NY Attorney General Letitia James speaks during a press conference in the general prosecutor's offices on January 8, 2025 in New York City.
Michael M. Santiago | Getty pictures
The New York Attorney General Letitia James terminated a legislative proposal on Thursday to protect consumers and small companies in the state against fraud and deception practices in front of lenders, collecting and healthcare.
James said in release that the legislation would strengthen the existing consumer protection law of the state – which is limited from 1970 and in the area – at a time than the Trump government took over the federal authority accused with this task.
According to James, the new law, which is referred to as the promotion of the affordability and integrity by the reasonable Procomotive Act, is supported by the Senator Leroy Comrie and the member of the Member Member of MICAH Lasher.
“In New York, companies can currently make a subscription so difficult that it seems impossible; nursing homes can sue relatives of deceased former residents, and debtors for social security benefits can steal social security benefits,” said James. “The law on fair business practices will close gaps that make it too easy for the New Yorker to be cheated, and my office will allow someone to pursue someone who violates the law.”
The New York legislation is one of the first examples of state officials who try to fill the vacuum that is left by limping the Federal Consumer Financial Protection Bureau.
Since Russell Vougt was taken over as deputy director of the CFPB last month, he has released around 200 employees and accepted the rest of almost all work. According to the current employees, Vought and Elon Musk's Department of Government Efficiency to dismiss almost all employees of the agency, was stopped by a federal judge.
It is unclear what will ultimately happen with the agency. But as long as the CFPB is frozen, consumers must rely on their state AGS and supervisory authorities if they have complaints.
James said the law would prevent the car rental company as well as mortgage and student services from letting consumers to reduce so-called junk fees, preventing shady practices in car dealers and preventing companies who do not speak English.
The efforts were supported by two important supervisory authorities of the former President Joe Bidens Administration, ex-CFPB director Rohit Chopra and the former FTC chairman Lina Khan.
“We need stronger government laws to combat abuse that harm families and honest companies,” said Chopra in an explanation.
“By adopting a strong law on consumer protection, the New York legislature can enable general lawyer James to completely defend the pocket books, privacy and the economic freedoms of New York,” said Khan.