What's happening
This bill requires stores using electronic systems to track returns or exchanges to clearly notify customers and establishes penalties for noncompliance.
Why it matters
Enhances consumer awareness and privacy. By requiring clear, visible notices wherever electronic return/exchange tracking is used, shoppers are better informed about when and how their purchase behaviors are being monitored, allowing them to make more knowledgeable decisions and protect their privacy.
Creates direct recourse for consumers. If a retailer fails to post the required notice, customers gain the right to claim a refund or store credit for up to 20 days after purchase (as long as the item is unused/undamaged), giving consumers tangible leverage and encouraging retailer compliance.
Imposes meaningful financial consequences. The bill establishes civil penalties ($100–$500 per violation) for businesses that fail to comply, providing a deterrent against non-disclosure and incentivizing retailers to uphold transparency in their return/exchange tracking practices.
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Headline styles
Post Store Return Policies
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 14
1 Co-sponsor
History
- Referred to codes
- Delivered to assembly
- Passed senateVote 58–2
- Ordered to third reading cal.783
- Reported and committed to rules
- 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.
Post Store Return Policies
Assembly Floor Calendar · Sponsor N. Nick Perry
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
5366
2019-2020 Regular Sessions
IN SENATE
April 29, 2019
Introduced by Sen. COMRIE -- 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 public notification of tracking return policy
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The general business law is amended by adding a new section 218-b to read as follows:
§ 218-b. Disclosure; electronic tracking of returns or exchanges. 1. Every retail mercantile establishment that utilizes an electronic system to record and monitor the frequency and volume of a buyer's return or exchange of goods, wares, or merchandise shall conspicuously post, in the following manner, a notice clearly indicating the use of such system:
(a) on a label attached to the item itself; or
(b) on a sign affixed to each cash register or point of sale; or
(c) on a sign so situated as to be clearly visible to the buyer from the cash register; or
(d) on a sign posted at each store entrance used by the public.
2. Any retail mercantile establishment that violates this section shall be liable, for a period of up to twenty days from the date of purchase, to the buyer for a cash refund or credit, at the buyer's option, provided that the merchandise has not been used or damaged by the buyer.
3. Any retail mercantile establishment that violates this section shall be subject to a civil penalty of not less than one hundred dollars nor more than five hundred dollars for each violation.
§ 2. This act shall take effect on the one hundred eightieth day after it shall have become a law.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02572-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the general business law, in relation to public notification of tracking return policy
Purpose
While current law mandates only the posting of refund policies to safe- guard consumers' rights, this bill requires stores to publicly post whether the frequency or volume of a buyer's returns are electronically tracked.
Summary of specific provisions
Section one of the bill adds § 218-b to the general business law that would require retailers that use electronic systems to record and moni- tor the frequency and volume of a buyer's return or exchange of goods to disclose the use of such systems in a clear and conspicuous manner.
Section two of the bill provides the effective date.
Justification
According to news reports certain retail merchant's use high tech track- ing systems that monitor the number of times a customer returns merchan- dise purchased at their stores. Reports also mentioned that based on this tracking, stores have limited the option of returning an item by customers they determined have made returns too frequently. These reports also raised concerns that ordinary everyday customers seeking to return merchandise could lose their ability to do so.
While there is no question that retailers face the challenge of prevent- ing various forms of fraud from shoplifters and price switches, honest customers are certainly entitled to know the full return policy of merchants they patronize. This legislation does not seek to hinder the retail industry's efforts to protect against fraud or other abuse of their return policies, but seeks to strengthen state law that protects consumer's rights to return merchandise by requiring full disclosure of the use of return tracking systems. Similar legislation has been intro- duced in neighboring states, and New Yorkers as well as New York's econ- omy deserve the same protections.
Prior legislative history
2017-2018: A.498 - Third Reading Calendar 2015-2016: A.5039 - Third Reading Calendar 2014: A.3377 - Third Reading Calendar 2013: A.3377 - Referred to Rules 2012: A.3010-A - Referred to Rules 2011: A.3010 - Consumer Affairs and Protection 2009-2010: A.3404 - Consumer Affairs and Protection 2007-2008: A.5255 - Consumer Affairs and Protection 2005-2006: A.6549-B - Consumer Affairs and Protection
Fiscal implications
None to the State.
Effective date
One hundred eighty days after becoming a law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.