NY Advances Bill Requiring Caterers To Disclose Tip Policies

Law360, New York (May 9, 2012, 1:53 PM EDT) -- Legislation requiring New York catering companies to disclose to diners when service charges aren't being passed on to workers landed in the State Assembly Wednesday, having passed the Senate despite concerns that it could shield business owners from retroactive liability.

The measure, S. 6299B, sponsored in the senate by Long Island Republican Sen. Jack Martins, passed by a 38-21 margin on Tuesday — with mostly Democrats in opposition — but it has drawn support from some on the Democratic side.

The bill's prospects in the Democrat-dominated state...
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