STATE OF NEW YORK
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8393
IN SENATE
January 26, 2024
___________
Introduced by Sen. SKOUFIS -- read twice and ordered printed, and when
printed to be committed to the Committee on Consumer Protection
AN ACT to amend the general business law, in relation to prohibiting
motor vehicle manufacturers and dealers from charging a subscription
fee for certain functions of a motor vehicle after the vehicle is sold
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The general business law is amended by adding a new section
2 198-d to read as follows:
3 § 198-d. Vehicle feature subscriptions. (a) As used in this section:
4 (1) "Consumer" shall mean the purchaser, or lessee, other than for
5 purposes of resale, of a motor vehicle.
6 (2) "Dealer" shall have the same meaning as such term is defined by
7 section four hundred fifteen of the vehicle and traffic law.
8 (3) "Manufacturer" shall mean a person or business engaged in the
9 manufacturing or assembling of new motor vehicles.
10 (4) "Motor vehicle" shall have the same meaning as such term is
11 defined by section one hundred twenty-five of the vehicle and traffic
12 law.
13 (5) "Motor vehicle feature" shall mean any convenience or safety func-
14 tion included on the motor vehicle, including but not limited to heated
15 seats or driver assistance, that typically is offered to a consumer as
16 an upgrade at the time of purchase or lease of the motor vehicle.
17 (6) "Subscription service" shall mean a service provided on a
18 subscription basis in exchange for a recurring payment, including, but
19 not limited to, a weekly, monthly, or annual payment charged to and made
20 by a consumer but shall not include third-party services, such as info-
21 tainment features, satellite radio, or in-vehicle Wi-Fi.
22 (b) No manufacturer, dealer, or agent of a manufacturer or dealer
23 shall offer to a consumer a subscription service or charge a post-pur-
24 chase fee for any motor vehicle feature that:
25 (1) utilizes components and hardware already installed on the motor
26 vehicle at the time of purchase or lease by the consumer; and
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD13200-01-3
S. 8393 2
1 (2) would function after activation without ongoing expense to the
2 dealer, manufacturer, or any third-party service provider.
3 (c) The provisions of this section shall not be construed to prohibit
4 a dealer or manufacturer from providing any software update to a consum-
5 er, provided the dealer or manufacturer does not charge the consumer a
6 fee for any software update remedying a safety-related defect that is
7 required to be provided to the consumer at no cost.
8 § 2. This act shall take effect on the ninetieth day after it shall
9 have become a law. Effective immediately, the addition, amendment and/or
10 repeal of any rule or regulation necessary for the implementation of
11 this act on its effective date are authorized to be made and completed
12 on or before such effective date.