S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3025
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 24, 2017
                                ___________
 
 Introduced  by  M.  of  A. SANTABARBARA -- read once and referred to the
   Committee on Corporations, Authorities and Commissions
 
 AN ACT to amend the public service law, in relation  to  establishing  a
   cap  on  the  amount  a subscriber may be charged for leasing a modem,
   remote or other device from a cable television company

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The public service law is amended by adding a new section
 section 231 to read as follows:
   § 231. LEASING OF EQUIPMENT. 1. FOR THE PURPOSES OF THIS SECTION,  THE
 FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   (A)  "LEASE"  MEANS  A  CONTRACT  OR  INSTRUMENT CONVEYING PROPERTY TO
 ANOTHER FOR A SPECIFIED PERIOD OR FOR A PERIOD DETERMINABLE AT THE  WILL
 OF EITHER LESSOR OR LESSEE IN CONSIDERATION OF COMPENSATION; AND
   (B)  "MODEM" MEANS AN ELECTRONIC DEVICE THAT MAKES POSSIBLE THE TRANS-
 MISSION OF DATA TO OR FROM A COMPUTER VIA TELEPHONE  OR  OTHER  COMMUNI-
 CATION LINES.
   2.  NO  CABLE TELEVISION COMPANY SHALL CHARGE ANY SUBSCRIBER AN AMOUNT
 WHICH IS MORE THAN THE ACTUAL COST OF THE MODEM, REMOTE CONTROL  OR  ANY
 OTHER DEVICE PAID FOR BY THE COMPANY AND PROVIDED TO THE SUBSCRIBER.
   3.  A  CABLE OR INTERNET PROVIDER SHALL DISCLOSE IN AN INITIAL BILLING
 CORRESPONDENCE: (A) THE AMOUNT THE EQUIPMENT COSTS THE COMPANY, (B)  HOW
 MANY  PAYMENTS  THE  SUBSCRIBER MUST MAKE ON THE EQUIPMENT IN TOTAL, AND
 (C) INFORMATION REGARDING HOW OR WHERE A SUBSCRIBER  MAY  PURCHASE  SUCH
 EQUIPMENT AT RETAIL.
   4.  NO  CABLE TELEVISION COMPANY SHALL CHARGE ANY SUBSCRIBER A MONTHLY
 FEE FOR THE LEASE OR USE OF A NEW MODEM, REMOTE CONTROL OR OTHER  DEVICE
 BEYOND  TWELVE  MONTHS  AFTER  SUCH  EQUIPMENT HAS BEEN PROVIDED BY SUCH
 CABLE TELEVISION COMPANY. IF A CABLE  TELEVISION  COMPANY  REPLACES  THE
 CUSTOMER'S  EXISTING  MODEM,  REMOTE  CONTROL OR OTHER DEVICE WITH A NEW
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD07812-01-7
              

 A. 3025                             2
 
 MODEM, REMOTE CONTROL OR OTHER DEVICE DURING OR AFTER SUCH TWELVE  MONTH
 PERIOD AN ADDITIONAL TWELVE MONTH PERIOD SHALL COMMENCE.
   5.  NO  CABLE TELEVISION COMPANY SHALL CHARGE AN ADDITIONAL OR MONTHLY
 FEE FOR THE MAINTENANCE OF A PROVIDED MODEM,  REMOTE  CONTROL  OR  OTHER
 DEVICE.
   6.  WHENEVER  THERE  SHALL BE A VIOLATION OF THIS SECTION, APPLICATION
 MAY BE MADE BY THE COMMISSION IN THE NAME OF THE PEOPLE OF THE STATE  OF
 NEW YORK TO A COURT OR JUSTICE HAVING JURISDICTION BY A SPECIAL PROCEED-
 ING TO ISSUE AN INJUNCTION, AND UPON NOTICE TO THE DEFENDANT OF NOT LESS
 THAN  FIVE  DAYS,  TO  ENJOIN  AND  RESTRAIN  THE  CONTINUANCE  OF  SUCH
 VIOLATIONS; AND IF IT SHALL APPEAR TO THE SATISFACTION OF THE  COURT  OR
 JUSTICE  THAT  THE  DEFENDANT  HAS,  IN  FACT, VIOLATED THIS SECTION, AN
 INJUNCTION MAY BE  ISSUED  BY  SUCH  COURT  OR  JUSTICE,  ENJOINING  AND
 RESTRAINING  ANY  FURTHER  VIOLATION,  WITHOUT  REQUIRING PROOF THAT ANY
 PERSON HAS, IN FACT, BEEN INJURED OR DAMAGED THEREBY.
   7. WHENEVER THE COURT SHALL DETERMINE THAT A VIOLATION OF THIS SECTION
 HAS OCCURRED, THE COURT MAY IMPOSE A CIVIL PENALTY OF NOT MORE THAN FIVE
 HUNDRED DOLLARS FOR EACH VIOLATION.
   § 2. This act shall take effect immediately.