATION :
When businesses, including businesses in foreign countries, use stolen
software to make products or supply services that are offered to New

York consumers, they gain an unfair competitive advantage over
businesses that use legal, properly licensed software. This radically
tilts the competitive playing field by rewarding businesses that break
the law -costing New York businesses billions of dollars and costing
New York State and local governments hundreds of millions of dollars
in direct revenue.

Although federal copyright law allows software companies to combat the
act of software theft, there are currently few avenues to address the
harms to competition that flow from the use of stolen software.

This measure provides a crucial new tool to go after those who use
stolen or pirated software to hurt competitors, not just software
pirates. It does so by making the use of stolen/pirated software to
create and sell products unlawful, giving the Attorney General and
adversely-affected parties the enforcement tools to stop and punish
those who use stolen goods to harm New York businesses. Moreover, it
makes law-breakers liable not only for the first item sold, but also
for the full extent of the product or services made and sold based on
the stolen software.

The need for additional tools to combat the economic damage caused by
the illegal use of stolen software is obvious. In 2008, worldwide
software piracy was pegged at 41 percent representing losses of over
$50 billion. Yet, the real economic damage reaches well beyond the
piracy itself; it extends to the very fabric of the use of
intellectual property in the development of the innovative products
and services. It means fewer jobs in New York, less innovation,
hundreds of millions of dollars in lost tax revenue and reduced
economic growth overall.

This measure will provide the State, through the Attorney General, and
the companies that are adversely affected, the legal construct to
fight back against this pernicious use of stolen computer software and
the intellectual property behind it.

 PRIOR LEGISLATIVE HISTORY :
New Bill.

 FISCAL IMPLICATIONS :
According to a 2007 study, software piracy alone costs New York taxing
jurisdictions more than $344M in lost tax revenue alone.

 EFFECTIVE DATE :
This act shall take effect 90 days after it becomes law.

2009-S7658 - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  7658

                            I N  S E N A T E

                             April 29, 2010
                               ___________

Introduced  by  Sen.  ADAMS  -- 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  stolen  or
  misappropriated computer software

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The general business law is amended by adding a new section
390-d to read as follows:
  S 390-D. ILLEGAL USE OF STOLEN OR MISAPPROPRIATED  COMPUTER  SOFTWARE;
PENALTIES.    1.  FOR  THE  PURPOSES OF THIS SECTION, THE TERM "COMPUTER
SOFTWARE"  SHALL  MEAN  AN  ORDERED  SET  OF  DATA  REPRESENTING   CODED
INSTRUCTIONS  OR  STATEMENTS  THAT, WHEN EXECUTED BY COMPUTER, CAUSE THE
COMPUTER TO PROCESS DATA OR DIRECT THE COMPUTER TO PERFORM ONE  OR  MORE
COMPUTER OPERATIONS, OR BOTH.
  2.  IT IS UNLAWFUL FOR A PERSON TO DEVELOP OR MANUFACTURE A PRODUCT OR
PRODUCTS, OR TO DEVELOP OR SUPPLY SERVICES, WHILE USING STOLEN OR MISAP-
PROPRIATED COMPUTER SOFTWARE, INCLUDING, BUT  NOT  LIMITED  TO  COMPUTER
SOFTWARE  THAT DOES NOT HAVE THE NECESSARY LICENSE AGREEMENTS, WHERE ANY
SUCH PRODUCTS OR SERVICES ARE SOLD OR OFFERED FOR SALE IN THIS STATE.
  3. (A) THE ATTORNEY GENERAL, OR ANY PERSON WHO EITHER (I)  IS  ENGAGED
IN  THE BUSINESS OF PROVIDING COMPUTER SOFTWARE TO THE PUBLIC AND WHO IS
ADVERSELY AFFECTED BY REASON OF  ANY  VIOLATION  OF  THE  PROVISIONS  OF
SUBDIVISION TWO OF THIS SECTION, OR (II) IS OTHERWISE ADVERSELY AFFECTED
BY  REASON  OF  ANY  VIOLATION  OF SUCH SUBDIVISION, MAY BRING AN ACTION
AGAINST A PERSON WHO VIOLATES THE PROVISIONS OF SUCH SUBDIVISION:
  (1) TO ENJOIN FURTHER VIOLATION OF THE PROVISIONS OF  SUBDIVISION  TWO
OF THIS SECTION; AND
  (2) TO RECOVER THE GREATER OF:
  (A) ACTUAL DAMAGES; OR
  (B) ONE THOUSAND DOLLARS FOR EACH VIOLATION OF SUBDIVISION TWO OF THIS
SECTION.
  (B) IN AN ACTION UNDER PARAGRAPH (A) OF THIS SUBDIVISION, A COURT MAY:
  (1)  INCREASE  THE  DAMAGES  UP  TO THREE TIMES THE DAMAGES ALLOWED BY
PARAGRAPH (A) OF THIS SUBDIVISION WHERE THE DEFENDANT HAS BEEN FOUND  TO

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.

