NY Lab L § 723 (2021)
2021 New York Laws LAB - Labor Article 20-A - Labor and Management Improper Practices Act 723 - Specific Prohibited Financial Interests and Transactions.

§  723.  Specific prohibited financial interests and transactions.  1. Without limiting his fiduciary  obligation  provided  in  section  seven hundred  twenty-two,  it  shall  constitute a violation of his fiduciary obligation for an officer or agent of a labor organization:  (a) To have, directly or indirectly, any  financial  interest  in  any business  or transaction of either an employer whose employees his labor organization represents or seeks to represent for purposes of collective bargaining, or an employer who is  in  the  same  industry  as  such  an employer;  (b)  To  have,  directly  or indirectly, any financial interest in the business or transaction of any  person  who  sells  to,  buys  from,  or otherwise   deals  with  (i)  an  employer  whose  employees  his  labor organization represents or seeks to represent for purposes of collective bargaining, or (ii)  an  employer  organization  which  represents  such employer,  or  (iii)  an employer who is in the same industry as such an employer;  (c) To have, directly or indirectly, any  financial  interest  in  the business  of any person who sells to, buys from, or otherwise deals with his labor organization;  (d) To have, directly or indirectly, any  financial  interest  in  any transaction  with  his  labor  organization  for the purchase or sale of property  or  services,  except  reasonable  compensation  for  services rendered by him to such organization as officer or agent;  (e)  To receive, directly or indirectly, any payments, loans, or gifts from (i) an employer whose employees his labor  organization  represents or  seeks to represent for purposes of collective bargaining, or (ii) an employer organization  which  represents  such  employer,  or  (iii)  an employer  who  is  in  the  same industry as such an employer; provided, however,  that  such  an  officer  or  agent  may   receive   reasonable compensation  for  services  rendered  by  him  as  an  employee of such employer, or payments required by collective agreement  to  be  made  in lieu  of  wages  for  time  lost  from  work while engaged in collective bargaining, handling of grievances, or otherwise in  the  administration of a collective agreement;  (f)  To  lend  any  funds  of  the  labor  organization,  directly  or indirectly,  to  either  any  officer,  agent,  or  employee   of   such organization, or any business in which an officer, agent, or employee of such  organization  has,  directly  or indirectly, a financial interest; provided, however, that loans may be made from a  loan  fund  which  has been  set aside in accordance with a written resolution of the governing board of the labor organization  for  the  specific  purpose  of  making personal  loans  to  its  officers,  agents, and employees generally, in compliance with established, written rules; or  (g) To lend or invest any funds of the labor organization, directly or indirectly, in any business of an employer  whose  employees  his  labor organization represents or seeks to represent for purposes of collective bargaining,  except  where the governing board of the labor organization has adopted a written resolution finding and determining that such  loan or  investment will promote the best interests of the employees and will not adversely affect collective bargaining.   2. The fact that conduct or acts of an officer or  agent  of  a  labor organization  have  not caused damage to such organization or any of its members, or have been ratified or acquiesced in by such organization  or its  members,  shall not be relevant in determining whether such conduct or acts constitute a violation by such officer or agent of  any  of  the obligations  provided  in  section  seven hundred twenty-two and in this section.    3. Nothing contained in this section  shall  prohibit  an  officer  or agent of a labor organization from:  (a)  holding  a  financial  interest acquired as an employee through a regularly established employee benefit plan, including a stock purchase, profit sharing, pension or retirement plan;  (b) holding securities traded on a securities exchange registered as a national exchange under the securities exchange act of nineteen  hundred thirty-four, or securities traded on over-the-counter markets within the meaning of such act, or shares in an investment company registered under the investment company act of nineteen hundred forty, or securities of a public  utility  holding  company  registered  under  the public utility holding company act of nineteen hundred  thirty-five,  and  all  federal laws  amendatory  and supplemental to such acts; provided, however, that any investment in such securities or shares shall  not  constitute  more than  one  per  cent  of  the  outstanding  securities  or shares of the respective class or classes of securities or shares which he holds;  (c) lending to, or investing in, any business owned predominantly by a labor organization or labor organizations; or  (d) receiving gifts, otherwise lawful, from employers whose  employees his  labor organization represents and from employer organizations which represent such employers, provided the cumulative retail value  of  such gifts from all such employers and employer organizations does not exceed one hundred dollars in any calendar year.   4.  Nothing  contained  in  this  section  shall  prohibit  any  labor organization from:  (a) Acquiring a nominal number of shares in any  corporation  for  the purpose  of  qualifying  as  stockholder  in  order  to obtain financial statements of the corporation; or  (b) Lending to, or investing in, any business owned predominately by a labor organization or labor organizations.