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Bill

Bill

S 10367

Clarifies what qualifies as the unlawful practice of law

2025 Regular Session Introduced by Luis Sepúlveda

The bill clarifies unlawful practice of law, expands enforcement tools, requires legal service orgs to file disclosures, and tightens divorce advertising.

REFERRED TO JUDICIARY
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Bill Summary · S 10367

Overview

Bill S. 10367 (2025-2026, New York) seeks to clarify and broaden protections against the unlawful practice of law. It amends several statutes to define what constitutes unlawful practice, creates mechanisms for enforcement, updates reporting requirements for legal service organizations, and tightens advertising provisions related to divorces. The act would take effect January 1 of the year following enactment.

Main purpose and intent

  • To delineate more clearly what constitutes unlawfully practicing law in New York.
  • To empower the Attorney General and authorized entities to pursue civil and criminal actions against individuals or entities facilitating the unauthorized practice of law.
  • To regulate organizations offering legal services by enhancing disclosure requirements and oversight.
  • To curb deceptive advertising related to divorce services and other legal representation.

Key provisions and changes

  1. Unlawful practice of law (Judiciary Law – § 476-a)

    • Expands who may bring actions: The Attorney General may sue, and a private person or bar association may file civil actions.
    • Scope of unlawful practice includes:
      • Acts prohibited by specified Penal Law sections and related laws (cross-referenced list including sections around 470s–490s and 337 of the General Business Law).
      • Any act forbidden to be performed by a person not regularly licensed to practice law in New York.
      • Acts punishable by criminal contempt of court (per section 750-B of the Judiciary Law).
    • Civil action mechanics: A bar association may request leave from the Supreme Court to bring an action on good cause, provided there’s proof that a written request to the Attorney General was made and the Attorney General has not acted within 20 days.
  2. Filing requirements for legal service organizations (Judiciary Law – § 496)

    • Organizations offering legal services must file with the appellate division where their principal office is located.
    • Filings must describe:
      • Nature and purposes of the organization.
      • Composition of governing body.
      • Type of legal services offered.
      • Names and addresses of employed attorneys and counselors-at-law or those with whom commitments have been made.
    • Annual updates due by July 1, including the names and addresses of attorneys and counselors who rendered legal services during the year.
  3. Renumbering in General Business Law (GBL)

    • Section 336-b (as added in 1991) is renumbered to § 336-c. This is a housekeeping/structure change with no substantive effect described in the text.
  4. Advertising prohibitions related to divorces (GBL § 337)

    • Maintains the prohibition on advertising or circulating materials that offer to advise on foreign divorces or to procure divorces, separations, dissolutions, or annulments, or to engage in acting as attorney in alimony/divorce matters.
    • Clarifies the scope: Applies to materials aimed at securing or aiding in divorce-related outcomes, whether in New York or elsewhere.
    • Exception: The prohibition does not apply to legally required notices or ads authorized by New York law.
  5. Effective date

    • The act takes effect on January 1 of the year following enactment.

Who/what is affected

  • Individuals, partnerships, corporations, or associations engaged in or enabling the unlawful practice of law.
  • Attorneys, counselors-at-law, and legal service organizations operating in New York.
  • Bar associations and the Attorney General as enforcement authorities.
  • Advertisers and providers offering divorce-related services or legal advice, particularly those targeting alimony/divorce matters or foreign jurisdictions.

Procedural and timeline aspects

  • Enforcement: Civil actions by the AG or private parties; bar associations may seek leave to sue after notifying the AG and waiting 20 days if the AG has not acted.
  • Reporting: Legal service organizations must annually update disclosures by July 1.
  • Effective date: January 1 following enactment.

Potential impact

  • Increased clarity on what constitutes unlawful practice of law, potentially reducing unauthorized legal activities.
  • Enhanced enforcement tools for the AG and bar associations, with a streamlined path for private enforcement.
  • Greater transparency from organizations offering legal services regarding governance and attorney staffing.
  • Reduced misleading or inappropriate advertising for divorce-related services, protecting consumers from unauthorized or deceptive legal assistance.

If you’d like, I can map these provisions to the current statutes in plain-language comparisons or provide a quick compliance checklist for impacted organizations.

Compiled from official sources — confirm details with the bill’s official record.

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