Tag: Herbert Slatery

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Tennessee Joins Google Investigation

CREDIT: Google/Facebook

Google/Facebook

Tennessee has joined a nationwide investigation of Google, a move announced Monday by Tennessee Attorney General Herbert Slatery.

A coalition of 50 attorneys general will review the tech giant’s “overarching control of online advertising markets and search traffic that may have led to anticompetitive behavior that harms consumers,” according to a news release from Slatery’s office.

“Tennessee has significant concerns about the practices of the leading tech platforms and the effect of these practices on the market,” said Slatery. “Extreme market concentration in the technology industry stifles innovation. As a result, consumers inevitably suffer, the quality of available services diminishes, and industry leaders eventually leverage their market dominance to extract monopoly prices.”

The review will focus on Google’s business practices in accordance with state and federal antitrust laws. Legal experts from each state will work in cooperation with federal authorities to assess competitive conditions for online services and ”ensure that Americans have access to open digital markets.”

Slatery

Slatery said past investigations of Google uncovered violations that ranged from advertising illegal drugs in the United States to three antitrust actions brought by the European Commission.

“None of these previous investigations, however, fully address the source of Google’s sustained market power and its ability to engage in serial and repeated anticompetitive business practices with the intention to protect, maintain, and expand that power,” according to Slatery.

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Attorneys General Plan to Curb Robocalls

CREDIT: Dreamstime

Dreamstime

Tired of robocalls blowing up your phone? So is the Tennessee Attorney General.

State AG Herbert Slatery said Thursday that he and 51 other attorneys general and 12 phone companies have adopted a new slate of protocols to fight robocalls.

“Robocalls are uninvited, a breach of privacy, distracting, and generally a menace,” said Slatery. “This agreement should better protect Tennesseans from illegal robocalls and enable this office and other attorneys general to investigate and prosecute offenders.”

The new plan would install call-blocking technology at the network level, give consumers free call-blocking technology for their phones, and implement new technology that would ensure callers are coming from a valid source.

Phone companies will assist in the effort by helping to identify bad actors, notifying law enforcement if they find them, tracing the origins of robocalls, and requiring call traceback identification.
[pullquote-1] “The principles offer a comprehensive set of best practices that recognizes that no single action or technology is sufficient to curb the scourge of illegal and unwanted robocalls,” said Henning Schulzrinne, professor of computer science at Columbia University. ”I hope that all parts of the telecommunication industry, both large and small, will commit to rapidly implementing these principles and work with state and federal authorities to make people want to answer their phone again without fear of being defrauded or annoyed.”
YouMail RoboCall Index

The group is comprised of attorneys general from all 50 states and the District of Columbia. The coalition of companies includes AT&T, Bandwidth, CenturyLink, Charter, Comcast, Consolidated, Frontier, Sprint, T-Mobile, US Cellular, Verizon, and Windstream.

If your phone rang in Memphis last month, it was a scammer 40 percent of the time, according to YouMail, host of the RoboCall Index. So, how many calls are we talking here? Nearly 15 robocalls were made every second here last month.

YouMail RoboCall Index

YouMail RoboCall Index

The No. 1 robocaller in Memphis last month was Intelliquent, reminding you to pay your credit card. Other robocallers included prison-call consents, payment reminders, debt collectors, and straight scams.

Memphis ranks 28th on the RoboCall Index with nearly 40 million calls last month. No. 1? Atlanta. More than 187 million robocalls were placed to callers there last month.

See all of the data here. 

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Debt Relief On the Way for Some ITT Tech Students

ITT Tech/Facebook

A 2016 photo from ITT Tech’s Cordvoa campus.

Did you borrow money to attend ITT Tech, the failed, for-profit college? Debt relief may be on the way.

ITT filed bankruptcy in 2016 after investigations by state attorneys general and the U.S. Department of Education. That investigation restricted ITT’s access to federal student aid.
ITT Tech/Facebook

Tennessee Attorney General Herbert Slatery said Wednesday a settlement deal will bring $6 million in debt relief for 699 former ITT Tech students in Tennessee.

That settlement is part of a national deal with 42 states and the District of Columbia totaling more than $168 million for more than 18,000 former ITT students.

The settlement is between the states and a company called Student CU Connect CUSO (CUSO). It offered about $189 million in loans to finance students’ tuition at ITT Tech between 2009 and 2011.

