New York State Assembly

 
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A07487 Summary:

A07487 Actions:

A07487 Committee Votes:

Committee:CONSUMER AFFAIRS AND PROTECTION   Chair:Rozic      
DATE:05/25/2021AYE/NAY:15/0  Action: Favorable refer to committee Rules        
Rozic
Aye
Mikulin
Aye
Abbate
Aye
McDonough
Aye
Quart
Aye
Miller
Aye
Simon
Aye
Giglio
Aye
Niou
Aye
Pheffer Amato
Aye
Williams
Aye
Fall
Aye
Burgos
Aye
Gallagher
Aye
Rajkumar
Aye
Forrest
Excused

Committee:RULES   Chair:Heastie      
DATE:06/01/2021AYE/NAY:30/0  Action: Favorable         
Heastie
Aye
Barclay
Aye
Gottfried
Aye
Hawley
Aye
Nolan
Excused
Giglio
Aye
Weinstein
Aye
Blankenbush
Aye
Pretlow
Aye
Norris
Aye
Cook
Aye
Montesano
Aye
Glick
Aye
Ra
Aye
Aubry
Aye
Brabenec
Aye
Englebright
Aye
Dinowitz
Aye
Colton
Aye
Magnarelli
Aye
Perry
Aye
Paulin
Aye
Peoples-Stokes
Aye
Benedetto
Aye
Lavine
Aye
Lupardo
Aye
Zebrowski
Aye
Thiele
Aye
Braunstein
Aye
Dickens
Aye
Davila
Aye

A07487 Floor Votes:

A07487 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
 submitted in accordance with Assembly Rule III, Sec 1(f)



 
BILL NUMBER: A7487
 
SPONSOR: Fall

 
TITLE OF BILL:
 
An act to amend the general business law, in relation to debt collection
procedures related to identity theft
 
 
PURPOSE:
 
The purpose of this measure is to protect victims of identity theft by
requiring creditors to cease collection activities until completion of
their review of certain information, giving the victim the option to
have reported such acts to law enforcement or through a filing made by
the victim to the Federal Trade Commission (FTC) ID Theft Victim's
reporting process.
 
 
SUMMARY OF PROVISIONS:

Section one of this measure amends subdivision (I) of section 604-a of
the General Business Law, stating that victims of identity theft may
either report to law enforcement or the FTC. It also includes criminal
or family court documents that support the statement of identity theft
in the materials which debtors must review before continuing collection
actions against such persons.
 
Section two is the effective date.
 
 
EXISTING LAW:
 
Under current law, a principal creditor shall cease collection activ-
ities until completion of the review of certain information submitted by
a debtor who claims they were the victim of identity theft. The victim
must have filed a police report alleging the identity theft; there is no
alternative reporting permitted under the law.
 
 
LEGISLATIVE HISTORY:
 
This is a new bill.
 
 
STATEMENT IN SUPPORT:
 
Identity theft can occur under many different circumstances to many
different types of victims. While many assume identity theft occurs
between parties who do not know each other, identity theft also occurs
as a result of a domestic violence or an elder abuse situation, where
the perpetrator is known to the victim. Under circumstances where the
victim is familiar with the perpetrator, the victim may not be able to
or may not wish to pursue criminal charges.  This might be the victim's
choice, or their only choice if their safety is at risk, but it doesn't
mean that they shouldn't have protections. afforded to them under state
law.
 
The current law compels a victim of identity theft to report such crime
to law enforcement, whether they wish to or not or whether it is safe
for them to do so or not, in order for collection activities against
them to be suspended as further investigation is made into the legitima-
cy of the debt.
 
Affording victims of identity theft an alternate way to report such
victimization in order for debtors to pause collection efforts while
other factors are considered is the right thing to do. Such added
language does very little to impede a legitimate debtor's rights, but it
can do much to protect those who may not be safe turning to law enforce-
ment to report such activity.
 
 
POSSIBLE OBJECTIONS:
 
None known at this time.
 
