NY State Senate Bill 2019-S4235

Archive: Last Bill Status - In Senate Committee Judiciary 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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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 08, 2020	referred to judiciary
Mar 05, 2019	referred to judiciary

2019-S4235 (ACTIVE) - Details

See Assembly Version of this Bill:: A5632
Current Committee:: Senate Judiciary
Law Section:: Civil Practice Law and Rules
Laws Affected:: Amd §3103, add Art 31-A §§3141 - 3143, CPLR
Versions Introduced in Other Legislative Sessions:: 2017-2018: A9593
2021-2022: S472
2023-2024: S2552, A7463

2019-S4235 (ACTIVE) - Summary

Enacts the "sunshine in litigation act" regarding protective orders.

2019-S4235 (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S4235

SPONSOR: HOYLMAN
 
TITLE OF BILL:  An act to amend the civil practice law and rules, in
relation to enacting the "sunshine in litigation act" regarding protec-
tive orders

 
PURPOSE OF BILL:

To enact the Sunshine in Litigation Act to prohibit settlement agree-
ments which conceal a public hazard or any information that would iden-
tify a public hazard.

 
SUMMARY OF PROVISIONS OF BILL:

Section 3141 titles the bill "Sunshine in Litigation Act".

Section 3142 defines governmental entity, public hazard, and trade
secret.

Section 3143 (a) prohibits the court from entering an order or judgement

which has the purpose or effect of concealing a public hazard or infor-
mation that may be useful to the public in protecting from a public
hazard.

Section 3143 (b) provides that trade secrets which are not pertinent to
public hazards shall not be subject to disclosure.

Section 3143 (c) provides that any agreement or contract which has the
purpose or effect of concealing a public hazard is Void as contrary to
public policy and may not be enforced by New York courts or otherwise.

Section 3143 (d) provides standing to any substantially affected person,
including news media, to bring an action to challenge an order, agree-
ment or contract on grounds that it prevents the disclosure of a public
hazard.

Section 3143 (e) provides that the courts will review motions to prevent
disclosure "in camera" upon good cause. Only necessary information vital
to the protection of the public will be disclosed by the court. Valuable
trade secrets and confidential information will remain protected.

Section 3143 (d) provides that any settlement involving government enti-
ties that conceals issues of public hazards is void and unenforceable.
Documents related to government case settlements are subject to FOIL.

 
JUSTIFICATION:

Secrecy agreements that conceal public hazards undermine the civil
justice system and endanger New Yorkers by keeping information vital to
their health and safety from public view. Secret settlements also have a
corrosive effect on public confidence in the courts.

The recent recall and controversy surrounding Firestone tires under-
scores the need for the "Sunshine in Litigation" reforms. Victims of the
dangerous tires began seeking justice in the courts in 1992, but it was
not until 2000 that the tires were recalled. During the interim there
were dozens of lawsuits settled out of court in which Firestone demanded
and obtained secrecy orders. These effectively blocked the release to
the public of information about the potential dangers associated with
the tires. As a result, there were many unnecessary deaths and injuries
which could have been avoided.  Other examples of secret settlements
that concealed ongoing harm to the public are asbestos, silicone breast
implants, and DES synthetic estrogen.

A number of other states have enacted disclosure laws, including South
Carolina, Texas, Florida, Louisiana, and Washington.

 
LEGISLATIVE HISTORY:

New bill.

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

None.

 
EFFECTIVE DATE:
This act shall take effect 30 days after it shall have become a law.

