Bill

Bill > S08186


NY S08186

NY S08186
Provides that a foreign corporation's application for authority to do business in this state constitutes consent to jurisdiction of the courts of this state and a surrender of such application constitutes withdrawal of such consent.


summary

Introduced
05/20/2025
In Committee
05/20/2025
Crossed Over
Passed
Dead

Introduced Session

2025-2026 General Assembly

Bill Summary

AN ACT to amend the civil practice law and rules, the business corporation law, the general associations law, the limited liability company law, the not-for-profit corporation law and the partnership law, in relation to consent to jurisdiction by foreign business organizations authorized to do business in New York

AI Summary

This bill establishes that when a foreign business organization (such as a corporation, limited liability company, partnership, or association) applies for authorization to do business in New York, it automatically consents to being sued in New York courts by specific types of plaintiffs, including state residents, domestic businesses, and other authorized foreign business entities. The bill amends multiple sections of New York state law to create a uniform rule across different types of business organizations. Specifically, the bill provides that filing an application for doing business in the state constitutes consent to jurisdiction, and if the organization later surrenders or withdraws its application, that withdrawal also constitutes a withdrawal of jurisdictional consent. This means that foreign businesses cannot simply avoid legal action by withdrawing their business authorization after a dispute arises. The provisions apply to foreign corporations, limited liability companies, partnerships, limited partnerships, and limited liability partnerships, ensuring a consistent approach to jurisdictional consent for out-of-state businesses operating in New York. The law is set to take effect on the first day of January following its passage.

Committee Categories

Justice

Sponsors (1)

Last Action

SUBSTITUTED BY A8303 (on 06/10/2025)

bill text


bill summary

Loading...

bill summary

Loading...
Loading...