Bill Text: NY A07941 | 2023-2024 | General Assembly | Introduced

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Bill Title: Prohibits hotels, motels and lodging establishments from selling prepaid rooms to another person if the original guest fails to check in on the first day of the scheduled reservation or if the guest fails to check in within the first, second or third night for prepaid reservations of seven days or longer; provides penalties for violations.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced) 2024-01-03 - referred to consumer affairs and protection [A07941 Detail]

Download: New_York-2023-A07941-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          7941

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                     August 4, 2023
                                       ___________

        Introduced by M. of A. NOVAKHOV -- read once and referred to the Commit-
          tee on Consumer Affairs and Protection

        AN  ACT  to  amend  the  general business law in relation to prohibiting
          hotels, motels and lodging establishments from selling  prepaid  rooms
          to another person in certain circumstances

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Legislative intent. The legislature finds that  many  hotel
     2  reservations  are  prepaid  in advance. Failure to check in on the first
     3  night of a prepaid reservation can result in lost revenue for the  hotel
     4  and  inconvenience for other guests. Some hotels have been known to sell
     5  a prepaid room to a second person if the original guest fails  to  check
     6  in, causing confusion and potential legal issues.
     7    §  2.  The general business law is amended by adding a new section 210
     8  to read as follows:
     9    § 210. Prepaid hotel reservations. 1. (a) Any hotel, motel or  lodging
    10  establishment  shall  be  prohibited  from  selling  a prepaid room to a
    11  second person if the original guest fails to check in on the first night
    12  of the originally scheduled reservation.  If a reservation is  scheduled
    13  for  seven  days  or  longer,  any hotel, motel or lodging establishment
    14  shall be prohibited from selling a prepaid room to a  second  person  if
    15  the original guest fails to check in on the first, second or third night
    16  of the originally scheduled reservation.
    17    (b)  It shall be required that any guest with a prepaid reservation at
    18  a hotel, motel or lodging establishment who will not be checking  in  on
    19  the  first  night of such reservation shall provide notice, by telephone
    20  or electronic mail, to such hotel, motel  or  lodging  establishment  of
    21  such late check-in. If such notice is not provided by the guest pursuant
    22  to  this  paragraph, the provisions of paragraph (a) of this subdivision
    23  shall not apply and such hotel, motel or lodging establishment where the
    24  prepaid reservation was made shall have the right to cancel such  reser-

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD11409-02-3
        A. 7941                             2

     1  vation  after  twenty-four  hours, unless the guest contacts such hotel,
     2  motel or lodging establishment and cancels such reservation.
     3    2.  It  shall be prohibited for any hotel, motel or lodging establish-
     4  ment in any booking contract or agreement between such hotel,  motel  or
     5  lodging  establishment  and a guest to include any provision that allows
     6  such hotel, motel or lodging  establishment  to  cancel  a  reservation,
     7  charge  a  cancellation  fee  and  rent out the reserved room to another
     8  person when such reservation has been fully prepaid.
     9    3. Any  hotel,  motel  or  lodging  establishment  that  violates  the
    10  requirements  of  this  section  shall  be  responsible  for  any actual
    11  damages, or a fine of five hundred dollars, whichever amount is greater,
    12  per violation. A hotel, motel or lodging establishment  charged  with  a
    13  violation  pursuant  to this section shall have the right to appeal such
    14  violation in a court of competent jurisdiction.
    15    § 3. The division of consumer protection shall  establish  regulations
    16  and  guidelines  for  the  implementation of this act, including but not
    17  limited to the definition of a hotel, motel or lodging establishment.
    18    § 4. This act shall take effect immediately and  shall  apply  to  all
    19  hotels, motels and lodging establishments in the state of New York.