Why New York City's Consumer Regulator Belongs on National Compliance Radar
New York City's consumer regulator has long been part of the local compliance backdrop. It now deserves sustained, strategic attention. The appointment of Samuel Levine, formerly the director of the Federal Trade Commission's Bureau of Consumer Protection (during the Biden administration), as commissioner of the New York City Department of Consumer and Worker Protection (DCWP) signals a shift in how the City is likely to use its existing consumer protection authority.
The FTC Walks Back Its Rytr Enforcement Action, Signaling a Shift in Federal AI Regulation
In a rare course correction, the Federal Trade Commission (FTC) has reopened and vacated its 2024 consent order against Rytr LLC, a generative AI-powered company. The unusual move reflects a significant strategic reset of how federal regulators will approach AI technology, especially when alleged harms are hypothetical rather than concrete.
FTC Signals Heightened Enforcement of New Consumer Review Rule
The Federal Trade Commission issued warning letters to ten companies for alleged deceptive review practices, indicating its intent to step up enforcement of its relatively new Consumer Review Rule (16 C.F.R. Part 465). The warning letters have implications for all direct-to-consumer sellers. For industries that rely heavily on consumer reviews, including dietary supplement, health and wellness, and beauty/personal care companies, the FTC's action is particularly significant.
New York Broadens Attorney General Authority and Embraces Enforcement-Driven Regulation
New York has amended its General Business Law to move beyond a deception-based consumer protection standard and authorize enforcement against unfair and abusive practices, giving the Attorney General materially broader discretion to shape marketplace conduct. The new framework resembles federal UDAAP enforcement in that it relies less on detailed statutory rules and more on evolving enforcement judgments about what constitutes "fair" conduct.