Bill
Bill > A05596
NY A05596
NY A05596Authorizes justice courts to exercise jurisdiction over commercial claims arising out of a transaction between a claimant and a natural person, wherein the money, property or service which is the subject of the transaction is primarily for personal, family or household purposes.
summary
Introduced
02/18/2025
02/18/2025
In Committee
02/18/2025
02/18/2025
Crossed Over
Passed
Dead
Introduced Session
2025-2026 General Assembly
Bill Summary
AN ACT to amend the uniform justice court act, in relation to authorizing the exercise of jurisdiction over commercial claims in justice courts
AI Summary
This bill authorizes justice courts to expand their jurisdiction to hear commercial claims, creating a new, simplified procedure for resolving business and consumer-related disputes. Specifically, the bill establishes a specialized "commercial claims part" within justice courts that can handle monetary claims up to the small claims limit, with some key provisions: corporations and businesses can file up to five claims per month, claims can be initiated with a simple $25 filing fee and minimal paperwork, hearings are designed to be convenient and quick, and the process is intentionally informal and less legalistic than traditional court proceedings. For consumer transactions, the bill requires claimants to send a demand letter before filing and provides protections to ensure defendants are not unfairly burdened. The new procedure allows corporations, partnerships, and associations to file claims more easily, with provisions to prevent abuse of the system, such as limits on claim frequency and safeguards against harassment. The bill also includes mechanisms for defendants to file counterclaims, request jury trials, and challenge judgments, while providing a streamlined approach to resolving commercial disputes that aims to do "substantial justice" between parties.
Committee Categories
Justice
Sponsors (1)
Last Action
referred to judiciary (on 02/18/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
Document Type | Source Location |
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State Bill Page | https://www.nysenate.gov/legislation/bills/2025/A5596 |
BillText | https://assembly.state.ny.us/leg/?default_fld=&bn=A05596&term=2025&Summary=Y&Actions=Y&Text=Y&Committee%26nbspVotes=Y&Floor%26nbspVotes=Y#A05596 |
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