New York A 1227: Relates to actions for illegal and improper practices of commercial towing companies

Bill Text

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A01227 Summary:

BILL NOA01227 

&nbsp

SAME ASSAME AS S09787

&nbsp

SPONSORDinowitz

&nbsp

COSPNSRBenedetto, Seawright, Glick, Cook, Colton, McDonough

&nbsp

MLTSPNSR

&nbsp

Add Art 7-A §§170 & 171, Lien L; amd §399-xx, Gen Bus L; amd §20-509, NYC Ad Cd; amd §6201, CPLR; add §631,
BC L; amd §609, Lim Lil L

&nbsp

Authorizes a lien against personal and real property of the owner of a commercial towing company for illegal and improper practices; creates personal liability for members of an LLC and certain corporate shareholders.

Go to top A01227 Actions:

BILL NOA01227 

&nbsp

01/09/2025referred to judiciary

01/07/2026referred to judiciary

Go to topA01227 Committee&nbspVotes:

Go to topA01227 Floor&nbspVotes:

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

Go to topA01227 Text:

 STATE OF NEW YORK
 ________________________________________________________________________

 1227

 2025-2026 Regular Sessions

 IN ASSEMBLY

 January 9, 2025
 ___________

 Introduced by M. of A. DINOWITZ, BENEDETTO, SEAWRIGHT, GLICK, COOK,
 COLTON, McDONOUGH -- read once and referred to the Committee on Judi-
 ciary

 AN ACT to amend the lien law, the general business law and the adminis-
 trative code of the city of New York, in relation to liens against
 commercial towing companies for illegal and improper towing practices;
 to amend the civil practice law and rules, in relation to grounds for
 attachment; to amend the business corporation law, in relation to
 holding shareholders of non-publicly traded corporations personally
 liable for certain judgments; and to amend the limited liability
 company law, in relation to holding the ten members with the largest
 ownership interests in a company personally liable for certain judg-
 ments

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

 1 Section 1. The lien law is amended by adding a new article 7-A to read
 2 as follows:
 3 ARTICLE 7-A
 4 LIEN ON COMMERCIAL TOWING COMPANIES FOR IMPROPER PRACTICES
 5 Section 170. Lien for violations associated with illegal or improper
 6 practices relating to the towing of motor vehicles.
 7 171. Enforcement of lien.
 8 § 170. Lien for violations associated with illegal or improper prac-
 9 tices relating to the towing of motor vehicles. 1. A person shall have a
 10 lien against any interest in property of a commercial towing company
 11 arising out of any claim of illegal or improper practices relating to
 12 the towing of motor vehicles, as defined in section one hundred seven-b
 13 of the vehicle and traffic law, including by not limited to section
 14 19-169.1 of the administrative code of the city of New York, for the
 15 agreed price of such towing or, if the towing was without the prior
 16 consent or authorization of such motor vehicle owner, the amount charged

 EXPLANATION--Matter in italics (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD01717-01-5

 A. 1227 2

 1 for the service, from the time of filing a notice of such lien as
 2 prescribed in this chapter. In a city with a population of one million
 3 or more, charges for towing and associated storage shall not exceed the
 4 amounts set forth in section 20-509 of the administrative code of the
 5 city of New York. A lien under this section may be had for any amount
 6 over the limits set forth in such section. A lien under this article may
 7 be had against an interest in real property and against an interest in
 8 personal property that can be sufficiently described within the meaning
 9 of section 9-108 of the uniform commercial code, except that a lien
 10 under this article shall not extend to deposit accounts or goods as
 11 those terms are defined in section 9-102 of the uniform commercial
 12 code.
 13 2. Notice of a lien under this section may be filed at any time not
 14 later than three years following violation giving rise to the claim. A
 15 notice of lien on personal property must be filed, together with a
 16 financing statement, in the filing office as set forth in section 9-501
 17 of the uniform commercial code.
 18 3. Within five days before or thirty days after filing the notice of a
 19 lien authorized pursuant to this article, the lienor shall serve a copy
 20 of such notice upo