Consumers Affected
400
Connecticut Attorney General William Tong announced legislative action to ban 40-year exclusive real estate listing agreements following an investigation into MV Realty that uncovered nearly 400 deceptive contracts. The company targeted lower-income homeowners with small cash payments for long-term liens, imposing steep penalties for cancellation or independent sales, and often failed to provide proper disclosure or copies of agreements.
The proposed legislation would ban multi-year exclusive listing agreements, limit such contracts to one year, prohibit recording them on land records, nullify all existing agreements, and authorize the Attorney General and homeowners to seek removal of existing liens and restitution for affected consumers.
In-house legal teams should review all residential real estate listing agreements, particularly those with vendors or partners in the real estate sector. Focus on clauses governing exclusivity duration (e.g., terms exceeding 1-2 years), cancellation/termination penalties (especially percentage-based fees tied to property value), lien provisions that record interests on property titles, and disclosure obligations regarding fees, penalties, and the nature of services (e.g., whether the party acts as a listing agent or merely posts to MLS). Given the predatory structure uncovered—small cash payments for 40-year exclusive rights with draconian exit penalties—contracts may need renegotiation to cap or eliminate penalties, shorten exclusivity terms, ensure clear and conspicuous disclosures, and remove improper lien mechanisms. Employee or vendor agreements involving real estate referrals or partnerships should also be scrutinized for similar risky clauses.
Entity
MV Realty
Industry
Real EstateOfficial Press Release
https://portal.ct.gov/ag/press-releases/2024-press-releases/attorney-general-tong-seeks-to-ban-predatory-real-estate-listing-agreements-following-investigation
ag tmy sb 201 ag cp bill 22924.pdf?rev=4029b4a7d69644f497673
https://portal.ct.gov/-/media/ag/press_releases/2024/ag-tmy-sb-201-ag-cp-bill-22924.pdf?rev=4029b4a7d69644f497673d98d059c9d7&hash=A2810BCD780BF0F75644D92B66E35C65
Connecticut Attorney General Enforcement Page
https://portal.ct.gov/AG/Privacy/Privacy-Resources
On May 11, 2026, Connecticut Attorney General William Tong led a bipartisan coalition of 21 attorneys general in submitting a comment letter to the U.S. Food and Drug Administration (FDA) urging the agency to abandon draft guidance that would ease approvals for flavored e-cigarette products. The coalition argues the guidance ignores evidence that flavored e-cigarettes disproportionately drive youth addiction and that FDA has failed to enforce existing authorization requirements for e-cigarette products. The letter references past tobacco and e-cigarette enforcement actions, including the 1998 tobacco master settlement agreement and the 2022 $438.5 million settlement with JUUL Labs.
Connecticut’s legislature passed House Bill 5312, creating new civil enforcement mechanisms for deepfake digital sexual assault, including unauthorized dissemination of synthetically created intimate images and AI-generated child pornography. The bill establishes a private right of action for victims and empowers the Connecticut Attorney General to pursue civil injunctions and penalties against abusers and platforms hosting illegal content. This builds on prior Connecticut laws criminalizing unauthorized intimate image dissemination.
Connecticut Attorney General William Tong praised final passage of House Bill 5312, which creates new civil enforcement mechanisms for deepfake digital sexual assault. The legislation allows the AG to pursue civil injunctions and penalties against platforms that disseminate illegal synthetic intimate images, including AI-generated child pornography, and establishes a private right of action for victims. The bill builds on prior Connecticut laws criminalizing unauthorized dissemination of intimate images.
$300K
Connecticut Attorney General William Tong announced a settlement with international trade platform Made-in-China to cease all U.S. sales of unlawful 'research grade' GLP-1 weight loss drugs following an investigation into direct sales to consumers without prescriptions or medical oversight. The settlement prohibits the platform from hosting GLP-1 sales to U.S. customers, requires a monitoring system to remove non-compliant listings, and imposes a $300,000 penalty suspended after an initial $30,000 payment. Additional settlements were announced with Radiance Medspa and Advanced Medical Weight Loss over compounded non-FDA approved GLP-1 drugs.
Connecticut Attorney General William Tong issued a statement on May 1, 2026, announcing the final passage of bipartisan legislation targeting youth social media addiction and artificial intelligence harms. The legislation imposes new obligations on social media companies regarding minor account settings, parental consent, and reporting, as well as requirements for AI chatbot operators and employers using automated decision tools. The statement also references ongoing enforcement actions against Meta and TikTok for allegedly designing addictive platform features for youth.
Connecticut Attorney General William Tong issued a statement on May 1, 2026, following final passage of bipartisan legislation to combat youth social media addiction and regulate artificial intelligence harms. The legislation imposes new requirements on social media companies regarding minor users, including parental consent for addictive algorithms, default privacy settings, and annual reporting obligations. It also establishes rules for AI chat bots and automated employment decision tools, including disclosure requirements and self-harm detection protocols.