On August 1, the United States Court of Appeals for the Ninth Circuit issued an opinion rejecting federal jurisdiction under the Class Action Fairness Act (CAFA) and the National Banking Act for a lawsuit filed by the Attorney General of Hawaii on behalf of state residents (sometimes called a parens patriae suit) against financial companies
Attorneys General Request Opinion from FCC on Call-Blocking Technology
On September 9, the National Association of Attorneys General (NAAG) sent Federal Communications Commission Chairman Tom Wheeler a request signed by 39 state attorneys general for an opinion on telecommunication companies’ legal ability to implement call-blocking technology.
The letter brought to the attention of the FCC recent advancements in call-blocking technology such as Call Control,
Bill Passed in New Jersey to Regulate Service Contract Issuers
Legislation has been signed into law in New Jersey (Senate Bill 854) regulating service contracts as service contracts, not as insurance. The legislation takes effect July 16, 2014. While regulations applicable to service contracts vary in each state, often times service contracts are governed as insurance. The newly-adopted New Jersey framework creates regulatory
Missouri AG Action Indicates Auto Service Contracts are Under Scrutiny
Missouri Attorney General Chris Koster recently announced a settlement with a business alleged to have improperly marketed limited-time extended warranty programs for vehicles. The AG stated that the settlement “highlights [his office’s] efforts to clean up the auto service contract industry in Missouri and protect consumers from future deceptive sales practices.”
According to the AG,
North Carolina Begins Taxing Service Contracts
The North Carolina Department of Revenue has issued a directive explaining new legislation that took effect January 1, 2014, that imposes sales tax at a rate of 4.75 percent on certain service contracts that previously were treated as non-taxable.
Under North Carolina law, service contracts are defined as warranty agreements, maintenance agreements, repair contracts, and
Florida Supreme Court Rules that Warranty of Habitability Covers Subdivision Defects
Last week, the Florida Supreme Court held in Maronda Homes, Inc. v. Lakeview Reserve Homeowners Assoc., Nos. SC10-2292 & 2336, that the implied warranty of habitability covers various infrastructure defects in residential subdivisions. The decision is important for home warranty providers, for a number of reasons.
First, many home warranty providers offer workmanship