On January 26, Indiana Attorney General Todd Rokita issued a press release, endorsing Indiana House Bill 1008, which codifies Indiana Public Retirement System (INPRS) policy to prioritize the financial returns of public retirement funds ahead of environmental, social, and governance (ESG) corporate policies. While still in the House, legislators expect the bill to pass by its effective July 1 date.
On January 24, Attorney General Ken Paxton announced an investigation of California-based title security company Home Title Lock for potential violations of the Texas Deceptive Trade Practices Act. In its civil investigative demand (CID), the AG alleged the company may have misled consumers by making deceptive statements regarding its “home title monitoring and/or home title resolution services.”
As discussed here, on December 7, 2022, the Consumer Financial Protection Bureau (CFPB or Bureau) made a preliminary conclusion that a New York commercial financing law was not preempted by the Truth in Lending Act (TILA). The Bureau indicated it was also considering whether to make a preemption determination regarding similar state laws in California, Utah, and Virginia. On January 20, 2023, California Attorney General Rob Bonta submitted a letter to the CFPB agreeing with its preliminary determination that California’s Commercial Financing Disclosures Law (CFDL) is not preempted by TILA because the CFDL only applies to commercial financing and not to consumer credit transactions within the scope of TILA. Attorney General Bonta further urged the CFPB to “revisit the Federal Reserve Board’s (Board) vague and overbroad articulation of the TILA preemption standard. The CFPB should articulate a narrower standard that emphasizes that preemption should be limited to situations where it is impossible to comply with both TILA and the state law or where the state law stands as an obstacle to the full purposes TILA, which is to provide consumers with full and meaningful disclosure of credit terms in consumer credit transactions.”
Published in Law360 on January 25, 2023. © Copyright 2023, Portfolio Media, Inc., publisher of Law360. Reprinted here with permission.
In recent months, there has been an explosion of artificial intelligence tools that have given even technophobes an opportunity to test AI’s power from the comfort of their favorite web browser.
From DALL-E’s ability to generate digital images from natural language prompts to ChatGPT’s ability to answer questions, write blog posts, essays, poetry or even song lyrics, today’s AI tools can be used by anyone who can open a web browser.
Stephen Piepgrass, leader of Troutman Pepper’s Regulatory Investigations, Strategy + Enforcement (RISE) Practice Group, was quoted in Law.com‘s January 25, 2023 article, “Will Noncompete Ban Pave Way for Similar Assault on NDAs?“
In a video, Solicitor General Liz Baker Murrill (R) confirmed her candidacy for Louisiana attorney general. “Louisiana elects a new AG in 2023. Let’s go with our best advocate, the one protecting our families, our future, and our freedom,” a voiceover in the video said. According to her website, Murrill kept convicted criminals in prison, advocated for the unborn, fought tirelessly against federal overreach and invasive mandates, and argued five cases before the U.S. Supreme Court.
New York Attorney General Letitia James led a bipartisan multistate coalition to reach a $24 million settlement with cryptocurrency company Nexo for allegedly offering and selling unregistered securities and commodities. As noted in AG James’s press release, each of the 53 U.S. jurisdictional North American Securities Administration Association (NASAA) members will be eligible to claim a settlement of more than $424,000. In a parallel action, Nexo agreed to pay $45 million in penalties to the U.S. Securities and Exchange Commission (SEC).
Chris Carlson, an associate in Troutman Pepper’s State Attorneys General and Regulatory Investigations, Strategy + Enforcement (RISE) practice groups, is quoted in the January 23, 2023 Corporate Counsel article, “States’ War on ESG Investing Could Hinge on Obscure KY Suit.”
Arizona Attorney General Mark Brnovich released opinion No. 22-(R22-011), concluding earned wage access (EWA) products that are fully non-recourse and no-interest are not “consumer lender loans” under Arizona law. Thus, those who make, procure, or advertise EWA products are not required to be licensed as a “consumer lender” by Arizona’s Department of Insurance and Financial Institutions. The AG’s findings apply to EWA providers working with an employer as well as those working directly with an employee.
On January 17, after an extensive investigation by the Consumer Protection Section of the Colorado Department of Law, Colorado Attorney General Phil Weiser announced that medical billing company Flatirons agreed to refund payments by Coloradans for allegedly deceptive billing notices, totaling $12,933.89. Flatirons creates and processes claims for insurance reimbursement, coverage appeals/denials, monetary payments owed by patients, while also serving as a billing point of contact with insurers and patients.