Overview
- The City Council approved Introduction 891-A in a 44–5 vote on Thursday, banning businesses from using personal data or algorithms to charge different prices for the same goods or services in New York City.
- The Department of Consumer and Worker Protection will enforce the law and may levy civil fines up to $1,000 per violating transaction, while the measure does not create a private right of action for consumers.
- The bill preserves ordinary promotions and bona fide loyalty rewards and exempts regulated pricing such as insurance and credit, and it gives qualifying small businesses notice of a first violation and 30 days to correct errors before penalties apply.
- Industry groups warned the law’s wording could chill legitimate targeted discounts and loyalty offers, prompting the Council to expand definitions and delay the effective date to one year after enactment to allow businesses time to comply.
- The city measure follows a related state One Fair Price Act passed by the Legislature and now awaiting Gov. Kathy Hochul’s decision, which could create overlapping rules and enforcement by state authorities if signed.