What's happening
This bill limits retailer liability for product-related injuries unless they engage in specific non-sale activities like manufacturing, design, installation, or modification.
Why it matters
Shifts primary liability for product-related injuries away from retailers. unless they engage in specific roles beyond simply selling, such as manufacturing, design, installation, or unauthorized modification. This could make it harder for injured parties to sue retailers unless those criteria are met.
May reduce legal costs and insurance premiums for most retailers. by narrowing the circumstances in which they can be held responsible, potentially leading to lower prices or more stable business operations for retail businesses.
Places greater responsibility on manufacturers and those involved in product modification. for product safety and injury claims, which could influence how products are sourced, labeled, or handled by retailers.
Could impact consumer recourse in injury cases. by requiring claimants to prove the retailer’s direct involvement in non-sale activities, potentially increasing the complexity and burden of product liability lawsuits for consumers.
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Who cares
Headline styles
Limit Retailer Liability
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 45
2 Co-sponsors
History
- Referred to consumer protection
- Referred to consumer protection
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.
Limit Retailer Liability Lawsuits
In Assembly Committee · Economic Development · Sponsor Robin Schimminger
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
1190
2017-2018 Regular Sessions
IN SENATE
January 6, 2017
Introduced by Sen. LITTLE -- 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 creating the "fair accountability in retail act"
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. This act shall be known and may be cited as the "fair accountability in retail act".
§ 2. The general business law is amended by adding a new section 392-k to read as follows:
§ 392-k. Fair accountability in retail. 1. No seller of any product shall be liable for personal injury, monetary loss, or damage to property arising out of an accident or transaction involving such product, unless the claimant proves one or more of the following non-sale activities by the seller:
(a) the seller was the manufacturer of the product;
(b) the seller participated in the design of the product;
(c) the seller participated in the installation of the product; or
(d) the seller altered, modified, or expressly warranted the product in a manner not authorized by the manufacturer.
2. If the claimant proves one or more of the non-sale activities described in subdivision one of this section and such non-sale activity was negligent, the seller's liability shall be limited to the personal injury, monetary loss, or damages to property directly caused by such non-sale activity.
3. As used in this section:
(a) "Manufacturer" shall mean a person who is lawfully engaged in the business of manufacturing a product in interstate or foreign commerce during such person's regular course of trade or business.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00391-01-7
S. 1190 2
(b) "Person" shall mean any individual, corporation, company, association, firm, partnership, society, joint stock company, or any other entity, including any governmental entity.
(c) "Seller" shall mean a person who is lawfully engaged in the business of marketing, distributing, advertising, or selling a product in interstate or foreign commerce during such person's regular course of trade or business.
§ 3. This act shall take effect immediately.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the general business law, in relation to creating the "fair accountability in retail act"
Purpose
This bill amends the General Business Law to protect retailers from being included in product liability lawsuits if they are not liable. If they are found liable, they would be required to pay the percentage of the claim for which they were determined to be liable.
Summary of provisions
Section 1: This act shall be known and may be cited as the "Fair Accountability in Retail Act".
Section 2: Amends the General Business Law to state that a retailer shall not be held liable for a product unless they are the manufacturer of the product, or participated in the product's design, assisted with the installation of the product, or altered the product. If a claimant proves negligence on any of the non-sale activities, the retailer's liability shall be limited to that portion of said negligence.
Section 3: Effective date.
Justification
This legislation would reform product liability litigation so that retailers are held accountable for their own liability. Under the current system, small retailers and innocent sellers are unfairly being swept into lawsuits and being asked to shoulder an unfair and unsustainable burden. A retailer that is included in a product liability lawsuit may be forced to pay the entire settlement, even if they are only found liable for a small portion of the claim. This legislation allows for fair accountability and liability and creates a level playing field where those that are found to be liable must pay, and those that are innocent gain relief.
Legislative history
2015-16: S.4131 Referred to Consumer Protection; A.5670 Referred to Economic Development 2014: S. 6510 Referred to Consumer Protection
Fiscal implications
None
Local fiscal implications
None
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.