                                                           LBD17096-01-0

S. 7658                             2

HAVE  ENGAGED  IN  A PATTERN AND PRACTICE OF VIOLATING THE PROVISIONS OF
SUBDIVISION TWO OF THIS SECTION; AND
  (2) AWARD COSTS AND REASONABLE ATTORNEY'S FEES TO A PREVAILING PARTY.
  (C)  FOR  THE PURPOSES OF THIS SECTION, A VIOLATION SHALL BE DEEMED TO
HAVE OCCURRED EACH TIME A PRODUCT OR SERVICE IS SOLD OR OFFERED FOR SALE
IN THIS STATE.
  4. NOTHING CONTAINED IN THIS SECTION SHALL IN ANY WAY LIMIT THE RIGHTS
OR REMEDIES WHICH ARE OTHERWISE AVAILABLE  UNDER  LAW  TO  THE  ATTORNEY
GENERAL OR ANY OTHER PERSON AUTHORIZED TO BRING AN ACTION UNDER SUBDIVI-
SION  THREE  OF  THIS SECTION, NOR SHALL IT LIMIT THE ENFORCEMENT OF ANY
APPLICABLE PROVISION OF THE PENAL LAW.
  S 2. This act shall take effect on the ninetieth day  after  it  shall
have become a law.

2009-S7658A (ACTIVE) - Details

Current Committee:: Assembly Economic Development
Law Section:: General Business Law
Laws Affected:: Add §390-d, Gen Bus L
Versions Introduced in Other Legislative Sessions:: 2011-2012: S3718
2013-2014: S2990

2009-S7658A (ACTIVE) - Summary

Relates to the illegal use of stolen or misappropriated computer software; definitions and penalties.

2009-S7658A (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S7658A

 TITLE OF BILL :
An act to amend the general business law, in relation to stolen or
misappropriated computer software


 PURPOSE OF THE BILL :
To make it unlawful for a person to develop or or manufacture a
product or supply services using stolen or misappropriated software.

 SUMMARY OF SPECIFIC PROVISIONS :
This bill adds a new §390-c to the General Business Law to make it
unlawful for a person to develop or manufacture a product or supply
services using stolen or misappropriated software, including software
that does not have the necessary license agreements.

The Attorney General and third parties adversely affected by reason of
a violation of this section, are empowered to enjoin further violation
and to recover actual damages, including treble damages upon a showing
of a pattern or practice of violating the provisions of this law.

 JUSTIFICATION :
When businesses, including businesses in foreign countries, use stolen
software to make products or supply services that are offered to New
York consumers, they gain an unfair competitive advantage over

businesses that use legal, properly licensed software. This radically
tilts the competitive playing field by rewarding businesses that break
the law -costing New York businesses billions of dollars and costing
New York State and local governments hundreds of millions of dollars
in direct revenue.

Although federal copyright law allows software companies to combat the
act of software theft, there are currently few avenues to address the
harms to competition that flow from the use of stolen software.

This measure provides a crucial new tool to go after those who use
stolen or pirated software to hurt competitors, not just software
pirates. It does so by making the use of stolen/pirated software to
create and sell products unlawful, giving the Attorney General and
adversely-affected parties the enforcement tools to stop and punish
those who use stolen goods to harm New York businesses. Moreover, it
makes law-breakers liable not only for the first item sold, but also
for the full extent of the product or services made and sold based on
the stolen software.

The need for additional tools to combat the economic damage caused by
the illegal use of stolen software is obvious. In 2008, worldwide
software piracy was pegged at 41 percent representing losses of over
$50 billion. Yet, the real economic damage reaches well beyond the
piracy itself; it extends to the very fabric of the use of
intellectual property in the development of the innovative products
and services. It means fewer jobs in New York, less innovation,
hundreds of millions of dollars in lost tax revenue and reduced
economic growth overall.

This measure will provide the State, through the Attorney General, and
the companies that are adversely affected, the legal construct to
fight back against this pernicious use of stolen computer software and
the intellectual property behind it.

 PRIOR LEGISLATIVE HISTORY :
New Bill.

 FISCAL IMPLICATIONS :

According to a 2007 study, software piracy alone costs New York taxing
jurisdictions more than $344M in lost tax revenue alone.

 EFFECTIVE DATE :
This act shall take effect 90 days after it becomes law.

2009-S7658A (ACTIVE) - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 7658--A

                            I N  S E N A T E

                             April 29, 2010
                               ___________

Introduced  by  Sen.  ADAMS  -- read twice and ordered printed, and when
  printed to be committed to the Committee  on  Consumer  Protection  --
  committee  discharged,  bill amended, ordered reprinted as amended and
  recommitted to said committee

AN ACT to amend the general business  law,  in  relation  to  stolen  or
  misappropriated computer software

