Bill Text: NY A04634 | 2015-2016 | General Assembly | Introduced


Bill Title: Prohibits the transmission of unsolicited advertising text messages to cellular telephones or pagers; makes an exception for providers of such services and their affiliates who have permission; provides for enforcement by the attorney general and a private right of action.

Spectrum: Moderate Partisan Bill (Democrat 14-4)

Status: (Introduced - Dead) 2016-01-06 - referred to consumer affairs and protection [A04634 Detail]

Download: New_York-2015-A04634-Introduced.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         4634
                              2015-2016 Regular Sessions
                                 I N  A S S E M B L Y
                                   February 5, 2015
                                      ___________
       Introduced by M. of A. COLTON -- read once and referred to the Committee
         on Consumer Affairs and Protection
       AN  ACT  to  amend the business corporation law and the general business
         law, in relation to  prohibiting  the  transmission  of  certain  text
         messages to cellular telephones or pagers
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. The business corporation law is amended by adding  a    new
    2  section 521 to read as follows:
    3  S 521. APPLICABILITY  OF  THE  GENERAL  BUSINESS  LAW TO BUSINESS CORPO-
    4           RATIONS THAT MAINTAIN DATA.
    5    EVERY BUSINESS CORPORATION ORGANIZED  UNDER  THIS  CHAPTER  AND  EVERY
    6  FOREIGN CORPORATION (INCLUDING EVERY FOREIGN PROFESSIONAL SERVICE CORPO-
    7  RATION)  QUALIFIED TO DO BUSINESS IN THIS STATE PURSUANT TO THIS CHAPTER
    8  IS  SUBJECT  TO  SECTION  THREE HUNDRED NINETY-D OF THE GENERAL BUSINESS
    9  LAW.
   10    S 2. The general business law is amended by adding a new section 390-d
   11  to read as follows:
   12    S 390-D. UNSOLICITED TEXT MESSAGES.  1.  EXCEPT AS PROVIDED IN  SUBDI-
   13  VISION  TWO  OF THIS SECTION, NO PERSON OR ENTITY CONDUCTING BUSINESS IN
   14  THIS STATE SHALL TRANSMIT OR CAUSE TO  BE  TRANSMITTED  A  TEXT  MESSAGE
   15  ADVERTISEMENT  TO  A  CELLULAR  TELEPHONE  OR  PAGER EQUIPPED WITH SHORT
   16  MESSAGE CAPABILITY OR ANY SIMILAR CAPABILITY ALLOWING  THE  TRANSMISSION
   17  OF TEXT MESSAGES. A TEXT MESSAGE ADVERTISEMENT IS A MESSAGE, THE PRINCI-
   18  PAL  PURPOSE OF WHICH IS TO PROMOTE THE SALE OF GOODS OR SERVICES TO THE
   19  RECIPIENT, CONSISTING OF  ADVERTISING  MATERIAL  FOR  THE  LEASE,  SALE,
   20  RENTAL, GIFT OFFER, OR OTHER DISPOSITION OF ANY REALTY, GOODS, SERVICES,
   21  OR EXTENSION OF CREDIT.
   22    2.  THIS  SECTION  SHALL NOT APPLY TO TEXT MESSAGES TRANSMITTED AT THE
   23  DIRECTION OF A PERSON OR ENTITY OFFERING  CELLULAR  TELEPHONE  OR  PAGER
   24  SERVICE,  OR  BY  A BUSINESS OR AFFILIATES OF THAT BUSINESS, THAT HAS AN
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD06700-01-5
       A. 4634                             2
    1  EXISTING RELATIONSHIP WITH THE SUBSCRIBER, BUT ONLY  IF  THE  SUBSCRIBER
