News & Analysis as of

Consumer Fraud Unfair or Deceptive Trade Practices

Troutman Pepper Locke

Illinois AG Raoul Reaches $12M Settlement With Alternative Energy Company

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On April 16, Illinois Attorney General Kwame Raoul announced a $12 million settlement through a consent decree with Direct Energy Services LLC (Direct Energy). Direct Energy is an alternative retail electric supplier (ARES)...more

Troutman Pepper Locke

Arizona AG Pursues Fraudulent Real Estate Scheme Targeting Alleged Fraudsters, Title Companies, Attorneys, and Law Firms

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On March 7, Arizona Attorney General (AG) Kristin Mayes filed a novel lawsuit alleging consumer fraud and racketeering against numerous entities, individuals, and even law firms and title companies involved in the residential...more

Cozen O'Connor

FTC Presses Pause on Alleged E-Commerce Business Opportunity Scheme

Cozen O'Connor on

The FTC secured a temporary restraining order and other relief against Click Profit, LLC and related entities arising from allegations that the companies operate an e-commerce business opportunity scheme in violation of...more

Shipkevich PLLC

New York Attorney General Advances New UDAP Legislation Paving the Way for Stronger State Consumer Protection in Wake of CFPB...

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On Thursday, March 13, 2025, New York Attorney General (“NYAG”) Letitia James advanced newly proposed legislation to better protect consumers and small businesses from unfair, deceptive, and abusive practices (“UDAP”). This...more

Orrick, Herrington & Sutcliffe LLP

California attorney general shuts down alleged cryptocurrency scams

On March 10, California Attorney General Rob Bonta released news of shutting down 42 allegedly fake cryptocurrency websites in 2024 that scammed victims out of at least $6.5 million. The scams supposedly issued an average...more

Goodwin

2024 Year in Review: Student Lending

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Welcome to the “Student Lending” chapter of our annual report, Consumer Financial Services: 2024 Year in Review. Regulators will likely continue to focus on junk fees and purported deceptive or nontransparent practices...more

Kelley Drye & Warren LLP

Two Class Actions Take a ShOt at Substantiation for Lemme’s GLP-1 Daily Supplement

Two new class action complaints, both captioned Robins v. Lemme Inc., were filed in in California Superior Court and the Southern District of New York on February 19 and March 9, respectively....more

Troutman Pepper Locke

California Federal Court Halts Allegedly Deceptive Debt Collection Practices by Blackrock Services, Inc. and Affiliates

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On February 27, the Federal Trade Commission (FTC) successfully obtained a temporary restraining order against Blackrock Services, Inc. and its associated entities and individuals. The court order aims to halt the defendants’...more

Foley & Lardner LLP

No Harm, No Foul: Greenwashing Lawsuit Dismissed for Lack of Article III Standing

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It is well-settled that under Article III of the Constitution, United States federal courts are limited to trying “cases and controversies.” Moreover, a case or controversy exists only if a plaintiff has standing to file the...more

Orrick, Herrington & Sutcliffe LLP

FTC stops debt collection scheme, freezes assets, and seeks consumer redress

On March 3, the FTC announced it obtained a temporary restraining order to halt the operations and freeze assets of an alleged debt collection scheme following a lawsuit filed by the FTC. The scheme, operated by several...more

Orrick, Herrington & Sutcliffe LLP

FTC secures preliminary injunction in small business finance scheme case

On March 4, the FTC announced updates in its case against targeting an alleged small business finance scheme. The U.S. Court for the Central District of California recently granted the FTC’s motion for a preliminary...more

Cozen O'Connor

Iowa Takes a Swipe at Crypto ATMs for Alleged Role in Consumer Scams

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Iowa AG Brenna Bird sued cryptocurrency ATM operators Lux Vending, LLC, and Bitcoin Depot Operating, LLC (collectively, “Bitcoin Depot”) and GPD Holdings LLC d/b/a CoinFlip (“CoinFlip”) for allegedly failing to protect...more

Offit Kurman

Facing the Scam: What to Do If You've Fallen Victim to a NYC Apartment Rental Scheme

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There is a horrific scam that preys on the vulnerability of renters in New York City, and it happens more often than you might think. The process of securing an apartment in the city is already difficult enough. It involves...more

Venable LLP

Some Hints About and Clues to the FTC’s Consumer Protection Priorities

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We’ve written previously about the Trump administration’s effort to increase his influence over independent agencies such as the FTC and to review regulations promulgated by these agencies. The White House is also reportedly...more

Oberheiden P.C.

