BILL NUMBER: S586A
SPONSOR: KRUEGER
 
TITLE OF BILL:
An act to amend the civil practice law and rules, in relation to estab-
lishing venue in actions to recover student debt
 
SUMMARY OF PROVISIONS:
Section 1 amends section 503 of the civil practice law and rules by
adding a new section g
Section 2 provides the effective date
 
JUSTIFICATION:
NY CPLR section 503 requires a plaintiff to bring a case in the county
or city of the defendant's residence. Student debt owed to New York
State is exempt from the definition of a consumer credit transaction
under CPLR sec. 105(f) because they are not considered debt "for
personal, family or household purposes" under the statute. This bill
adds a new section to section 503 that applies the same venue require-
ments in consumer credit transactions to cases where students owe debt
to New York State to give them the opportunity to present a defense
without having the burden of traveling to a distant court.
 
PRIOR LEGISLATIVE HISTORY:
2022: A3055/S915 - referred to judiciary/ referred to judiciary
2020-21: A10767/S08754 - referred to judiciary/REFERRED TO RULES
 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
None.
 
EFFECTIVE DATE:
Immediately after becoming law.

Statutes affected:
S586: 105 civil practice law
S586A: 503 civil practice law