S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4903
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 6, 2017
                                ___________
 
 Introduced  by  M.  of  A.  ROSENTHAL, GLICK, JAFFEE, DenDEKKER, HOOPER,
   COOK, M. G. MILLER, ABINANTI, WEPRIN, GOTTFRIED -- Multi-Sponsored  by
   --  M.  of  A. CAHILL, GUNTHER, MAGEE, PERRY, SOLAGES -- read once and
   referred to the Committee on Consumer Affairs and Protection
 
 AN ACT to amend the general business law,  in  relation  to  prohibiting
   debt  collectors  from collecting or attempting to collect a debt owed
   by a deceased debtor that is known to be deceased
 
   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
 601-a to read as follows:
   §  601-A.  PROHIBITED PRACTICES REGARDING DECEASED DEBTORS. 1. FOR THE
 PURPOSES OF THIS SECTION, THE FOLLOWING TERMS SHALL HAVE  THE  FOLLOWING
 MEANINGS:
   (A) "DEBT" MEANS ANY OBLIGATION OR ALLEGED OBLIGATION OF A CONSUMER TO
 PAY  MONEY  ARISING  OUT  OF A TRANSACTION IN WHICH THE MONEY, PROPERTY,
 INSURANCE, OR SERVICES WHICH ARE THE  SUBJECT  OF  THE  TRANSACTION  ARE
 PRIMARILY  FOR  PERSONAL,  FAMILY, OR HOUSEHOLD PURPOSES, WHETHER OR NOT
 SUCH OBLIGATION HAS BEEN REDUCED TO JUDGMENT;
   (B) "DEBT COLLECTOR" MEANS AN INDIVIDUAL WHO, AS PART OF  HIS  OR  HER
 JOB, REGULARLY COLLECTS OR ATTEMPTS TO COLLECT DEBTS: (I) OWED OR DUE OR
 ASSERTED  TO BE OWED OR DUE TO ANOTHER; OR (II) OBTAINED BY, OR ASSIGNED
 TO, SUCH PERSON, FIRM OR CORPORATION, THAT ARE IN DEFAULT WHEN  OBTAINED
 OR ACQUIRED BY SUCH PERSON, FIRM OR CORPORATION; AND
   (C)  "ATTEMPTING TO COLLECT A DEBT" MEANS ANY ACTION TAKEN OR COMMUNI-
 CATION MADE BY A PRINCIPAL CREDITOR OR DEBT COLLECTOR TO ANY PERSON  WHO
 IS AUTHORIZED TO RECEIVE SUCH COMMUNICATIONS ABOUT A DEBT.
   2.    ANY PRINCIPAL CREDITOR OR DEBT COLLECTOR ATTEMPTING TO COLLECT A
 DEBT INCURRED BY A DECEASED DEBTOR FROM A PERSON WHO THE PRINCIPAL CRED-
 ITOR OR DEBT COLLECTOR KNOWS IS NOT LEGALLY REQUIRED TO  PAY  SUCH  DEBT
 SHALL  DISCLOSE TO SUCH PERSON THAT HE OR SHE IS NOT LEGALLY REQUIRED TO
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD05039-01-7

 A. 4903                             2
 
 PAY SUCH DEBTS.  IN ADDITION, SUCH PRINCIPAL CREDITOR OR DEBT  COLLECTOR
 SHALL  NOT  MAKE ANY MISREPRESENTATION ABOUT SUCH PERSON'S OBLIGATION TO
 PAY SUCH DEBT.
   3.  (A)  IN  ADDITION  TO  ANY RIGHT OF ACTION GRANTED TO THE ATTORNEY
 GENERAL PURSUANT TO THIS ARTICLE, ANY PERSON AGGRIEVED BY REASON OF  ANY
 VIOLATION  OF THIS SECTION MAY BRING AN ACTION IN HIS OR HER OWN NAME TO
 ENJOIN SUCH UNLAWFUL ACT OR PRACTICE, AN ACTION TO RECOVER  HIS  OR  HER
 ACTUAL  DAMAGES  OR  FIVE HUNDRED DOLLARS, WHICHEVER IS GREATER, OR BOTH
 SUCH ACTIONS. IN THE CASE OF ANY SUCCESSFUL ACTION TO ENFORCE THE  FORE-
 GOING  LIABILITY,  THE  COURT MAY AWARD THE COSTS OF THE ACTION TOGETHER
 WITH REASONABLE ATTORNEY'S FEES. EACH COMMUNICATION THAT FAILS TO COMPLY
 WITH THE REQUIREMENTS  OF  THIS  SECTION  SHALL  CONSTITUTE  A  SEPARATE
 VIOLATION.
   (B)  ANY  CONSUMER  ENTITLED TO BRING AN ACTION UNDER THIS SUBDIVISION
 MAY, IF THE UNLAWFUL ACT OR PRACTICE HAS CAUSED DAMAGE TO OTHER  CONSUM-
 ERS  SIMILARLY  SITUATED,  BRING AN ACTION ON BEHALF OF HIMSELF AND SUCH
 OTHER CONSUMERS TO RECOVER DAMAGES OR OBTAIN OTHER  RELIEF  AS  PROVIDED
 FOR IN THIS SUBDIVISION. ANY ACTION BROUGHT UNDER THIS SUBDIVISION SHALL
 COMPLY WITH ARTICLE NINE OF THE CIVIL PRACTICE LAW AND RULES.
   §  2.  Subdivision  1  of  section 602 of the general business law, as
 added by chapter 753 of the laws of 1973, is amended to read as follows:
   1. Except as otherwise provided by law, any person who [shall violate]
 WILLFULLY VIOLATES the terms of this  article  [shall  be],  EXCEPT  THE
 TERMS  CONTAINED IN SECTION SIX HUNDRED ONE-A OF THIS ARTICLE, IS guilty
 of a misdemeanor, and each such violation shall  be  deemed  a  separate
 offense.
   §  3.  This  act shall take effect on the ninetieth day after it shall
 have become a law.