New York A05431 amends the general business law to prohibit deceptive automatic gratuities.
New York A05431 amends the general business law by adding a new section that restricts automatic gratuities. An automatic gratuity is defined as a charge added to a consumer's bill without their consent. The bill outlines conditions under which an automatic gratuity is considered deceptive, such as when the consumer is not informed beforehand or when the gratuity is based on taxes or fees. Establishments are required to ensure their point-of-sale terminals comply with these restrictions.
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