APPROVED APRIL 9, 2024
RESOLUTION OF THE BOARD OF DIRECTORS
GREATER UTICA CHAMBER OF COMMERCE
WHEREAS, state legislation entitled the “Consumer and Small Business Protection Act” has been introduced by State Senator Comrie and Assemblymember Weinstein (S.795/A.7138); and
WHEREAS, the legislation purports to increase protections for consumers and small businesses but would introduce new opportunities to sue businesses; and
WHEREAS, one provision would allow consumers to sue a small business over perceived abuse without demonstrating any actual injury or the possibility of injury or damages; and
WHEREAS, the bill would also allow for the filing of class action lawsuits in circumstances in which that provision does not currently exist; and
WHEREAS, the main support for this legislation comes from private plaintiff attorneys and organizations that could earn significant profits litigating these new opportunities; and
WHEREAS, a companion Senate budget bill proposes a timeline for an attorney to demand a settlement from a business on behalf of a consumer that could preclude the business to investigate and rectify the source of the complaint before trial; and
WHEREAS, small businesses are often targeted for quick settlements because they lack the funds necessary to fight a protracted legal battle; and
NOW THEREFORE BE IT RESOLVED that the Greater Utica Chamber of Commerce opposes Senate Bill 795 and Assembly Bill 7138 because of the undue financial harm that could befall small businesses throughout New York State.