Brooklyn since 2014All five boroughsSame-day response during business hours

What is NYC AC § 19-552?

Quick Answer

This section mandates that high-volume for-hire services must ensure drivers receive full payment for completed trips, even if payment transactions fail. It allows these services to withhold payments if there is reasonable suspicion of fraud. The statute imposes civil penalties for violations. Applies to high-volume for-hire service operators.

General informational summary. Not legal advice for your situation. Consult an attorney before acting on any specific matter.

Michael Nacmias - Founding PartnerMichael Sargo - Partner
From the team atNacmias Law Firm, PLLCBrooklyn-based attorneys representingproperty owners across all five boroughsMeet the team →

§ 19-552 Risk of loss on trip payments.

AC § 19-552

a. Notwithstanding any inconsistent regulations, provisions of law or provisions of any contract entered into after the effective date of the local law that added this section, if a payment transaction for a completed trip dispatched by a high-volume for-hire service fails, such high-volume for-hire service shall ensure that the driver receives the entire amount owed to such driver for such completed trip. b. Notwithstanding subdivision a of this section, a high-volume for-hire service may refuse to deposit funds to a driver for rendering services upon a reasonable belief that the driver's account is associated with fraudulent activity. c. Any high-volume for-hire service that violates this section is liable for a civil penalty of not less than $250 nor more than $500 for each offense. (L.L. 2018/217, 12/15/2018, eff. 4/14/2019)

Common Questions

Our team

Meet the people you will work with

Free case review

Talk to an attorney before you act on NYC code.

Free 15-minute case review with the attorney handling your matter. Same-day response during business hours across all five boroughs — OATH hearings, Housing Court, and real estate closings.

Or email us

[email protected]

An attorney reads every message.

  • Same-day response

    During business hours

  • Direct attorney access

    Same lawyer from intake to close

  • Flat-fee pricing

    On most OATH and closing matters