New York 2025-2026 Regular Session

New York Senate Bill S08126

Introduced
5/15/25  

Caption

Enacts the "mandatory arbitration & business licensing act"; provides that no state agency or local government shall issue or renew a covered license to any person that refuses to certify that such person will not, as the owner or operator of a business or provider of services in the state or a local government operating pursuant to such license; makes related provisions.

Impact

If enacted, S08126 would substantially alter the operational landscape for businesses in New York by mandating that those applying for specific business licenses—ranging from restaurants to transportation services—certify that they do not impose mandatory arbitration as a condition for employment or consumer agreements. This could lead to a significant decrease in the number of businesses willing to operate under such conditions, which could have broad implications for employment practices and consumer rights in the state. By focusing on the licensing aspect, the legislation seeks to provide a regulatory framework that prioritizes the rights of employees and consumers.

Summary

The bill S08126, known as the 'Mandatory Arbitration and Business Licensing Act' (MABLA), aims to address the issuance and renewal of business licenses in New York related to mandatory arbitration agreements. The act stipulates that no state agency or local government can issue or renew a license to any individual or business that requires employees or consumers to enter mandatory arbitration clauses to resolve disputes. This legislative move is seen as an attempt to enhance consumer rights and protect employees from being forced into arbitration, which often limits their ability to seek legal remedy in the courts.

Conclusion

Overall, S08126 represents a pivotal shift in regulatory approach regarding arbitration and business licensing in New York. By eliminating mandatory arbitration requirements for certain licenses, the bill aims to protect the rights of employees and consumers while potentially reshaping how businesses operate in the state. The full implications of this act will depend on legislative negotiations and the response from the business community, which is likely to be closely watched as discussions progress.

Contention

The introduction of MABLA may trigger controversies, particularly among businesses that argue that mandatory arbitration is a useful tool for dispute resolution, reducing litigation costs and time. Opponents of the bill might raise concerns over the potential consequences for business operations, claiming that it could impose undue burdens on employers and lead to litigation over employment practices. Supporters, on the other hand, argue that this bill is essential for empowering consumers and workers by preventing unfair arbitration clauses that limit access to justice and fair negotiation.

Companion Bills

NY A08856

Same As Enacts the "mandatory arbitration & business licensing act"; provides that no state agency or local government shall issue or renew a covered license to any person that refuses to certify that such person will not, as the owner or operator of a business or provider of services in the state or a local government operating pursuant to such license; makes related provisions.

Previously Filed As

NY A01916

Enacts the "small business fairness act" to permit a business that has been ordered to cease or limit operations pursuant to an executive order due to a declared state disaster emergency to continue or resume operations if the products sold or services offered by the business are also available at a business that has not been required to cease or limit operations by the executive order or an order of the health department.

NY A07733

Relates to consideration of the potential impacts of a proposed rule on small businesses and local governments; requires additional efforts to notify interested small businesses or local governments and/or organizations representing their interests of proposed rules.

NY A00557

Authorizes minors to operate temporary businesses operating for less than thirty days and generating less than five thousand dollars in profit per calendar year without certain licenses or permits; permits local government or law enforcement to require such temporary business to move if the location is determined to pose a substantial risk to health and safety.

NY S09951

Requires or allows licensing entities to suspend business licenses for certain businesses that are charged or convicted of wage theft; establishes reporting requirements for wage theft convictions.

NY A00417

Restricts the disclosure of personal information by businesses; provides that a business that retains a customer's personal information shall make available to the customer free of charge access to, or copies of, all of the customer's personal information retained by the business.

NY S03163

Restricts the disclosure of personal information by businesses; provides that a business that retains a customer's personal information shall make available to the customer free of charge access to, or copies of, all of the customer's personal information retained by the business.

NY S00283

Provides that the tax imposed upon the sales on goods or services purchased from businesses which employ twenty or less persons, are resident in this state, are independently owned and operated and not dominant in their field shall be two percent.

NY A02259

Provides that the tax imposed upon the sales on goods or services purchased from businesses which employ twenty or less persons, are resident in this state, are independently owned and operated and not dominant in their field, shall be two percent.

NY A00081

Provides that a state agency shall require a person that submits a bid or offer in response to a notice of procurement, or that proposes to renew an existing procurement contract with a state agency or proposes to assume the responsibility of a contractor pursuant to a procurement contract with a state agency or otherwise proposes to enter into a contract with a state agency with respect to a contract for commodities, services, construction, or contracts entered pursuant to section eight of the public buildings law or section thirty-eight of the highway law, to certify, at the time the bid is submitted or the contract is renewed or assigned, that the person or the assignee is not identified on a list that such person is doing business with or in the Russian federation and shall not be deemed a responsive bidder or offeror.

NY S02547

Establishes the New York first--shop local program to provide immediate assistance to small businesses impacted by the COVID-19 outbreak; defines terms; provides that such program shall identify eligible applicants and projects that promote local products and services by providing marketing and business assistance services; makes related provisions.

Similar Bills

No similar bills found.