WASHINGTON, D.C. – In testimony before the D.C. Council’s Committee on Public Works and Operations today, two distinguished consumer policy professionals called on lawmakers to pass critical reforms to the District’s Consumer Protection Procedures Act (CPPA).
Samuel Levine, Senior Fellow at UC Berkeley Law’s Center for Consumer Law & Economic Justice and former Director of the Federal Trade Commission’s Bureau of Consumer Protection, emphasized the urgent need to modernize D.C.’s consumer protection laws, particularly to address exploitative practices by tech companies that claim to offer “free” services.
“During my time at the FTC, some of the worst abuses we saw came from providers of so-called free services – whether Facebook repeatedly violating federal privacy orders, TikTok illegally tracking children, or credit reporting agencies like Equifax recklessly exposing consumers’ most sensitive information.”
Levine highlighted three key reforms in the proposed legislation:
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Clarifying that providers of “free” services are covered under the CPPA, closing a loophole that companies like Facebook have exploited.
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Establishing mandatory minimum penalties to deter companies from calculating that violating the law is a profitable risk.
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Creating a level playing field for honest businesses, ensuring that companies that follow the law are not undercut by those that deceive or exploit consumers.
He concluded by calling the proposed legislation a “win-win” for both D.C. residents and businesses, stating that a stronger CPPA will not only protect consumers, but also support honest businesses that want to compete on a fair and level playing field.
Also voicing strong support of the amendments was David Nahmias, Director of the Consumer Law Advocates, Scholars, and Students (CLASS) Network and Legal Director at the Center. Representing a national network of law students and legal clinics—including a chapter at the George Washington University Law School—Nahmias focused on how the reforms would protect vulnerable groups like law students, who are usually renters and student loan borrowers and are often targeted by deceptive practices. In particular, Nahmias urged the Council to adopt the legislative proposal expanding protections against fraudulent charitable solicitations.
He also stressed the increasingly vital role that state and local governments like D.C. must play in safeguarding consumers, especially as federal enforcement agencies such as the FTC and CFPB face significant rollbacks. “By strengthening today the District’s preeminent consumer protection,” Nahmias said, “the Council shows it understands the seriousness of the moment we are in and the harms that the retreat on the federal level is unleashing on Americans across our country.”
The CLASS Network’s written testimony was prepared by GW Law students – and CLASS chapter leaders – Nam Lam, Maya Clark, Ben Neyer, and Carly Choppin and with support from Adam Teitelbaum, a Senior Advisor to the CLASS Network and until recently the Director of the Office of Consumer Protection at the D.C. Attorney General’s Office.