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Bill > A08706


NY A08706

NY A08706
Prohibits persons, firms, or corporations whose interests are adverse to that of a person who received personal injuries or death as a result of an action by such person, firm or corporation from negotiating any contracts or settlements releasing such person, firm or corporation from liability for the tortious or potentially tortious act within thirty days of such act.


summary

Introduced
06/02/2025
In Committee
06/12/2025
Crossed Over
Passed
Dead

Introduced Session

2025-2026 General Assembly

Bill Summary

AN ACT to amend the civil practice law and rules, in relation to prohibiting certain entities from negotiating any contracts or settlements releasing such entities from liability for a tortious or potentially tortious act within thirty days of such act

AI Summary

This bill, known as the Unfair Settlement Timing Act (USTA), seeks to protect individuals who have suffered personal injuries or death by preventing entities responsible for those injuries from quickly negotiating settlements that release themselves from liability. Specifically, the bill prohibits any person, firm, or corporation from negotiating contracts or settlements that would absolve them of liability for a tortious (wrongful) act within 30 days of that act. If such a contract or settlement is attempted during this 30-day period, it would be considered voidable, meaning the injured party (or their representatives) could choose to invalidate the agreement. The purpose of this legislation appears to be giving injured parties adequate time to understand the full extent of their injuries, seek legal counsel, and make informed decisions about potential legal recourse before being pressured into accepting a settlement. The bill would amend the New York civil practice law and rules and would take effect immediately upon passage.

Committee Categories

Budget and Finance, Housing and Urban Affairs

Sponsors (1)

Last Action

substituted by s8185 (on 06/13/2025)

bill text


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