What's happening
This bill allows consumers ten years to file lawsuits for overcharges due to mistakes or billing errors by electric, gas, or telephone companies.
Why it matters
Empowers consumers. By extending the time frame to ten years, the bill gives individuals and businesses significantly more time to discover and act on billing errors or overcharges, which can sometimes go unnoticed for years.
Increases accountability for utilities. Electric, gas, and telephone companies may face greater scrutiny and potential financial liability for long-standing mistakes, encouraging them to implement more accurate billing practices and stronger internal controls.
Protects against hidden or complex errors. Some billing errors—especially for large or complex accounts—can be difficult to detect quickly; the expanded statute of limitations ensures consumers aren’t unfairly barred from seeking redress due to delayed discovery.
Potential financial impact. The change could lead to a rise in litigation and settlement costs for utility companies, possibly affecting their operating procedures or even rates, while also providing a stronger deterrent against systemic overcharging.
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Who cares
Headline styles
Limit Overcharge Lawsuit Time
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to judiciary
- 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.
Limit Overcharge Lawsuit Time
In Assembly Committee · Judiciary · Sponsor Rebecca Seawright
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2730
2019-2020 Regular Sessions
IN SENATE
January 29, 2019
Introduced by Sen. KRUEGER -- read twice and ordered printed, and when printed to be committed to the Committee on Judiciary
AN ACT to amend the civil practice law and rules, in relation to statute of limitations for certain overcharges
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 212 of the civil practice law and rules is amended by adding a new subdivision (f) to read as follows:
(f) Overcharge based on mistake or billing error. An action to recover the amount of an overcharge based upon a mistake or billing error made by an electric, gas, or telephone corporation must be commenced within ten years.
§ 2. This act shall take effect immediately and shall apply to all causes of action occurring on or after such date.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06535-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the civil practice law and rules, in relation to statute of limitations for certain overcharges
Summary of provisions
Section two hundred twelve of the civil practice law and rules is amended by adding a new subdivision (e) to read as follows: Overcharge based on mistake or billing error. An action to recover the amount of an overcharge based upon a mistake or billing error made by an electric, gas or telephone corporation must be commenced within ten years.
Justification
Utility company billing errors caused by faulty wire connections, incor- rect computer computations, installation mishap or other mistakes often continue for years without detection. Even when the utility company in question acknowledges the error and can account for the amount of the mistake, the liability is for only six years of the overcharge. This causes an inequitable situation whereby a customer can prove the over- charge for a longer period of time, but cannot be compensated for his total loss. This legislation changes the statute of limitations for these utility company billing errors to ten years thereby providing a fairer basis to settle these matters.
Legislative history
2017-18 S3323/A8220 Seawright - died in committee 2015-16 S3433-A No Same as 2013-14 S5941/A7236 Otis - died in committee
Fiscal implications
None.
Effective date
This act shall take effect immediately and shall apply to all causes of actions occurring on or after such date.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.