Bill > S08830

This bill amends existing law to expand protections for individuals who incur debts under duress, intimidation, or other forms of coercion, particularly within intimate relationships, family, or household contexts, or involving victims of human trafficking and vulnerable individuals like the elderly or children. It clarifies the definition of "coerced debt" to specifically include debts incurred due to such pressures, and it establishes a new right of action allowing individuals to sue those who cause them to incur such debts, potentially recovering the debt amount, legal fees, and other damages. The bill also refines the process for disputing coerced debts with creditors, requiring specific documentation and outlining creditor obligations for investigation and notification, while also limiting the application of these provisions to debts secured by real property and modifying the application to debts secured by personal property to only affect liability for deficiencies after collateral is repossessed or surrendered. Furthermore, it extends the effective date of related legislation and clarifies that the provisions apply to debts incurred on or after the effective date.

https://www.nysenate.gov/legislation/bills/2025/S8830