Massachusetts 2025-2026 Regular Session

Massachusetts Senate Bill S1118 Compare Versions

Only one version of the bill is available at this time.

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1	1	1 of 1
2	2	SENATE DOCKET, NO. 1638 FILED ON: 1/16/2025
3	3	SENATE . . . . . . . . . . . . . . No. 1118
4	4	The Commonwealth of Massachusetts
5	5	_________________
6	6	PRESENTED BY:
7	7	Cindy F. Friedman
8	8	_________________
9	9	To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
10	10	Court assembled:
11	11	The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
12	12	An Act relative to sexual harassment.
13	13	_______________
14	14	PETITION OF:
15	15	NAME:DISTRICT/ADDRESS :Cindy F. FriedmanFourth MiddlesexRebecca L. RauschNorfolk, Worcester and Middlesex1/30/2025Julian CyrCape and Islands2/14/2025 1 of 4
16	16	SENATE DOCKET, NO. 1638 FILED ON: 1/16/2025
17	17	SENATE . . . . . . . . . . . . . . No. 1118
18	18	By Ms. Friedman, a petition (accompanied by bill, Senate, No. 1118) of Cindy F. Friedman,
19	19	Rebecca L. Rausch and Julian Cyr for legislation to make it unlawful for a professional investor
20	20	doing business in the commonwealth to make sexual harassment advances. The Judiciary.
21	21	The Commonwealth of Massachusetts
22	22	_______________
23	23	In the One Hundred and Ninety-Fourth General Court
24	24	(2025-2026)
25	25	_______________
26	26	An Act relative to sexual harassment.
27	27	Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
28	28	of the same, as follows:
29	29	1 SECTION 1. The General Laws are hereby amended by inserting after Chapter 151F the
30	30	2following chapter:-
31	31	3 Chapter 151G.
32	32	4 PROTECTIONS AGAINST SEXUAL HARASSMENT.
33	33	5 Section 1. As used in this chapter, the following words shall have the following meanings
34	34	6unless the context clearly requires otherwise:
35	35	7 “Derivative investment”, an acquisition of securities by a venture capital company in the
36	36	8ordinary course of the venture capital company’s business in exchange for an existing venture
37	37	9capital investment either: (i) upon the exercise or conversion of the existing venture capital
38	38	10investment; or (ii) in connection with a public offering of securities or the merger or
39	39	11reorganization of the operating company to which the existing venture capital investment relates. 2 of 4
40	40	12 “Professional investor”, one or more persons, including but not limited to, a bank, bank
41	41	13holding company, savings institution, trust company, insurance company, investment company
42	42	14registered under the Federal Investment Company Act of 1940, pension or profit-sharing trust or
43	43	15other financial institution or institutional buyer, licensee under the Federal Small Business
44	44	16Investment Act of 1958, partnership, association, corporation, legal representative, trustee,
45	45	17trustee in bankruptcy, receiver, and venture capital fund, whose business includes sponsoring,
46	46	18guaranteeing or granting funds or engaging in investment transactions.
47	47	19 “Venture capital company”, an entity that: (i) on at least one occasion during the annual
48	48	20period commencing with the date of the entity’s initial capitalization, and on at least one
49	49	21occasion during each annual period thereafter, at least 50 per cent of the entity’s assets other than
50	50	22short-term investments pending long-term commitment or distribution to investors, valued at
51	51	23cost, are venture capital investments or derivative investments; (ii) the entity is a “venture capital
52	52	24fund” as defined in 17 C.F.R. 275.203 section (l)-(1); or (iii) the entity is a “venture capital
53	53	25operating company” as defined in 29 C.F.R. section 2510.3-101(d).
54	54	26 “Venture capital fund”, shall have the same meaning as defined in 17 C.F.R. section
55	55	27275.203 (l)-(1).
56	56	28 “Venture capital investment”, an acquisition of securities in an operating company as to
57	57	29which the investment adviser, the entity advised by the investment adviser, or an affiliated
58	58	30person of either has or obtains management rights.
59	59	31 Section 2. It shall be unlawful for a professional investor doing business in the
60	60	32commonwealth to make sexual advances, requests for sexual favors, and other verbal or physical
61	61	33conduct of a sexual nature either directly or indirectly through an intermediary when: (i) 3 of 4
62	62	34submission to or rejection of such advances, requests or conduct is made explicitly or implicitly a
63	63	35basis for business investment transactions, including the sponsoring, guaranteeing or granting of
64	64	36funds; or (ii) such advances, requests or conduct have the purpose or effect of unreasonably
65	65	37interfering with an individual’s working relationship with a person, business, partnership, or
66	66	38other entity or venture by creating an intimidating, hostile, humiliating or sexually offensive
67	67	39environment, relationship, partnership or other situation; provided, that discrimination on the
68	68	40basis of sex shall include, but not be limited to, sexual harassment.
69	69	41 Section 3. (a) An individual doing business in the commonwealth who is injured by a
70	70	42violation of section 2, or any business, partnership or other venture or entity doing or planning to
71	71	43do business in the commonwealth, which employed the individual as its agent to conduct its
72	72	44business with the professional investor during the course of the injuring actions, may bring an
73	73	45action in any court of competent jurisdiction against a professional investor who commits an
74	74	46unlawful act under section 2. A professional investor shall be liable to the individual, entity or
75	75	47venture bringing suit for damages, including, but not limited to, compensatory, incidental,
76	76	48consequential or punitive damages. A plaintiff may also seek, and the court may grant, injunctive
77	77	49and other appropriate equitable relief. The court shall, in addition to any judgment awarded to
78	78	50the plaintiff, award reasonable attorneys’ fees to be paid by the defendant and the costs of the
79	79	51action.
80	80	52 (b) The attorney general may bring enforcement action against a professional investor for
81	81	53violations of section 2. A professional investor subject to such action shall be liable for damages,
82	82	54including, but not limited to, compensatory, incidental, consequential and punitive damages. The
83	83	55attorney general may also seek, and the court may grant, injunctive and other appropriate
84	84	56equitable relief. The court shall, in addition to any judgment awarded, award reasonable 4 of 4
85	85	57attorneys’ fees to be paid by the defendant and the costs of the action. Costs and attorneys’ fees
86	86	58shall be paid to the commonwealth and damages shall be paid to the individual, venture or entity
87	87	59injured due to the violation of section 2. Prior to or in connection with bringing an enforcement
88	88	60action, the attorney general’s office shall be permitted to investigate potential violations with the
89	89	61powers granted by, and in a manner consistent with, section 6 of chapter 93A.
90	90	62 (c) Any action based upon or arising under this chapter shall be instituted within 3 years
91	91	63after the date of the last alleged unlawful act, the last alleged injury, when an injured individual
92	92	64became aware of the last alleged injury or when the attorney general’s office became aware of
93	93	65the last alleged injury, whichever is most recent.
94	94	66 Section 4. This chapter shall be construed liberally to accomplish its purposes. Nothing
95	95	67contained in this chapter shall be deemed to repeal any provision of any other law of this
96	96	68commonwealth.