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Associates is now paying what the Federal Trade Commission calls "the largest consumer protection settlement in FTC history" as a penalty for pushing customers into unwanted services, e.g., high-cost credit insurance.
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(The new forms would combine and replace documents currently required under the Truth in Lending Act and a second consumer protection law, the Real Estate Settlement Procedures Act of 1974).
The settlement yesterday included no requirement for Delta to repay borrowers whose loans violated consumer protection and lending laws, unlike in the settlement with the state.
David C. Vladeck, the director of the F.T.C.'s bureau of consumer protection, said in a statement that the commission believed "our settlements serve the public interest and meet any applicable standard of judicial review".
It is the largest settlement paid by a drug company in a state consumer protection case, topping the $58 million that Merck paid to settle similar allegations about Vioxx, lawyers for the states said.
In early 2009, they were forced to pay a record-setting $1.42 billion settlement with the Justice Department, and another record-setting state consumer protection claim of $62 million, for illegally marketing the drug to children and the elderly.
A New Jersey Superior Court's recent decision to unseal malpractice settlements against doctors is a significant step in strengthening consumer protection in the practice of medicine.
The settlements bar dealers in the future from violating the consumer protection laws they are accused of breaking, as well as preventing them from misrepresenting information on the sale, financing or leasing of motor vehicles, she said.
The $2.25 million settlement will cover the costs of the investigation and fund future consumer protection enforcement, including of the City's short-term rental law.
Follow David Dayen on Thereer.
Ms Kuneva gets consumer protection.
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