The New York State Fashion Workers Act (the “Act”) is set to reshape the fashion industry when it takes effect on June 19, 2025. This legislation introduces protections for models, strict compliance requirements for model management companies (MMCs), and clear responsibilities for clients engaging modeling services. If your business operates in the fashion, retail, or entertainment industries, understanding and preparing for the Act is critical.
For more information on the Act and its potential impact on your organization, or employment compliance, please contact our Managing Counsel, Richard Liu, at contact@consultils.com.
What Does the Act Cover?
The Act establishes a regulatory framework for the employment and management of models in New York. It applies to:
Models: Individuals providing modeling services, regardless of their status as employees or independent contractors.
Model Management Companies (MMCs): Businesses that manage models, procure work for them, or provide career guidance for a fee.
Clients: Entities hiring models, such as retailers, designers, manufacturers, photographers, and publishers.
The Act introduces definitions to clarify the scope of Modeling Services - activities such as photoshoots, runway shows, and showroom appearances, as well as the use of digital replicas.
Key Provisions of the Act
1. Registration Requirements for MMCs
Mandatory Registration: MMCs must register with the New York Department of Labor, providing business details and paying a registration fee of $500–$700, depending on company size.
Surety Bond: Companies with more than five employees must post a $50,000 surety bond.
Exemptions: Out-of-state MMCs may qualify for an exemption if they meet equivalent regulatory standards and do not solicit business in New York.
2. Duties and Responsibilities
For MMCs:
Act in the best interest of models, fulfilling a fiduciary duty.
Disclose financial relationships with clients and itemize any deductions from models’ earnings.
Ensure work opportunities are safe and compliant with legal requirements for explicit content.
Provide models with final agreements at least 24 hours before work begins.
Obtain explicit written consent for digital replicas including AI-generated representations of a model’s likeness, specifying terms of use and compensation.
For Clients:
Pay overtime for work exceeding eight hours in a 24-hour period.
Provide a 30-minute meal break for work lasting more than eight hours.
Maintain liability insurance to protect models.
Obtain written consent for digital replicas and avoid any unreasonable risks to models’ health or safety.
3. Prohibited Practices
The Act prohibits certain behaviors by MMCs, including:
Charging signing fees or deposits.
Requiring contracts longer than three years.
Retaliating against models who file complaints or raise concerns.
Altering digital replicas without explicit, written consent.
Enforcement and Penalties
The Act includes robust enforcement mechanisms to ensure compliance:
Civil Penalties: Fines up to $3,000 for first-time violations and $5,000 for repeat offenses.
Private Right of Action: Models can file complaints or pursue legal action for damages, including attorneys’ fees, and up to 300% of damages for willful violations.
Why Does This Matter for Your Business?
If your business operates in New York’s fashion, retail, or entertainment industries, this Act directly impacts how you manage and engage models. Key considerations include:
Reviewing and updating contracts to comply with the Act’s transparency and consent requirements.
Ensuring payroll and payment practices align with overtime and deduction regulations.
Establishing processes to manage digital replicas ethically and with proper consent.
Assessing safety standards for work opportunities offered to models.
For more information on the Act and its potential impact on your organization, or employment compliance, please contact our Managing Counsel, Richard Liu, at contact@consultils.com.
Disclaimer: The materials provided on this website are for general informational purposes only and do not, and are not intended to, constitute legal advice. You should not act or refrain from acting based on any information provided here. Please consult with your own legal counsel regarding your specific situation and legal questions.
Richard Liu, Esq. is the Managing Counsel of ILS. He serves clients as a management-side defense lawyer specializing in employment and business litigation. Richard is also an expert on litigation prevention and compliance. He regularly advises Fortune 500 companies and startups on employment, labor, and commercial matters.
Email: contact@consultils.com | Phone: 626-344-8949
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