N.Y. Labor Law § 345-b: Confiscation of goods

§ 345-b. Confiscation of goods. 1. The commissioner may, in addition

to seeking civil, administrative or criminal penalties pursuant to this

article, order the special task force to confiscate any partially or

completely assembled articles of apparel and any equipment used in the

assembly of apparel from any manufacturer or contractor who is violating

any provision of this article and who has previously been found liable

for a civil or administrative penalty for two or more separate

violations of the provisions of this article during the immediately

preceding three-year period. Such order of confiscation shall require

that such articles of apparel and equipment shall be held in the

premises at which such confiscation occurs and that such articles and

equipment shall be secured by any means, including the use of a padlock,

to render such articles and equipment inaccessible; provided, however,

that the commissioner shall not secure any dwelling unit or other space

lawfully used for residential purposes.

2. Such order of confiscation shall be posted upon the secured

premises and shall give notice that removal of secured property is

prohibited by law. Removal of such posted order while it remains in

force shall be punishable by a fine of five hundred dollars. Any attempt

to remove secured articles and equipment while such order remains in

force shall be punishable by a fine not to exceed one thousand dollars

or by imprisonment not to exceed six months or both. The special task

force shall deliver the keys to the fee owner, lessor or lessee of such

premises if such owner, lessor or lessee is not the manufacturer or

contractor who is in violation of the provisions of this article.

3. Such articles and equipment shall remain secured pursuant to

subdivision one of this section until such order of confiscation becomes

final or until a final determination of any appeal pursuant to

subdivision four or five of this section of such order is rendered.

4. Within five days of confiscation pursuant to subdivision one of

this section, the commissioner shall provide the manufacturer or

contractor who is in violation of any provision of this article and

whose articles of apparel and equipment have been confiscated with

notification of such violation and confiscation by certified mail,

return receipt requested, and with an opportunity to request from the

commissioner by certified mail, return receipt requested, a hearing

within fifteen days following receipt of such notice. If a hearing is

requested, it shall be held within ten days following receipt of such

request, and the commissioner may issue a final confiscation order upon

such hearing and a finding that a violation has occurred. If a hearing

is not requested, the commissioner shall issue a final confiscation

order upon the expiration of such fifteen-day period. The manufacturer

or contractor may appeal the final confiscation order to the appellate

division of the supreme court within thirty days following the issuance

of such final confiscation order.

5. Upon issuance of a final confiscation order or, if such order is

appealed, upon a final resolution upholding such order, title to the

confiscated articles and equipment shall vest in the state, and such

items shall be sold at auction within sixty days from the vesting of

title. Proceeds of the auction shall be applied to enforcement and

administrative costs of the special task force. Any remaining items

shall be disposed of pursuant to regulations issued by the commissioner.