STUDENT LOANS AND EDUCATION
Career Education Corp. Multistate (January 2019)
Oregon helped lead a 49-state investigation into deceptive recruiting and advertising practices by for-profit education company Career Education Corp. CEC operated schools across the nation, including Le Cordon Bleu in Oregon. The $493.7 million settlement included $6.1 million in debt relief for 2,200 former students in Oregon and imposed heightened disclosure requirements.
https://www.opb.org/news/article/student-debt-career-education-corporation-oregon/
ITT/CUSO Multistate (June 2019)
Oregon helped lead an investigation by 43 states and D.C. into predatory loans made to ITT students. Under the settlement, CUSO will forgive $168 million in debt owed by former ITT students, including $2.2 million in relief for 242 Oregonians.
https://www.oregonlive.com/education/2019/06/justice-department-settlement-enables-former-itt-tech-students-to-shed-college-debt.html
The College Network (January 2019)
The College Network, a for-profit provider of online study programs for nursing students, went bankrupt after making predatory loans to students. Oregon negotiated a settlement with one of the credit unions that financed the debt. We Florida Credit Union agreed to cancel all remaining debt, approximately $400,000, for 91 Oregon students. The credit union also agreed to request that credit reporting agencies delete negative information and may not sell or assign the loans.
DATA PRIVACY/SECURITY
Premera Multistate (July 2019)
Oregon, Washington and California led a 30-state investigation into violations of HIPAA and unfair and deceptive practices by Premera Blue Cross, the largest health insurer in the Northwest. Due to lax security practices, the personal information of 10.5 million consumers was breached after a phishing attack. The breach went undiscovered for nearly a year. Oregon will receive $1.3 million of the $10 million settlement. The settlement is the largest multistate HIPAA settlement since attorneys general gained authority to enforce HIPAA.
https://www.oregonlive.com/politics/2019/07/premera-blue-cross-agrees-to-pay-104-million-to-oregon-29-states-after-massive-data-breach.html
Uber Multistate (December 2018)
Oregon helped lead an investigation by 49 states and D.C. into a data breach and attempted cover up by ride share company Uber. Over 600,000 drivers had personal information breached. Uber agreed to pay $148 million, the largest multistate privacy settlement at the time.
https://www.seattletimes.com/business/uber-reaches-148-million-settlement-over-its-2016-data-breach-which-affected-57-million-globally/
AUTO
Fiat Chrysler and Robert Bosch (January 2019)
Oregon helped lead an investigation by 49 states, DC and Guam into deceptive practices and environmental violations by Fiat Chrysler and Robert Bosch. The companies advertised environmentally friendly cars but used defeat devices to cheat emissions tests. The companies paid a combined $171 million, including $7.23 million to Oregon.
Courtesy Ford Settlement (December 2018)
Oregon’s investigation found that Courtesy Ford misrepresented MSRP on their website and deceived consumers into spending hundreds of dollars on a theft deterrent product that they did not want. As part of the settlement, Courtesy Ford agreed to refund 6 consumers a total of $55,000 in restitution and refunded $438,000 to an additional 1,300 consumers who purchased the theft deterrent system.
https://www.kgw.com/article/news/investigations/check-your-mailbox-4000-oregonians-will-get-refunds-after-state-settles-with-local-ford-dealership/283-57830d7c-9080-4f2a-a26f-7919d9e95f18
CONSUMER FINANCE
Wells Fargo Multistate (December 2018)
50 states and D.C. resolved multiple investigations into Wells Fargo with a single settlement that addressed unfair or deceptive practices by Wells Fargo, including: opening over 3.5 million accounts without authorization, wrongfully charging mortgage rate-lock extension fees, and failing to refund unearned portions of auto GAAP insurance. Oregon received $9.7 million of the $575 million settlement, which to date is the most significant investigation of a national bank by attorneys general without a federal partner.
https://www.statesmanjournal.com/story/news/2018/12/28/wells-fargo-fake-accounts-settlement/2436451002/
Future Income Payments Litigation
The Attorney General and the Director of DCBS jointly sued Future Income Payments for making unlicensed, usurious loans deceptively marketed as “pension advances.” The court entered judgment in the amount of $5.9 million against the company, declared void all outstanding loans and prohibited the company from selling, assigning or collecting the loans. Since the suit, the principal, Scott Kohn, has been indicted on federal fraud charges.
https://www.nbcrightnow.com/news/future-income-payments-llc-fined-million-for-targeting-pensions-of/article_7291c456-70f3-11e9-850a-1b8b5ebab40a.html
HEALTH CARE
Opioids Litigation (Ongoing)
Oregon filed suit against Purdue Pharma in September 2018 for deceptively promoting OxyContin and violating a 2007 stipulated judgment with the Department of Justice. Trial is set for late 2020. Oregon filed a second suit in May 2019 against Purdue Pharma and the owners, the Sackler family, alleging fraudulent conveyance and seeking to hold the Sacklers personally liable for any unsatisfied financial claim Oregon has against Purdue.
https://www.oregonlive.com/crime/2019/05/oregon-sues-purdue-pharma-again-says-owners-unlawfully-marketed-opioids.html
Pfizer Drug Coupon Settlement (March 2019)
Oregon’s investigation found that Pfizer distributed deceptive marketing materials and coupons claiming consumers would pay no more than a certain amount for drugs when they actually paid much more. The settlement requires Pfizer to pay $975,000, refund money to 371 Oregon customers, and provides for grants to two Oregon charitable organizations to subsidize prescription drug costs for uninsured and underinsured residents.
AG Rosenblum Announces Large Settlement with Pfizer for Misleading Drug Pricing Coupons