New York S 7463: Relates to the liability of electronic marketplaces for compensation for damages for defective goods

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S07463 Summary:

BILL NOS07463 

&nbsp

SAME ASNo Same As

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SPONSORHOYLMAN-SIGAL

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COSPNSR

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MLTSPNSR

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Add §11-108, Gen Ob L

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Provides that an electronic marketplace provider shall be deemed to be a retailer for purposes of New York strict liability law and shall be strictly liable for all damages caused by defective products placed into the stream of commerce to the same extent that a retailer of that defective product would be liable.

Go to top S07463 Actions:

BILL NOS07463 

&nbsp

04/17/2025REFERRED TO JUDICIARY

Go to topS07463 Committee&nbspVotes:

Go to topS07463 Floor&nbspVotes:

There are no Assembly votes for this bill in this legislative session.

Go to topS07463 Text:

 STATE OF NEW YORK
 ________________________________________________________________________

 7463

 2025-2026 Regular Sessions

 IN SENATE

 April 17, 2025
 ___________

 Introduced by Sen. HOYLMAN-SIGAL -- read twice and ordered printed, and
 when printed to be committed to the Committee on Judiciary

 AN ACT to amend the general obligations law, in relation to the liabil-
 ity of electronic marketplaces for compensation for damages for defec-
 tive goods

 The People of the State of New York, represented in Senate and Assem-
 bly, do enact as follows:

 1 Section 1. The general obligations law is amended by adding a new
 2 section 11-108 to read as follows:
 3 § 11-108. Liability of electronic marketplaces for compensation for
 4 damages for defective goods. 1. As used in this section:
 5 (a) "Electronic marketplace provider" means a person who, pursuant to
 6 an agreement with a marketplace seller, sells or facilitates sales of
 7 tangible personal property by such marketplace seller or sellers via an
 8 internet website, online catalog, mobile application, or similar forum.
 9 "Electronic marketplace provider" includes any subsidiaries or related
 10 party companies. A person "facilitates sales of tangible personal prop-
 11 erty" for purposes of this paragraph when the person meets both the
 12 following conditions:
 13 (i) such person provides the forum in which, or by means of which, the
 14 sale takes place or the offer of sale is accepted, including an internet
 15 shop, store, booth, application, website, catalog, or similar forum; and
 16 (ii) such person or an affiliate of such person collects the receipts
 17 paid by a customer to a marketplace seller for a sale of tangible
 18 personal property, or contracts with a third party to collect such
 19 receipts.
 20 (b) "Handmade" means a product that conforms to all applicable state
 21 and federal consumer health and safety laws and is made by the market-
 22 place seller in the primary residence of the marketplace seller, so long
 23 as the marketplace seller's sales of handmade products generate less
 24 than fifty thousand dollars per year in revenues.

 EXPLANATION--Matter in italics (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD08360-01-5

 S. 7463 2

 1 (c) "Marketplace seller" means any person who has an agreement with an
 2 electronic marketplace provider under which the electronic marketplace
 3 provider will facilitate sales of tangible personal property by such
 4 person within the meaning of paragraph (a) of this subdivision.
 5 (d) "Product" means a tangible good that is subject to strict product
 6 liability law.
 7 2. An electronic marketplace provider shall be deemed to be a retailer
 8 for purposes of New York strict liability law and shall be strictly
 9 liable for all damages caused by defective products placed into the
 10 stream of commerce to the same extent that a retailer of that defective
 11 product would be liable. The liability of an electronic marketplace
 12 provider shall be equal to, but not greater than, the liability of a
 13 retailer, and all defenses to strict liability that are available under
 14 New York law, except as modified by this section, shall be preserved for
 15 electronic marketplace providers.
 16 3. This section shall apply:
 17 (a) without regard to fault;
 18 (b) regardless of whether the electronic marketplace provider or
 19 marketplace seller has a physical presence in the state; and
 20 (c) regardless of whether the electronic marketplace provider ever
 21 took ph