 
OTHER STATE AGENCIES INTERESTED:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

A07487 Text:

 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          7487
 
                               2021-2022 Regular Sessions
 
                   IN ASSEMBLY
 
                                      May 11, 2021
                                       ___________
 
        Introduced  by  M.  of  A.  FALL,  ROZIC -- (at request of the Office of
          Victim Services) -- read once and referred to the Committee on Consum-
          er Affairs and Protection
 
        AN ACT to amend the general business law, in relation to debt collection
          procedures related to identity theft

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1. Subdivisions 1 and 2 of section 604-a of the general busi-
     2  ness law, as added by chapter 456 of the laws of 2008,  are  amended  to
     3  read as follows:
     4    1.  Upon  receipt from a debtor of the following, a principal creditor
     5  shall  cease  collection  activities  until  completion  of  the  review
     6  provided in subdivision five of this section:
     7    (a)  a copy of a valid police report filed by the debtor alleging that
     8  the debtor is the victim of an identity theft crime, including, but  not
     9  limited  to,  a  violation  of  section  190.78, 190.79, 190.80, 190.81,
    10  190.82 or 190.83 of the penal law, for the specific debt being collected
    11  by the principal creditor; [and] or
    12    (b) a copy of a completed and signed federal trade commission identity
    13  theft victim's report filed by the debtor alleging that  the  debtor  is
    14  the victim of identity theft; and
    15    (c)  the  debtor's  written statement that the debtor claims to be the
    16  victim of identity  theft  with  respect  to  the  specific  debt  being
    17  collected by the principal creditor.
    18    2.  The written statement described in paragraph [(b)] (c) of subdivi-
    19  sion one of this section shall consist of either of the following:
    20    (a) a signed federal trade commission ID theft victim's affidavit; or
    21    (b) a written statement that certifies that  the  representations  are
    22  true,  correct,  and  contain  no material omissions of fact to the best
    23  knowledge and belief of  the  person  submitting  the  certification.  A
    24  person  submitting  such certification who declares as true any material
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD09630-01-1
        A. 7487                             2
 
     1  matter pursuant to this subdivision that he or she knows to be false  is
     2  guilty  of a misdemeanor. Such statement shall contain or be accompanied
     3  by, the following, to the extent that such items  are  relevant  to  the
     4  debtor's  allegation of identity theft with respect to the debt in ques-
     5  tion:
     6    (i) a statement that the debtor is a victim of identity theft;
     7    (ii) a copy of the debtor's driver's license or  identification  card,
     8  as issued by the state;
     9    (iii) any other identification document that supports the statement of
    10  identity theft;
    11    (iv)  specific facts supporting the claim of identity theft, if avail-
    12  able;
    13    (v) any explanation showing that the debtor did not incur the debt;
    14    (vi) any available correspondence disputing the debt after transaction
    15  information has been provided to the debtor;
    16    (vii) documentation of the residence of the debtor at the time of  the
    17  alleged  debt.  This may include copies of bills and statements, such as
    18  utility bills, tax statements, or other statements from businesses  sent
    19  to the debtor, showing that the debtor lived at another residence at the
    20  time the debt was incurred;
    21    (viii)  a  telephone  number  for contacting the debtor concerning any
    22  additional information or questions, or direction that further  communi-
    23  cations to the debtor be in writing only, with the mailing address spec-
    24  ified in the statement;
    25    (ix)  to the extent the debtor has information concerning who may have
    26  incurred the debt, the identification of  any  person  whom  the  debtor
    27  believes is responsible; [or]
    28    (x)  an express statement that the debtor did not authorize the use of
    29  the debtor's name or personal information for incurring the debt;
    30    (xi) an express statement that the debtor was coerced to authorize the
    31  use of the debtor's name or personal information for incurring the debt;
    32  or
    33    (xii) criminal or family court documents that support the statement of
    34  identity theft.
    35    § 2. This act shall take effect one hundred eighty days after it shall
    36  have become a law.

A07487 LFIN:

 
NO LFIN

A07487 Chamber Video/Transcript: