Troutman Pepper State Attorneys General Monitor — October 31, 2024

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.

Contact our State AG Team at StateAG@troutman.com.

State AG Updates

State vs. Federal Jurisdiction: Connecticut’s Recent Battle Over Intoxicating Hemp-Derived Products

By Jean Smith-Gonnell and Cole White

The interplay between the unintentional federal legalization of intoxicating hemp-derived products under the Agriculture Improvement Act of 2018 (the 2018 Farm Bill) and state regulatory frameworks is increasingly testing the limits of jurisdictional boundaries, as shown in a recent decision remanding a Connecticut consumer protection case against RZ Smoke, Inc. back to the Connecticut Superior Court.

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North Carolina AG Sues Timeshare Company for Unsolicited Robocalling

By Troutman Pepper State Attorneys General Team

On October 18, North Carolina Attorney General (AG) Josh Stein filed a complaint against timeshare company Club Exploria, LLC, for allegedly using robocall machines to make unsolicited calls to consumers.

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CFPB and Massachusetts AG Win $50M Judgement Against Credit Repair Services Company

By Troutman Pepper State Attorneys General Team

A federal district judge in Massachusetts entered a nearly $51 million judgment against Commonwealth Equity Group LLC (d/b/a Key Credit Repair) and its CEO after granting summary judgment in favor of the Consumer Financial Protection Bureau (CFPB) and Massachusetts Attorney General (AG) Andrea Campbell. The lawsuit alleged that the company violated federal and state consumer protection and telemarketing laws. The company and CEO were found jointly liable for $31.7 million in restitution and each ordered to pay more than $19 million in penalties.

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Indiana Appellate Court Grapples With State AGs’ Personal Jurisdiction Over Digital Platforms

By Ryan Strasser and Chris Carlson

This article was originally published on October 25, 2024 in Westlaw Today. It is republished here with permission.

On September 30, a three-judge panel unanimously ruled that the State of Indiana has personal jurisdiction over TikTok, reversing a trial court decision dismissing Indiana’s action.

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Precision Toxicology Agrees to Pay $27M Over Drug Testing and Kickback Allegations

By Troutman Pepper State Attorneys General Team

On October 15, Maryland Attorney General Anthony G. Brown announced that his office reached a $27 million settlement with Precision Toxicology to resolve allegations that it submitted false claims to government health programs for medically unnecessary urine drug tests and provided illegal kickbacks to physicians.

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Minnesota Attorney General Shuts Down Debt Settlement Companies

By Stefanie Jackman, Chris Carlson, and David Anthony

On October 21, Minnesota Attorney General Keith Ellison announced a settlement with two debt settlement companies, Financial Solutions Group and Accelerated Debt Settlement.

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AG Of the Week

Treg Taylor, Alaska

Treg Taylor was named AG on January 30, 2021, succeeding Ed Sniffen.

Prior to his new appointment, Taylor served as deputy AG since December 2018. In that role, he was charged with leading the Department of Law, Civil Division.

Taylor joined the Civil Division after serving as senior corporate counsel for Arctic Slope Regional Corporation (ASRC), an Alaska Native Corporation. Before joining ASRC, he worked as an attorney at McKinley Capital Management and has also been a commissioner for Anchorage Municipal Light and Power.

Taylor was a 2016 nonpartisan candidate for District 6, Seat J of the Anchorage Municipal Assembly in Alaska. He was defeated in the general election that took place on April 5, 2016.

Taylor began his legal career in Anchorage, working in a commercial litigation firm for four years. He holds a bachelor’s degree in political science and a law degree from Brigham Young University.

He and his wife Jodi have six children and live in Anchorage, AK.

Alaska AG in the News:

• On October 22, Taylor joined 19 other states in a challenge to a Final Rule by the U.S. Department of Health and Human Services that Taylor alleges imposes costly administrative burdens on states and providers and threaten access to long-term care for Alaskans.

• On September 4, Taylor joined an amicus petition before the Supreme Court to overturn a case that he alleges threatens the energy industry of states by how NEPA was applied.

• On August 23, the AG office appealed U.S. District Court Judge Sharon Gleason’s decision upholding a federal agency’s authority to take lands into trust in Alaska.

Upcoming AG Events

• November: DAGA | Philadelphia Policy Conference | Philadelphia, PA

• December: AGA | International Delegation | Mayakoba, Mexico

• December: NAAG | New Attorney General Orientation and 2024 Capital Forum | Washington, D.C.

For more on upcoming AG Events, click here.

Our Cannabis Practice provides advice on issues related to applicable federal and state law. Marijuana remains an illegal controlled substance under federal law.