Advertising Law Tool Kit - Tenth Edition | 2022

88 / Venable Be Prepared: State AG Inquiries State attorneys general (AGs) are the chief legal officers of their states and can bring actions to protect the “public interest” in almost any area of law. They represent the state government and the general public and have broad jurisdiction over everything from public corruption to consumer protection. Consumer protection issues are popular with constituents (nearly all state AGs (43) are elected officials), and so aggressive enforcement against conduct such as telemarketing, debt relief, privacy violations, and charity fraud can generate goodwill with their residents. In most states, state AGs protect consumers under their states’ unfair, deceptive and abusive practices (UDAP) laws, which authorize them to monitor advertising claims and other potentially “deceptive” or “unconscionable” acts against consumers. State AGs may also enforce certain federal consumer protection laws. Organizations should consider a two-pronged approach to state AGs: first, minimize the risk of an action by complying with applicable state and federal laws, while monitoring and handling consumer complaints promptly. Second, ensure the organization is prepared and responds appropriately if it receives a subpoena or civil investigative demand (CID) from an AG’s office. Strategies for avoiding an inquiry • Understand the laws applicable to your business, and the potential risks and penalties that can result from noncompliance. Violations and penalties differ from state to state. Often the penalties for violating the UDAP law are “per violation,” and, in some instances, they are increased if the deception is against an at-risk population, such as the elderly. Erik Jones ecjones@Venable.com +1 202.344.4460 Eric Berman esberman@Venable.com +1 202.344.4661