Requires retailers to post warning signs of the tracking and collecting of customers biometric data through electronic devices; provides for civil penalties.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A1558C
SPONSOR: Rosenthal
 
TITLE OF BILL:
An act to amend the general business law, in relation to requiring
retailers to post warning signs of the tracking of customers through
electronic devices that track, monitor, and collect biometric informa-
tion on customers
 
PURPOSE:
This bill requires businesses to fully disclose the presence of biome-
tric collection and customer tracking systems within their stores.
 
SUMMARY OF SPECIFIC PROVISIONS:
Section one amends the general business law by adding a new section
390-f.
Section two sets forth the effective date.
 
JUSTIFICATION:
Several stores are experimenting with or actively using technology that
tracks customers' movements throughout the store using signals from
their cellphones. Stores have used this technology to gather information
about their customers and their shopping habits within the stores,
including which departments they visit and how long they remain in the
store.
Retail stores have also begun to use biometric collection technology,
capturing sensitive data from customers including facial recognition
scans, eye scans and voiceprints. This highly sensitive data is then
used by the retailer for their own business purposes, often without the
customer being aware, and may be shared with third parties.
As technology evolves, consumers are facing increased security threats
and data privacy concerns. Customers have a right to know when retailers
are collecting their information and using it for their own purposes.
This legislation would require retailers using such technology to post a
clear warning at store entrances, explaining to customers what informa-
tion is collected, how it is used and if it is possible to opt out.
Further, the bill prohibits retailers from selling or sharing any biome-
tric data that is collected with third parties.
 
LEGISLATIVE HISTORY:
2023-24: A.1766 - Referred to consumer affairs and protection; S2404
Advanced to third reading
2021-22: A.589 - Referred to consumer affairs and protection; S272-A
Advanced to third reading
2019-20: A.597 - Referred to consumer affairs and protection; S3147
Referred to consumer affairs and protection
2017-18: A.4719 - Referred to consumer affairs and protection
2015-16: A.1583 - Referred to consumer affairs and protection
2013-14: A.8234-A - Reported to rules
 
FISCAL IMPLICATIONS:
None to the State.
 
EFFECTIVE DATE:
This bill shall take effect on the ninetieth day after it shall have
become a law.
STATE OF NEW YORK
________________________________________________________________________
1558--C
2025-2026 Regular Sessions
IN ASSEMBLY
January 10, 2025
___________
Introduced by M. of A. ROSENTHAL, GLICK, BORES, SEAWRIGHT, GRIFFIN,
SIMON -- read once and referred to the Committee on Consumer Affairs
and Protection -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee -- recommitted
to the Committee on Consumer Affairs and Protection in accordance with
Assembly Rule 3, sec. 2 -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee -- again
reported from said committee with amendments, ordered reprinted as
amended and recommitted to said committee
AN ACT to amend the general business law, in relation to requiring
retailers to post warning signs of the tracking of customers through
electronic devices that track, monitor, and collect biometric informa-
tion on customers
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
2 390-f to read as follows:
3 § 390-f. Posting of warning signs by retailers tracking customers
4 through electronic devices and collecting biometric information of
5 customers. 1. Any retailer that tracks a customer by use of the custom-
6 er's cell phone, a store-installed camera or any other electronic device
7 while the customer is in their establishment shall conspicuously post a
8 warning sign at each entrance indicating that such retailer performs
9 such tracking. Such warning sign shall be written in plain language and
10 also provide information for customers who wish to opt out of the track-
11 ing and collection of data, if applicable.
12 2. Any retailer that collects, retains, converts, stores or shares
13 biometric information of customers shall conspicuously post a warning
14 sign at each entrance indicating that such retailer collects biometric
15 information. Such warning sign shall be written in plain language and
16 describe the type of biometric information being collected and how such
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD03977-07-6
A. 1558--C 2
1 information is used by the retailer. Such warning sign shall also
2 provide information for customers who wish to opt out of the collection
3 of biometric information, if applicable.
4 3. The warning signs described by subdivisions one and two of this
5 section may be posted together as one warning sign at each entrance of
6 the establishment so long as the requirements set out in subdivisions
7 one and two of this section are met.
8 4. Any retailer that violates this section shall be subject to a civil
9 penalty of not more than one hundred dollars for the first violation,
10 not more than two hundred fifty dollars for the second violation, and
11 not more than five hundred dollars for each violation thereafter. The
12 provisions of subdivision one of this section may be enforced concur-
13 rently by the director of a municipal consumer affairs office, or by the
14 town attorney, city corporation counsel, or other lawful designee of a
15 municipality or local government, and all moneys collected thereunder
16 shall be retained by such municipality or local government.
17 5. The provisions of this section shall not apply to cameras and other
18 technology solely intended for video surveillance to ensure the security
19 of a store.
20 6. For purposes of this section, the following terms shall have the
21 following meanings:
22 (a) "Electronic device" shall mean any cell phone as defined by para-
23 graph (b) of this subdivision, personal digital assistant, handheld
24 device with mobile data access, laptop computer, pager, broadband
25 personal communication device, two-way messaging device, electronic
26 game, or portable computing device, or any other electronic device when
27 used to input, write, send, receive, or read text for present or future
28 communication.
29 (b) "Cell phone" shall mean the device used by subscribers and other
30 users of wireless telephone service to access such service.
31 (c) "Wireless telephone service" shall mean any two-way real time
32 voice telecommunications service that is interconnected to a public
33 switched telephone network and is provided by a commercial mobile radio
34 service.
35 (d) "Biometric information" means any measurable physical, physiolog-
36 ical or behavioral characteristic that is attributable to a person,
37 including, but not limited to facial characteristics, fingerprint char-
38 acteristics, hand characteristics, eye characteristics, vocal charac-
39 teristics, and any other characteristics that can be used to identify a
40 person including, but not limited to: fingerprints; handprints; retina
41 and iris patterns; DNA sequence; voice; gait; and facial geometry.
42 § 2. This act shall take effect on the ninetieth day after it shall
43 have become a law.