On July 29, the attorney general (AG) for Washington, D.C. sued StubHub, Inc. (StubHub) for violations of the district’s Consumer Protection Procedures Act. The complaint accuses StubHub of employing “dark patterns,” including the use of hidden fees that mislead consumers and inflate ticket prices.
As U.S. elections heat up, Republicans have put Democrats on the defense about the economy and the public’s perception of it. One talking point for Democrats in response, including in President Joe Biden’s last two State of the Union addresses, has been federal efforts to combat so-called junk fees.
Still, the strongest regulations are coming from states, and companies will need to keep an eye on all of these laws to comply.
On July 31, Attorney General (AG) Michelle Henry announced a new way for Pennsylvania residents — or those traveling through Pennsylvania — to file complaints against airlines. The move is in response to allegations of a nationwide increase in complaints regarding airline handling of flight delays, cancellations, and other air travel-related issues. This announcement also comes on the heels of the latest airline disaster caused by the CrowdStrike computer meltdown.
On August 7, the U.S. Department of Treasury hosted a virtual briefing to discuss the steps that the Biden-Harris administration is taking to address perceived unfair and deceptive practices in the consumer solar energy industry. Deputy Secretary of Treasury Wally Adeyemo, along with Federal Trade Commission (FTC) Chair Lina Khan and Consumer Financial Protection Bureau (CFPB) Director Rohit Chopra, announced a new interagency consumer solar industry initiative directed at both sales and financing of residential systems. Each made statements about the unique effort to root out anti-competitive and sometimes-fraudulent activity by a handful of “bad actors” who are taking advantage of the burgeoning industry. The presenters also noted that they will be coordinating with state attorneys general (AG) and state financial regulators.
After primary voting concluded in Missouri and Washington yesterday, the slate of state attorney general (AG) candidates is set for the November 5 general elections, where at least six new AGs will fill offices across the U.S.
On August 2, the U.S. Court of Appeals for the Eighth Circuit decided a case addressing Nebraska’s authority to require tribal cigarette manufacturers that are not parties to the Master Settlement Agreement (MSA) to comply with the state’s escrow statute with respect to cigarettes sold in Indian country. See HCI Distrib., Inc. v. Peterson, No. 23-2311 (8th Cir., Aug. 2, 2024).
Last week, a bipartisan coalition of 30 state attorneys general (AG), led by Florida, Illinois, New York, and Texas, reached a settlement with Cameo — an online service that allows fans to pay for customized messages from celebrities — establishing state AGs’ expectations regarding a company’s duty to include disclosures identifying the connection between a paid endorser and the business brand being endorsed. The settlement with Cameo not only demonstrates that state AGs are scrutinizing whether companies are complying with federal laws and regulations such as the Federal Trade Commission’s (FTC) endorsement guidelines, but also their willingness to establish clear, bright-line rules for compliance that other companies should heed.
Jeff Johnson, former deputy solicitor general in the Missouri attorney general’s (AG) office, has joined Troutman Pepper’s Regulatory Investigations, Strategy + Enforcement (RISE) practice and nationally recognized State AG team.
Last week, Arizona Attorney General (AG) Kris Mayes filed a lawsuit against FCA (formerly Fiat Chrysler) and Cummins for alleged violations of the Arizona Consumer Fraud Act by falsely advertising that certain vehicles were “clean diesel” vehicles, when in fact the vehicles allegedly had illegal emissions defeat devices. The lawsuit constitutes another example of the state of Arizona retaining outside counsel to take action against the automobile industry regarding the alleged use of emissions defeat devices.
Wisconsin Attorney General (AG) Josh Kaul has announced an $85,000 settlement with the global food supply company Kerry, Inc. in relation to the company’s operation of a liquid smoke manufacturing facility.