Res 0884-2025

Whereas, President Trump is attempting to shut down the Consumer Financial Protection Bureau, the federal agency that protects consumers from unfair, deceptive and abusive business practices; and Whereas, New York General Business Law � 349 primarily protects consumers from deceptive business practices and offers consumers very limited protections from unfair and abusive business practices; and Whereas, New York State Attorney General Letitia James, Senator Leroy Comrie and Assembly Member Micah Lasher have proposed the Fostering Affordability and Integrity Through Reasonable ("FAIR") Business Practices Act that would strengthen New York State's General Business Law � 349 to protect New Yorkers by outlawing unfair and abusive practices and providing consumers, small businesses, and non-profits more effective remedies when they are victimized by unfair, deceptive and abusive practices; and Whereas, Forty-two other states already prohibit unfair business practices but New York State does not, leaving us a clear outlier; and Whereas, The FAIR Business Practices Act will provide New Yorkers with protection against unfair, deceptive and abusive practices; and Whereas, The FAIR Business Practices Act would protect New Yorkers from online phishing scams; and Whereas, The FAIR Business Practices Act would protect New Yorkers from hard to cancel subscriptions; and Whereas, The FAIR Business Practices Act would protect New Yorkers from hidden junk fees; and Whereas, The FAIR Business Practices Act would protect New Yorkers against deed theft; and Whereas, The FAIR Business Practices Act would protect New Yorkers from artificial intelligence-based scams; and Whereas, The FAIR Business Practices Act would prevent lenders from steering New Yorkers into higher cost loans; and Whereas, The FAIR Business Practices Act would stop unfair billing practices by healthcare companies; and Whereas, The FAIR Business Practices Act would prevent debt collectors from improperly seizing Social Security benefits; and Whereas, The City's Consumer Protection Law, although prohibiting several of these harmful business practices, is challenging to enforce against unscrupulous actors outside of the City, and does not extend its protections to all small businesses and non-profits in the same manner as the FAIR Business Practices Act; and Whereas, The FAIR Business Practices Act would expand the scope of the protections of the General Business Law � 349 to apply regardless of whether the act or practice is consumer-oriented, has a public impact or is part of a broader pattern of conduct; and Whereas, The FAIR Business Practices Act expands the protections of General Business Law � 349 to cover small businesses and non-profits that are harmed by unfair, deceptive or abusive practices; and Whereas, The FAIR Business Practices Act would increase the statutory damages available to victims of unfair, abusive, and deceptive business practices from $50 to $1,000; and Whereas, The FAIR Business Practices Act would provide for enhanced damages and penalties for willful or knowing unfair, deceptive, or abusive business practices; and Whereas, The FAIR Business Practices Act would impose enhanced civil penalties for practices targeting "vulnerable individuals" defined as individuals under 18 or over 65, active duty service members and veterans, physical or mentally impaired individuals, and individuals with limited English proficiency; and Whereas; The FAIR Business Practices Act would mandate the recovery of attorney's fees by prevailing plaintiffs in private actions; now, therefore, be it Resolved, That the Council of the City of New York calls on the state legislature to pass, and the Governor to sign, the FAIR Business Practices Act. LS #19252 3/31/25 EHC