Sponsor · State Senator, District 14 · Democratic
Senate bill · S4375 (2025-26)
Relates to requiring mandatory arbitration clauses in certain consumer contracts to be disclosed to the consumer
Summary
Requires mandatory arbitration clauses in certain consumer contracts to be disclosed and explained to the consumer.
Your position on this bill
Not chosen yet
Where it stands
Out of committee and scheduled for a vote by the full chamber.
- Introduced
- In committee
- Up for a vote
- Passed one chamber
- Passed
- Enacted
New York State Senate
Same as A3369, the matching bill in the Assembly.
Amends the General Business Law.
Committee
Consumer Affairs and Protection · New York State Assembly
Also referred to Consumer Protection · New York State Senate.
Purpose, from the sponsor's memo
This bill would require representatives of companies responsible for administering a contract for consumer goods, services, or employment to a consumer to disclose the existence of any mandatory arbitration clause contained within the contract, and clearly explain what a mandatory arbitration clause is.
Filed with the bill. Read it on nysenate.gov (opens in a new tab)
Cosponsors
The sponsor's argument
Why Leroy Comrie says this is needed
As mandatory arbitration clauses in contracts for consumer goods, services, and employment have become more and more commonplace, consum- ers are increasingly forced to resolve disputes via arbitration. In many cases, consumers are unaware that the contract they are signing requires them to resolve disputes through arbitration, and not through the court system. They are in effect unknowingly signing away the right to their "day in court." Questions continue to be raised about the fairness of the arbitration process, due to studies finding that arbiters tend to disproportionately rule in favor of businesses over the consumers.Private arbitration companies have a financial incentive to rule in favor of the business that is paying for their services. Given these questions, it is appro- priate to clearly disclose the existence of an arbitration clause in a contract and ensure that the consumer understands the meaning and ramification of the clause before agreeing to sign the contract.
This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.
Full history
- Jan 7, 2026
Ordered to Third Reading CAL.109
ORDERED TO THIRD READING CAL.109
NY Assembly
- Jan 7, 2026
Referred to committee
REFERRED TO CONSUMER PROTECTION
NY Senate
- May 8, 2025
Advanced to Third Reading CAL.127
ADVANCED TO THIRD READING CAL.127
NY Assembly
- May 6, 2025
Amend and Recommit to Consumer Protection
AMEND AND RECOMMIT TO CONSUMER PROTECTION
NY Senate
- May 6, 2025
Reported out of committee
REPORTED
NY Assembly
Show full history (3 earlier events)Show less history
- Apr 2, 2025
Amend and Recommit to Consumer Affairs and Protection
AMEND AND RECOMMIT TO CONSUMER AFFAIRS AND PROTECTION
NY Assembly
- Feb 4, 2025
Referred to committee
REFERRED TO CONSUMER PROTECTION
NY Senate
- Jan 27, 2025
Referred to committee
REFERRED TO CONSUMER AFFAIRS AND PROTECTION
NY Assembly
About this record
- Summary
The summary comes from NY Open Legislation, the New York State Senate's public record. For more, see How we handle summaries.
- Cosponsors
The list shows the cosponsors who are on Agora, A to Z. The official record may list more.
- Party colors
Parties are shown in the same neutral colors.
- Source
From NY Open Legislation, the NY Senate and Assembly, and official rosters. This record was last updated Nov 1, 2026. About our data
Read the record
- Read on NY Senate (opens in a new tab) The official record on nysenate.gov.