New York Attorney General Proposes Legislation to Strengthen Consumer Protections
New York Attorney General Letitia James has introduced new legislation aimed at expanding consumer protections for residents and small businesses. The proposed Fostering Affordability and Integrity through Reasonable (FAIR) Business Practices Act seeks to update the state’s existing laws to address a range of issues, including deceptive lending practices, hidden fees, and fraudulent business tactics.
The bill, sponsored by State Senator Leroy Comrie and Assemblymember Micah Lasher, would strengthen New York’s General Business Law (GBL) §349, which currently prohibits only deceptive business acts. If passed, the law would also ban unfair and abusive business practices, bringing New York in line with 42 other states that have similar protections.
Supporters of the FAIR Business Practices Act argue that outdated consumer laws leave New Yorkers vulnerable to fraud and financial exploitation. The proposed legislation aims to curb practices such as:
Difficult-to-cancel subscriptions
Predatory lending by auto lenders, mortgage servicers, and student loan companies
Junk fees and undisclosed charges in contracts
Unfair debt collection targeting Social Security benefits
Deceptive practices affecting non-English-speaking consumers
Data breaches and AI-driven scams
Attorney General James emphasized that stronger state protections are necessary, particularly in light of federal consumer protection rollbacks. The proposed legislation would allow the Office of the Attorney General (OAG) and individuals to seek civil penalties and restitution for violations.
State lawmakers backing the bill say it will increase accountability for businesses and protect consumers from financial harm. Senator Comrie highlighted issues such as deed theft and aggressive debt collection lawsuits, while Assemblymember Lasher framed the bill as an effort to ensure economic fairness.
Consumer advocacy groups, including the National Consumer Law Center (NCLC) and the Center for Elder Law and Justice, have voiced support for the measure. They argue that existing laws do not adequately protect seniors, immigrants, and low-income residents from unfair financial practices.
However, some business groups have expressed concerns about regulatory overreach, arguing that increased penalties could lead to higher compliance costs and limit the availability of credit. Industry representatives suggest that clearer guidelines for enforcement should be included to avoid penalizing businesses operating in good faith.
The legislation has been introduced in both the New York State Senate and Assembly. Attorney General James and legislative sponsors are working to advance the bill during the current session, with the goal of securing stronger consumer protections at the state level regardless of changes in federal oversight.
If passed, the FAIR Business Practices Act would give New York one of the strongest consumer protection laws in the country, adding new legal tools to combat deceptive business practices. The bill’s progress is expected to draw significant debate among consumer advocates, lawmakers, and business organizations in the coming months.