This month, two attorneys general (AGs) have settled False Claims Act investigations with two separate companies in the health care industry. Both settlements were notable in their own right.
New Jersey’s Updated Sports Betting Policy for Combative Sports
Recently, Attorney General (AG) Matthew J. Platkin announced, in a joint press release with the New Jersey State Athletic Control Board (SACB), the adoption of a new sports betting policy related to combative sports. The policy aims to eliminate certain betting practices perceived as unethical and reinforce public trust in combative sports such as boxing, wrestling, and other related events.More than half of the states in the U.S. offer some form of legal sports betting. The proliferation of sports betting laws followed a 2018 Supreme Court decision striking down the Professional and Amateur Sports Protection Act (PASPA), which imposed a federal ban on sports betting. The Supreme Court’s landmark ruling allowed states legalize sports betting within their borders if they so desired. New Jersey was one of the first states to adopt its own comprehensive sports wagering law after the 2018 decision.The new policy follows recent concerns over the integrity of high-profile combative sports events. Most recently, the global phenomenon of Jake Paul’s defeat of Mike Tyson in an adjusted-rules boxing match raised questions about the fight’s integrity. Amid these concerns, Paul’s Most Valuable Promotions issued a statement refuting claims of match rigging, and asserting that the bout was a professional match sanctioned by the Texas Department of Licensing and Regulations (TDLR).
Movie Theater Data Breach Leads to Settlement and Class Action Lawsuits
New York Attorney General (AG) Letitia James and global movie theater operator National Amusements, Inc. (National) settled a lawsuit stemming from a 2022 data breach reported by National, which affected 82,128 National employees. As part of its settlement, National agreed to pay $250,000 in penalties to the state and to “improve existing cybersecurity infrastructure to prevent future data breaches.”
Connecticut AG Reaches $2M Settlement With Pike Fuels Over Environmental Protection Claims
Connecticut Attorney General (AG) William Tong announced a $2 million settlement with Pike Fuels to resolve allegations that the company violated Connecticut environmental protection laws by, among other things, falsifying monthly leak inspection records for a New Haven petroleum distribution facility.
Colorado Hemp Company Settles With AG Over Alleged Violations of Consumer Protection Law
The Colorado Attorney General’s (AG) Office recently entered into a settlement agreement with Bee’s Knees Enterprises, LLC, dba Bee’s Knees CBDs, addressing allegations of violations of the Colorado Consumer Protection Act (CCPA). The CCPA generally prohibits deceptive trade practices, including false representations or advertising, and allows for public or private enforcement and civil penalties. The settlement agreement resolves claims against Bee’s Knees without admitting liability.
Maryland AG Creates Office of the Solicitor General
On November 10, Maryland Attorney General (AG) Anthony G. Brown announced the creation of an Office of the Solicitor General within his office. This new division is dedicated to overseeing the state’s appellate litigation in both state and federal courts. Brown appointed Julia Doyle, a seasoned appellate litigator and current chief of the Office of AG’s Civil Division, as the new solicitor general, effective January 8.
Kentucky AG Checks the Board of Pharmacy’s Regulatory Power
What Happened
On November 12, the Kentucky Attorney General (AG) issued a formal opinion, concluding that the Kentucky Board of Pharmacy lacks the authority to regulate nonresident pharmacists beyond what is specified in KRS Chapter 315. The board cannot mandate Kentucky licensure for nonresident pharmacists, except for the pharmacist-in-charge per KRS 315.0351(1)(g). Therefore, the board’s proposed amendment to 201 KAR 2:030, which would require all out-of-state pharmacists filling prescriptions for Kentucky residents to be licensed in Kentucky, exceeds the board’s statutory authority.
DoorDash Settles Illinois’ Investigation Into Allegedly Misleading Tip Policy
On November 8, Illinois Attorney General (AG) Kwame Raoul and DoorDash, Inc. (DoorDash) reached a settlement to resolve a lawsuit accusing DoorDash of violating Illinois consumer protection law related to alleged misrepresentations regarding tips for delivery drivers. The tipping policy in question was in place between 2017 through 2019.
Connecticut AG Settles Lawsuit Against Bankrupt Solar Installation Firm for $5M
On October 11, Connecticut Attorney General (AG) William Tong announced a $5 million settlement against bankrupt solar installation firm Vision Solar, LLC to resolve an unfair trade practices suit. Hartford Superior Court Judge Daniel Joshua Klau granted the state’s motion for the judgment, which was executed with a trustee for the company and previously approved by a U.S. bankruptcy court. In addition to the $5 million civil penalty, the company also agreed in the stipulation to certain changes in its business practices. However, the changes to its business practices are largely theoretical given that the company is in a liquidation bankruptcy.
State AGs Crack Down on Charity Fraud
On October 25, Pennsylvania Attorney General (AG) Michelle Henry announced a court order requiring the pastor and founder of Peniel Christian Fellowship International to pay $305,704 in restitution for allegedly misusing ministry funds for personal expenses. The AG took action alleging that charitable donations to the church were diverted into the pastor’s personal accounts to pay for rent, vehicles, and other private expenses.