State Attorneys General
Practice Overview
State attorneys general are taking an increasingly active role in pursuing investigations, enforcement matters, and litigation, often coordinating their actions and pooling resources to exert nationwide pressure on companies. They are also working in conjunction with federal enforcement agencies including the Department of Justice, Federal Communications Commission, Federal Trade Commission, and Consumer Financial Protection Bureau. Whether undertaken independently, in conjunction with other attorneys general or federal agencies, or in response to media reports, actions by state attorneys general can have long-lasting reputational and financial implications for companies and individuals.
Buckley attorneys understand that these matters can escalate quickly, and provide clients with comprehensive guidance in response to a state inquiry or enforcement action. We have represented businesses and individuals before all 51 state attorneys general in a range of industries, including financial services, hospitality, digital commerce, payments and data, cybersecurity, energy, healthcare, pharmaceuticals, telecommunications, insurance, and other consumer-centric businesses. Buckley attorneys also represent companies before state agencies, particularly banking commissioners.
Our knowledge of the law is informed by an understanding of the political and policy considerations that often influence attorney general decisions. We stay abreast of emerging issues in the state attorney general community and closely monitor trends and developments that may affect our clients. We anticipate challenges and design innovative strategies before difficulties can arise, and are efficient and creative problem-solvers when they do. We offer solutions that help our clients avoid costly investigations and litigation, as well as unwanted scrutiny. Where litigation is inevitable, our lawyers aggressively defend against claims, including multistate and federal enforcement investigations related to consumer protection, data privacy, advertising, consumer finance, and environmental and energy concerns, as well as state qui tam actions.
We have worked with financial institutions of all types, including banks, marketplace lenders, auto finance companies, student loan servicers, and mortgage companies, to respond to inquiries from state attorneys general, involving various aspects of their business practices including sales, advertising, servicing, collection, and licensing matters.
Select representations in this area include:
- Multiple international hotel companies in a confidential multistate attorneys general investigation
- A leading homebuilder, mortgage originator, and mortgage servicer in parallel investigations of various subsidiaries by a large multistate attorney general group, the CFPB, the DOJ, and the Department of Housing and Urban Development, among others
- Numerous financial institutions in investigations, examinations, and licensing matters before the New York Department of Financial Services
- Banks and nonbanks in civil litigation or enforcement proceedings brought by state agencies such as the California Department of Business Oversight arising from alleged violation of licensing laws
- One of the nation’s largest mortgage loan servicers and its affiliates before more than 30 state regulatory agencies and the CFPB in lawsuits and administrative actions alleging improper servicing practices
- Multiple indirect auto finance companies in DOJ and state AG investigations into subprime auto loan origination and securitization practices
- Top national tax-preparation companies in investigations and enforcement actions by state attorneys general and state taxation agencies regarding consumer advertising, tax preparation services, and tax refunds
- Innovative global automotive company to resolve a potential multimillion-dollar licensing issue with a state attorney general, resulting in no fine and no press release
- Verizon Wireless in a settlement with the CFPB, FCC, and 51 attorneys general alleging that it permitted third parties to place unauthorized charges on consumers’ wireless phone bills
Articles
"School of hard knocks: Federal student loan servicing and the looming federal student loan crisis" by Jeffrey P. Naimon, Sasha Leonhardt, and Sarah B. Meehan (American University Administrative Law Review)
Nearly forty-three million Americans collectively owe $1.5 trillion in outstanding student loan debt. Of that, approximately ten percent of student loan debt is over ninety days delinquent or in default, while the actual delinquency rate is estimated to likely be double this amount due to the fact...
Articles"Price-gouging a priority as pandemic persists" by Michael N. Morrill
One of the federal government’s most immediate responses to the coronavirus crisis was a highly visible campaign against profiteering. While the absence of an overarching federal anti-price gouging statute has forced prosecutors to improvise and legislators to contemplate new laws in order to...
