News from June 2016
Farmers challenge constitutionality of N.D. corporate farming law
BISMARCK, N.D. (Legal Newsline) – Three farms and a nonprofit claim the state’s bans on corporate-owned farms that date back nearly a century harm businesses, rather than offering protection.
Oracle faces accusations of investor fraud
SAN FRANCISCO (Legal Newsline) – A California man is suing database software maker Oracle and its corporate officers over claims it falsified statements about the company’s performance in an alleged attempt to boost its stock price.
Manhattan developer to pay $540,000, New York attorney general announces
NEW YORK (Legal Newsline) – 165 West 91st Street Holdings LLC will pay $540,000 in penalties after allegations the company converted two rent-controlled apartments in Manhattan into a condominium complex, New York Attorney General Eric T. Schneiderman said.
California AG asks Department of Education to revoke federal recognition of ACICS
LOS ANGELES (Legal Newsline) – California Attorney General Kamala D. Harris announced that she has sent a letter to the U.S. Department of Education, asking it to revoke federal recognition of the Accrediting Council for Independent Colleges and Schools (ACICS).
Arkansas attorney general reacts to recent actions undertaken by the CFPB
LITTLE ROCK, Ark. (Legal Newsline) – Arkansas Attorney General Leslie Rutledge has released comments about the Consumer Financial Protection Bureau’s (CFPB) decision to move forward with federal standards and limitations on credit lines, installment loans, deposit advances, automobile-title secured loans and payday loans.
FTC announces verdict against three Utah firms for alleged violations of TSR Act
SALT LAKE CITY (Legal Newsline) — The Federal Trade Commission has announced a federal court jury in Utah has delivered a verdict in its favor against multiple firms that allegedly violated the FTC’s Telemarketing Sales Rule (TSR).
Class action alleges blood work device lacked FDA approval
SAN FRANCISCO (Legal Newsline) – A California consumer is suing a medical device manufacturer, alleging it defrauded the public by knowingly marketing a blood testing unit that delivered incorrect results.
Court OKs combining 16 consumer suits accusing retailers of misleading product labeling
CHICAGO (Legal Newsline) – The plaintiffs in several lawsuits alleging certain makers of Parmesan cheese falsely labeled their products have reached an agreement to combine the litigation.
Justice Department announces $67 million Genentech, OSI Pharmaceuticals deal
LOS ANGELES (Legal Newsline) — The Department of Justice has announced Genentech Inc. and OSI Pharmaceuticals LLC have agreed to pay $67 million to resolve allegations of violating the False Claims Act through misleading statements about the effectiveness of the drug Tarceva.
New York attorney general lauds federal decision to recall 'Cra-Z-Art' products
NEW YORK (Legal Newsline) — New York Attorney General Eric T. Schneiderman has released a statement about the federal Consumer Product Safety Commission’s (CPSC) announcement it will implement a national recall of “Cra-Z-Art” children’s products because of high levels of lead.
FTC targets companies involved in alleged spam email scam
TAMPA (Legal Newsline) — The Federal Trade Commission (FTC) has announced it has taken action against Colby Fox, Christopher Reinhold and their companies, Tacht Inc. and Teqqi LLC, for allegations of bombarding consumers with illegal spam email in an attempt to sell weight-loss products with false celebrity endorsements.
CFPB targets Intercept Corporation for alleged Dodd-Frank Act violations
FARGO, N.D. (Legal Newsline) — The Consumer Financial Protection Bureau (CFPB) has announced Intercept Corporation and company executives Bryan Smith and Craig Dresser have been charged with allegedly enabling unauthorized withdrawals from consumer accounts.
Investor’s class action seeks restitution for alleged IPO fraud
SAN FRANCISCO (Legal Newsline) – A California man is suing the consumer electronics firm Fitbit, alleging it defrauded investors in its initial public offering.
Prisoners allege jail’s phone system spied on calls to attorneys
Two California men once prisoners in San Diego jails are accusing a Texas telecommunications company of illegally recording phone calls between them and their attorneys.
Lawyer doesn't expect Best Buy, LG class action to hold up in federal court
MINNEAPOLIS (Legal Newsline) — A Wisconsin couple have filed a class action lawsuit against Best Buy and LG Electronics, alleging misrepresentation in the refresh rates of their televisions - but it could be difficult to certify a class action in federal court under multiple states' consumer protection acts, an attorney says.
Despite Garlock settlement, asbestos lawyers can't shake racketeering claims yet
CHICAGO (Legal Newsline) - A company that frequently finds itself targeted by asbestos attorneys is taking the reins on racketeering claims that allege those lawyers manipulated the system to unfairly drive up the costs of settlements and verdicts.
EEOC takes action against Baystate Medical Center for alleged violations of federal law
BOSTON (Legal Newsline) – The U.S. Equal Employment Opportunity Commission announced a lawsuit against Baystate Medical Center for allegations of violating federal laws related to religious freedoms.
CFPB charges former Wells Fargo employee with allegations of mortgage-fee shifting
WASHINGTON (Legal Newsline) – The Consumer Financial Protection Bureau (CFPB) announced that it took action against former Wells Fargo employee David Eghbali for an alleged illegal mortgage fee-shifting scheme.
Two Hawk Employment Services settles allegations of violating disability laws with EEOC
RALEIGH, N.C. (Legal Newsline) – Two Hawk Employment Services LLC of Lumberton, N.C., has agreed to a $30,000 settlement after allegations it violated disability laws, the U.S. Equal Employment Opportunity Commission (EEOC) announced.
EEOC announces settlement with Kroger over disability discrimination allegations
DETROIT (Legal Newsline) – The U.S. Equal Employment Opportunity Commission (EEOC) announced that the Kroger Company of Michigan will pay $33,000 and provide other relief to settle allegations of violating federal disability laws.