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VICARIOUS LIABILITY
2004 Priority Issue

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Issue:

This reform bill provides that the lessor of a motor vehicle for a term of more than one year shall be deemed to be the owner of such a vehicle for the purposes of civil liability for the damage caused by the use of such motor vehicle. The bill would bring New York's statute more in line with the rest of the country. The bill is sponsored in the Assembly by Ron Canestrari (A.1042-A) and in the Senate by Owen Johnson (S. 397-A). The Business Council supports this bill. TBC's legislative memo in support.

The Senate introduced a new bill on June 22nd, S.7643 which requires the lessee of a vehicle to purchase liability insurance coverage of not less than one hundred thousand dollars for bodily injury to or death of one person and three hundred thousand dollars for bodily injury to or death of two or more persons in any one accident. Additional coverage requirements are in the bill.

Business Council news story: Vicarious liability costs New York consumers and businesses millions (June 21, 2004)

Status:
8/12/04

The Senate passed S. 7643 on June 22nd.