Updated October 8, 2026, after review of the bill text released today

The Manhattan Chamber of Commerce opposes the POWER Act as written. It supports the Truth in Pricing Act (Int. 1028). It has serious concerns about the proposed amendment that would let DCWP penalize “unconscionable” practices without first defining them through rulemaking.

 

Statement from Jessica Walker, President & CEO, Manhattan Chamber of Commerce, October 8, 2026

“The Truth in Pricing Act, Int. 1028, is what good consumer protection looks like. When we reviewed DCWP’s own enforcement records, we found small grocers and corner stores cited for missing price tags on individual items, even when the price was clearly posted on the shelf. This bill fixes that. Businesses can post prices on the item or where it’s displayed. Shoppers stay protected from being overcharged. A business can still correct a first violation instead of paying a fine. We’re glad the Administration is backing this practical fix.

The POWER Act takes the opposite approach. It would let people sue businesses over practices the bill calls ‘unfair’ or ‘unlawful,’ without ever defining what those words mean. Its small-business exemption covers only businesses with four or fewer employees, so a neighborhood restaurant with six staff or a salon with five chairs is fully exposed. A business that fixes a problem after getting notice can still be sued. Each violation carries $2,500 in damages plus attorney’s fees, and nonprofits could bring cases without showing that anyone was harmed.

This isn’t a tool aimed at predatory corporations. It’s an opening for lawsuit mills. The easiest targets will be small, family-owned and immigrant-owned businesses that can’t afford a lawyer and will settle just to make the case go away. California learned this the hard way: law firms sued thousands of nail salons, auto shops and restaurants over technicalities until voters had to rein the law in.

We also have serious concerns about letting DCWP penalize ‘unconscionable’ practices before it has defined them through rulemaking. Businesses deserve to know the rules before they can be punished for breaking them.

We’ll work with the Council on the fixes this bill needs:

• • a real small-business threshold
  • a true chance to correct problems before anyone sues
  • a safe harbor for businesses acting in good faith
  • limits on damages
  • clear definitions written into the law

Truth in Pricing shows the City can protect consumers with clear, fair rules. The POWER Act should be held to the same standard.”

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Background: the October 6 announcement

On October 6, Mayor Zohran Mamdani and DCWP Commissioner Samuel Levine announced three consumer protection bills. Council Member Harvey Epstein, Chair of the Committee on Consumer and Worker Protection, is introducing them at the Council’s October 8 Stated Meeting.

• The POWER Act (People and Organizations Winning Economic Relief) would create a city-level private right of action.
  • Individuals, workers, tenants, small businesses and nonprofits could sue companies directly over unfair methods of competition.
  • They could also sue over unfair, deceptive, abusive or unlawful practices.
  • Nonprofits, including tenant unions, could bring claims on behalf of their members and the public.
  • State law today lets individuals sue only over deceptive practices.
• The Truth in Pricing Act would simplify the City’s price display rules. Businesses could post prices either on the item or on the shelf. It is sponsored by Chair Epstein and Council Member Carmen De La Rosa.
• An amendment to the Consumer Protection Law would let DCWP act against unconscionable business practices without first completing rulemaking. It is sponsored by Council Member Chi Ossé.

Original statement from Jessica Walker, October 6, 2026

“We welcome the Truth in Pricing Act. Simpler, consistent pricing rules will save small businesses time and money while keeping prices clear for shoppers. That’s exactly the kind of reform that helps everyone.

We share the Administration’s goal of holding predatory actors accountable. But the POWER Act and the proposed change to the Consumer Protection Law need a close look. Most of the 125,000 businesses we represent are small and don’t have legal departments. Two changes together could leave a family-owned shop facing lawsuits and penalties over rules no one has clearly written down:

• a broad private right of action covering ‘unfair’ and ‘unlawful’ practices
• removing the requirement that DCWP define violations through rulemaking first

Even one lawsuit can sink a small business that did nothing wrong.

We look forward to reviewing the bill text and working with the Administration, Chair Epstein, and Council Member Ossé on clear definitions, a chance to fix problems before anyone sues, and real protections for the small businesses this city depends on.”

Read the Mayor’s announcement: Mayor Mamdani to Introduce POWER Act Allowing New Yorkers to Sue Predatory Corporations for Unfair Business Practices

Questions about how these proposals could affect your business? Contact the Business Help Desk at bizhelp.nyc.