Bill Text: NY A05926 | 2023-2024 | General Assembly | Amended
Bill Title: Prohibits deceptive rate advertising for certain accommodations; requires advertised rates to be inclusive of all taxes and automatic fees; requires the non-inclusive rate, and an itemized list of taxes and automatic fees to be provided to the consumer prior to a person finalizing his or her purchase.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced) 2024-01-03 - referred to consumer affairs and protection [A05926 Detail]
Download: New_York-2023-A05926-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 5926--A 2023-2024 Regular Sessions IN ASSEMBLY March 24, 2023 ___________ Introduced by M. of A. VANEL -- read once and referred to the Committee on Consumer Affairs and Protection -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said commit- tee AN ACT to amend the general business law, in relation to prohibiting deceptive rate advertising for certain accommodations 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 section 2 209-h to read as follows: 3 § 209-h. Deceptive advertising. 1. Every advertisement or solicitation 4 communicating a rate or rates for an accommodation in this state made by 5 an operator of an accommodation or marketer shall be deemed deceptive if 6 such rate or rates are not inclusive of all taxes and automatic fees. 7 This section shall be construed as applying to all instances and mediums 8 where the rate or rates are communicated. 9 2. For purposes of this section, the following terms shall have the 10 following meanings: 11 (a) "Rate" shall mean the costs associated with staying at an accommo- 12 dation, whether displayed as a nightly, daily, or aggregate price and 13 whether represented in currency, points, credits, or a similar represen- 14 tation, paid by a guest to stay at the accommodation. 15 (b) "Accommodation" shall mean a hotel, motel, inn or short-term 16 rental. "Short-term rental" shall be defined as an entire dwelling unit, 17 or a room, group of rooms, other living or sleeping space, or any other 18 space, made available for rent by guests for less than thirty consec- 19 utive days. 20 (c) "Automatic fees" shall include all such fees that are charged to a 21 guest without respect for such guest's right or ability to be reimbursed 22 for or refuse to pay the fee or any part thereof. Automatic fees shall 23 include, but shall not be limited to, service fees, resort fees, desti- EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD10040-03-3A. 5926--A 2 1 nation fees, amenity fees, facility fees, housekeeping or cleaning fees, 2 mandatory gratuities, and any fee for a good or service due at the 3 accommodation or elsewhere, before, during, or after the guest concludes 4 his or her stay, that is automatically charged in full absent notifica- 5 tion to the accommodation by the guest that the good or service being 6 charged for was not utilized. A guest's right to refuse or be reimbursed 7 for an automatic payment shall have no effect on the fee's classifica- 8 tion. Taxes shall include all applicable federal, state, and local 9 taxes. 10 (d) "Inclusive rate" shall mean the total cost amount the consumer is 11 expected to pay, including any additional taxes or fees. 12 (e) "Non-inclusive rate" shall mean the cost amount for only the 13 services being provided, which does not include additional taxes and 14 fees which may be imposed. 15 (f) "Marketer" shall mean any person or entity who, in the normal 16 course of business, displays, advertises or solicits rates for accommo- 17 dations. 18 (g) "Points" and "credits" shall include all incentives offered by an 19 issuing entity that can be redeemed at an accommodation, irrespective of 20 the issuer. Points and credits shall include, but shall not be limited 21 to, points issued by credit card issuers, operators of accommodations, 22 rewards programs, loyalty programs, and any combination thereof. 23 3. Upon request by a consumer, the operator of an accommodation or 24 marketer shall be required to provide the consumer with the non-inclu- 25 sive rate, and an itemized list of taxes and automatic fees prior to a 26 person finalizing his or her purchase. Absent of such request, the oper- 27 ator of an accommodation or marketer shall be permitted to provide the 28 consumer with the inclusive rate. 29 4. Where a rate is payable in points or credits, irrespective of the 30 issuing entity, every instance of the rate shall be conspicuously accom- 31 panied by the sum of taxes and automatic fees, including all taxes and 32 automatic fees charged by the issuing entity where the entity is not the 33 operator of the accommodation. 34 5. No operator of an accommodation or marketer shall be liable under 35 this section for any unforeseeable acts or circumstances which cause the 36 inadvertent communication of a non-inclusive rate provided that the 37 operator, upon being notified of the existence of such an error, prompt- 38 ly notify any guest who has reserved the rate and provide them with the 39 option to refund their reservation without penalty in the same amount 40 and type of consideration paid. 41 6. Any operator of an accommodation or marketer who violates the 42 provisions of this section shall be liable for a civil penalty of not 43 less than one thousand dollars, but not more than three thousand 44 dollars, per violation. 45 7. Any agreement relating to the waiver of any provision within this 46 section shall be void. 47 8. This section shall not be construed as having any effect on adver- 48 tisements or solicitations for accommodations located outside the state 49 of New York. 50 § 2. This act shall take effect on the one hundred eightieth day after 51 it shall have become a law.
