New York Senate Bill S05005

New York 2025-2026 Regular Session

• Introduced: 2/18/25
• Refer: 2/18/25
• Refer: 1/7/26

Caption

Relates to creating a private right of action for the breach of a consumer's identifying information such as their social security number, driver's license number, bank account number, credit or debit card number, personal identification number, automated or electronic signature, unique biometric data, account passwords or other information that can be used to access an individual's financial accounts or to obtain goods and services.

Summary

Bill S05005 seeks to amend the general business law in New York by establishing a private right of action for consumers whose identifying information has been breached. This includes sensitive information such as social security numbers, driver's license numbers, bank account numbers, credit or debit card numbers, and other data that can be used to access financial accounts or obtain services. The bill specifies that consumers can sue for damages, including a statutory amount of $10,000, actual damages incurred, and legal fees if they successfully enforce their rights under this law.

Impact

If enacted, this bill would significantly enhance consumer protections in New York by allowing individuals to take legal action against entities that fail to protect their identifying information. It would create a new avenue for consumers to seek redress and could lead to increased accountability for businesses and consumer reporting agencies that handle sensitive information. This may also encourage companies to invest more in data security measures to avoid potential lawsuits.

Sentiment

The sentiment surrounding Bill S05005 appears to be generally supportive among consumer advocacy groups, who view it as a necessary step to protect consumers in an increasingly digital world. However, there may be concerns from businesses regarding the potential for increased litigation and associated costs, which could lead to pushback from industry stakeholders during discussions.

Contention

Notable points of contention may arise from the business community, particularly regarding the financial implications of the bill. Critics may argue that the statutory damages could lead to excessive litigation and burdens on companies, especially smaller businesses that may struggle to comply with heightened legal expectations. Proponents, on the other hand, emphasize the importance of consumer protection and the need for accountability in the face of data breaches.