N.Y. General Business Law § 604-b: Penalties

§ 604-b. Penalties. (a) Whenever there shall be a violation of this

article, an 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 or

restrain the continuance of such violation; and if it shall appear to

the satisfaction of the court or justice that the defendant has, in

fact, violated this article, 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 less than five hundred dollars nor 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.

(b) A principal creditor shall have no civil liability under this

article if, within fifteen days either after discovering a violation

which is able to be cured, or after the receipt of a written notice of

such violation, the principal creditor notifies the debtor of the

violation, and makes whatever adjustments or corrections are necessary

to cure the violation with respect to the debtor.

(c) No principal creditor shall be deemed to have violated the

provisions of this article, if such person, firm, partnership,

association or corporation shows by a preponderance of the evidence that

the violation was not intentional and resulted from a bona fide error

made notwithstanding the maintenance of procedures reasonably adopted to

avoid such error.