Court Rules
All enforcement actions
SettlementHigh RiskMultistate

Colorado AG announces multistate settlement with GS Labs for false advertising and overcharging during COVID-19 pandemic

GS LabsJune 10, 2026Colorado Attorney General

Penalty Amount

$4,870,000

Summary

Colorado Attorney General Phil Weiser and a bipartisan coalition of 18 attorneys general announced a $4.87 million settlement with GS Labs, a former COVID-19 rapid testing business. The company was found to have violated the Colorado Consumer Protection Act by falsely advertising test results with no wait times, same day appointments, and no out-of-pocket expenses, while overcharging consumers and insurance providers.

Remedy

GS Labs will pay over $3.6 million in restitution to consumers and $1.25 million to the multistate group (Colorado receiving $23,601 for legal fees). If GS Labs resumes COVID-19 testing, they are prohibited from charging administrative fees, pricing above market rate, or charging consumers for late results.

Monetary PenaltyConsumer RefundsInjunction

Contract Impact

In-house legal teams should review vendor agreements with healthcare service providers, particularly those involving consumer-facing pricing and advertising. Key clauses to examine include: pricing representations (ensuring advertised prices match actual charges), fee disclosure provisions (especially any administrative or hidden fees), performance guarantees (e.g., turnaround times for services), and indemnification for false advertising claims. Customer-facing terms of service and consent forms should also be audited to ensure clear disclosure of all costs and limitations. Additionally, contracts with insurance providers should be checked for compliance with market rate pricing and billing practices.

Contract Search Terms

false advertisingconsumer protection actadministrative feecash pricemarket rate pricingtest result guaranteeno out-of-pocket expensesrestitution clausepricing complianceCOVID-19 testing services

Laws Cited

Colorado Consumer Protection Act

Violation Types

Entity Details

Entity

GS Labs

Industry

Healthcare

Multistate Coalition

Official Sources

Source Evidence

Entity Name
"GS Labs"
Fine Amount
"$4.87 million settlement"
Laws Cited
"Colorado Consumer Protection Act"
Violation Types
"false advertising and overcharged Coloradans"
Remedy Summary
"GS Labs will pay over $3.6 million in restitution"
Is Multistate
"bipartisan coalition of 18 attorneys general"

Related Enforcement Actions

MN

GS Labs

Attorney General Ellison announced a $4.87 million multistate settlement with GS Labs for overcharging patients, charging unlawful administrative fees, and failing to deliver timely COVID-19 test results. The settlement includes $3.63 million in restitution to affected consumers and $1.25 million to the multistate group, along with injunctive relief if GS Labs resumes operations.

CO

Glenmark Pharmaceuticals

$29.6M

Attorney General Phil Weiser joined a bipartisan coalition of 48 states and territories in announcing a $29.6 million settlement with Glenmark Pharmaceuticals. The settlement resolves allegations that Glenmark participated in a widespread conspiracy to inflate prices, reduce competition, and restrain trade for numerous generic prescription drugs. Glenmark also agreed to cooperate in ongoing multistate litigation and implement internal reforms.

CO

23andMe, Inc.

$18.0M

A coalition of 42 state attorneys general settled with the bankruptcy trustee for 23andMe over a 2023 data breach that exposed genetic data of 6.9 million customers. The states will receive $18 million from bankruptcy funds, and 23andMe agreed to enhanced data security requirements and consumer deletion rights as part of the asset sale to TTAM Research Institute.

CO

Block, Inc.

$45.0M

Attorney General Phil Weiser announced a $45 million multistate settlement with Block, Inc., the company behind Cash App, for misleading consumers about the safety of the platform and failing to protect users from fraud. The settlement requires Block to implement antifraud measures, provide customer support, and stop deceptive marketing practices.

CO

Cal-Maine Foods, Inc.

$3.3M

Colorado Attorney General Phil Weiser, along with a bipartisan multistate coalition and the U.S. Department of Justice, settled with Cal-Maine Foods, Versova/Centrum, and Hickman's Egg Ranch for colluding to manipulate egg prices. The companies secretly coordinated bidding activity to influence the Urner Barry price index, artificially inflating egg prices for consumers and retailers nationwide. The settlement requires the companies to pay $3.3 million, donate 53 million eggs to food banks, and implement compliance measures.

CO

Unlock Partnership Solutions, Inc.

The Colorado Attorney General settled with Unlock Partnership Solutions, Inc., which marketed home equity agreements that were determined to be consumer credit transactions subject to Colorado's Uniform Consumer Credit Code and Consumer Equity Protection Act. The company must comply with lending laws, rate caps, disclosures, and licensing, and pay $283,375 in restitution to 125 consumers, with additional payments expected.