Bill Text: NY A05981 | 2009-2010 | General Assembly | Introduced

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Bill Title: An act to amend the general business law, in relation to deceptive acts and practices

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2010-01-06 - referred to consumer affairs and protection [A05981 Detail]

Download: New_York-2009-A05981-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         5981
                              2009-2010 Regular Sessions
                                 I N  A S S E M B L Y
                                   February 23, 2009
                                      ___________
       Introduced by M. of A. ABBATE -- read once and referred to the Committee
         on Consumer Affairs and Protection
       AN  ACT to amend the general business law, in relation to deceptive acts
         and practices
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. Subdivision (h) of section 349 of the general business law,
    2  as  amended  by  chapter  157 of the laws of 1984, is amended to read as
    3  follows:
    4    (h) In addition to the right of action granted to the attorney general
    5  pursuant to this section, any person who has been injured by  reason  of
    6  any  violation  of  this  section may bring an action in his own name to
    7  enjoin such unlawful act or practice, an action to  recover  his  actual
    8  damages  or  fifty  dollars, whichever is greater, or both such actions.
    9  ANY PERSON WHO ASSERTS A CLAIM UNDER THIS SECTION IN A CLASS  ACTION  IS
   10  LIMITED  TO  RECOVERING  ONLY  ACTUAL  DAMAGES.  EACH  PERSON SEEKING TO
   11  RECOVER DAMAGES UNDER THIS SECTION SHALL BE REQUIRED TO PROVE  THAT  THE
   12  DECEPTIVE  ACT  OR  PRACTICE  CAUSED HIM OR HER TO ENTER INTO THE TRANS-
   13  ACTION THAT RESULTED IN HIS OR HER DAMAGES. PROOF OF THE EXISTENCE OF AN
   14  UNFAIR OR DECEPTIVE ACT OR  PRACTICE  SHALL  NOT  SUPPORT  AN  AWARD  OF
   15  DAMAGES WITHOUT PROOF THAT THE PERSON SEEKING DAMAGES SUFFERED AN ACTUAL
   16  OUT-OF-POCKET  LOSS. FOR PURPOSES OF THIS SUBDIVISION, THE TERM "OUT-OF-
   17  POCKET LOSS" MEANS AN AMOUNT OF MONEY EQUAL TO  THE  DIFFERENCE  BETWEEN
   18  THE  AMOUNT  PAID BY THE CONSUMER FOR THE GOOD OR SERVICE AND THE ACTUAL
   19  MARKET VALUE OF THE GOOD OR SERVICE THAT THE CONSUMER ACTUALLY RECEIVED.
   20  The court may, in its discretion, increase the award of  damages  to  an
   21  amount  not  to exceed three times the actual damages up to one thousand
   22  dollars, if  the  court  finds  the  defendant  willfully  or  knowingly
   23  violated this section. The court may award reasonable attorney's fees to
   24  a prevailing plaintiff.
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD09504-01-9
       A. 5981                             2
    1    S  2.  Subdivision  3 of section 350-e of the general business law, as
    2  amended by chapter 328 of the laws  of  2007,  is  amended  to  read  as
    3  follows:
    4    3.  Any  person  who  has  been  injured by reason of any violation of
    5  section three hundred fifty or three hundred fifty-a of this article may
    6  bring an action in his or her own name to enjoin such  unlawful  act  or
    7  practice, an action to recover his or her actual damages or five hundred
    8  dollars,  whichever is greater, or both such actions.  EACH PERSON SEEK-
    9  ING TO RECOVER DAMAGES UNDER THIS SECTION SHALL  BE  REQUIRED  TO  PROVE
   10  THAT  THE  DECEPTIVE ACT OR PRACTICE CAUSED HIM OR HER TO ENTER INTO THE
   11  TRANSACTION THAT RESULTED IN HIS OR HER DAMAGES. PROOF OF THE  EXISTENCE
   12  OF  AN UNFAIR OR DECEPTIVE ACT OR PRACTICE SHALL NOT SUPPORT AN AWARD OF
   13  DAMAGES WITHOUT PROOF THAT THE PERSON SEEKING DAMAGES SUFFERED AN ACTUAL
   14  OUT-OF-POCKET LOSS. FOR PURPOSES OF THIS SUBDIVISION, THE TERM  "OUT-OF-
   15  POCKET  LOSS"  MEANS  AN AMOUNT OF MONEY EQUAL TO THE DIFFERENCE BETWEEN
   16  THE AMOUNT PAID BY THE CONSUMER FOR THE GOOD OR SERVICE AND  THE  ACTUAL
   17  MARKET VALUE OF THE GOOD OR SERVICE THAT THE CONSUMER ACTUALLY RECEIVED.
   18  The  court  may,  in its discretion, increase the award of damages to an
   19  amount not to exceed three times the actual damages, up to ten  thousand
   20  dollars,  if  the  court finds that the defendant willfully or knowingly
   21  violated this section.  The court may award reasonable  attorney's  fees
   22  to a prevailing plaintiff.
   23    S  3.  This  act  shall take effect immediately and shall apply to all
   24  cases pending or filed on or after such effective date.