BILL NUMBER: S3248B
SPONSOR: COONEY
 
TITLE OF BILL:
An act to amend the cannabis law, in relation to authorizing for a
private right of action for certain violations
 
PURPOSE OR GENERAL IDEA OF BILL::
This bill would permit any person to bring a civil action for a
violation of subdivision one of § 125 of the cannabis law and may
recover damages.
 
SUMMARY OF PROVISIONS::
Section 1. The cannabis law is amended to add a new section 138-c that
will permit any person to bring a civil action for a violation of subdi-
vision one of § 125 of the cannabis law in their own name to enjoin such
unlawful act or practice, an action to recover actual damages, or both
such actions. The court may in its discretion increase the award of
damages to an amount not to exceed three times the actual damages if the
court finds the defendant willfully and knowingly violated this section.
Section 2. Effective date.
 
JUSTIFICATION::
Illegal cannabis operators undermine the legal cannabis industry in New
York, whose cannabis processors, cultivators, distributors and retail
dispensary licensees followed the rules only see their hard work damaged
by those who violate the cannabis law. New York must lead when legiti-
mate business is compromised by the conduct of bad actors.
This bill would permit any person to bring a civil action for violations
of subdivision one of § 125 of the cannabis law, which prohibits any
person from cultivating, processing, distributing for sale or sell at
wholesale, retail or deliver to consumers any cannabis, cannabis prod-
uct, medical cannabis, or cannabinoid hemp or hemp extract product, or
any product marketed or labeled as such, within New York State without
obtaining the appropriate registration, license or permit required under
existing law, and allows for damages to be recovered by the party bring-
ing the civil action. Authorizing this type of civil action for these
specific violations of the cannabis law adds another layer of legal
protection for everyday New Yorkers.
 
PRIOR LEGISLATIVE HISTORY::
2023-24: S.9441, referred to Finance
 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS::
To be determined
 
EFFECTIVE DATE::
This act shall take effect immediately.

Statutes affected:
S3248: 189 state finance law, 189(1) state finance law, 138-a cannabis law, 138-a(5) cannabis law