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Bill > S07434


NY S07434

NY S07434
Authorizes a lien against personal and real property of the owner of a commercial towing company for illegal and improper practices; creates personal liability for members of an LLC and certain corporate shareholders.


summary

Introduced
04/16/2025
In Committee
04/16/2025
Crossed Over
Passed
Dead

Introduced Session

2025-2026 General Assembly

Bill Summary

AN ACT to amend the lien law, the general business law and the administrative code of the city of New York, in relation to liens against commercial towing companies for illegal and improper towing practices; to amend the civil practice law and rules, in relation to grounds for attachment; to amend the business corporation law, in relation to holding shareholders of non-publicly traded corporations personally liable for certain judgments; and to amend the limited liability company law, in relation to holding the ten members with the largest ownership interests in a company personally liable for certain judgments

AI Summary

This bill establishes new legal provisions targeting commercial towing companies for illegal or improper towing practices by creating a comprehensive framework for liens, personal liability, and enhanced consumer protections. Specifically, the bill allows individuals to file liens against real and personal property of commercial towing companies for violations related to towing, with a three-year window to file such claims. The legislation mandates that commercial towers provide written, mutually signed invoices before performing towing services and sets specific requirements for invoice details and payment acceptance. Additionally, the bill introduces personal liability provisions that make the ten largest shareholders of non-publicly traded corporations and the ten members with the largest ownership interests in limited liability companies personally responsible for claims arising from illegal towing practices. The bill also amends existing laws to expand grounds for legal attachment and provides detailed procedures for filing, serving, and extending liens, including specific notification requirements and timelines for lien enforcement. These provisions aim to protect vehicle owners from predatory towing practices by creating stronger accountability mechanisms for commercial towing companies and their owners.

Committee Categories

Justice

Sponsors (1)

Last Action

COMMITTED TO RULES (on 06/13/2025)

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