§ 2-332 General Release.

It is an unconscionable practice for a storage warehouse operator to relinquish possession of a consumer's stored goods upon the condition that the consumer sign a general release or any other document of similar import, in which the consumer releases the warehouse operator from legal liability for negligent loss or damage to the household goods stored as a condition for regular delivery by the warehouse operator of the goods in the ordinary course of business. Nothing in this section shall prohibit a warehouse operator from securing a general release or other document of similar import where a consumer's personal property in storage has been removed from storage for the purposes of conducting a public sale of such personal property pursuant to the provisions of § 7-210 of the New York Uniform Commercial Code.

§ 2-333 Sale of Consumer's Goods.

It is an unconscionable practice for a storage warehouse operator or his authorized agent to sell a consumer's stored goods in satisfaction of alleged charges owed by the consumer unless the consumer shall first be afforded notice and the opportunity for arbitration before the New York Better Business Bureau on the issues of:

   (a)   nonpayment of the alleged charges owing; and

   (b)   the amount of such alleged charges. This provision does not affect any other legal right that a consumer may have prior to sale of his/her stored goods.

§ 2-334 Agents.

   (a)   It is a deceptive practice for any person, firm or corporation to act as an agent for a licensed storage warehouse operator unless:

      (1)   his/her principal is a licensed storage warehouse operator who has complied with all the requirements of Local Law 1 of the Laws of 1979 and these regulations; and

      (2)   the consumer is informed that an agent in his/her capacity as agent prior to rendering any service in connection with a household goods storage transaction; and

      (3)   all documents furnished to consumers by such agent shall bear the name of the principal for which the agent is functioning, indicating that the agent is in fact an agent of said principal; and

      (4)   there is on file with the Commissioner an agency agreement, executed by both the licensed warehouse operator, as principal, and a Department of Transportation (D.O.T.) certificated mover, as agent, which shall contain the following information:

         (i)   the name in which the principal is licensed, and his license number;

         (ii)   the name of the agent and his D.O.T. license number;

         (iii)   an undertaking by the principal that he will guarantee full compliance by the agent with Local Law 1 of the Laws of 1979 and any and all regulations promulgated thereunder;

         (iv)   the principal place of business and home addresses and telephone numbers of the principal and agent;

         (v)   an undertaking by the principal that he will be responsible for the filing of an amended agency agreement in the event that any of the information required to be contained in the original agreement should become inaccurate.

   (b)   A licensed warehouse operator who permits an agent to act on his behalf in providing any storage service shall be fully liable for any and all of the actions of such agent.

   (c)   It is a deceptive trade practice for any licensed warehouse operator to enter into an agency arrangement with a person, firm or corporation where there is any common ownership between the agent and the licensed warehouse operator.

Subchapter CC: Electronic Stores