This is not the time for the legislature to enact liability-expanding bills. Every dollar counts right now, for all New Yorkers.
We ask that you send a message to Governor Hochul, asking her to veto the following legislation, which, although perhaps well-intentioned, would significantly expand liability exposure, litigation costs, and insurance premiums across New York. These pieces of legislation, separately and collectively, threaten to undermine New York’s efforts to remain an affordable place to live, work, and operate a business.
This legislation would prohibit settlement discussions within 30 days of an incident. This would delay early resolution, increase court backlogs, and drive up legal costs.
This legislation would allow plaintiffs to recover directly from third-party defendants.
This would disincentivize parties from defending or settling cases and expose third-party defendants to financial liability without due process. This would be especially harmful to hospitals, physicians, construction firms, and local governments.
This legislation broadens the scope of “consent to jurisdiction” for out-of-state entities operating in New York. Expanding jurisdictional reach would invite a surge in forum-shopping, burdening New York courts and businesses.
This legislation would require New York courts to interpret state labor laws independently of federal precedent. New York already has the highest construction costs in the nation, and affordable housing developers are struggling with the cost of insurance. This bill will dramatically increase those costs.
This legislation would significantly limit impleader actions by imposing rigid and arbitrary deadlines. The bill strictly reduces the filing window to 20 days from the existing 100 days. By imposing rigid statutory deadlines, it removes the flexibility that courts have to balance efficiency with fairness.
Business Practices Act (FAIR Act)
This legislation expands the scope from “deceptive” practices to include “unfair” and “abusive” acts — terms that are incredibly vague and subjective. Due to the expanding scope, this legislation would expose every business, not just those engaged in deceptive consumer practices, to potential lawsuits. Companies would need to spend far more on: legal defense and compliance programs, liability insurance premiums, and settlements or judgments. Those higher operational and legal costs would be passed on to consumers in the form of higher prices for goods and services.
New York already ranks among the highest in the nation for liability costs per capita. Enacting these bills would deepen that burden and directly conflict with our administration’s affordability goals.
Please take a moment to send a message to Governor Hochul, asking her to veto each of these pieces of legislation to protect all New Yorkers.