Texas Attorney General Ken Paxton opened an investigation into LinkedIn Corporation over allegations that the company advertised and profited from fake or misleading job opportunities ("ghost jobs") on its platform. The investigation focuses on whether LinkedIn misled consumers who paid for Premium subscriptions by failing to disclose that a significant percentage of job postings may be inactive or not genuine hiring opportunities.
No remedies have been imposed; this is an ongoing investigation. The OAG issued a Civil Investigative Demand (CID) to LinkedIn seeking documents, data, and internal communications.
In-house legal teams should review vendor agreements with job listing platforms and recruitment service providers to ensure that any representations about job posting accuracy, verification, and active hiring status are contractually guaranteed. Key clauses to examine include service level agreements (SLAs) regarding listing verification, representations and warranties about the legitimacy of postings, and indemnification provisions for losses arising from misleading or fake listings. Additionally, customer-facing terms of service and subscription agreements should be reviewed for disclosures about the possibility of inactive or unverified job postings.
Entity
LinkedIn Corporation
Industry
Technology"LinkedIn Corporation"
"advertised and profited from fake or misleading job opportunities, commonly known as "ghost jobs""
"Attorney General Ken Paxton has opened an investigation into LinkedIn Corporation ("LinkedIn") over allegations that the company has advertised and profited from fake or misleading job opportunities, commonly known as "ghost jobs," on its platform."
"Texas Deceptive Trade Practices Act"
Texas Attorney General Ken Paxton issued a consumer alert warning Texans about scams, fraudulent charities, and illegal price gouging related to severe flooding. The guidance provides resources for verifying charities and reporting suspected fraud or price gouging to the AG's office.
$150.0M
Texas Attorney General Ken Paxton secured a $150 million multistate settlement against 23andMe following a 2023 data breach that exposed genetic and personal data of 6.9 million consumers. The settlement resolves bankruptcy claims and requires enhanced data security, risk assessments, and an independent advisory board, with immediate recovery of $18 million from bankruptcy funds.
$45.0M
Attorney General Ken Paxton secured a $45 million multistate settlement with Block, Inc. (Cash App) for misleading consumers about the safety of its platform and failing to protect users from fraud. The settlement requires Cash App to maintain 24-hour customer support, cease deceptive safety claims, and fulfill its legal duty to investigate and reimburse unauthorized transactions.
$13.0M
Texas Attorney General Ken Paxton secured a settlement with Walmart over deceptive practices in its Spark Driver program. Walmart misrepresented driver pay, including failing to pass on customer tips and altering base pay after drivers accepted offers. The $13 million settlement provides direct payments to affected Texas drivers and requires Walmart to implement honest compensation practices.
Texas Attorney General Ken Paxton announced an investigation into StubHub for failing to deliver FIFA World Cup tickets that fans purchased. The investigation focuses on reports of 'ghost ticketing,' where sellers list tickets they do not possess, collect payment, and cancel when unable to deliver.
Texas Attorney General Ken Paxton launched an investigation into Meta's Meta AI Glasses over allegations of unlawful facial biometric data collection, deceptive privacy practices, and unauthorized sharing of user data with subcontractors. The investigation follows concerns that the glasses' always-on recording mode lacks proper user notice, planned facial recognition features would collect data without consent, and private user videos are accessed by third-party annotators in Kenya. The AG issued a Civil Investigative Demand to Meta to determine violations of Texas privacy laws.