Bill S5941-2013

Provides a limitation on actions to collect overcharges

Provides that an action to recover the amount of an overcharge based upon a mistake or billing error made by an electric, gas or telephone corporation must be commenced within ten years.

Details

Actions

  • Jan 8, 2014: REFERRED TO JUDICIARY
  • Oct 2, 2013: REFERRED TO RULES

Memo

BILL NUMBER:S5941

TITLE OF BILL: An act to amend the civil practice law and rules, in relation to statute of limitations for certain overcharges

SUMMARY OF PROVISIONS:

Section two hundred twelve of the civil practice law and rules is amended by adding a new subdivision (e) to read as follows: Overcharge based on mistake or billing error. An action to recover the amount of an overcharge based upon a mistake or billing error made by an electric, gas or telephone corporation must be commenced within ten years.

JUSTIFICATION:

Utility company billing errors caused by faulty wire connections, incorrect computer computations, installation mishap or other mistakes often continue for years without detection. Even when the utility company in question acknowledges the error and can account for the amount of the mistake, the liability is for only six years of the overcharge. This causes an inequitable situation whereby a customer can prove the overcharge for a longer period of time, but cannot be compensated for his total loss. This legislation changes the statute of limitations for these utility company billing errors to ten years thereby providing a fairer basis to settle these matters.

FISCAL IMPLICATIONS:

None.

EFFECTIVE DATE:

This act shall take effect immediately and shall apply to all causes of actions occurring on or after such date.


Text

STATE OF NEW YORK ________________________________________________________________________ 5941 2013-2014 Regular Sessions IN SENATE October 2, 2013 ___________
Introduced by Sen. KRUEGER -- read twice and ordered printed, and when printed to be committed to the Committee on Rules AN ACT to amend the civil practice law and rules, in relation to statute of limitations for certain overcharges THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Section 212 of the civil practice law and rules is amended by adding a new subdivision (e) to read as follows: (E) OVERCHARGE BASED ON MISTAKE OR BILLING ERROR. AN ACTION TO RECOVER THE AMOUNT OF AN OVERCHARGE BASED UPON A MISTAKE OR BILLING ERROR MADE BY AN ELECTRIC, GAS, OR TELEPHONE CORPORATION MUST BE COMMENCED WITHIN TEN YEARS. S 2. This act shall take effect immediately and shall apply to all causes of action occurring on or after such date.

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