2019-S4235 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4235
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                               March 5, 2019
                                ___________
 
 Introduced  by  Sen. HOYLMAN -- read twice and ordered printed, and when
   printed to be committed to the Committee on Judiciary
 
 AN ACT to amend the civil practice law and rules, in relation to  enact-
   ing the "sunshine in litigation act" regarding protective orders
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivision (a) of section 3103 of the civil  practice  law
 and  rules, as amended by chapter 205 of the laws of 2013, is amended to
 read as follows:
   (a) Prevention of abuse. [The] SUBJECT TO THE  PROVISIONS  OF  SECTION
 THIRTY-ONE  HUNDRED  FORTY-THREE  OF  THIS CHAPTER, THE court may at any
 time on its own initiative, or on motion of any party or of  any  person
 from  whom  or  about  whom discovery is sought, make a protective order
 denying, limiting, conditioning or regulating the use of any  disclosure
 device.  Such order shall be designed to prevent unreasonable annoyance,
 expense, embarrassment, disadvantage, or other prejudice to  any  person
 or the courts.
   § 2. The civil practice law and rules is amended by adding a new arti-
 cle 31-A to read as follows:
                               ARTICLE 31-A
                        SUNSHINE IN LITIGATION ACT
 SECTION 3141. SHORT TITLE.
         3142. DEFINITIONS.
         3143. SUNSHINE  IN  LITIGATION;  CONCEALMENT  OF  PUBLIC HAZARDS
                 PROHIBITED.
   § 3141. SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE  CITED  AS
 THE "SUNSHINE IN LITIGATION ACT".
   §  3142.  DEFINITIONS.  WHEN USED IN THIS ARTICLE, UNLESS OTHERWISE SO
 STATED, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   (A) GOVERNMENTAL ENTITY. "GOVERNMENTAL ENTITY" SHALL  MEAN  THE  STATE
 AND  ANY  COUNTY, CITY, TOWN, VILLAGE OR ANY OTHER POLITICAL SUBDIVISION