“Hundreds of Tennessee students who were simply trying to further their education at ITT Tech were harmed by CUSO,” Slatery said. “This settlement holds CUSO accountable for its abusive lending practices and provides relief to those who attended ITT Tech and incurred debts for a questionable education that they could not repay nor discharge.”
[pullquote-1] The Attorneys General alleged that ITT, with CUSO’s knowledge, offered students temporary credit when they enrolled to cover the gap in tuition between federal student aid and the full cost of the education. That credit was to be repaid before the student’s next academic year, “although ITT and CUSO knew or should have known that most students would not be able to repay the [temporary credit] when it became due,” reads a statement.

Tennessee Attorney General Herbert Slatery

Students complained that they thought the temporary credit was like a federal loan and would not be due until six months after they graduated. When it became due, though, ITT ”pressured and coerced students into accepting loans” from CUSO, which for many students had high interest rates, far above rates for federal loans.

“Pressure tactics used by ITT included pulling students out of class and threatening to expel them if they did not accept the loan terms,” reads a statement. “Because students were left with the choice of dropping out and losing any benefit of the credits they had earned – ITT’s credits would not transfer to most other schools – most students enrolled in the CUSO loans.”

Neither ITT nor CUSO told students what the true cost of repayment for the temporary credit would be until after it was converted to a loan. The default rate on the CUSO loans was “extremely high,” about 90 percent, “due to both the high cost of the loans as well as the lack of success ITT graduates had getting jobs that earned enough to make repayment feasible. The defaulted loans continue to affect students’ credit ratings and are usually not dischargeable in bankruptcy.”

CUSO won’t try to collect on the outstanding loans anymore. It will, instead, send notices to borrowers that the debt is cancelled and so are the automatic payments. The company will also update borrower information with credit reporting agencies.

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Groups File Lawsuit Challenging New State Law on Voter Registration


Three groups filed a federal lawsuit Thursday challenging a new Tennessee law that would put substantial requirements in place for groups that participate in voter registration efforts.

The suit was filed in the U.S. District Court for the Middle District of Tennessee by the American Civil Liberties Union (ACLU) of Tennessee, Campaign Legal Center, and Fair Elections Center on behalf of the League of Women Voters of Tennessee, the American Muslim Advisory Council, the Mid-South Peace and Justice Center, Rock the Vote, and Spread the Vote.

The defendants in the suit are Mark Goins, coordinator of elections for the state of Tennessee; Herbert Slatery, Tennessee Attorney General; and members of the state election commission.

The law in question, signed by Gov. Bill Lee last week, lists a slew of requirements for those participating in voter registration efforts and penalties for those who don’t comply.

[pullquote-1]

The legislation, HB 1079/ SB 971, sponsored by Rep. Tim Rudd (R-Murfreesboro)  and Sen. Ed Jackson (R-Jackson) includes conditions organizations must adhere to when holding voter registration drives.

Some of the requirements include providing the coordinator of elections with information about the drive prior to holding it, completing a training, and filing a sworn statement stating an intention to obey the laws and procedures pertaining to the process.

The law also creates civil and criminal penalties to groups or individuals who turn in more than 100 “deficient filings.”

The organizations who filed the lawsuit maintain that the law violates the freedoms of speech and association, due process, and the right to vote under the First and 14th Amendments.

“This is a lawsuit challenging strict, unnecessary, and irrational restrictions on community-based voter registration speech and activity,” the complaint reads. “Plaintiffs bring this action to prevent the enforcement of a new Tennessee law that unconstitutionally burdens and chills there core political speech and associational rights.”

The ACLU-TN said Thursday that Tennessee is ranked 44th in voter registration, but that there was a surge in registration during the 2018 midterm elections. The group believes the new law comes as a result of that registration growth and election officials’ lack of resources to handle the influx.

Sophia Lakin, staff attorney for the ACLU’s Voting Rights Project said the legislation is “punishing” civic organizations that advocate for people’s right to vote and that help them do so.

“With its dismal voter registration rates, Tennessee needs these groups on the ground,” Lakin said. “What politicians should be doing is making sure that local election officials have the adequate resources to do their jobs. Silencing civic groups’ voices is not the solution.”

Paul Garner, organizing director of the Mid-South Peace and Justice Center, one of the plaintiffs agreed, calling the law “draconian” and a form of voter suppression. Garner said the law punishes “those that want the democratic process to reflect and represent as many people as possible in communities like Memphis.”

[pullquote-2]

The lawsuit aims to ensure the political participation of all the state’s eligible voters, Hedy Weinberg, executive director of ACLU-TN said.

“Voter registration drives have long been a way for communities that are historically disenfranchises — including students, people of color, immigrants, and senior citizens — to empower individuals and gain access to the ballot box,” Weinberg said.

