New York City Council Header
File #: Int 0611-2018    Version: * Name: Prohibiting businesses from setting a minimum purchase requirement greater than $10 for credit card transactions.
Type: Introduction Status: Committee
Committee: Committee on Consumer Affairs and Business Licensing
On agenda: 2/15/2018
Enactment date: Law number:
Title: A Local Law to amend the administrative code of the city of New York, in relation to prohibiting businesses from setting a minimum purchase requirement greater than $10 for credit card transactions
Sponsors: Ritchie J. Torres, Andrew Cohen, Keith Powers , The Public Advocate (Mr. Williams), Helen K. Rosenthal, Carlina Rivera , Francisco P. Moya, Deborah L. Rose, Robert E. Cornegy, Jr.
Council Member Sponsors: 9
Summary: This proposed local law would prohibit businesses operating in New York City from setting a minimum dollar value greater than $10 for the acceptance of credit cards in selling, leasing, renting or loaning consumer goods or services to the public. Businesses would be required to post notice of such prohibition on or near any fixed point of sale terminal. The Department of Consumer Affairs would be authorized to recover civil penalties for violations. The Department would also create a web form that the public could use to report a violation.
Indexes: Agency Rule-making Required
Attachments: 1. Summary of Int. No. 611, 2. Int. No. 611, 3. February 15, 2018 - Stated Meeting Agenda, 4. Minutes of the Stated Meeting - February 15, 2018

Int. No. 611

 

By Council Members Torres, Cohen, Powers, the Public Advocate (Mr. Williams), Rosenthal, Rivera, Moya, Rose and Cornegy

 

A Local Law to amend the administrative code of the city of New York, in relation to prohibiting businesses from setting a minimum purchase requirement greater than $10 for credit card transactions

 

Be it enacted by the Council as follows:

 

Section 1. Chapter 5 of title 20 of the administrative code of the city of New York is amended by adding a new subchapter 20 to read as follows:

Subchapter 20

Prohibition of Credit Card Minimum Purchases

§ 20-828 Prohibited conduct. It is unlawful for any organization, as such term is defined in section 20-102, to set a minimum dollar value greater than $10 for the acceptance of credit cards for any sale, lease, rental or loan or offer for sale, lease, rental or loan of any good or service to the public occurring in the city.

§ 20-829 Required posting. Any organization that accepts credit cards must conspicuously post on or near any fixed point of sale terminal that credit card minimums greater than $10 are prohibited by city law. Such disclosure will be in a form determined by the department.

§ 20-830 Penalties. a. Any organization violating section 20-828 or any rules promulgated pursuant thereto is liable for a civil penalty of not more than $150 for the first violation, and a civil penalty of not less than $1,500 and not more than $5,000 for each succeeding violation.

b. Any organization violating section 20-829 or any rules promulgated pursuant thereto is liable for a civil penalty of not more than $50 for the first violation, and a civil penalty of not less than $100 and not more than $500 for each succeeding violation.

c. The department shall commence any proceeding to recover any civil penalty authorized pursuant to the provisions of this section by serving a notice of violation returnable to any tribunal established within the office of administrative trials and hearings or within any agency of the city designated to conduct such proceedings.

d. For purposes of this section, all violations committed on any one day by any organization constitute a single violation.

e. The department shall design and post to its website a form that the public may use to report a violation of this subchapter.

§ 20-831 Enforcement. The department and any other agencies designated by the mayor are authorized to enforce the provisions of this subchapter.

§ 20-832 Rules. The commissioner may promulgate such rules and regulations as are necessary for implementing and carrying out the provisions of this subchapter.

§ 2. The department of consumer affairs shall educate retail businesses about their obligations pursuant to this local law and any rules promulgated thereto.

§ 3. This local law takes effect 120 days after it becomes law.

 

 

 

 

 

MMB

LS # 2309

1/9/18; 3:53 p.m.