Bill Text: NY S07932 | 2019-2020 | General Assembly | Introduced


Bill Title: Prohibits price gouging with respect to medical supplies during a public health emergency.

Spectrum: Partisan Bill (Democrat 19-0)

Status: (Introduced - Dead) 2020-03-03 - REFERRED TO CONSUMER PROTECTION [S07932 Detail]

Download: New_York-2019-S07932-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          7932

                    IN SENATE

                                      March 3, 2020
                                       ___________

        Introduced  by Sens. HOYLMAN, KENNEDY -- read twice and ordered printed,
          and when  printed  to  be  committed  to  the  Committee  on  Consumer
          Protection

        AN  ACT  to  amend  the general business law, in relation to prohibiting
          price gouging with respect to medical supplies during a public  health
          emergency

          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  396-rrr to read as follows:
     3    § 396-rrr. Price gouging; medical  supplies  during  a  public  health
     4  emergency.  1.  For  the  purposes  of this section, the following terms
     5  shall have the following meanings:
     6    (a) "public health emergency" shall mean a period of time during which
     7  the governor has made a state declaration of disaster emergency pursuant
     8  to section twenty-eight of the executive law; and
     9    (b) "consumer medical supplies" shall mean goods  and  products  used,
    10  bought or rendered primarily for personal, family, or household purposes
    11  used  for  the  care,  cure,  mitigation,  treatment,  or  prevention of
    12  illnesses or diseases; such term shall include, but not be  limited  to:
    13  bandages,  gauze,  or  dressings;  hand  sanitizer, antibiotic ointment,
    14  rubbing alcohol, hydrogen peroxide, saline solution; medical or surgical
    15  masks; medical or surgical  gloves;  tissues;  over-the-counter  medica-
    16  tions;  and  any  other  goods or products identified in emergency regu-
    17  lations promulgated by the commissioner  of  the  department  of  health
    18  during a public health emergency.
    19    2. No manufacturer, supplier, wholesaler, distributor or retail seller
    20  of  consumer  medical  supplies  shall  sell  or offer for sale any such
    21  consumer medical supplies for an amount which represents an  unconscion-
    22  ably excessive price during a public health emergency.
    23    3. (a) A price is not an "unconscionably excessive price" if it is ten
    24  percent or less above the price charged by that seller for such consumer
    25  medical supplies immediately prior to the public health emergency.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15648-02-0

        S. 7932                             2

     1    (b)  A  defendant  may  rebut  a  prima facie case based on an alleged
     2  violation of this section with evidence that additional costs not within
     3  the control of the defendant were  imposed  on  the  defendant  for  the
     4  consumer medical supplies.
     5    4.  Where a violation of this section is alleged to have occurred, the
     6  attorney general may apply in the name of the people of the state of New
     7  York to the supreme court of the state of New York within  the  judicial
     8  district  in  which  such  violations  are  alleged to have occurred, on
     9  notice of five days, for an order enjoining or restraining commission or
    10  continuance of the alleged unlawful acts. In any  such  proceeding,  the
    11  court  shall  impose  a civil penalty in an amount not to exceed twenty-
    12  five thousand dollars  and,  where  appropriate,  order  restitution  to
    13  aggrieved consumers.
    14    § 2. This act shall take effect immediately.
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