Buckley Commentary & Analysis"What to expect from increased FTC-state AG collaboration" by Michelle L. Rogers and Katherine L. Halliday (Law360)
In prepared remarks at the winter meeting of the National Association of Attorneys General on March 5, 2019, Federal Trade Commission Chairman Joseph Simons advocated for increased collaboration with state attorneys general and noted that such collaboration is critical to the FTC’s mission. His...
Articles"Intra-franchise no-poach agreements: Recent developments and trends" by Adam Miller and Scott T. Sakiyama (Bloomberg Law)
Washington Attorney General Bob Ferguson has obtained binding settlement agreements from 23 prominent franchisors in the nine months since he announced an initiative to eliminate no-poach clauses nationwide, and he has already expanded beyond the fast-food industry. Scrutiny of the clauses, which...
ArticlesC-Suite Financial Services Review: Enforcement Trends - The States Step Up
The new leadership at the Consumer Financial Protection Bureau has explicitly stated that it expects to pursue fewer enforcement actions than it has in the past. While the anticipated reduction in CFPB enforcement activity may cause some companies to feel a sense of relief, there may be less cause...
C-Suite Review"The role of State AGs in solving student loan crisis" by Sasha Leonhardt and Dana Walsh Kumar (Law360)
State attorneys general are the chief legal officers of their state; state attorneys general are the chief law enforcement officers of their state; and state attorneys general must protect their citizens and vigorously enforce their state’s consumer protection statutes. As broad as these powers and...
ArticlesSpecial Alert: Mulvaney says the CFPB will depend heavily on state Attorneys General for enforcement of consumer protection laws
Mick Mulvaney, the acting director of the Consumer Financial Protection Bureau, in a February 28 speech, outlined the Bureau’s overall direction and strategic priorities, and described plans to coordinate with state Attorneys General in enforcing federal consumer financial protection law. Mulvaney...
Special Alerts"Post-crisis AG enforcement is just the beginning" by Michelle L. Rogers (Law360)
UDAAP — the prohibition against unfair, deceptive, or abusive acts or practices — is now ubiquitous in government enforcement actions, due in large part to the Consumer Financial Protection Bureau ’s expansive authority under the Dodd-Frank Act. Yet, as the CFPB has reshaped much of the financial...
ArticlesTips for Fantasy Sports Cos. As State AGs Target Industry
Selecting the roster of your fantasy football team can be a maddening exercise. You could spend hours analyzing running backs’ carries per game, yards-per-carry averages, and weighing your pass protection concerns against injury risk. But, as they say, on any given Sunday anything can happen. Your...
ArticlesCongress Could Be Coming for Dietary Supplements
The next chapter in the saga of New York State Attorney General Eric T. Schneiderman's investigation of the dietary supplements industry may take place on Capitol Hill. On April 2, Schneiderman and the state attorneys general of Connecticut, the District of Columbia, Hawaii, Idaho, Indiana, Iowa,...
ArticlesRecent Enforcement Trends: State Attorneys General Target the Dietary Supplements Industry
Leslie Meredith authored, "Recent Enforcement Trends: State Attorneys General Target the Dietary Supplements Industry," which was published in NutraIngredients USA on April 9, 2015. Editor’s note: The recent actions of New York Attorney General Eric Schneiderman have changed the enforcement...
ArticlesSpecial Alert: Federal and State Officials Announce Mortgage Servicing Settlement
This morning, U.S. Attorney General Eric Holder, HUD Secretary Shaun Donovan, Iowa Attorney General Tom Miller, and several other state and federal officials jointly announced an approximately $25 billion agreement in principle between the federal government, 49 state attorneys general and the five...
ArticlesState Attorneys General Are the New Bank Regulators
Spurred by the financial crisis and its impact on their constituents, state attorneys general appear to be carving out a new role as de facto bank regulators. This trend, an unexpected fall out of the financial crisis and the passage of Dodd-Frank, may not as yet be fully appreciated. However, it...
