Each week, Crowell & Moring’s State Attorneys General team highlights significant actions that State AGs have taken. See our State Attorneys General page for more insights. Here are last week’s updates.
Multistate
- A coalition of conservative state attorneys general filed an amicus brief in the U.S. District Court for the Southern District of Ohio challenging the constitutionality of the Federal Trade Commission’s administrative court proceeding seeking to block the Kroger-Albertsons merger. The AGs argue that FTC’s administrative tribunal violates the Constitution’s separation of powers doctrine.
Arkansas
- A state court allowed Attorney General Griffin’s lawsuit against Family Dollar for violating the Arkansas Deceptive Trade Practices Act (ADTPA) to proceed. The lawsuit alleges that Family Dollar’s West Memphis distribution center had a massive rodent problem, evidenced by the removal of over 3,000 rodents by state and federal inspectors. The AG alleges Family Dollar violated the ADTPA, specifically by making false representation as to the quality of goods and deceiving customers.
Illinois
- Attorney General Raoul announced a $10 million settlement with Teleperformance Columbia SAS, TPUSA Inc., and Teleperformance SE (collectively, Teleperformance) resolving allegations that the company deceived customers into switching from public utility companies to more expensive contracts with alternative retail electric suppliers in violation of the Illinois Telephone Solicitations Act, 815 ILCS 413. The action alleges that Teleperformance used deceptive online advertisements to cause consumers to believe that they were calling public utility companies when in fact they were calling Teleperformance sales agents.
Pennsylvania
- Attorney General Henry announced that her office filed a lawsuit against Digital Dream Labs, a robotics and educational-technology company, regarding failures to fulfill orders, issue refunds, and respond to consumer requests. The AG alleges that the company violated the Pennsylvania Consumer Protection Law by misrepresenting goods and having the intent to not sell goods as advertised or to meet public demand. According to the lawsuit, the company was not able to fulfill approximately 14,000 orders, constituting sales over $14 million, and customers who prepaid were not provided updates or refunds.
Washington
- Attorney General Ferguson announced an agreement with Climate Pledge Arena, requiring payment of over $475,000 in penalties and refunds over allegations that the arena collected unauthorized fees from consumers for food and beverage purchases made at the arena in violation of Washington’s Consumer Protection Act, RCW 19.86.020. The agreement is subject to court approval.
West Virginia
- Attorney General Patrick Morrisey filed a lawsuit against a Boone County individual, Douglas Baisden, under the West Virginia Consumer Credit and Protection Act (WVCCPA), W. Va. Code § 46A-1-101, et seq., for failure to deliver goods as promised, misrepresentation, advertising goods with intent not to supply, and conversion of consumer payments. The lawsuit alleges that Baisden, who was doing business as Build a Barn LLC and Barnyard Building Supplies LLC, allegedly took payments for building kits and failed to deliver the kits to consumers.