Letter on legislation which would provide that an application by a foreign business organization to conduct business in New York would constitute consent to the general jurisdiction of the courts of New York for all actions against that organization

SUMMARY

In a letter to the New York State Legislature, the Committee on Banking Law provided comments on A.9576/S.7078, which would amend several different statutes to provide that an application by a foreign business organization to conduct business in New York would constitute consent to the general jurisdiction of the courts of New York for all actions against that organization. In the letter, the Committee questioned the constitutionality of the measure and asked that amendments be made to the bill to make clear the sponsors’ stated intent that the bill’s proposed changes to New York law not alter existing jurisdictional rules as applied to foreign banking organizations doing business in New York. 

BILL INFORMATION

A.9576 (AM Weinstein) / S.7078 (Sen. Bonacic) – Relates to consent to general jurisdiction by foreign business organizations authorized to do business in New York (NYS 2014)