Overview
On January 5, 2026, New York City Mayor Zohran Mamdani signed two executive orders regarding junk fees and autorenewal programs. The highly publicized announcement, along with Mayor Mamdani's appointment of former Federal Trade Commission (FTC) officials to key city offices, suggests that New York City may emerge as a prominent player in consumer protection enforcement activity in the coming year.
Executive Order 09 ("Combatting Hidden Junk Fees")
The newly issued Executive Order 09 creates a citywide "Junk Fee Task Force," and directs it to "coordinate and advance the city's work to combat hidden junk fees" through rulemaking, enforcement actions, revising or issuing new standards for entities contracting with the City, and public education efforts. The Task Force is designed to be interagency and interdisciplinary and shall include representatives of City Departments of Housing Preservation and Development, Health and Mental Hygiene, Transportation, Small Business Services, Buildings, and others as necessary. The Deputy Mayor for Economic Justice and the Commissioner of the Department of Consumer and Worker Protection (DCWP) shall co-chair the new Task Force. Notably, Executive Order 09 directs the Task Force to recommend new legislation related to junk fees and to use any applicable authority, including under the broad New York City Consumer Protection Law (NYCCPL), to take compliance, investigation, and enforcement actions "[a]s soon as practicable."
Executive Order 10 ("Fighting Subscription Tricks and Traps")
Executive Order 10 focuses the City's compliance, investigation, and enforcement authorities on another hot-button consumer protection issue: subscription and autorenewal offerings. This Order directs the DCWP to "prioritize monitoring, investigating, and taking enforcement action" against deceptive or misleading subscription offerings—dubbed, "subscription tricks and traps." While the Order does not expressly define these terms, it provides a non-exhaustive list of examples including auto-enrollments, insufficient or inaccurate disclosures of pricing or renewal terms, and barriers to easy cancellation. Like with Executive Order 09, this Order further directs DCWP to use the full extent of its authority, including under the NYCCPL, to promulgate rules, issue recommendations, and take other appropriate actions. Notably, Executive Order 10 also directs DCWP to coordinate its efforts with the City's Law Department and the New York State Attorney General's office, which has been particularly active in scrutinizing subscription programs.
New York City Consumer Protection Law and the Department of Consumer and Worker Protection
As discussed above, both executive orders draw from the City's existing consumer protection authorities, including the NYCCPL. Passed in 1969, the NYCCPL broadly prohibits all "deceptive or unfair trade practices" across all goods and services (including credit and debt collection), whether online or in brick-and-mortar settings. The statute authorizes DCWP to seek civil penalties, injunctive relief, restitution, and public settlements against businesses for alleged violations—which can be established without proof of actual consumer injury—through either administrative actions or in court (supported by DCWP's power to issue subpoenas). Penalties can accrue per deceptive statement and, in some instances, per consumer or per exposure.
The City's DCWP is the primary department tasked with enforcing the NYCCPL, including by leading efforts pursuant to the new executive orders. DCWP is currently led by Commissioner Samuel Levine, former Director of the FTC's Bureau of Consumer Protection under the Biden Administration. In his former role, Commissioner Levine oversaw and participated in the FTC's increased focus on junk fees, the since-vacated autorenewal "Click to Cancel" Rule (which we previously discussed here), and high-profile enforcement actions and multimillion-dollar settlements of alleged consumer protection violations. Commissioner Levine is not the only senior former FTC official working closely with Mayor Mamdani to shape the city's enforcement agenda—notably, the Mayor's transition team is led by former FTC Chair, Lina Khan. During Khan's and Levine's tenure, the FTC played an active (and often aggressive) role in issuing new consumer-protection rules (e.g., the Rule on Unfair or Deceptive Fees and the "Click to Cancel" Rule) and enforcing Section 5 of the FTC Act's broad prohibition on unfair and deceptive practices, including by obtaining several highly publicized multimillion-dollar settlements for alleged violations.
Key Takeaways and Implications
The consumer protection law enforcement priorities of the FTC and of certain aggressive state attorneys general typically capture national marketers' attention. But in densely populated cities where millions of consumers reside, even local law enforcement must factor into national companies' compliance assessments and risk analyses. Subscription marketers doing business in California likely know what a vital role county district attorneys play in autorenewal enforcement as part of the California Autorenewal Task Force (CART). Now, eCommerce and storefront retailers marketing to New York City's nearly nine million residents must be more mindful than ever of the NYCCPL and of future citywide legislation and regulations.
It's too early to know exactly what effect the new executive orders—issued the first week of Mayor Mamdani's term—will have. However, the Orders and Mayor Mamdani's appointment choices likely indicate a renewed focus and scrutiny on junk fees, autorenewal, and potentially other "hot" consumer protection issues. Among other things, the executive orders, which parallel without expressly referencing prior FTC directives, may indicate the City's intent to set similarly strict compliance standards for companies doing business with New York City consumers through new rulemaking and potential future legislation.
The Orders also may indicate close cooperation and collaboration between the City and New York State Attorney General Letitia James (who was present at their signing), including sharing resources and information to pursue enforcement actions. Under James's leadership, the state Attorney General's Office already has emerged as one of the most active enforcers of consumer protection laws in the country, including those targeting subscription services. Among other things, the New York Attorney General reached a $600,000 settlement with Equinox Group, LLC (which operates luxury gyms and fitness studios), won a lawsuit against SiriusXM (a satellite radio services provider), and joined a bipartisan coalition of 20 other states' attorneys general in suing Uber for allegedly difficult to cancel and misleading subscription services. It bears noting that New York's recently enacted FAIR Business Practices Act expands liability under the state's primary consumer protection law, New York General Business Law § 349, which prohibits deceptive consumer-oriented business practices. Under the amended law, which takes effect February 17, 2026, the Attorney General also will have the authority to pursue "unfair" and "abusive" practices even in the absence of deception, thereby expanding New York's law to align more closely with those in California (without adding a similar private right of action).
Companies operating in New York City should pay close attention to developments from DCWP, including the creation of the Junk Fee Task Force and the actions the Department takes under the new executive orders' directives. We can assist in tracking and understanding the practical implications for these, and other consumer protection developments.
