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Bill > A05054


NY A05054

NY A05054
Allows approved claims of representatives for services rendered to a claimant in connection with an unemployment insurance claim to become a lien upon the benefit allowed; criminalizes certain violations relating to other forms of compensation in connection with an unemployment insurance claim; provides that a fee allowed shall be on a contingency basis and be equal to fifteen percent of the amount of the benefits to be paid to the claimant at the conclusion of services rendered.


summary

Introduced
02/11/2025
In Committee
02/11/2025
Crossed Over
Passed
Dead

Introduced Session

2025-2026 General Assembly

Bill Summary

AN ACT to amend the labor law, in relation to the payment of fees allowed for representation in unemployment compensation cases

AI Summary

This bill amends the labor law to establish new regulations for representatives who provide services to claimants in unemployment insurance cases. The bill creates a framework where approved representatives can have a legal lien on the benefits awarded to a claimant, but with strict guidelines on fee collection. Specifically, representatives can only charge a contingency fee of 15% of the total benefits to be paid, which must be agreed upon in a written retainer agreement using simple language. The bill criminalizes soliciting business for unemployment claim representation or charging fees beyond the approved 15%, making such actions a misdemeanor. Representatives are prohibited from charging additional expenses like telephone, postage, or travel costs. The bill requires that fee applications be made orally at the final hearing, with the administrative judge potentially requesting a written description of services. To improve accessibility, all forms related to these provisions must have links to translations in frequently used non-English languages. The bill will take effect on the first day of January following its enactment.

Committee Categories

Labor and Employment

Sponsors (2)

Last Action

referred to labor (on 02/11/2025)

bill text


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