Troutman Pepper State Attorneys General Monitor - May 26, 2023
State attorneys general increasingly impact businesses in all industries. Our nationally recognized state AG team has been trusted by clients for 20 years to navigate their most-complicated state AG investigations and enforcement actions.
State Attorneys General Monitor analyzes regulatory actions by state AGs and other state administrative agencies throughout the nation. Contributors to this newsletter and related blog include attorneys experienced in regulatory enforcement, litigation, and compliance.
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State AG Updates
California AG Urges California Legislature to Ban Junk Fees
By Troutman Pepper State Attorneys General Team
On May 16, California Attorney General Rob Bonta held a press conference, supporting California Senate Bill 478 (SB 478) to prohibit "junk fees" or hidden fees that a seller may add on top of an advertised price. The bill is currently pending before the California Senate Appropriations Committee.
Forty-Nine AGs Sue Telecommunications Company Over Illegal Robocalls
By Troutman Pepper State Attorneys General Team
On May 23, 49 state attorneys general sued Avid Telecom, its owner, and vice president for allegedly facilitating billions of robocalls in violation of the Telephone Consumer Protection Act. The AGs requested civil penalties and to temporarily and permanently enjoin Avid from transmitting robocalls. This suit comes after group co-leader North Carolina AG Josh Stein formed a nationwide anti-robocall task force that investigates and takes legal action against companies responsible for routing significant volumes of illegal robocall traffic.
North Carolina AG Settles $150K Medicare Fraud Claim With Health Care Provider
By Troutman Pepper State Attorneys General Team
North Carolina Attorney General Josh Stein announced that he reached a $150,000 settlement with Rockingham health care provider Compassionate Counseling Services (Compassionate) for allegedly submitting false claims to the North Carolina Medicaid program from June 7, 2016 to January 8, 2021.
Pennsylvania AG Cracks Down on Telemarketing Calls
By Troutman Pepper State Attorneys General Team
Pennsylvania AG Michelle Henry announced a settlement with New York-based Fluent LLC and its subsidiaries over allegations that they engaged in deceptive and misleading business practices by placing millions of unwanted telemarketing calls to Pennsylvania residents.
Utah AG Lauds State's Largest Consumer Protection Settlement
By Troutman Pepper State Attorneys General Team
On May 19, Utah Attorney General Sean Reyes announced a consumer settlement with Response Marketing Group LLC and its principals for $15 million and a lifetime ban against selling money-making products and training services nationwide. The settlement — the largest ever for the Utah AG's consumer protection division — concluded a case brought by the Federal Trade Commission (FTC) and the Utah AG's office (representing the Utah Department of Commerce – Division of Consumer Protection (DCP)), alleging violations of the FTC Act, the Telemarketing Sales Rule, and several Utah statutes. Two Response Marketing celebrity endorsers also agreed to pay $1.7 million in redress cumulatively.
AGs Require Company With Ovulation Tracking App to Protect User Data
By Stephen Piepgrass, Sadia Mirza, and Daniel Waltz
On May 17, District of Colombia Attorney General Brian Schwalb announced the settlement of an investigation into Easy Healthcare Corporation, requiring the company to change its privacy practices involving the ovulation tracking app "Premom" to protect the sensitive reproductive data of consumers. Easy Health agreed to several remedial measures intended to prevent the disclosure of sensitive information to third parties and to pay a $100,000 penalty to the states involved with the investigation.
Stephanie Kozol, Senior Government Relations Manager – State Attorneys General, also contributed to this newsletter.