Relates to venue for certain civil actions arising out of certain violations of the lien law and the vehicle and traffic law.
TITLE OF BILL: An act to amend the civil practice law and rules, in relation to venue for certain civil actions arising out of violations of the lien law and vehicle and traffic law
PURPOSE: Provides that the venue for a trial for certain civil actions shall be in the defendant's county where such defendant's business is located, unless the attorney general shall otherwise object.
SUMMARY OF PROVISIONS: Section 1. Amends the Civil Practice Law and Rules by adding a new section 505-a. Provides that the venue of a trial for certain civil actions arising out of violations in the lien law and vehicle and traffic law shall be located in the county where the defendant's actual place of business is located. Allows the attorney general to submit a timely objection to such provision.
Section 2. Effective Date
EXISTING LAW: None.
JUSTIFICATION: After a car is in a crash, the owner of record usually proceeds to get the vehicle repaired if such owner has collision insurance. If the insurance company pays the owner and not the repair shop, then the repair shop has to put a lien on the vehicle and sell it. Foreign car manufacturers who have liens on these cars then step in and bring lawsuits in Albany County adding the New York State Attorney General as a party. The Attorney General usually sends a letter saying the office will not appear, and the repair shop is left to defend a lawsuit in Albany, where the lawyers from the foreign manufacturers are located. It causes great time and expense to defend a case in Albany and many victims are forced to settle. If the Attorney General is not going to participate in a civil action, then the lawsuit should be brought to the county where the business is located. Foreign car manufacturers are foreign entities, not entities based in New York State, and should not be treated by the Civil Practice Law better than New York State corporations or businesses.
LEGISLATIVE HISTORY: 2012: S.955 Referred to Judiciary/A.1110 Referred to Judiciary 2011: S.955 Notice of Committee Consideration Requested, Discharged from Codes, Committed to Judiciary/A.1110 Referred to Judiciary 2010: S.7407 - Referred to Codes/A.11679 - Referred to Judiciary
FISCAL IMPLICATIONS: None to State.
STATE OF NEW YORK ________________________________________________________________________ 141 2013-2014 Regular Sessions IN SENATE (PREFILED) January 9, 2013 ___________Introduced by Sen. DIAZ -- 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 venue for certain civil actions arising out of violations of the lien law and vehicle and traffic law THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. The civil practice law and rules is amended by adding a new section 505-a to read as follows: S 505-A. CIVIL ACTIONS ARISING OUT OF CERTAIN VIOLATIONS OF THE LIEN LAW AND THE VEHICLE AND TRAFFIC LAW. THE PLACE OF TRIAL OF A CIVIL ACTION ARISING OUT OF A VIOLATION OF SECTION TWO HUNDRED ONE OF THE LIEN LAW OR SECTION FOUR HUNDRED TWENTY-FIVE OF THE VEHICLE AND TRAFFIC LAW, IN WHICH THE ATTORNEY GENERAL IS A PARTY, SHALL BE IN THE COUNTY WHERE THE DEFENDANT HAS THEIR ACTUAL PLACE OF BUSINESS UNLESS THE ATTORNEY GENERAL SHALL TIMELY OBJECT THERETO AND SHALL HAVE APPEARED BY SERVING NOTICE OF APPEARANCE TO THOSE PROCEEDINGS. S 2. This act shall take effect immediately.EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD00877-01-3