Articles
News & Blogs
States seek to invalidate OCC true lender rule
On January 5, the New York attorney general, along with the attorneys general from six other states and the District of Columbia filed a complaint against the OCC in the U.S. District Court for the Southern District of New York challenging the OCC’s “true lender” final rule. As previously covered...
InfoBytesState AGs reach $2 million settlement to resolve data breach
On December 18, state attorneys general from Connecticut, Indiana, Kentucky, Michigan, New Jersey, New York and Oregon announced a $2 million settlement with an online retailer concerning allegations that the retailer failed to promptly and adequately respond to a 2019 data breach that compromised...
InfoBytesCourt enters nearly $90 million default judgment against student debt-relief defendants
On December 15, the U.S. District Court for the Central District of California entered a default judgment and order against two companies (collectively, “default defendants”) for their role in a student loan debt-relief operation. As previously covered by InfoBytes , the CFPB, along with the...
InfoBytesCFPB and Arkansas AG settle with company for failing to provide risk-based pricing notices
On December 11, the CFPB and the Arkansas attorney general announced a proposed settlement with a Utah-based home-security and alarm company for allegedly failing to provide proper notices under the FCRA. According to the complaint filed in the U.S. District Court for the Eastern District of...
InfoBytesCalifornia proposes modifying CCPA regs again
On December 10, the California Department of Justice (Department) released a fourth set of proposed modifications to the regulations implementing the California Consumer Privacy Act (CCPA). As previously covered by InfoBytes , on October 12, the Department released a third set of proposed...
InfoBytesNew Jersey charges MCA provider with deceptive practices
On December 8, the New Jersey attorney general announced an action against a merchant cash advance provider, its parent company, and six other associated entities (collectively, “defendants”) alleging the defendants violated the New Jersey Consumer Fraud Act (CFA) and the General Advertising...
InfoBytesSpecial Alert: Federal and state authorities take significant actions to address mortgage servicing concerns
On December 7, the Consumer Financial Protection Bureau, Multi-State Mortgage Committee of state mortgage banking regulators, and every state attorney general took actions against a large nonbank mortgage company for alleged violations pertaining to both mortgage origination and servicing practices...
InfoBytesMaryland AG obtains $2.6 million in student debt relief
On November 16, the Maryland attorney general announced that it obtained over $2.6 million in debt relief from a third-party debt buyer for approximately 1,200 former students of a defunct Maryland-based for-profit college. In its press release, the AG alleged that the for-profit college offered “...
InfoBytesCFPB, Colorado AG to host innovation office hours
On November 16, the CFPB and Colorado attorney general announced that they will host joint, virtual office hours on December 2, as part of the American Consumer Financial Innovation Network (covered by InfoBytes here ). The office hours will provide innovators the opportunity to discuss issues...
InfoBytesHealth insurer to pay $48 million to resolve 2014 data breach
On September 30, a multistate settlement was reached between a health insurance company and a collation of 42 state attorneys general and the District of Columbia to resolve a 2014 data breach that allegedly comprised the personal information of more than 78 million customers nationwide. According...
InfoBytes
Our State Attorneys General Team
Partners
FYI
"School of hard knocks: Federal student loan servicing and the looming federal student loan crisis" by Jeffrey P. Naimon, Sasha Leonhardt, and Sarah B. Meehan (American University Administrative Law Review)
"Price-gouging a priority as pandemic persists" by Michael N. Morrill
Recent Blog Posts
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January 8, 2021
States seek to invalidate OCC true lender rule
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January 8, 2021
State AGs reach $2 million settlement to resolve data breach
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December 18, 2020
Court enters nearly $90 million default judgment against student debt-relief defendants
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December 15, 2020
CFPB and Arkansas AG settle with company for failing to provide risk-based pricing notices
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December 11, 2020
California proposes modifying CCPA regs again