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Consumer rights · Question

What counts as a deceptive business practice in New York, and what can you do about it?

Updated By The editorial teamNot reviewed by an attorney — based on the official sources below

In short

New York General Business Law § 349 makes unfair, deceptive or abusive acts and practices in business unlawful, and § 350 bans false advertising. If you were injured by a deceptive act or practice, you can sue for your actual damages or $50, whichever is greater; a court may increase damages to up to three times your actual damages, capped at $1,000, if the business acted willfully or knowingly, and may award attorney's fees. For false advertising, the minimum is $500, and the increased award can reach $10,000. The Attorney General can also sue businesses, and a complaint to that office is often a good first step.

Read on for the details, the exceptions and the sources.

In plain words

Deceptive practice
Conduct by a business that misleads people — a false statement, a misleading ad, or hiding important facts — in selling goods or services.
Actual damages
The money you actually lost because of what the business did.
Willfully or knowingly
The business knew what it was doing was wrong or deliberately did it, rather than making an honest mistake.
Misleading in a material respect
Misleading about something that matters to a buyer's decision — price, quality, terms or conditions.

The full answer

Section 349(a) declares unlawful "unfair, deceptive, or abusive acts or practices" in any business, trade or commerce or in furnishing any service in New York. The statute defines an unfair practice as one that causes, or is likely to cause, substantial injury that consumers can't reasonably avoid and that isn't outweighed by benefits; and an abusive practice as one that materially interferes with your ability to understand a term of a product, or takes unreasonable advantage of your lack of understanding, your inability to protect your interests, or your reasonable reliance on the business (§ 349(a)(1)–(2)).

Your own right to sue is in § 349(h): any person injured by reason of a deceptive act or practice may sue to stop it, to recover actual damages or $50, whichever is greater, or both. The court may raise the award to up to three times actual damages, up to $1,000, if the business willfully or knowingly violated the law, and may award reasonable attorney's fees to a winning plaintiff.

False advertising is separately unlawful (§ 350). Advertising is false if it is misleading in a material respect, which includes leaving out facts that are material in light of what the ad does say (§ 350-a(1)). Advertising a price after a rebate without showing the actual selling price and clearly saying a mail-in rebate is required is also false advertising (§ 350-a(4)). A person injured by false advertising may recover actual damages or $500, whichever is greater; the court may raise it to up to three times actual damages, up to $10,000, for willful or knowing violations, plus attorney's fees (§ 350-e(3)).

Examples that may be deceptive

  • Advertising one price and charging another, or adding fees that weren't disclosed.
  • Calling something new, original, or brand-name when it isn't.
  • Misrepresenting what a warranty, service plan or subscription includes or how to cancel it.
  • Documents dressed up to look like they come from a court or government agency, or claims of government approval the business doesn't have — treated as false advertising under § 350-a(2).
  • Bait-and-switch: advertising a deal that isn't really available to push you toward something more expensive.

Exceptions and special cases

  • Complying with federal rules is a complete defense: it is a defense to a § 349 claim that the practice is subject to and complies with rules and statutes administered by the Federal Trade Commission or another federal agency (§ 349(d)).
  • Newspapers, magazines, broadcasters and printers that merely publish someone else's ad aren't liable under § 349 (§ 349(e)).
  • Your private lawsuit under § 349(h) is for deceptive acts or practices. The newer "unfair" and "abusive" categories in § 349(a) are enforced by the Attorney General under § 349(b).
  • You must have been injured by the deceptive conduct — § 349(h) gives the right to sue to a person injured "by reason of" it.
  • Other specific laws still apply alongside § 349 (§ 349(g)) — for example the refund-posting, automatic renewal, gift card, lemon law and home improvement rules, several of which give their own remedies.
  • When a business engages in repeated or persistent fraud or illegality, the Attorney General can also seek an injunction, restitution and damages under Executive Law § 63(12).

What to do now

  1. Collect the evidence

    Save the ad, web page, label, contract or message that misled you (screenshots with the date), your receipt, and what you actually got.

  2. Complain to the business in writing

    Explain what was promised, what you got, and what you want — a refund, a repair, the advertised price. Give a deadline.

  3. File a complaint

    The Attorney General's Consumer Frauds office takes complaints online and through its helpline (1-800-771-7755). The Department of State's Division of Consumer Protection mediates complaints too.

  4. Consider small claims court

    You can ask for your actual damages, or $50 under § 349(h) (or $500 under § 350-e for false advertising) if that is greater. Small claims court is designed for people without a lawyer.

  5. Talk to a lawyer for bigger losses

    Because the court may award attorney's fees to a winning consumer under § 349(h) and § 350-e, some lawyers take these cases. Legal aid organizations may help if you qualify.

Figures that change

  • Minimum damages for a deceptive practice (§ 349(h)): $50, or actual damages if greater; up to 3x actual, max $1,000, if willful (as of 2026-10-30; N.Y. General Business Law)
  • Minimum damages for false advertising (§ 350-e): $500, or actual damages if greater; up to 3x actual, max $10,000, if willful (as of 2026-10-30; N.Y. General Business Law)

Frequently asked questions

How much can I get for a deceptive practice in New York?

Your actual damages or $50, whichever is greater. If the business acted willfully or knowingly, the court may increase the award to up to three times your actual damages, but not more than $1,000, and may award attorney's fees (§ 349(h)).

Is false advertising treated differently?

Yes. Under § 350-e(3), a person injured by false advertising can recover actual damages or $500, whichever is greater, and up to three times actual damages, capped at $10,000, for willful or knowing violations, plus attorney's fees.

Will the Attorney General get my money back for me?

The Attorney General can sue businesses in the name of the People of the State and obtain restitution (§ 349(b); Executive Law § 63(12)). A complaint may also lead the office to contact the business. But the Attorney General isn't your private lawyer, so you may still need to pursue your own claim.

Do I need a lawyer to sue under § 349?

No. You can bring the claim yourself, for example in small claims court. For larger or more complex cases, a lawyer may help, and the court may order the business to pay reasonable attorney's fees if you win.

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Official sources

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This page is general information based on the official sources listed, current as of the update date. It is not legal advice and does not replace a review of your own situation; if a case is already in court, a deadline is close, the amount is large, or there are criminal, immigration or family-law consequences, talk to a lawyer or legal aid.