    2  HAS PROVIDED CONSENT TO THE PERSON OR ENTITY OFFERING CELLULAR TELEPHONE
    3  OR  PAGER SERVICE OR BUSINESS WITH WHICH HE OR SHE HAS THAT RELATIONSHIP
    4  TO  RECEIVE TEXT MESSAGES FROM THAT BUSINESS OR AFFILIATES OF THAT BUSI-
    5  NESS.  "AFFILIATE" MEANS ANY COMPANY THAT CONTROLS, IS CONTROLLED BY, OR
    6  IS UNDER COMMON CONTROL WITH,  ANOTHER  COMPANY.  A  SPECIFIC,  SEPARATE
    7  CONSENT MUST BE GIVEN FOR EACH INDIVIDUAL PERSON OR ENTITY, BUSINESS, OR
    8  AFFILIATE.
    9    3. WHENEVER THERE SHALL BE A VIOLATION OF THIS SECTION, AN APPLICATION
   10  MAY  BE  MADE  BY  THE ATTORNEY GENERAL IN THE NAME OF THE PEOPLE OF THE
   11  STATE OF NEW YORK TO A COURT OR JUSTICE HAVING JURISDICTION TO ISSUE  AN
   12  INJUNCTION, AND UPON NOTICE TO THE DEFENDANT OF NOT LESS THAN FIVE DAYS,
   13  TO  ENJOIN  AND  RESTRAIN  THE  CONTINUANCE OF SUCH VIOLATION; AND IF IT
   14  SHALL APPEAR TO THE SATISFACTION OF  THE  COURT  OR  JUSTICE,  THAT  THE
   15  DEFENDANT  HAS,  IN  FACT,  VIOLATED  THIS  SECTION AN INJUNCTION MAY BE
   16  ISSUED BY SUCH COURT OR JUSTICE ENJOINING AND  RESTRAINING  ANY  FURTHER
   17  VIOLATION,  WITHOUT  REQUIRING  PROOF THAT ANY PERSON HAS, IN FACT, BEEN
   18  INJURED OR DAMAGED THEREBY.  IN ANY SUCH PROCEEDING, THE COURT MAY  MAKE
   19  ALLOWANCES  TO  THE  ATTORNEY  GENERAL  AS  PROVIDED IN PARAGRAPH SIX OF
   20  SUBDIVISION (A) OF SECTION EIGHTY-THREE HUNDRED THREE OF THE CIVIL PRAC-
   21  TICE LAW AND RULES, AND DIRECT RESTITUTION.   WHENEVER THE  COURT  SHALL
   22  DETERMINE  THAT  A  VIOLATION  OF  A  SUBDIVISION  OF  THIS  SECTION HAS
   23  OCCURRED, THE COURT MAY IMPOSE A CIVIL PENALTY  OF  NOT  MORE  THAN  TWO
   24  THOUSAND DOLLARS PER TEXT MESSAGE, UP TO A TOTAL OF NOT MORE THAN TWENTY
   25  THOUSAND DOLLARS, FOR TEXT MESSAGES PLACED IN VIOLATION OF SUCH SUBDIVI-
   26  SIONS  WITHIN  A CONTINUOUS SEVENTY-TWO HOUR PERIOD.  IN CONNECTION WITH
   27  ANY SUCH PROPOSED APPLICATION, THE ATTORNEY  GENERAL  IS  AUTHORIZED  TO
   28  TAKE  PROOF  AND MAKE A DETERMINATION OF THE RELEVANT FACTS AND TO ISSUE
   29  SUBPOENAS IN ACCORDANCE WITH THE CIVIL PRACTICE LAW AND RULES.
   30    4. IN ADDITION TO THE RIGHT OF ACTION GRANTED TO THE ATTORNEY  GENERAL
   31  PURSUANT  TO THIS SECTION, ANY PERSON WHO HAS RECEIVED A TEXT MESSAGE IN
   32  VIOLATION OF SUBDIVISION ONE OF THIS SECTION MAY BRING AN ACTION IN  HIS
   33  OR  HER  OWN  NAME TO ENJOIN SUCH UNLAWFUL ACT OR PRACTICE, AN ACTION TO
   34  RECOVER HIS OR HER ACTUAL DAMAGES OR FIFTY DOLLARS, WHICHEVER IS  GREAT-
   35  ER,  OR  BOTH SUCH ACTIONS.   THE COURT MAY, IN ITS DISCRETION, INCREASE
   36  THE AWARD OF DAMAGES TO AN AMOUNT NOT TO EXCEED THREE TIMES  THE  ACTUAL
   37  DAMAGES  UP  TO  ONE  THOUSAND DOLLARS, IF THE COURT FINDS THE DEFENDANT
   38  WILLFULLY OR KNOWINGLY VIOLATED SUCH SUBDIVISION. THE  COURT  MAY  AWARD
   39  REASONABLE ATTORNEY'S FEES TO A PREVAILING PLAINTIFF.
   40    S  3.  This  act shall take effect on the ninetieth day after it shall
   41  have become a law.
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