Targeting MLMs and Other “Money-Making Opportunity Sellers” Remains an FTC Priority in 2025

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Targeting multi-level marketers (MLMs) and other “money-making opportunity sellers” has been among the U.S. Federal Trade Commission’s (FTC) top priorities in recent years. The FTC has pursued several enforcement actions...more

Blank Rome LLP

PFAS and Consumer Class Actions: The New Wave of PFAS Litigation

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With a new year has come a new wave of litigation involving PFAS (per- and poly-fluoroalkyl substances), also known as “forever chemicals.” While PFAS litigation up to this point has often involved either claims of personal...more

Hinch Newman LLP

Business Coaching Program Alert: FTC Proposes Changes to Biz Opp Rule to Deter Deceptive Earnings Claims – Republican...

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On January 13, 2025, the Federal Trade Commission announced that it is seeking comment on proposed changes to the Business Opportunity Rule and a proposed new Earnings Claim Rule. According to the FTC, the two, taken...more

BakerHostetler

Complying with the Mail Order Rule and Satisfaction Guarantees: Poor Customer Service Can Cost Millions

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Well, the holidays and big holiday shopping season are behind us, but now we have all of the January clearance sales and upcoming Valentine’s Day shopping. American consumerism rarely takes a rest....more

Pierce Atwood LLP

Massachusetts Court Decertifies Class Action Against Medical School Over Deceptive Advertising Claims

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The District of Massachusetts recently issued an opinion decertifying a class of medical students formerly enrolled at Saba University School of Medicine, a for-profit medical school in the Dutch Caribbean that is...more

Troutman Pepper Locke

FTC and Illinois AG Secure $20M Settlement with Leader Automotive Group Over Allegedly Deceptive Practices

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In a significant enforcement action, the Federal Trade Commission (FTC) and the Illinois Attorney General have reached a $20 million settlement with Leader Automotive Group and its Canadian parent company, AutoCanada, over...more

Foley & Lardner LLP

Franchisor Enforces Its Trademark Rights Against Former Prospective Franchisee

Foley & Lardner LLP on

A franchisor may pursue claims for declaratory and injunctive relief for potential trademark infringement against a former prospective franchisee even though the prospect never actually used the marks in question. Grainier...more

Ballard Spahr LLP

FTC, State of Arizona Charge Auto Dealership with Deceiving Consumers

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On August 15, 2024, the Federal Trade Commission (“FTC”) and Arizona Attorney General announced a proposed settlement with an Arizona-based vehicle dealership to resolve allegations that the dealership misrepresented prices...more

Amundsen Davis LLC

Interchange Fee Prohibition Act

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The Interchange Fee Prohibition Act (IFPA), signed into law in June of 2024 by Illinois Governor J.B. Pritzker, prohibits banks, savings associations, credit union, and others from receiving or charging an interchange fee on...more

Seyfarth Shaw LLP

FTC Continues Aggressive Enforcement Actions To Deter Deceptive Pricing Practices By Car Dealers - Seyfarth's Future of Automotive...

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On Thursday, August 15, 2024, the Federal Trade Commission (FTC) and Arizona Attorney General announced a $2.6 million settlement to resolve claims that Coulter Motor Company used deceptive online advertising to lure...more

Troutman Pepper Locke

FTC and Arizona AG Reach $2.6 Million Settlement with Motor Vehicle Dealer Over Alleged Deceptive and Discriminatory Sales and...

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Last week, the Federal Trade Commission (FTC) and the State of Arizona announced a joint action against Coulter Motor Company, an Arizona-based motor vehicle dealership, and its former general manager, for allegedly engaging...more

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