S T A T E O F N E W Y O R K ________________________________________________________________________ 894 2011-2012 Regular Sessions I N A S S E M B L Y (PREFILED) January 5, 2011 ___________ Introduced by M. of A. PHEFFER, DESTITO -- Multi-Sponsored by -- M. of A. DINOWITZ -- read once and referred to the Committee on Consumer Affairs and Protection AN ACT to amend the general business law, in relation to requiring the labeling of retail products or packages containing a radio frequency identification tag THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. The general business law is amended by adding a new article 2 12-C to read as follows: 3 ARTICLE 12-C 4 RADIO FREQUENCY IDENTIFICATION TAG LABELS 5 SECTION 219. RADIO FREQUENCY IDENTIFICATION TAG LABELS. 6 S 219. RADIO FREQUENCY IDENTIFICATION TAG LABELS. 1. DEFINITIONS. AS 7 USED IN THIS ARTICLE, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEAN- 8 INGS: 9 A. "PACKAGE" MEANS ANY TYPE OF CONTAINER, ARTICLE, OR ITEM THAT IS 10 USED TO CONTAIN OR HOLD A RETAIL PRODUCT IN THE FORM IN WHICH THE RETAIL 11 PRODUCT IS SOLD TO CONSUMERS. 12 B. "RADIO FREQUENCY IDENTIFICATION" MEANS ANY TECHNOLOGY THAT USES 13 RADIO WAVES OR OTHER WIRELESS MEANS TO TRANSMIT IDENTIFYING INFORMATION 14 BETWEEN A TAG, BADGE, OR OTHER DEVICE AND A READER WITHOUT PHYSICAL 15 CONTACT. 16 C. "RADIO FREQUENCY IDENTIFICATION TAG" MEANS A DEVICE THAT IS 17 ATTACHED TO, EMBEDDED IN, OR MADE PART OF A RETAIL PRODUCT OR ITS PACK- 18 AGE AND THAT USES RADIO FREQUENCY IDENTIFICATION TECHNOLOGY TO TRANSMIT 19 A UNIQUE NUMBER OR IDENTIFIER TO A READER. 20 D. "READER" MEANS A DEVICE THAT IS CAPABLE OF USING RADIO WAVES OR 21 OTHER WIRELESS MEANS TO COMMUNICATE WITH, AND READ THE INFORMATION TRAN- 22 SMITTED BY, A RADIO FREQUENCY IDENTIFICATION TAG. EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD00935-01-1 A. 894 2 1 2. ANY PERSON OR ENTITY THAT PRODUCES, MANUFACTURES, PACKAGES, 2 DISTRIBUTES, OR SELLS A RETAIL PRODUCT AND CAUSES A RADIO FREQUENCY 3 IDENTIFICATION TAG TO BE ATTACHED TO, EMBEDDED IN, OR MADE PART OF THE 4 RETAIL PRODUCT OR ITS PACKAGE SHALL LABEL SUCH PRODUCT OR ITS PACKAGING 5 WITH A NOTICE REGARDING THE EXISTENCE OF THE RADIO FREQUENCY IDENTIFICA- 6 TION TAG. 7 A. IT SHALL BE UNLAWFUL FOR ANY RETAILER, WHO KNOWS OR REASONABLY 8 SHOULD KNOW, THAT A RETAIL PRODUCT OR ITS PACKAGE CONTAINS A RADIO 9 FREQUENCY IDENTIFICATION TAG TO SELL SUCH RETAIL PRODUCT TO A CONSUMER 10 UNLESS THE RETAIL PRODUCT OR ITS PACKAGE BEARS THE LABEL REQUIRED BY 11 THIS SECTION. 12 B. THE LABEL REQUIRED PURSUANT TO THIS SECTION MUST, AT A MINIMUM: 13 (1) INFORM THE CONSUMER THAT THE RETAIL PRODUCT OR ITS PACKAGE HAS A 14 RADIO FREQUENCY IDENTIFICATION TAG WHICH CAN TRANSMIT UNIQUE IDENTIFICA- 15 TION INFORMATION BEFORE AND AFTER PURCHASE OF THE RETAIL PRODUCT; 16 (2) BE IN A CONSPICUOUS LOCATION ON THE RETAIL PRODUCT OR ITS PACKAGE; 17 AND 18 (3) BE PRINTED IN A SIZE OF TYPE AND IN A MANNER THAT IS CONSPICUOUS 19 AND CONTRASTS WITH THE BACKGROUND ON WHICH THE NOTICE APPEARS. 20 3. ANY PERSON, FIRM, CORPORATION, LIMITED LIABILITY COMPANY, ASSOCI- 21 ATION, OR OTHER ENTITY WHO VIOLATES THIS SECTION SHALL BE SUBJECT TO A 22 CIVIL PENALTY OF NOT LESS THAN ONE HUNDRED DOLLARS NOR MORE THAN ONE 23 THOUSAND DOLLARS FOR EACH SUCH VIOLATION. EACH SALE OF AN ITEM IN 24 VIOLATION OF THIS SECTION SHALL CONSTITUTE A SEPARATE VIOLATION. 25 4. WHENEVER THERE SHALL BE A VIOLATION OF THIS SECTION, AN APPLICATION 26 MAY BE MADE BY THE ATTORNEY GENERAL IN THE NAME OF THE PEOPLE OF THE 27 STATE OF NEW YORK, TO A COURT OR JUSTICE HAVING JURISDICTION, BY A 28 SPECIAL PROCEEDING, TO ISSUE AN INJUNCTION, AND, UPON NOTICE TO THE 29 DEFENDANT OF NOT LESS THAN FIVE DAYS, TO ENJOIN AND RESTRAIN THE CONTIN- 30 UANCE OF SUCH VIOLATION; AND, IF IT SHALL APPEAR TO THE SATISFACTION OF 31 THE COURT OR JUSTICE THAT THE DEFENDANT HAS, IN FACT, VIOLATED THIS 32 SECTION, AN INJUNCTION MAY BE ISSUED BY THE COURT OR JUSTICE, ENJOINING 33 AND RESTRAINING ANY FURTHER VIOLATIONS, WITHOUT REQUIRING PROOF THAT ANY 34 PERSON HAS, IN FACT, BEEN INJURED OR DAMAGED THEREBY. IN ANY SUCH 35 PROCEEDING, THE COURT MAY MAKE ALLOWANCES TO THE ATTORNEY GENERAL, AS 36 PROVIDED IN PARAGRAPH SIX OF SUBDIVISION (A) OF SECTION EIGHTY-THREE 37 HUNDRED THREE OF THE CIVIL PRACTICE LAW AND RULES, AND DIRECT RESTITU- 38 TION. WHENEVER THE COURT SHALL DETERMINE THAT A VIOLATION OF THIS 39 SECTION HAS OCCURRED, THE COURT MAY IMPOSE A CIVIL PENALTY PURSUANT TO 40 SUBDIVISION THREE OF THIS SECTION. IN CONNECTION WITH ANY SUCH PROPOSED 41 APPLICATION, THE ATTORNEY GENERAL IS AUTHORIZED TO TAKE PROOF AND MAKE A 42 DETERMINATION OF THE RELEVANT FACTS AND TO ISSUE SUBPOENAS IN ACCORDANCE 43 WITH THE CIVIL PRACTICE LAW AND RULES. 44 S 2. This act shall take effect on the first of September next 45 succeeding the date on which it shall have become a law.