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

                                                            LBD00877-01-9

 S. 4235                             2
 
 OF THE STATE,  AND  EVERY  DEPARTMENT,  BOARD,  BUREAU,  AGENCY,  PUBLIC
 AUTHORITY  OR OTHER GOVERNMENTAL INSTRUMENTALITY OF THE STATE OR A POLI-
 TICAL SUBDIVISION OF THE STATE.
   (B)  PUBLIC  HAZARD.  "PUBLIC  HAZARD" SHALL MEAN ANY CONDITION OF ANY
 DEVICE, INSTRUMENT, PERSON, PROCEDURE,  PRODUCT  OR  PROPERTY  THAT  HAS
 CAUSED  INJURY  TO  THE  PERSON OR PROPERTY OF ANOTHER, OR WHICH, UNLESS
 ALTERED, REMOVED, REASSEMBLED OR CHANGED IN SOME MANNER, CREATES A  RISK
 OF INJURY TO PERSON OR PROPERTY IN THE FUTURE.
   (C)  TRADE SECRET. "TRADE SECRET" SHALL MEAN INFORMATION, TECHNICAL OR
 NON-TECHNICAL, INCLUDING, BUT NOT LIMITED TO, A FORMULA, PATTERN, COMPI-
 LATION, PROGRAM, DEVICE, METHOD, TECHNIQUE OR PROCESS THAT:
   1. DERIVES INDEPENDENT ECONOMIC VALUE, ACTUAL OR POTENTIAL,  FROM  NOT
 BEING  GENERALLY KNOWN TO, AND NOT BEING READILY ASCERTAINABLE BY PROPER
 MEANS, BY OTHER PERSONS WHO CAN OBTAIN ECONOMIC VALUE FROM  ITS  DISCLO-
 SURE OR USE; AND
   2.  IS  THE  SUBJECT  OF EFFORTS THAT ARE REASONABLE UNDER THE CIRCUM-
 STANCES TO MAINTAIN ITS SECRECY.
   § 3143. SUNSHINE IN LITIGATION; CONCEALMENT OF PUBLIC HAZARDS  PROHIB-
 ITED.  (A)  EXCEPT  IN  STRICT  COMPLIANCE  WITH  THE PROVISIONS OF THIS
 SECTION, NO COURT SHALL ENTER, ORDER OR RENDER A JUDGMENT IN ANY  ACTION
 OR  PROCEEDING  BROUGHT IN THIS STATE WHICH HAS THE PURPOSE OR EFFECT OF
 CONCEALING A PUBLIC HAZARD OR CONCEALING ANY PERTINENT INFORMATION  THAT
 WOULD  IDENTIFY  A  PUBLIC HAZARD, NOR SHALL THE COURT ENTER AN ORDER OR
 RENDER A JUDGMENT WHICH HAS THE PURPOSE  OR  EFFECT  OF  CONCEALING  ANY
 INFORMATION  THAT  MAY  BE USEFUL TO MEMBERS OF THE PUBLIC IN PROTECTING
 THEIR PERSON OR PROPERTY FROM DAMAGE OR  INJURY  THAT  MAY  RESULT  FROM
 CONTACT WITH A PUBLIC HAZARD.
   (B)  TRADE  SECRETS  WHICH  ARE NOT DIRECTLY RELATED TO PUBLIC HAZARDS
 SHALL BE PROTECTED AND NOT ORDERED TO  BE  RELEASED.  IN  ADDITION,  THE
 PROVISIONS  OF THIS SECTION SHALL NOT APPLY TO OTHER INFORMATION THAT IS
 CONFIDENTIAL BECAUSE IT IS PRIVILEGED UNDER ANY PROVISION  OF  STATE  OR
 FEDERAL LAW.
   (C)  ANY  PROVISION  OF  ANY AGREEMENT OR CONTRACT ENTERED INTO WITHIN
 THIS STATE OR PERTAINING TO PERSONS OR PROPERTY WITHIN THIS STATE, WHICH
 HAS THE PURPOSE OR EFFECT OF CONCEALING A PUBLIC  HAZARD  OR  CONCEALING
 ANY  INFORMATION  THAT WOULD IDENTIFY A PUBLIC HAZARD, WHICH INFORMATION
 MAY BE USEFUL TO MEMBERS OF THE PUBLIC IN  PROTECTING  THEIR  PERSON  OR
 PROPERTY  FROM  DAMAGE  OR  INJURY  RESULTING FROM CONTACT WITH A PUBLIC
 HAZARD, IS HEREBY DECLARED TO BE VOID AND CONTRARY TO PUBLIC POLICY, AND
 SHALL NOT BE ENFORCED BY THE COURTS OF THIS STATE, OR OTHERWISE.
   (D) ANY SUBSTANTIALLY AFFECTED PERSON OR REPRESENTATIVE OF THE  ESTATE
 OF  SUCH  PERSON,  INCLUDING  BUT NOT LIMITED TO A REPRESENTATIVE OF THE
 NEWS MEDIA, SHALL BE DEEMED TO HAVE  STANDING  TO  BRING  AN  ACTION  OR
 PROCEEDING  IN  A  COURT  OF COMPETENT JURISDICTION TO CONTEST AN ORDER,
 JUDGMENT, AGREEMENT OR CONTRACT ON THE  GROUNDS  THAT  IT  VIOLATES  THE
 PROVISIONS  OF  THIS  SECTION REQUIRING DISCLOSURE OF THE EXISTENCE OF A
 PUBLIC HAZARD. SUCH PERSON MAY CONTEST SUCH AN ORDER,  JUDGMENT,  AGREE-
 MENT  OR  CONTRACT  BY  MOTION BROUGHT BEFORE THE COURT THAT ENTERED THE
 ORDER OR JUDGMENT.
   (E) UPON MOTION AND GOOD CAUSE SHOWN BY A PARTY ATTEMPTING TO  PREVENT
 RELEASE  OF  INFORMATION OR MATERIALS ALLEGEDLY CONCEALING THE EXISTENCE
 OF A PUBLIC HAZARD, INCLUDING BUT NOT LIMITED TO DISPUTES  WHEREIN  SUCH
 INFORMATION  IS ALLEGED TO BE A TRADE SECRET PROTECTED BY LAW, THE COURT
 SHALL EXAMINE THE DISPUTED INFORMATION OR MATERIALS IN  CAMERA.  IF  THE
 COURT  DETERMINES THAT THE INFORMATION OR MATERIALS OR PORTIONS  THEREOF
 CONSIST OF INFORMATION CONCERNING A PUBLIC HAZARD  OR  INFORMATION  THAT

