AG Chronicles: a monthly newsletter breaking down State Attorneys General consumer protection issues and highlighting news from the states.
IN THE NEWS AND LATEST UPDATES
Late last month, California Attorney General Rob Bonta, along with Democrat attorneys general from 18 other states and the District of Columbia, sent multiple letters to the Consumer Protection Financial Bureau opposing advanced notices of proposed rulemakings that would shrink the CFPB’s oversight of the automobile finance, consumer reporting, debt collection, and international money transfer services markets. In August, the Bureau issued four ANPRs inviting comments on whether it should reduce the Bureau’s “Larger Participant” supervisory authority in these four markets by increasing the transaction threshold that determines when a company becomes subject to CFPB supervision.
Two state attorneys general took actions in September to protect kids by requiring businesses to, among other things, verify the ages of their users. Specifically, Florida Attorney General James Uthmeier sued certain pornography websites for violating Florida’s Age Verification Law, and New York Attorney General Letitia James proposed rules pertaining to New York’s SAFE for Kids Act.
Attorney General Austin Knudsen of Montana announced a 16-state Republican investigation into four “big tech” companies regarding purportedly deceptive renewable energy claims. AG Knudsen and the states sent a letter to the companies to “raise serious concerns and request further information” regarding claims that the companies are 100% powered by renewable energy. The AGs request a response to a list of questions by October 27.
Companies regularly engage in cause marketing, supporting charitable causes through a variety of marketing initiatives, and a recent action brought by the FTC and attorneys general from 19 states provides a roadmap for how not to navigate those campaigns. Kars-R-Us.com, Inc. and its owners settled with the regulators for over $3.8 million (partially suspended) for allegedly engaging in deceptive charitable fundraising practices in violation of federal and state laws.
The FTC and a bipartisan coalition of seven state attorneys general sued Ticketmaster and Live Nation in the Central District of California. The FTC and most of the states brought actions under their state UDAP statutes and the federal Better Online Ticket Sales Act (BOTS Act). The BOTS Act prohibits circumventing security or technological measures on a ticket website that enforces ticket limits or other purchase rules. It also prohibits selling a ticket obtained through such violations if the seller participated in or had the ability to control the conduct, or knew or should have known of the violation. The government Plaintiffs assert that Defendants have publicly claimed they prioritize getting tickets to fans and blame scalpers and resale sites for high prices. However, in actuality Defendants allegedly secretly worked with the scalpers to extract additional profit against artists’ wishes resulting in consumers incurring extra costs.
NEWS FROM THE STATES
Alaska
Consumer Alert: Attorney General Warns Alaskans About Automatic Utility ‘Round-Up’ Programs
Arizona
Attorney General Mayes Announces New Protections Against Bitcoin ATM Scams Going into Effect in Arizona
Kansas
Kobach sues Snapchat for deceptive practices that harm children
Black Hills Energy ordered to pay $325K for alleged violations of Kansas Consumer Protection Act
Michigan
Attorney General Nessel Files Consumer Protection Lawsuit Against Lawn Care, Pool Company
Nebraska
Attorney General Hilgers Sues Lorex for Selling Cameras that Put Nebraskans’ Security at Risk
Oregon
Attorney General Rayfield Doubles Down on Protecting Oregonians against Scams, Predatory Practices
Tennessee
Tennessee Attorney General Stands Up for Parents against Big Tech’s Legal Challenge
Texas
Attorney General Ken Paxton and Colgate-Palmolive Lead the Way in Toothpaste Safety With Historic Agreement to Prevent Excessive Fluoride Exposure
Attorney General Ken Paxton Investigates Whether Major Tech Company is Allowing the Chinese Government to Abuse Texans’ Consumer Data
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