Enforcement Trends
Consumer protection law enforcement covers a multitude of legal regulatory matters initiated by federal and state agencies. Advertising and marketing-related enforcement action trends include developing issues that impact the litigation of alleged violations of unfair and deceptive trade practices statutes, such as Section 5 of the FTC Act.
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The Art of Responding to a Federal Trade Commission Civil Investigative Demand
Federal Trade Commission Civil Investigative Demands (CIDs) are compulsory administrative subpoenas utilized by the Federal Trade Commission to obtain materials and information about an investigation into a recipient’s (and/or another party’s) business practices. The initial response is critically important. Below are some tactics designed to thoroughly consider defense strategies aimed at achieving an optimal resolution.…
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NYC DCWP Sues Tow Truck Operator for Alleged Junk Fees
On May 4, 2026, the New York City Department of Consumer and Worker Protection (DCWP) announced a lawsuit against Instant Recovery Corp., a Bronx-based tow truck operator, for allegedly engaging in predatory practices and purportedly repeatedly violating City law. According to the announcement, the company received “a high volume of complaints” and “DCWP launched an investigation…
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NYC Mayor and DCWP Commissioner Announce First-In-The-Nation Municipal “Click to Cancel” Rule
NYC Mayor Zohran Mamdani and New York City Department of Consumer and Worker Protection (DCWP) Commissioner Samuel Levine have announced a proposed rule designed to strengthen New Yorkers’ “Click to Cancel” consumer rights, cracking down on subscription traps and ensuring consumers can easily cancel automatic renewals and continuous service offers. Following the proposed rule’s publication…
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NYC DCWP Alleges Tow Truck Operator Engaged in Predatory and Unlawful Practices
On March 4, 2026, New York City Mayor Mamdani and the New York City Department of Consumer and Worker Protection (DCWP) announced a lawsuit against Instant Recovery Corp., a Bronx-based tow truck operator, for allegedly engaging in predatory practices and repeatedly violating City law. After purportedly receiving a high volume of complaints, DCWP states that…
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NYC DCWP Issues Citywide “Subscription Trap” Compliance Warning to Gyms
On February 19, 2026 Mayor Zohran Kwame Mamdani and the New York City Department of Consumer and Worker Protection (DCWP) announced that it has sent warning notices to 187 gyms and health clubs across the city including Equinox, Planet Fitness and PureGym. The letters urge businesses to comply with state law governing membership cancellations and with the city’s Consumer…
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What are Key Factors the FTC Considers When Calculating Monetary Civil Penalties?
The Federal Trade Commission generally seeks monetary civil penalties when it is alleging violations of rules that the agency enforces, such as the Telemarketing Sales Rule, the Made in USA Labeling Rule, the Restore Online Shoppers’ Confidence Act, the Gramm-Leach-Bliley Act and the Review and Testimonials Rule. The Federal Trade Commission increases its maximum civil…
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