NY Delays Algorithmic Pricing Disclosure Enforcement as Lawsuit Proceeds

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Last week, on July 14, 2025, a New York federal court issued a general stay of enforcement of the NY Algorithmic Pricing Disclosure Act, which went into effect just days earlier, on July 8, 2025. As a result, businesses operating in New York that use algorithms to set prices dynamically based on personal data linked or potentially linkable to specific consumers or devices are temporarily relieved of the law’s disclosure requirement. 

Even if Judge Jed Rakoff ultimately denies the National Retail Federation’s (NRF) challenge to the law, the New York Attorney General’s office must wait an additional 30 days after the final order before it can begin enforcing the law’s disclosure requirements. The Attorney General has agreed not to pursue any alleged violations that occur before this 30-day period ends. 

This pause in enforcement gives companies extra time to review their internal procedures and better prepare for compliance if enforcement begins following a final decision on the NRF’s request for a permanent injunction. For a helpful overview of what constitutes a covered entity under the law and the related obligations, read my colleague Jessica Lee’s Quick Take: A View from NY: A Look at New York's New Algorithmic Pricing Disclosures.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

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