 S. 4235                             3
 
 MAY  BE  USEFUL  TO  MEMBERS OF THE PUBLIC IN PROTECTING THEMSELVES FROM
 INJURY TO PERSON OR PROPERTY THAT MAY RESULT FROM CONTACT  WITH  SUCH  A
 PUBLIC HAZARD, THE COURT SHALL ORDER RELEASE OF THE INFORMATION OR MATE-
 RIALS. IF SUCH RELEASE IS ORDERED, THE COURT SHALL ALLOW RELEASE OF ONLY
 THAT  PORTION OF THE INFORMATION OR MATERIALS NECESSARY OR USEFUL TO THE
 PUBLIC IN IDENTIFYING THE PUBLIC HAZARD, AND IN PROTECTING THEIR  PERSON
 OR  PROPERTY FROM DAMAGE OR INJURY THAT MAY RESULT FROM CONTACT WITH THE
 PUBLIC HAZARD.
   (F) ANY PROVISION OF ANY AGREEMENT OR  CONTRACT  ENTERED  INTO  WITHIN
 THIS STATE, OR PERTAINING TO PERSONS OR PROPERTY WITHIN THIS STATE, THAT
 HAS  THE  PURPOSE  OR  EFFECT  OF CONCEALING INFORMATION RELATING TO THE
 SETTLEMENT OR RESOLUTION OF ANY CLAIM OR ACTION AGAINST ANY GOVERNMENTAL
 ENTITY AND THAT MAY BE USEFUL TO MEMBERS OF  THE  PUBLIC  IN  PROTECTING
 THEIR  PERSON  OR  PROPERTY  FROM  DAMAGE OR INJURY THAT MAY RESULT FROM
 CONTACT WITH A PUBLIC HAZARD IS HEREBY DECLARED TO BE VOID AND  CONTRARY
 TO PUBLIC POLICY, AND SHALL NOT BE ENFORCED BY THE COURTS OF THIS STATE,
 OR  OTHERWISE.  ANY  DOCUMENT, RECORD, CONTRACT OR AGREEMENT RELATING TO
 ANY SETTLEMENT, AS SET FORTH IN THIS  SUBDIVISION,  SHALL  BE  DEEMED  A
 PUBLIC  RECORD  SUBJECT  TO  DISCLOSURE  PURSUANT  TO ARTICLE SIX OF THE
 PUBLIC OFFICERS LAW. THE FAILURE OR REFUSAL OF ANY PARTY TO AN ACTION OR
 PROCEEDING, OR OTHER PERSON IN CUSTODY OF SUCH A RECORD, TO DISCLOSE AND
 PROVIDE ANY DOCUMENT, RECORD, CONTRACT OR AGREEMENT AS SET FORTH IN THIS
 SUBDIVISION SHALL BE SUBJECT TO THE SANCTIONS AS SET  FORTH  IN  ARTICLE
 SIX OF THE PUBLIC OFFICERS LAW, PURSUANT TO THE APPLICABLE LAW OR RULE.
   §  3.  This  act shall take effect on the thirtieth day after it shall
 have become a law.

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Senate Bill S4235

Sponsored By

Archive: Last Bill Status - In Senate Committee Judiciary Committee

2019-S4235 (ACTIVE) - Details

2019-S4235 (ACTIVE) - Summary

2019-S4235 (ACTIVE) - Sponsor Memo

2019-S4235 (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S4235

Share this bill

Sponsored By

Brad Hoylman-Sigal

Archive: Last Bill Status - In Senate Committee Judiciary Committee

2019-S4235 (ACTIVE) - Details

2019-S4235 (ACTIVE) - Summary

2019-S4235 (ACTIVE) - Sponsor Memo

2019-S4235 (ACTIVE) - Bill Text download pdf

Comments