Bill Text: NY S06577 | 2017-2018 | General Assembly | Introduced

---

Bill Title: Bans the sale of employment data reports without written consumer consent; provides such employment data reports shall include, but not be limited to, payroll and earnings information, hours worked, consumer history and health insurance information.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2018-01-03 - REFERRED TO CONSUMER PROTECTION [S06577 Detail]

Download: New_York-2017-S06577-Introduced.html

---

                STATE OF NEW YORK
        ________________________________________________________________________
                                          6577
                               2017-2018 Regular Sessions
                    IN SENATE
                                      June 5, 2017
                                       ___________
        Introduced  by  Sen.  SAVINO -- read twice and ordered printed, and when
          printed to be committed to the Committee on Rules
        AN ACT to amend the general business law, in relation to  the  sale  and
          use of employment information
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1.  Section 380-v of the general business law,  as  relettered
     2  by  chapter  441  of the laws of 2014, is relettered section 380-w and a
     3  new section 380-v is added to read as follows:
     4    § 380-v. Sale and use of employment  information.    (a)  No  consumer
     5  reporting  agency  or  any  subsidiary  thereof shall sell or resell, or
     6  offer for sale or resale or distribute  employment  information  to  any
     7  principal  creditor,  as  that  term  is defined in subdivision three of
     8  section six hundred of this chapter, or  other  debt  collector  without
     9  verifying  that  such sale, resale, or distribution was disclosed to the
    10  consumer to whom such employment  information  pertains  in  a  separate
    11  stand-alone  document,  and  that written consent from such consumer was
    12  obtained.  Employment information shall include, but not be limited  to,
    13  payroll  and  earnings  information,  hours worked, consumer history and
    14  health insurance information.
    15    (b) Such disclosure and consumer consent shall be given in a separate,
    16  stand-alone document and consent shall be limited to the particular  use
    17  or transaction for which consent is given.
    18    (c)  Wherever  there shall be a violation of this section, an applica-
    19  tion may be made by the attorney general in the name of  the  people  of
    20  the  state  of  New  York to a court or justice having jurisdiction by a
    21  special proceeding to issue  an  injunction,  and  upon  notice  to  the
    22  defendant  of not less than five days, to enjoin or restrain the contin-
    23  uance of such violation; and if it shall appear to the  satisfaction  of
    24  the  court  or  justice  that  the defendant has, in fact, violated this
    25  section, an injunction may be issued by such court or justice, enjoining
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD01691-03-7
        S. 6577                             2
     1  and restraining any further violation, without requiring proof that  any
     2  person  has,  in  fact,  been  injured  or  damaged thereby. In any such
     3  proceeding, the court may make allowances to  the  attorney  general  as
     4  provided  in  paragraph  six  of subdivision (a) of section eighty-three
     5  hundred three of the civil practice law and rules, and  direct  restitu-
     6  tion.  Whenever  the  court  shall  determine  that  a violation of this
     7  section has occurred, the court may impose a civil penalty of  not  more
     8  than  two  thousand  dollars  for each violation. In connection with any
     9  such proposed application, the attorney general is  authorized  to  take
    10  proof  and  make  a  determination  of  the  relevant facts and to issue
    11  subpoenas in accordance with the civil practice law and rules.
    12    (d) In addition to any right of action granted to the attorney general
    13  pursuant to this section, any person who has been injured by  reason  of
    14  any violation of this section may bring an action in his or her own name
    15  to enjoin such unlawful act or practice, an action to recover his or her
    16  compensatory damages and one thousand dollars, or both such actions. The
    17  court  may,  in  its  discretion, award the prevailing plaintiff in such
    18  action an additional award not to exceed five thousand dollars,  if  the
    19  court  finds  the  defendant  willfully  violated the provisions of this
    20  section. The court may award reasonable attorneys' fees to a  prevailing
    21  plaintiff.
    22    (e)  Nothing  in this section shall in any way limit the rights, reme-
    23  dies or privileges that are otherwise available to a consumer at law  or
    24  equity.
    25    § 2. This act shall take effect on the one hundred eightieth day after
    26  it shall have become a law.