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NY S07791

Bill

Status

Introduced

6/18/2012

Primary Sponsor

Jack Martins

Click for details

Origin

Senate

2011-2012 General Assembly

AI Summary

  • Employers adding mandatory gratuities must disclose the charge to customers before ordering in ordinary language and ordinary type size, and cannot retain any portion of the gratuity
  • Employers imposing mandatory service charges, administrative fees, or similar charges not distributed to employees as gratuities must provide written notice to customers in contracts and on checks/invoices stating the charge is not a gratuity and will not be distributed to service employees
  • Written notice in contracts must appear in no smaller than 12-point type, while notice on checks or invoices must use ordinary language in type size similar to surrounding text
  • Employers are not liable for claims that service charges imposed for banquets held before January 1, 2011 were gratuities if they can prove they did not expressly represent the charge as a gratuity, charged sales tax on it, included it in gross receipts for income tax purposes, and paid employees minimum wages required by law
  • The act takes effect immediately upon enactment

Legislative Description

Requires notice from employers to customers of service charges and administrative fees that are not distributed to employees as gratuities.

Last Action

REFERRED TO RULES

6/18/2012

Committee Referrals

Rules6/18/2012

Full Bill Text

No bill text available