Bill Text: NY A00852 | 2019-2020 | General Assembly | Introduced
Bill Title: Establishes restrictions on consumer and employment contracts.
Spectrum: Partisan Bill (Democrat 8-0)
Status: (Introduced - Dead) 2020-01-08 - ordered to third reading cal.42 [A00852 Detail]
Download: New_York-2019-A00852-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 852 2019-2020 Regular Sessions IN ASSEMBLY January 11, 2019 ___________ Introduced by M. of A. SIMOTAS, STECK, JAFFEE, ZEBROWSKI -- Multi-Spon- sored by -- M. of A. SIMON -- read once and referred to the Committee on Judiciary AN ACT to amend the general obligations law, in relation to the provisions of consumer and employment contracts The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The general obligations law is amended by adding a new 2 section 5-303 to read as follows: 3 § 5-303. Consumer and employment contracts. 1. Findings. Obscure and 4 overly complex language in consumer and employment contracts interferes 5 with employees' and consumers' ability to provide meaningful assent to 6 their consumer and employment contracts. To ensure that private parties 7 comprehend the material terms of the consumer and employment contracts 8 into which they enter, this section requires that merchants and employ- 9 ers in designated forms of contracts adequately disclose terms and 10 conditions. 11 2. Non-conforming coverage. This section shall apply to the contracts 12 designated in subdivision one of this section that meet any of the 13 following criteria: 14 (a) an employment or consumer contract not written in plain language, 15 pursuant to section 5-702 of this article, that a reasonable consumer or 16 employee would understand; or 17 (b) if a consumer contract, all of the material terms are not found in 18 a single document. 19 3. Covered contracts. The provisions of this section shall apply to 20 the following types of contracts: 21 (a) consumer contracts; and 22 (b) employment contracts. 23 4. Rights when a covered contract is non-conforming. A consumer or 24 employee may seek a court order reforming any contract covered by this EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD01382-01-9A. 852 2 1 section. Such reformed agreement shall reflect the understanding of the 2 parties, and the court may exclude terms not written in plain English or 3 found in a separate document. 4 5. Pre-existing rules. The provisions of this section shall be applied 5 in conjunction with pre-existing rules regarding contract formation, 6 including rules regarding reasonable notice, and the conduct a consumer 7 or employee must manifest in order to assent to an agreement. The 8 provisions of this subdivision shall not apply to agreements negotiated 9 with any labor union through collective bargaining. 10 § 2. This act shall take effect on the one hundred eightieth day after 11 it shall have become a law.