DC Circuit on Fail-Safe Classes and Rule 23

The D.C. Circuit today issued an opinion granting a Rule 23(f) petition and vacating a district court’s denial of class certification on the grounds that the class definition created an impermissible “fail-safe” class– i.e., a class whose membership can only be ascertained through a determination of the merits of the case. The plaintiffs, former employee […]

Eighth Circuit reinstates challenge to MN insulin affordability law

In 2020, Minnesota adopted the Alec Smith Insulin Affordability Act which, among other things, requires drug manufacturers to provide insulin for free to Minnesota residents who meet certain criteria.  PhRMA sued in federal court, alleging the law constituted a Takings Clause violation, and seeking declaratory and injunctive relief. The district court dismissed the suit on […]

Regulatory Review: “Reviewing the Regulation of Fake Reviews”

The Regulatory Review blog reports that “With 77 percent of online shoppers using reviews to inform their purchase decisions, customer reviews play a crucial role in shaping international commerce. Fake reviews, which include manufactured and deceptive reviews, constitute about 4 percent of all reviews online. This 4 percent translates to a cost to consumers of […]

The death of the Journalism Competition and Preservation Act – but might other new legislation emerge?

In recent years, major media organizations have been lobbying Congress to enact legislation, the “Journalism Competition and Preservation Act,” requiring search engine providers to engage in a form of collective bargaining about the tax they would pay to media publishers for the privilege of providing links to their news articles, backed up by mandatory interest […]

New rule on data collection on small business lending

The Consumer Financial Protection Bureau has finalized a rule required by Congress to increase transparency in small business lending, promote economic development, and combat unlawful discrimination. Lenders will collect and report information about the small business credit applications they receive, including geographic and demographic data, lending decisions, and the price of credit. A summary, with […]

Preparing for the 20th Anniversary of the Streisand Effect: Cooley v. Afroman

It was almost twenty years ago that Barbra Streisand filed a lawsuit that attempted to block access to a photograph of her oceanfront estate, bringing unwanted attention to the photo and leading to her being enshrined by Techdirt’s Mike Masnick in tech/legal terminology as the progenitor of “the Streisand Effect.” Now we have Cooley v. […]

FTC action leads to industry ban for operators of “extended vehicle warranty” scam

As a result of a Federal Trade Commission lawsuit, the operators of a telemarketing scam that called hundreds of thousands of consumers nationwide to pitch them expensive “extended automobile warranties” will face a lifetime ban from the extended automobile warranty industry and from all outbound telemarketing. The FTC’s press release is here.

Fifth Circuit rejects non-delegation challenge to FCC Universal Service Fund

On Friday, a unanimous panel of the Fifth Circuit rejected a challenge brought by the anti-regulation advocacy organization Consumers’ Research to Congress’s creation of the Universal Service Fund. The Fund imposes charges on telecom providers and then uses the money to fund access to telecommunications services for low-income consumers, schools, libraries, and rural health-care providers, […]

Pro Publica reports that health insurer Cigna doctors denied 300,000 claims spending an average of 1.2 seconds per claim

Here. Excerpt: [A doctor’s] claim was just one of roughly 60,000 that [medical director Dr.] Dopke denied in a single month last year, according to internal Cigna records reviewed by ProPublica and The Capitol Forum. The rejection of van Terheyden’s claim was typical for Cigna, one of the country’s largest insurers. The company has built […]

More on the FTC’s proposed rule on “click to cancel” subscriptions and memberships

Allison posted a couple days ago on the FTC’s proposed rule on “click to cancel” subscriptions and memberships. Relatedly, Michele Singletary at the Washington Post has this useful piece on the topic. Here’s a little excerpt that describes the practices targeted by the FTC proposal and why those practices can be bad: With a negative-option membership […]