Penalty Amount
$4,870,000
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.
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.
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.
Entity
GS Labs
Industry
HealthcareOfficial Press Release
https://coag.gov/press-releases/attorney-general-weiser-announces-settlement-with-former-covid-19-test-distributor-after-company-used-false-advertising-overcharged-coloradans/
GS Labs Updated CO AOD Final v3
https://coag.gov/app/uploads/2026/06/GS-Labs_Updated-CO-AOD-Final-v3.pdf
Colorado Attorney General Enforcement Page
https://coag.gov/
"GS Labs"
"$4.87 million settlement"
"Colorado Consumer Protection Act"
"false advertising and overcharged Coloradans"
"GS Labs will pay over $3.6 million in restitution"
"bipartisan coalition of 18 attorneys general"
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.
Attorney General Weiser joined a coalition of attorneys general in suing to block new unlawful conditions on Title X funding imposed by HHS, which would penalize states and providers that refuse to abandon nondiscrimination initiatives or conform to the administration's ideological vision of family planning. The lawsuit argues the conditions conflict with federal law, violate the Administrative Procedure Act, and are unconstitutionally vague.
$1.4M
Colorado Attorney General Phil Weiser announced a settlement with Cobblestone Denver Opco, LLC (Cobblestone Car Wash) over allegations that the company used unfair automatic renewal practices for monthly membership fees. The company failed to provide proper disclosures, notices, terms, and cancellation options, locking over 70,000 consumers into auto-renewal contracts. Cobblestone will pay $1,353,465 in restitution, has already refunded $253,406 to consumers, and must comply with the Colorado Consumer Protection Act, including providing easy-to-access cancellation options and 25-day advance notice of price increases.
Attorney General Phil Weiser joined a coalition of 22 attorneys general and Pennsylvania in filing two lawsuits against the Trump administration for demanding a database of state-owned records containing sensitive personal information of 17 million commercial drivers. The lawsuits allege violations of federal privacy laws and the Administrative Procedure Act, and seek an emergency order to prevent the data from being turned over by the August 17 deadline.
Colorado contractor Rocco Roberts was criminally charged for defrauding a Boulder family during an asbestos remediation project. He allegedly misrepresented his licensing, performed the abatement improperly, exposed the home to asbestos, and provided a fraudulent clearance test. Roberts collected $8,400 for the work and faces felony charges including hazardous substance incident, forgery, and theft.
$400.0M
Attorney General Phil Weiser joined a coalition of 43 states and territories announcing a $400 million settlement in principle with Sandoz Inc. to resolve allegations that the generic drug manufacturer engaged in conspiracies to artificially inflate and manipulate prices, reduce competition, and unreasonably restrain trade. Sandoz will pay approximately $469 million including previous settlements and agreed to meaningful reforms to ensure fair competition and compliance with antitrust laws.