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History
- Referred to judiciary
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Relates to securing payment of wages for work already performed; creates a wage lien
In Assembly Committee · Judiciary · Sponsor Linda Rosenthal
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
BILL NUMBER:S6658
Title of bill
An act to amend the lien law, in relation to securing payment of wages for work already performed; to amend the civil practice law and rules, in relation to grounds for attachment; to amend the business corporation law, in relation to streamlining procedures where employees may hold shareholders of non-publicly traded corporations personally liable for wage theft; and to amend the limited liability company law, in relation to creating a right for victims of wage theft to hold the ten members with the largest ownership interests in a company personally liable for wage theft
Purpose
This bill amends four sections of the law (Lien Law; Attachment under the Civil Practice Law and Rules; the Business Corporations Law; and the Limited Liability Company Law) to strengthen current laws to increase the likelihood that victims of "wage theft" will be able to secure payment from their employers of unpaid wages for work already performed.
Summary of provisions
Sections one through six amend the lien law to expand the mechanics' lien provisions and create a "wage lien," which would provide a lien remedy for all employees. Currently only home improvement workers are protected under the mechanics' lien provision.
Sections seven through eleven amend the civil practice law and rules to create a new ground for attachment, allowing victims of wage theft to seek attachment of the employers' assets during the pendency of a court action.
Sections twelve and thirteen amend the business corporation law to streamline the procedures pursuant to pendency of a court action. Which employees can hold personally liable the largest shareholders of non-publicly traded corporations for wage theft.
Sections fourteen and fifteen amend the limited liability company law create a right of victims of wage theft to hold the ten members with the largest ownership interest in the company personally liable for wage theft.
Justification
This bill is needed to increase the likelihood that victims of wage theft will be able to secure payment of wages owed to them by their employers. In too many instances, exploitative employers hide their assets or dissolve their business to avoid paying wages they owe to their employees. By the time workers have filed a lawsuit and are awarded a judgment, there are few, if any, assets to be found. By increasing the ability for workers to secure, and collect wages for work already performed, this bill strengthens the existing labor law provisions and the enforcement of such laws.
Prior legislative history
New bill.
Effective date
This act will take effect thirty days after it becomes law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.