Establishes a temporary state assistance fund to provide legal counsel for bankruptcy proceedings under chapter eleven of the federal bankruptcy code; provides for the administration thereof.

The 'Save Merchants and Retail Tenants (SMART) Act' proposed creating a temporary state fund to provide legal assistance to small businesses in New York facing Chapter 11 bankruptcy. This fund aimed to help these businesses navigate bankruptcy proceedings and potentially restructure their operations to avoid closure. The bill was introduced by Assemblymember Catalina Cruz on January 8, 2025, and referred to the Assembly Judiciary Committee. However, it did not advance beyond the committee stage and was re-referred to the Judiciary Committee on January 7, 2026, where it remained without further action.

Positive media analysis is being generated.

Although direct media critiques of the SMART Act are not found, similar proposals have faced criticism regarding the use of taxpayer funds to support private enterprises. Detractors often express concerns about the potential for misuse of funds, the fairness of selecting which businesses receive aid, and the overall effectiveness of such programs in preventing business closures.