New York S 7799: Relates to mandatory arbitration clauses in employment contracts

Bill Text

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S07799 Summary:

BILL NOS07799 

&nbsp

SAME ASSAME AS A07898

&nbsp

SPONSORCOMRIE

&nbsp

COSPNSR

&nbsp

MLTSPNSR

&nbsp

Amd §7515, CPLR

&nbsp

Requires specific notice of mandatory arbitration clauses in employment contracts.

Go to top S07799 Actions:

BILL NOS07799 

&nbsp

05/09/2025REFERRED TO JUDICIARY

01/07/2026REFERRED TO JUDICIARY

Go to topS07799 Committee&nbspVotes:

Go to topS07799 Floor&nbspVotes:

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

Go to topS07799 Text:

 STATE OF NEW YORK
 ________________________________________________________________________

 7799

 2025-2026 Regular Sessions

 IN SENATE

 May 9, 2025
 ___________

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

 AN ACT to amend the civil practice law and rules, in relation to arbi-
 tration clauses in employment contracts

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

 1 Section 1. Paragraph 4 of subdivision (a) and subdivision (b) of
 2 section 7515 of the civil practice law and rules, as added by section 1
 3 of subpart B of part KK of chapter 57 of the laws of 2018, is amended to
 4 read as follows:
 5 4. The term "arbitration" shall mean the use of a decision making
 6 forum conducted by an arbitrator or panel of arbitrators within the
 7 meaning and subject to the provisions of this article [seventy-five of
 8 the civil practice law and rules].
 9 (b) (i) Prohibition. Except where inconsistent with federal law, no
 10 written contract, entered into on or after the effective date of this
 11 section shall contain a prohibited clause as defined in paragraph two of
 12 subdivision (a) of this section.
 13 (ii) Exceptions. Nothing contained in this section shall be construed
 14 to impair or prohibit an employer from incorporating a non-prohibited
 15 clause or other mandatory arbitration provision within such contract,
 16 that the parties agree upon; provided, however, that in the event that a
 17 party is required to sign a contract for employment containing a manda-
 18 tory arbitration clause the representative shall disclose the mandatory
 19 arbitration clause to the party and clearly explain, in plain language,
 20 what an arbitration clause is. If the party is agreeing to a contract by
 21 any form of contact that is not personal, including but not limited to,
 22 electronically, using the internet or through the mail, such contract
 23 shall have, at the end of such contract, information informing the party
 24 that they are signing a mandatory arbitration clause and an internet

 EXPLANATION--Matter in italics (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD11422-01-5

 S. 7799 2

 1 link to a valid and plain written explanation of what an arbitration
 2 clause is.
 3 (iii) Mandatory arbitration clause null and void. Except where incon-
 4 sistent with federal law, the provisions of such prohibited clause as
 5 defined in paragraph two of subdivision (a) of this section shall be
 6 null and void. The inclusion of such clause in a written contract shall
 7 not serve to impair the enforceability of any other provision of such
 8 contract.
 9 § 2. This act shall take effect immediately.

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