“Freelance Isn’t Free” Act Passes NY Legislature, Expanding NYC Freelancer Law Statewide

On June 2, the New York General Assembly passed the Freelance Isn’t Free Act (S8369), which provides new contract and wage theft protections to workers employed as independent contractors. Although the law does provide exceptions for contractors in the building and medical fields, it will cover the creative freelance talent used by agencies.This new state-wide law matches the requirements of a 2017 New York City law of the same moniker. 

S8369 takes effect on August 28, 2024 and mandates that any company hiring a freelancer for services valued at $250 or more must provide them with a written contract and timely payment in full. If the contact doesn’t specify a payment date, then the freelancer must be paid within 30 days after the work is completed. A written contract with a freelancer must include:

• The name and address of both the hiring party and the freelance worker;
• An itemization of the services to be provided by the freelance worker;
• The value of the services to be provided;
• The rate and method of compensation;
• The date on which the hiring party must pay the contracted compensation of the mechanism by which such date will be determined; and
• The date the freelance worker must submit a list of services rendered to meet any internal processing deadlines for the hiring party to render timely compensation. 

Agencies will be required to keep any contract with a freelancer for at least six years. The law establishes penalties for violations of these freelancer rights, including statutory damages, double damages, injunctive relief, and attorney’s fees. Individual causes of action will be adjudicated in state court. The New York attorney general can also bring a civil action on behalf of the state against a hiring party that is engaged in a pattern or practice of violations of the act of up to $25,000.

For questions about the New York “Freelance Isn’t Free” Act, please contact Alison Pepper, Executive Vice President of Government Relations and Sustainability.