Similar to other state consumer data protection acts enacted over the past two years, the Colorado Privacy Act (CPA) allows Colorado consumers to opt out of the sale of personal data and the processing of such data for targeted advertising purposes. Beginning on July 1, 2024, companies controlling personal data that fall within the purview of the CPA must allow consumers to opt out via a universal opt-out mechanism (UOOM).

On November 20, Delaware Attorney General (AG) Kathy Jennings, along with the Consumer Financial Protection Bureau (CFPB) and 11 other states, announced a settlement in excess of $30 million with Prehired LLC and affiliated debt collection companies. This settlement resolves allegations of unlawful practices in originating, servicing, collecting, and enforcing Income Sharing Agreements (ISAs) in violation of the Consumer Financial Protection Act of 2010, the Truth in Lending Act, and its implementing Regulation Z, and the Fair Debt Collection Practices Act. Specifically, regulators alleged in a July 2023 complaint that the ISAs were unlawful, and that Prehired and its affiliates made false promises of job placement and resorted to abusive debt collection practices when borrowers could not pay. As part of the stipulated final judgment entered by the Delaware bankruptcy court, Prehired is required to cease all operations, pay $4.2 million in redress to students who made loan payments between 2019 and 2023, pay $1 million to the CFPB victims relief fund, and void all of its outstanding ISAs, which are valued at nearly $27 million.

On November 3, Colorado Attorney General (AG) Phil Weiser announced that his office reached a settlement with Touchstone Partners, Inc. (Touchstone), a noted debt management company. The AG’s allegations were that Touchstone had violated the Colorado Debt Management Services Act (C.R.S. § 5-19-201 et seq.).

Last week, Michigan Attorney General (AG) Dana Nessel formally launched an investigation under the Michigan Consumer Protection Act (MCPA) into the marketing and business practices of a group of interconnected pest control companies operating under various aliases across Michigan and surrounding states. As part of the investigation, civil subpoenas were served on Kyle Scappaticci, Emily Scappaticci, and Kevin Scappaticci, who allegedly run numerous pest and wildlife control businesses, including Pestway LLC, Michigan Wildlife Removal LLC, and Platinum Wildlife Removal LLC.

Kentucky

Russell Coleman (R), a Louisville attorney and former federal prosecutor, prevailed over Pamela Stevenson (D), member of the Kentucky House of Representatives, for District 43. Coleman will take over from departing attorney general (AG) Daniel Cameron (R), who was unsuccessful in running for governor against incumbent Andy Beshear (D). Such an outcome suggests that prevailing political headwinds affect AGs differently — despite their overt party affiliations. Coleman will take over the AG post in December.

On October 23, an amended complaint was filed by the Connecticut Office of the Attorney General (AG), alleging that Stone Academy, a nursing school, and its owners, Joseph Bierbaum and Mark Scheinberg, used millions of dollars from nursing student tuition and fees to finance personal luxuries and other businesses operated by Stone Academy’s owners.

Massachusetts Attorney General (AG) Andrea Joy Campbell has announced a $6.8 million settlement with the operator of an MGM resort and casino known as MGM Springfield for the entity’s alleged violations of the Massachusetts Wage Act, Minimum Wage Law, Overtime Law, and the state’s Earned Sick Time Law.

On October 26, Delaware Attorney General (AG) Kathleen Jennings filed a lawsuit against 14 chemical companies for allegedly contaminating the state’s natural resources with per- and poly-fluoroalkyl substances (PFAS) traceable to the use and disposal of aqueous film-forming foam (AFFF), a specialized firefighting foam product widely used at airports and military bases. The suit is the result of an investigation that was conducted over a two-year timeframe that involved environmental sampling, forensic analysis, and a review of corporate records.