N.Y. General Business Law § 393-b: Written solicitation

§ 393-b. Written solicitation. 1. Any written solicitation to enter

into an agreement for various credit card protection services shall

disclose that the purchase of credit card protection services or the

renewal thereof is not required for a consumer to secure or retain his

or her credit card; and a concise statement regarding his or her rights

that already exist free of charge under the "Fair Credit Billing Act"

and the regulations thereunder, as such acts and regulations may from

time to time be amended. A credit card protection service means a

service to protect, indemnify, or reimburse the credit card holder

against the loss or misuse of the credit card. Such term shall include

services provided along with credit card protection services for the

same price, including, but not be limited to, access to credit reports,

an explanation of credit entries on the report, the identification of

those who have accessed the report, and insurance and security services.

No agreement for services shall provide that services will be

automatically renewed on an annual basis and the consumer billed, unless

the consumer in the expiring agreement is notified not more than sixty

days and not less than fifteen days prior to the termination of the

existing agreement by mail of the credit protection service provider's

intention to automatically renew the agreement.

2. Whenever there shall be a violation of this section, application

may be made by the attorney general in the name of the people of the

state of New York to a court or justice having jurisdiction by a special

proceeding to issue an injunction, and upon notice to the defendant of

not less than five days, to enjoin and restrain the continuance of such

violations; and if it shall appear to the satisfaction of the court or

justice that the defendant has, in fact, violated this section, an

injunction may be issued by such court or justice, enjoining and

restraining any further violation, without requiring proof that any

person has, in fact, been injured or damaged thereby. In any such

proceeding, the court may make allowances to the attorney general as

provided in paragraph six of subdivision (a) of section eighty-three

hundred three of the civil practice law and rules, and direct

restitution. Whenever the court shall determine that a violation of this

section has occurred, the court may impose a civil penalty of not more

than one thousand dollars for each violation. In connection with any

such proposed application, the attorney general is authorized to take

proof and make a determination of the relevant facts and to issue

subpoenas in accordance with the civil practice law and rules.