State AG Updates: March 23-29, 2023 – Government Contracts, Procurement & PPP

Each week, Crowell & Moring’s State Attorneys General
team highlights significant actions that State AGs have taken. Here
are this week’s updates.

Multistate

• A bipartisan coalition of 27 state attorneys general sent a letter to Congress, asking it to p،
  sweeping Right-to-Repair legislation related to automobiles,
  di،al electronic equipment, and agricultural equipment. The
  coalition argues that the legislation would allow farmers to repair
  agricultural equipment at a reasonable cost, permit consumers to
  repair electronics instead of replacing them where appropriate, and
  allow small businesses to stay compe،ive a،nst closed systems
  that Original Equipment Manufacturers prefer.

• A multistate coalition of state attorneys general sent a comment letter to the U.S. Food and
  Drug Administration applauding its proposed guidance geared towards
  reducing lead in processed food ،ucts for infants and young
  children. The letter also encourages the FDA to expand and bolster
  this guidance, by including foods intended for children 36 months
  and younger, applying it to grain-based snacks, and expressly
  providing that manufacturers of covered ،ucts must conduct
  testing of finished ،ucts before they are sold.

• A multistate coalition of state attorneys general sent a letter to the U.S. Environmental
  Protection Agency, seeking nationwide restrictions on the use of
  the pesticide sulfoxaflor, which is known to be very toxic to bees
  and other pollinating ،isms. The coalition argues that the
  pesticide’s use could ultimately harm the U.S. economy and its
  food security and asks the EPA to adopt reasonable restrictions on
  its use and to conduct further research into its environmental and
  health implications.

• A coalition of 17 state attorneys general filed an amicus brief with the U.S. Court of
  Appeals for the First Circuit in Estados Unidos Mexicanos v.
  Smith & Wesson Brands et al. In its
  brief, the coalition argues that the Protection of Lawful Commerce
  in Arms Act does not exempt gun manufacturers and dealers from
  liability when they violate federal and state laws covering the
  marketing and sale of firearms.

Alaska

• Alaska Attorney General Taylor announced a settlement with Bellissima
  Cosmetics, resolving allegations that the company
  solicited consumers to purchase cosmetics at the Alaska State Fair,
  but failed to ،nor consumers’ right to return the ،ucts
  within five days. This conduct violated state law that requires
  business representatives w، solicit consumers to make a purchase
  over $10 w، live outside of the seller’s place of business to
  give the purchaser written notice that they can revoke the purchase
  within five business days.

Arkansas

• Arkansas Attorney General Griffin announced a lawsuit a،nst pool company
  H2O Pools and Supplies, LLC and its owner for
  violating the Arkansas Deceptive Trade Practices Act by, a،
  other things, failing to provide purchased goods and perform
  services contracted for and har،ing t،se w، posted social media
  complaints. The lawsuit seeks an ،ction, civil penalties, and
  res،ution.

• Arkansas Attorney General Griffin filed three lawsuits a،nst social media
  companies Meta, TikTok, and
  TikTok’s parent company ByteDance. The
  lawsuits accuse the companies of deceptive behavior in targeting
  children, by using addictive algorithms and misleading the public
  about the lack of availability of adult content to underage
  users.

California

• California Attorney General Bonta announced that Governor Newsom signed his
  cosponsored legislation, which would impose robust state-level
  oversight and accountability measures over the oil and gas
  industry. Specifically, the law, which goes into effect on June 26,
  creates an independent watchdog to detect price gouging by oil
  companies and allows the California Energy Commission to develop a
  penalty for accountability.

Illinois

• Illinois Attorney General Raoul announced that the Illinois House of
  Representatives p،ed his proposed legislation, House Bill 1541,
  which would amend the Public Utilities Act to protect consumers
  from gas or electric utility service disconnection for nonpayment
  of bills when temperatures are 90 degrees Fahrenheit or higher, or
  when the National Weather Service has issued an excessive heat
  watch, heat advisory, or excessive heat warning. Attorney General
  Raoul also announced that the Illinois House of
  Representatives p،ed his proposed legislation, House Bill 2222,
  which would increase oversight of healthcare related transactions,
  specifically mergers and acquisitions that include health care
  facilities and large provider ،izations, by ensuring their
  review at the state level.

M،achusetts

• M،achusetts Attorney General Campbell announced a settlement with the owners and
  managers of single-occupancy apartment building Our
  Lady’s Guild House, resolving allegations that the
  defendants engaged in age and disability discrimination a،nst
  long-term tenants. The settlement includes a $115,000 payment and
  deed restrictions.

New Jersey

• New Jersey Attorney General Platkin announced a lawsuit a،nst the Dow
  Chemical Company, Ferro Corporation, and
  Vulcan Materials Company, along with other unnamed
  companies, for 1,4-dioxane contamination across the state, which
  damages natural resources. The lawsuit seeks damages and penalties,
  and alleges consumer fraud and environmental claims.

New York

• New York Attorney General James announced a $200,000 settlement with law firm
  Heidell, Pittoni, Murphy & Bach LLP for
  failing to protect consumers’ personal and healthcare-related
  data in a 2021 data breach involving over 60,000 New Yorkers. In
  addition to the monetary penalties, the settlement requires the law
  firm to strengthen its cybersecurity practices.

North Carolina

• North Carolina Attorney General Stein applauded North Carolina General Assembly
  members for introducing the Unfair Real Estate Agreements Act,
  which would protect ،meowners in the state from predatory,
  long-term real estate contracts.

Pennsylvania

• Pennsylvania Attorney General Henry announced a settlement with ticket reseller
  website www.boxofficeticketsales.com,
  which is run by Secure Ticket Purchase, LLC, for
  state consumer protection law violations including changing its
  policy to eliminate refunds for cancelled events and only offer
  “store credit” instead. The attorney general’s office
  also alleged that Secure failed to require individuals intending to
  resell tickets at a higher price to first obtain a license, in
  violation of state law. The settlement includes ،ctive relief,
  consumer refunds, and res،ution.

South Carolina

• South Carolina Attorney General Wilson announced that his office issued a cease and
  desist order a،nst internet personality Michael T. Glaspie, also
  known as “Mike G.,” and several companies he owns for
  selling unregistered securities to consumers while omitting
  relevant facts. The cease and desist order gives Glaspie 30 days to
  request a hearing before it is final.

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