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The general business law is amended by adding a new section
390-d to read as follows:
  S 390-D. ILLEGAL USE OF STOLEN OR MISAPPROPRIATED  COMPUTER  SOFTWARE;
PENALTIES.    1.  FOR  THE  PURPOSES OF THIS SECTION, THE TERM "COMPUTER
SOFTWARE"  SHALL  MEAN  AN  ORDERED  SET  OF  DATA  REPRESENTING   CODED
INSTRUCTIONS  OR  STATEMENTS  THAT, WHEN EXECUTED BY COMPUTER, CAUSE THE
COMPUTER TO PROCESS DATA OR DIRECT THE COMPUTER TO PERFORM ONE  OR  MORE
COMPUTER OPERATIONS, OR BOTH.
  2.  IT IS UNLAWFUL FOR A PERSON TO DEVELOP OR MANUFACTURE A PRODUCT OR
PRODUCTS, OR TO DEVELOP OR SUPPLY SERVICES, WHILE USING STOLEN OR MISAP-
PROPRIATED COMPUTER SOFTWARE, INCLUDING, BUT  NOT  LIMITED  TO  COMPUTER
SOFTWARE  THAT DOES NOT HAVE THE NECESSARY LICENSE AGREEMENTS, WHERE ANY
SUCH PRODUCTS OR SERVICES ARE SOLD OR OFFERED FOR SALE IN THIS STATE.
  3. (A) THE ATTORNEY GENERAL, OR ANY PERSON WHO IS  ADVERSELY  AFFECTED
BY  REASON  OF  ANY  VIOLATION  OF SUCH SUBDIVISION, MAY BRING AN ACTION
AGAINST A PERSON WHO VIOLATES THE PROVISIONS OF SUCH SUBDIVISION:
  (1) TO ENJOIN FURTHER VIOLATION OF THE PROVISIONS OF  SUBDIVISION  TWO
OF THIS SECTION; AND
  (2) TO RECOVER THE GREATER OF:
  (A) ACTUAL DAMAGES; OR
  (B) ONE THOUSAND DOLLARS FOR EACH VIOLATION OF SUBDIVISION TWO OF THIS
SECTION.
  (B) IN AN ACTION UNDER PARAGRAPH (A) OF THIS SUBDIVISION, A COURT MAY:
  (1)  INCREASE  THE  DAMAGES  UP  TO THREE TIMES THE DAMAGES ALLOWED BY
PARAGRAPH (A) OF THIS SUBDIVISION WHERE THE DEFENDANT HAS BEEN FOUND  TO

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD17096-02-0

S. 7658--A                          2

HAVE  ENGAGED  IN  A PATTERN AND PRACTICE OF VIOLATING THE PROVISIONS OF
SUBDIVISION TWO OF THIS SECTION; AND
  (2) AWARD COSTS AND REASONABLE ATTORNEY'S FEES TO A PREVAILING PARTY.
  (C)  FOR  THE PURPOSES OF THIS SECTION, A VIOLATION SHALL BE DEEMED TO
HAVE OCCURRED EACH TIME A PRODUCT OR SERVICE IS SOLD OR OFFERED FOR SALE
IN THIS STATE.
  4. NOTHING CONTAINED IN THIS SECTION SHALL IN ANY WAY LIMIT THE RIGHTS
OR REMEDIES WHICH ARE OTHERWISE AVAILABLE  UNDER  LAW  TO  THE  ATTORNEY
GENERAL OR ANY OTHER PERSON AUTHORIZED TO BRING AN ACTION UNDER SUBDIVI-
SION  THREE  OF  THIS SECTION, NOR SHALL IT LIMIT THE ENFORCEMENT OF ANY
APPLICABLE PROVISION OF THE PENAL LAW.
  S 2. Severability. If any clause, sentence, paragraph, section or part
of this act shall be adjudged by any court of competent jurisdiction  to
be  invalid,  the  judgment  shall not affect, impair, or invalidate the
remainder thereof, but shall be confined in its operation to the clause,
sentence, paragraph, section or part thereof directly  involved  in  the
controversy in which the judgment shall have been rendered.
  S  3.  This  act shall take effect on the ninetieth day after it shall
have become a law.

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Senate Bill S7658

Sponsored By

Archive: Last Bill Status - In Assembly Committee

Jun 16, 2010 - Floor Vote

Floor Vote: Jun 16, 2010

Jun 16, 2010 - Rules Committee Vote

Rules Committee Vote: Jun 16, 2010

Jun 8, 2010 - Consumer Protection Committee Vote

Consumer Protection Committee Vote: Jun 8, 2010

Bill Amendments

2009-S7658 - Details

2009-S7658 - Summary

2009-S7658 - Sponsor Memo

2009-S7658 - Bill Text download pdf

2009-S7658A (ACTIVE) - Details

2009-S7658A (ACTIVE) - Summary

2009-S7658A (ACTIVE) - Sponsor Memo

2009-S7658A (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S7658

Share this bill

Sponsored By

Eric Adams

Archive: Last Bill Status - In Assembly Committee

Bill Amendments

2009-S7658 - Details

2009-S7658 - Summary

2009-S7658 - Sponsor Memo

2009-S7658 - Bill Text download pdf

2009-S7658A (ACTIVE) - Details

2009-S7658A (ACTIVE) - Summary

2009-S7658A (ACTIVE) - Sponsor Memo

2009-S7658A (ACTIVE) - Bill Text download pdf

Comments