State AG Monitor

State AGs in the News

Posted in Consumer Protection, Employment, Health Care, Mortgages/Foreclosures, State AGs in the News

Hot News

Save the Date | A Conversation with State Attorneys General Webcast
Wednesday, April 18, 2:00 PM (EDT)

Join Doug Gansler, Attorney General of Maryland and incoming president of the National Association of Attorneys General (NAAG), for the next installment of “A Conversation with State Attorneys General,” Dickstein Shapiro’s new webcast series. State AG Practice Partner Divonne Smoyer will interview General Gansler about his role and priorities as Maryland’s chief legal officer. General Gansler will also answer questions from the audience. An invitation and details will follow.

State AG Executive Briefing, March 5

Please join us for Dickstein Shapiro’s State AG Executive Briefing in Washington, DC, beginning at 3:00 PM on Monday, March 5, at the Park Hyatt Washington. This complimentary briefing will feature two panels with five AGs: Massachusetts AG Martha Coakley, Missouri AG Chris Koster, Colorado AG John Suthers, Rhode Island AG Peter Kilmartin, and Georgia AG Sam Olens. The panels will be followed by a networking reception with the AGs and their staffs. This event is a unique opportunity for business and legal leaders to better understand the special role that AGs have in our political and legal system, how their offices work, and how their enforcement activities are shaping entire industries. Attendees are encouraged to bring their questions to these interactive sessions. For the agenda and to register, please visit our website.


California AG Unveils “Homeowner Bill of Rights” Legislation

  • California AG Kamala Harris, joined by other state lawmakers, announced legislation intended to establish a “bill of rights” to protect homeowners from alleged unfair practices by banks and mortgage companies.
  • The legislation imposes requirements on mortgage lenders and servicers, such as providing documentation to a borrower that establishes the creditor’s right to foreclose prior to recording a notice of default; prohibiting creditors from recording a notice of default when a timely filed application for a loan modification or other loss mitigation measure is pending; and requiring creditors to disclose why an application for a loan modification or other loss mitigation measure has been denied.  The legislation also would provide homeowners with a private right of action in instances in which the requirements set forth in the legislation are not followed.

North Carolina AG Bans Foreclosure Rescue Company from Operating

  • North Carolina AG Roy Cooper announced a consent judgment between his office and a loan modification and foreclosure rescue company that bans the company from operating in the State.
  • The agreement resolves allegations that the company charged consumers illegal upfront fees in exchange for obtaining favorable loan modifications for homeowners, although many of these homeowners never received the promised assistance.

Consumer Protection

Massachusetts AG Sues Heating Oil Company over Alleged Deceptive Practices

  • Massachusetts AG Martha Coakley announced a temporary restraining order her office obtained against a company that allegedly deceived consumers regarding delivery of heating oil.
  • The State’s action alleges that the company enticed consumers to enter unfair prepaid contracts for home heating oil and then failed to perform even in the depth of winter, in many cases delivering only small amounts and in some failing to deliver all together.

Kentucky AG Settles Misleading Advertising Claims with Medical Center

  • Kentucky AG Jack Conway announced a settlement with an Ohio hospital over allegations that it falsely compared its facilities favorably to other hospitals in advertisements targeting Kentucky consumers.
  • The settlement resolves allegations that the hospital’s advertisements falsely stated that other hospitals lacked similar facilities for treating heart conditions, when in reality at least one Kentucky hospital has similar facilities.

Florida AG and FTC Shut Down Vacation Package Marketers

  • Florida AG Pam Bondi announced a settlement, in conjunction with the FTC, shutting down two companies over allegations that they targeted Hispanic consumers and falsely told them that they had won free vacations, only to attempt to charge a fee for products that were never provided.
  • Under the settlement, the companies agreed to a suspended $14 million penalty and agreed to shut down their operations.

Ohio AG Sues Auto Service Business over False Business Practices

  • Ohio AG Mike DeWine announced a lawsuit against a company that sells and installs sound and security systems in cars on allegations that the company defrauded consumers regarding its services.
  • The lawsuit claims that the business accepted down payments from consumers and either failed to deliver any goods, services, or refunds, or provided parts that are lower in price, lower in quality, and/or defective, in violation of the State’s consumer protection laws.


New York AG Settles with Restaurant under New Wage-Hour Law

  • New York AG Eric Schneiderman reached a settlement with a New York City restaurant that allegedly underpaid its employees and terminated two who complained about its practices to an advocacy group.
  • Under the agreement, one of the first brought under New York’s new Wage Theft Prevention Act, the company agreed to pay $150,000 in restitution to 27 workers and $50,000 to the two employees who were fired for complaining.


Mylan Settles Drug Pricing Suit for $57 Million

  • Mylan Inc. agreed to pay $57 million to California, the federal government, and whistleblowers to settle allegations that it improperly reported and inflated the average wholesale prices for its drugs, causing the State and federal government to overpay under Medicaid.
  • California will receive $26.3 million, with $22.2 million going to the federal government, and the remainder to the whistleblower and his attorneys.