Consumers nationwide will begin receiving checks from a May 2022 multistate settlement between 51 attorneys general and Intuit, owner of TurboTax. The coalition of AGs settled with Intuit for $141 million to resolve allegations that TurboTax deceptively marketed its products.
On May 8, Colorado Attorney General Phil Weiser announced settlements with four of the largest guaranteed automobile protection (GAP) administrators — Safe-Guard Products International, Inc., Jim Moran & Associates, Inc., Norman & Co., Inc., and National Auto Care Corporation — operating in Colorado, totaling more than $2.87 million in restitution for 3,550 Colorado vehicle owners. Settlement amounts ranged from $4,036.56 to $1,655,124.78, with each settling entity agreeing to provide refunds to impacted consumers under an assurance of discontinuance agreement. We posted about previous GAP refund settlements here and here.
In March 2023, the National Association of Attorneys General (NAAG) hosted its 2023 Attorney General Symposium and Presidential Summit in Philadelphia. Several State AGs and their staff members attended the meetings. Among the topics discussed, the panels involving artificial intelligence (AI) and organized retail crime (ORC) provided particularly relevant and pressing commentary. The Presidential Summit focused on NAAG President and Ohio AG Dave Yost’s presidential initiative, highlighting the need for the continued veteran support even after their tours of duty end.
On April 28, Arizona Attorney General Kris Mayes announced a settlement with two Phoenix-area restaurants — Etta Scottsdale LLC and Maple & Ash Scottsdale LLC — over undisclosed add-on charges. AG Mayes claimed that the restaurants charged a 3.5% “employee benefits charge” to walk-in customers not disclosed on either restaurant’s menu, which allegedly violated the Arizona Consumer Fraud Act.
In March 2023, Michigan Attorney General Dana Nessel’s office issued a letter to Kroger Co., urging the company “to add clear signage to your stores to help consumers understand which eggs, exactly, came from caged chickens.” The letter expressed concerns about Kroger’s confusing and misleading marketing of caged chicken eggs, stemming from a “February 2023 Data for Progress: Cracking Down on Kroger” report.
In his most recent monthly column, North Carolina Attorney General Josh Stein shared insights on how customers can avoid falling prey to fake online reviews. Although AG Stein acknowledged that online reviews can be useful when deciding which products to buy or services to use, he cautioned that not all reviews are written by real people. In fact, many highly rated products or services consist of fake reviews, which could inaccurately reflect the quality of a product or service and lead to poor purchasing decisions. According to the statement, in 2021 alone, fake online reviews influenced a staggering $152 billion in online spending.
Drawing from her experience investigating and prosecuting businesses in the aftermath of cybersecurity breaches, New York Attorney General Letitia James released a guide to help companies implement effective data security measures that will safeguard the personal information of New York consumers. The guide offers a range of recommendations intended to help companies prevent data breaches and fortify their data security protocols.
On April 14, 11 state attorneys general reached a $500,000 bipartisan settlement with telehealth company Visibly, Inc. over violations of the states’ consumer protection statutes and health and safety laws. The AGs alleged that Visibly advertised, marketed, promoted, offered for sale, and sold its online vision tests to customers in a manner that violates states’ laws. Specifically, the AGs allege that Visibly:
On April 14, a bipartisan coalition of state attorneys general from across the country joined forces to protect the rights of military veterans, which if successful would secure full educational benefits potentially worth billions of dollars for about 1.7 million post-9/11-era veterans and counting. Virginia AG Jason Miyares led the coalition of 33 states and the District of Columbia[1] in filing an amici brief with the U.S. Supreme Court, urging the Court to safeguard veterans’ educational benefits and reaffirm the pro-veteran canon of construction, which traces its roots to the founding of the United States. Troutman Pepper’s State Attorneys General and Appellate + Supreme Court practices played a pivotal role in securing this bipartisan coalition, leveraging the firm’s extensive experience and expertise in handling high-profile legal matters involving state AGs and before the Supreme Court. The veteran is also represented pro bono by Troutman Pepper attorneys Timothy McHugh, Misha Tseytlin, Kevin LeRoy, Abbey Thornhill, and Trey Smith, among others, and David DePippo from Dominion Energy.
On April 7, California Attorney General Rob Bonta and Assembly member Brian Maienschein announced new legislative bill AB 1366, which creates a state Treasury Victims of Consumer Fraud Restitution Fund (VCFRF) to benefit victims of consumer fraud. Currently, victims may receive restitution after a judgment. However, if a business collapses and cannot pay restitution, victims can go without any compensation. The VCFRF seeks to remedy this issue.