S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                          896
                              2015-2016 Regular Sessions
                                   I N  S E N A T E
                                    January 7, 2015
                                      ___________
       Introduced  by  Sen.  AVELLA -- 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  the  distrib-
         ution of circular advertisements
         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  397-b to read as follows:
    3    S 397-B. DISTRIBUTION OF  CIRCULARS.  1.  FOR  THE  PURPOSES  OF  THIS
    4  SECTION:
    5    A. "CONSUMER" SHALL MEAN ANY NATURAL PERSON WHO MAY BE REQUIRED TO PAY
    6  FOR  OR TO EXCHANGE CONSIDERATION FOR GOODS AND SERVICES OFFERED THROUGH
    7  CIRCULAR ADVERTISEMENTS.
    8    B. "CIRCULAR ADVERTISEMENT" SHALL MEAN ANY PAMPHLET, FORM, DOCUMENT OR
    9  COMMERCIAL ADVERTISEMENT PRINTED ON ANY FORM OF  MEDIA,  INCLUDING,  BUT
   10  NOT  LIMITED  TO  LEAFLETS,  LETTERS,  PAMPHLETS  AND  MENUS, THEREAFTER
   11  DISTRIBUTED TO TWO OR MORE CONSUMERS THROUGH A PLAN, PROGRAM OR CAMPAIGN
   12  CONDUCTED TO INDUCE PAYMENT OR THE EXCHANGE OF ANY  OTHER  CONSIDERATION
   13  FOR  ANY  GOODS OR SERVICES, OR TO PROMOTE SOME PRODUCT OR SERVICE. THIS
   14  DEFINITION SHALL NOT INCLUDE ADVERTISEMENTS DISTRIBUTED  BY  THE  UNITED
   15  STATES  POSTAL  SERVICE  OR THOSE ADVERTISEMENTS REGULARLY INCLUDED WITH
   16  ANY OTHER MEDIA SUBSCRIPTION, INCLUDING, BUT NOT LIMITED TO, NEWSPAPERS,
   17  PERIODICALS AND MAGAZINES.
   18    C. "PERSON" SHALL MEAN ANY NATURAL PERSON,  ASSOCIATION,  PARTNERSHIP,
   19  FIRM, CORPORATION OR OTHER BUSINESS ENTITY.
   20    D.  "ADVERTISER"  SHALL MEAN ANY NATURAL PERSON, ASSOCIATION, PARTNER-
   21  SHIP, FIRM, CORPORATION OR OTHER BUSINESS ENTITY THAT DELIVERS  CIRCULAR
   22  ADVERTISEMENTS TO A CONSUMER FOR A COMMERCIAL PURPOSE.
   23    E. "COMMERCIAL PURPOSE" SHALL MEAN HAVING THE GOAL OR END OF BUYING OR
   24  SELLING OF A GOOD OR SERVICE FOR THE PURPOSE OF MAKING A PROFIT.
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD00190-01-5
       S. 896                              2
    1    F.  "UNSOLICITED  CIRCULAR  DELIVERY" MEANS ANY DELIVERY OF A CIRCULAR
    2  ADVERTISEMENT, BY AN ADVERTISER OR  EMPLOYEE  THEREOF,  TO  A  CONSUMER,
    3  OTHER THAN A DELIVERY MADE:
    4    (I) IN RESPONSE TO AN EXPRESS WRITTEN OR VERBAL REQUEST OF THE CONSUM-
    5  ER RECEIVING SUCH CIRCULAR; OR
    6    (II)  IN CONNECTION WITH AN ESTABLISHED BUSINESS OR CUSTOMER RELATION-
    7  SHIP, WHICH HAS NOT BEEN TERMINATED BY EITHER PARTY, UNLESS SUCH CONSUM-
    8  ER HAS STATED TO THE ADVERTISER THAT SUCH CONSUMER NO LONGER  WISHES  TO
    9  RECEIVE THE CIRCULAR ADVERTISEMENTS OF SUCH ADVERTISER.
   10    G. "DEPARTMENT" SHALL MEAN THE DEPARTMENT OF STATE.
   11    2.  A.  THE DEPARTMENT SHALL ESTABLISH, MANAGE AND MAINTAIN A REGISTRY
   12  WHICH SHALL CONTAIN A LIST OF CONSUMERS WHO DO NOT WISH TO RECEIVE UNSO-
   13  LICITED CIRCULAR DELIVERIES.
   14    B. THE REGISTRY SHALL  BE  UPDATED  ON  A  QUARTERLY  BASIS,  OR  MORE
   15  FREQUENTLY  AS  PRESCRIBED  BY  RULE. SUCH UPDATES SHALL BE MADE READILY
   16  AVAILABLE TO ANY PROSPECTIVE ADVERTISER IN A MANNER TO BE PRESCRIBED  BY
   17  THE DEPARTMENT.
   18    3. NO ADVERTISER MAY MAKE OR CAUSE TO BE MADE ANY UNSOLICITED CIRCULAR
   19  DELIVERIES TO ANY CONSUMER WHEN THAT CONSUMER'S PERSONAL INFORMATION HAS
   20  BEEN POSTED ON THE REGISTRY, ESTABLISHED PURSUANT TO THIS SECTION.
   21    4.  A.  THE DEPARTMENT SHALL PROVIDE NOTICE TO CONSUMERS OF THE ESTAB-
   22  LISHMENT OF THE REGISTRY. ANY CONSUMER WHO WISHES TO BE INCLUDED ON SUCH
   23  REGISTRY SHALL  NOTIFY  THE  SECRETARY  OF  STATE  IN  A  MANNER  TO  BE
   24  PRESCRIBED BY THE DEPARTMENT.
   25    B.  THE  DEPARTMENT  SHALL PROVIDE NOTICE TO ADVERTISERS OF THE ESTAB-
   26  LISHMENT OF THE REGISTRY, AS WELL AS PROVIDE SUCH ADVERTISER WITH INFOR-
   27  MATION FOR OBTAINING ALL SCHEDULED REGISTRY UPDATES IN A  MANNER  TO  BE
   28  PRESCRIBED BY THE DEPARTMENT.
   29    5.  ANY  PERSON WHO VIOLATES THIS SECTION SHALL: FOR A FIRST VIOLATION
   30  THEREOF, BE LIABLE FOR A CIVIL PENALTY OF  NOT  LESS  THAN  TWO  HUNDRED
   31  DOLLARS  AND NOT MORE THAN FOUR HUNDRED DOLLARS; FOR A SECOND VIOLATION,
   32  BOTH VIOLATIONS WHICH WERE COMMITTED WITHIN A PERIOD OF THIRTY DAYS,  BE
   33  LIABLE FOR A CIVIL PENALTY OF NOT LESS THAN FIVE HUNDRED DOLLARS AND NOT
   34  MORE THAN ONE THOUSAND DOLLARS; AND FOR A THIRD OR SUBSEQUENT VIOLATION,
   35  ALL  VIOLATIONS  WHICH WERE COMMITTED WITHIN A PERIOD OF THIRTY DAYS, BE
   36  LIABLE FOR A CIVIL PENALTY OF NOT LESS THAN ONE THOUSAND DOLLARS AND NOT
   37  MORE THAN TWO THOUSAND DOLLARS.
   38    S 2. This act shall take effect on the one hundred twentieth day after
   39  it shall have become a law; provided, however, that effective immediate-
   40  ly, the addition, amendment and/or repeal  of  any  rule  or  regulation
   41  necessary  for  the implementation of this act on its effective date are
   42  authorized and directed to be made  and  completed  on  or  before  such
   43  effective date.