A11283 • 2025

Prohibits payment card networks from assessing penalties against small businesses or financial intermediaries who fail to comply with the credit card surcharge notice requirement

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor: Emerita Torres
Last action: 2026-05-06
Official status: In Assembly Committee
Effective date: Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Prohibits payment card networks from assessing penalties against small businesses or financial intermediaries who fail to comply with the credit card surcharge notice requirement

Prohibits payment card networks from assessing penalties against small businesses or financial intermediaries who fail to comply with the credit card surcharge notice requirement Prohibits payment card networks from assessing penalties against small businesses or financial intermediaries who fail to comply with the credit card surcharge notice requirement; declares any clause of a contract, agreement, or arrangement in violation of such provision void.

What This Bill Does

Prohibits payment card networks from assessing penalties against small businesses or financial intermediaries who fail to comply with the credit card surcharge notice requirement Prohibits payment card networks from assessing penalties against small businesses or financial intermediaries who fail to comply with the credit card surcharge notice requirement; declares any clause of a contract, agreement, or arrangement in violation of such provision void.

Limits and Unknowns

This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

2026-05-06 Assembly
REFERRED TO CONSUMER AFFAIRS AND PROTECTION

Official Summary Text

Prohibits payment card networks from assessing penalties against small businesses or financial intermediaries who fail to comply with the credit card surcharge notice requirement
Prohibits payment card networks from assessing penalties against small businesses or financial intermediaries who fail to comply with the credit card surcharge notice requirement; declares any clause of a contract, agreement, or arrangement in violation of such provision void.

Current Bill Text

Read the full stored bill text

S T A T E   O F   N E W   Y O R K
        ________________________________________________________________________

                                          11283

                                  I N  A S S E M B L Y

                                       May 6, 2026
                                       ___________

        Introduced  by  COMMITTEE ON RULES -- (at request of M. of A. Torres) --
          read once and referred  to  the  Committee  on  Consumer  Affairs  and
          Protection

        AN  ACT  to  amend  the general business law, in relation to prohibiting
          payment card networks from assessing  penalties  against  small  busi-
          nesses  or financial intermediaries who fail to comply with the credit
          card surcharge notice requirement

          THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
        BLY, DO ENACT AS FOLLOWS:

     1    Section  1.    Section  511  of the general business law is amended by
     2  adding a new subdivision 11 to read as follows:
     3    11. "PAYMENT CARD NETWORK" MEANS AN ENTITY THAT DIRECTLY,  OR  THROUGH
     4  LICENSED  MEMBERS,  PROCESSORS,  OR  AGENTS,  PROVIDES  THE  PROPRIETARY
     5  SERVICES, INFRASTRUCTURE, AND SOFTWARE THAT ROUTE INFORMATION  AND  DATA
     6  TO  CONDUCT  DEBIT CARD OR CREDIT CARD TRANSACTION AUTHORIZATION, CLEAR-
     7  ANCE, AND SETTLEMENT, AND THAT A PERSON USES IN ORDER  TO  ACCEPT  AS  A
     8  FORM  OF PAYMENT A BRAND OF DEBIT CARD, CREDIT CARD OR OTHER DEVICE THAT
     9  MAY BE USED TO CARRY OUT DEBIT OR CREDIT TRANSACTIONS.
    10    § 2. Section 518 of the general business law is amended  by  adding  a
    11  new subdivision 3 to read as follows:
    12    3.  NO  PAYMENT CARD NETWORK OR ANY SUBDIVISION THEREOF DOING BUSINESS
    13  IN THE STATE OF NEW YORK SHALL ASSESS PENALTIES AGAINST ANY SMALL  BUSI-
    14  NESS  OR ANY FINANCIAL INTERMEDIARY FOR VIOLATING THE PROVISIONS OF THIS
    15  SECTION.  ANY CLAUSE OR PORTION OF A CONTRACT, AGREEMENT, OR ARRANGEMENT
    16  THAT WOULD ASSESS PENALTIES AGAINST A SMALL BUSINESS OR FINANCIAL INTER-
    17  MEDIARY IN VIOLATION OF THIS SUBDIVISION SHALL  BE  AUTOMATICALLY  VOID.
    18  FOR  THE  PURPOSES  OF THIS SUBDIVISION, "SMALL BUSINESS" SHALL HAVE THE
    19  SAME MEANING AS DEFINED IN SECTION ONE HUNDRED THIRTY-ONE OF THE ECONOM-
    20  IC DEVELOPMENT LAW.
    21    § 3. This act shall take effect immediately.


         EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD04388-01-5