Letitia James’ pro-consumer push could spark ‘legal shakedowns’ and boost greedy lawyers, businesses say

New York business groups are blasting Attorney General Tish James for a pro-consumer push that they fear would be a legislative misfire — boosting greedy lawyers and unleashing “legal shakedowns.”

James’ FAIR Business Practices Act looks to tighten up consumer protections to crack down on shady crimes like deed theft, junk fees and hard-to-cancel subscriptions, but critics said it will open up small businesses to frivolous lawsuits and legal threats.

“The so-called FAIR Act would be anything but fair to New York’s business community, especially Main Street businesses,” said Tom Stebbins, executive director of the Lawsuit Reform Alliance of NY.

“It strips away longstanding legal safeguards and due process protections — like ensuring that claims are consumer-oriented or that plaintiffs actually have standing to sue — and replaces them with a system that invites abuse,” Stebbins added.

“The bill would specifically authorize profit-motivated law firms to send letters demanding pre-suit settlements for damages and fees,” Stebbins said. “That’s a recipe for a cottage industry of legal shakedowns, where small businesses are targeted not for wrongdoing, but because they lack the resources to fight back.”

The act targets companies engaged in artificial intelligence-based schemes, online phishing scams and data breaches.

It also takes aim at student loan services that steer borrowers into more expensive repayment plans, unscrupulous car dealers, shady nursing homes that sue relatives of deceased residents for unpaid bills — and health insurance companies that use long lists of in-network doctors who turn out not to accept patients’ insurance.

But business advocates worry it’ll create an unintended burden on small businesses, citing a study claiming “excess tort costs” already saddle New Yorkers with $61.8 billion in unnecessary legal bills.

“Remember the old days when an Attorney General was supposed to prosecute the breakers of existing laws, NOT write new ones.”

I don’t know what the true cure would be, but there really is a problem with unfair crooked business practices in this country. And the why AGs do not act on law is because all businesses now make you sign a civil contract that they can absolutely screw you if they like and you agree to never sue them or bring charges against them. AGs have no state authority over these civil contract agreements. We live in a contract legal system. The courts uphold contracts even if it means handing over your first born child if that is what you signed.

Right off the bat an example is the medical industry. Before ANY medical treatment of ANY kind they make you sign a contract that you will never sue them for malpractice. They make you wave your right to legally protect yourself from malpractice. And if you do not sign, or a family member does not sign, they let you die right there on the ER bed... You can’t even get a doctor to treat you without signing away and waving all your personal legal protections first.

Just try to get phone service without signing a contract giving them all legal immunity and carte blanche that equates to them owning you and your phone from now on. And they all do this, so if you don’t agree you cannot get phone service ANYWHERE from ANYONE.

If anything needs to be legally addressed it would be these initial contracts which force you to agree to give them full legal protections and carte blanche to do anything they want to you through extortion. All the State criminal laws in the world cannot be enforced if you agreed to allow them to practice criminality through civilian contract.

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