Penalty Amount
$40,000
Connecticut Attorney General William Tong announced settlements with four hearing aid companies for marketing their products as 'FDA-approved' when no such approval exists. The companies will collectively pay $40,000 and cease such marketing practices. The investigation underscores that over-the-counter hearing aids are not FDA-approved and consumers should be wary of such claims.
The companies must stop marketing their hearing aids as FDA-approved and pay monetary penalties totaling $40,000 to the state of Connecticut.
In-house legal teams should review vendor, customer, and marketing agreements for clauses addressing product representations, regulatory compliance, and advertising accuracy. Specifically, examine any warranties or statements regarding FDA approval or registration, marketing materials clauses, and compliance with consumer protection laws. Updates may be needed to remove 'FDA-approved' language, add clear disclaimers about regulatory status (e.g., 'FDA-registered but not approved'), and include covenants prohibiting false or misleading claims about government endorsement or product approvals.
Entity
Lively Hearing Corporation, Widex USA, Inc., Hark Wellness, Inc., Wonder Ear, Inc.
Also known as: Lively Hearing, Widex USA, Hark Wellness, Wonder Ear
Industry
Healthcare$29.6M
Attorney General Jennifer Davenport joined a coalition of 48 states and territories in a $29.6 million settlement with Glenmark, a generic drug manufacturer, for allegedly conspiring to artificially inflate and manipulate prices, reduce competition, and restrain trade for numerous generic prescription drugs. The settlement includes cooperation in ongoing litigations and internal reforms to ensure fair competition.
$29.6M
Attorney General William Tong led a coalition of 48 states and territories in a $29.6 million settlement with Glenmark, a generic drug manufacturer, to resolve allegations of a widespread conspiracy to artificially inflate prices, reduce competition, and unreasonably restrain trade for numerous generic prescription drugs. The settlement includes cooperation from Glenmark in ongoing multistate litigations and internal reforms to ensure fair competition and compliance with antitrust laws.
$18.0M
Attorney General William Tong led a coalition of 42 attorneys general in a settlement with the bankruptcy trustee for 23andMe, resolving allegations from a 2023 data breach that compromised the genetic data of 6.9 million customers. The settlement includes $150 million in allowed claims, with $18 million paid from bankruptcy funds, and requires enhanced data security measures for the new entity holding the data.
Attorney General William Tong joined a coalition of 12 attorneys general in suing to block the $110 billion acquisition of Warner Bros. Discovery, Inc. by Paramount Skydance Corporation. The lawsuit alleges the merger violates Section 7 of the Clayton Act by substantially lessening competition in theatrical film distribution and basic cable television licensing, which would harm consumers through higher prices and reduced quality.
Attorney General William Tong and 48 other attorneys general submitted comments to the FCC urging stronger rules to prevent scammers from accessing legitimate telephone numbers for illegal robocalls. The coalition is responding to the FCC's proposed rules and asks for measures such as stronger certification, reporting, and prohibitions on number cycling.
$45.0M
Attorney General Tong announced a $45 million multistate settlement with Block, Inc., the company behind Cash App, for misleading consumers about the safety of the platform, failing to protect users from fraud, and not providing promised fraud protection and resolution services. The settlement requires Block to implement major reforms including real customer support, transparent communications, and security commitments, and reaffirms Block's commitment to distribute between $75 million and $120 million to compensate consumers as part of a separate CFPB settlement.