BILL NUMBER: S4328
SPONSOR: COONEY
 
TITLE OF BILL:
An act to amend the general business law, in relation to fines for false
alarms by an alarm system
 
PURPOSE:
To permit the imposition of fines on alarm system companies solely for
false alarms resulting from deficiencies in the alarm system, errors by
the alarm system company, or mistakes made by the central monitoring
station.
 
SUMMARY OF PROVISIONS:
Section 1: Amends section 69-1 of the general business law to add new
subdivisions 6, 7, 8, and 9.
Section 2: Amends the general business law by adding a new section
69-vw, permitting a municipality to enact, adopt, or enforce any ordi-
nance, resolution, or regulation requiring any alarm system company to
pay for or be responsible for any fines, fees, or other penalties rela-
tive to false alarms only when the false alarm is attributed to a defi-
ciency in the alarm system or an error of the alarm system company or
central station. An alarm company operator or an alarm agent shall not
be liable for civil penalties and fines assessed or imposed by a city,
county, or city and county for false alarms not attributed to alarm
company operator error, improper installation of the alarm system by an
alarm agent or an alarm company operator, defective equipment provided
or installed by an alarm agent or an alarm company operator, defective
equipment leased by an alarm company operator, or equipment that was not
deficient upon installation or provision for use to the end-user but
resulted in a deficiency due to normal wear and tear.
Section 3: Sets effective date.
 
JUSTIFICATION:
An increasing concern is the imposition of fines on alarm companies by
local laws and ordinances for false alarms, even when the alarms are
caused by user error and not the fault of the alarm company. This legis-
lation will ensure that alarm companies may only be fined for false
alarms directly attributed to deficiencies in the alarm system, errors
by the alarm system company, or an error made by the central monitoring
station.
 
LEGISLATIVE HISTORY:
Senate
2021: S6663, Referred to Consumer Protection
2022: S6633, Referred to Consumer Protection
2023: S5202, Referred to Consumer Protection
2024: S2502, Referred to Consumer Protection
 
EFFECTIVE DATE:
This act shall take effect immediately.

Statutes affected:
S4328: 69-l general business law