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A00453 Summary:

BILL NOA00453
 
SAME ASSAME AS S02734
 
SPONSORSteck
 
COSPNSROtis
 
MLTSPNSR
 
Amd 609, Lim Lil L
 
Relates to liability of members for wages due to laborers, servants or employees by domestic and foreign limited liability companies.
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A00453 Actions:

BILL NOA00453
 
01/09/2019referred to corporations, authorities and commissions
02/12/2019reported referred to codes
03/05/2019reported
03/07/2019advanced to third reading cal.97
03/11/2019passed assembly
03/11/2019delivered to senate
03/11/2019REFERRED TO CORPORATIONS, AUTHORITIES AND COMMISSIONS
05/01/2019SUBSTITUTED FOR S2734
05/01/20193RD READING CAL.367
05/01/2019PASSED SENATE
05/01/2019RETURNED TO ASSEMBLY
12/06/2019delivered to governor
12/12/2019signed chap.620
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A00453 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                           453
 
                               2019-2020 Regular Sessions
 
                   IN ASSEMBLY
 
                                       (Prefiled)
 
                                     January 9, 2019
                                       ___________
 
        Introduced  by M. of A. STECK -- read once and referred to the Committee
          on Corporations, Authorities and Commissions
 
        AN ACT to amend the  limited  liability  company  law,  in  relation  to
          liability  of members for wages due to laborers, servants or employees
          by domestic and foreign limited liability companies
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1.  Subdivision  (c)  of section 609 of the limited liability
     2  company law, as added by chapter 537 of the laws of 2014, is amended  to
     3  read as follows:
     4    (c) Notwithstanding the provisions of subdivisions (a) and (b) of this
     5  section, the ten members with the largest percentage ownership interest,
     6  as  determined as of the beginning of the period during which the unpaid
     7  services referred to in this section are performed,  of  every  domestic
     8  limited  liability company, or of any foreign limited liability company,
     9  when the unpaid services were performed in the state, shall jointly  and
    10  severally  be personally liable for all debts, wages or salaries due and
    11  owing to any of  its  laborers,  servants  or  employees,  for  services
    12  performed by them for such limited liability company. Before such labor-
    13  er,  servant  or employee shall charge such member for such services, he
    14  or she shall give notice in writing  to  such  member  that  he  or  she
    15  intends to hold such member liable under this section. Such notice shall
    16  be  given  within  one  hundred  eighty  days  after termination of such
    17  services. An action to enforce such liability shall be commenced  within
    18  ninety  days  after  the  return of an execution unsatisfied against the
    19  limited liability company upon a judgment recovered against it for  such
    20  services.  A  member  who  has  paid more than his or her pro rata share
    21  under this section shall be entitled to contribution pro rata  from  the
    22  other  members  liable  under this section with respect to the excess so
    23  paid, over and above his or her pro rata share, and may sue them jointly
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03563-01-9

        A. 453                              2
 
     1  or severally or any number of them to recover the amount due from  them.
     2  Such  recovery may be had in a separate action. As used in this subdivi-
     3  sion, "pro rata" means in proportion to percentage  ownership  interest.
     4  Before  a  member  may  claim contribution from other members under this
     5  section, he or she shall give them notice in  writing  that  he  or  she
     6  intends to hold them so liable to him or her.
     7    §  2.  This  act  shall take effect on the sixtieth day after it shall
     8  have become a law.
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