The League of Women Voters of Tennessee, another plaintiff, has prioritized making sure voters are properly registered and have all the information they need for nearly 100 years, according to Marian Ott, president of the organization.

“Voter registration surges like the one Tennessee saw in 2018 should be celebrated, not penalized,” Ott said. “We saw this law as a threat to democracy and a direct violation of our Constitution.”

The law created the “country’s most aggressive” penalties for voter registration drives, Paul Smith, vice president of the Campaign Legal Center, said.

“If the court does not intervene, the state will unlawfully chill the efforts of organizations working to get people registered,” Smith said. Voter registration drives for years have been a way for historically marginalized groups to empower their communities and gain access to the ballot box. We are taking Tennessee to court to protect that tradition against government threats of fines and jail time.”



Read the full complaint here. 

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AGs Urge End of Robocalls

Ronnie Wu | Dreamstime.com

More than 48 billion robocalls were made last year and Attorneys General from across the country urged the U.S. Senate last week to help stop them.

Tennessee Attorney General Herbert H. Slatery joined 54 other Attorneys General in a letter urging lawmakers to enact the Telephone Robocall Abuse Criminal Enforcement and Deterrence (TRACED) Act. The legislation would curb illegal robocalls and phone spoofing, in which consumers are tricked into answering calls because the incoming number appears to be local.

“The state AGs are on the front lines of enforcing do-not-call laws and helping consumers who are harassed and scammed by unwanted telemarketing calls and robocalls,” reads the letter. “Robocalls and telemarketing calls are currently the number one source of consumer complaints at many of our offices, as well as at both the (Federal Communications Commission) and the (Federal Trade Commission).”

Consumers reported losses of more than $290 million thank to fraudulent telemarketers, according to the letter. Consumers Union reported telemarketing scams have been a $9.5 billion out to the U.S. economy.

Robocalls were expected to rise 33 percent in 2018. The actual number — almost 48 billion calls — was up 36 percent over 2017.

The TRACED Act would allow states, federal regulators, and telecom providers to take steps to combat robocalls. The legislation would require voice service providers to participate in a call authentication framework to help block unwanted calls.

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Tennessee Sues OxyContin Maker

CREDIT: Justin Fox Burks

Justin Fox Burks

On Tuesday, the state of Tennessee sued Purdue Pharma — the maker of OxyContin — for helping to “cause one of the most devastating public health crises in Tennessee’s history.”

The state’s lawsuit says Purdue unlawfully marketed and promoted OxyContin and other drugs in the state “causing and prolonging the opioid epidemic in the Tennessee.”

Tennessee Attorney General Herbert Slatery and a group of other attorneys general filed the suit in Knox County Circuit Court Tuesday. The group alleges Purdue violated the Tennessee Consumer Protection Act, violated its 2007 settlement with the state, and ”created a statewide public nuisance by interfering with the health of Tennesseans and the commercial marketplace.”

”Our office has conducted an extensive investigation into Purdue’s highly aggressive marketing practices and other unlawful conduct,” Slatery said in a statement. “We believe Purdue’s conduct has been unconscionable, and we intend to hold the company accountable.

“Three Tennesseans are dying each day from opioid-related overdoses, and we are committed to the hard work that needs to be done to address this tragedy.”
[pullquote-1] Purdue knew patients were dying form overdoses and that its drugs were being sold to non-patients, according to Slatery. Purdue made several illegal claims about its narcotics regarding safety and benefits. The drugs were being prescribed in quantities too large for single patients, the AG said.

The suit is temporarily sealed because Purdue claimed that information given during the state’s investigation was confidential. The seal expires in 10 days, unless Purdue acts to extend it. Keeping it under seal, though, “will only dilute Purdue’s accountability for its conduct.”

Opioid drug overdoses were linked to the deaths of 1,186 Tennesseans in 2016, up from the 698 opioid-linked deaths in 2012, according to the latest figures from the Tennessee Department of Health (TDOH).

The Nashville region led the state in deadly opioid overdoses in 2016, with 178, according to TDOH. Memphis had 150 deaths, followed by Knoxville with 147, and Chattanooga with 53.

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Tennessee AG Supported New Jersey on Sports Betting Suit

Tennessee AG Herbert Slatery

While it’s unclear exactly how Tennessee state officials will react to the Supreme Court’s ruling on sports betting (will they or won’t they allow it here?), the move does have one well-placed supporter.

The United States Supreme Court struck down a 1992 federal law Monday morning that banned sports betting. The ruling will allow states to decide if they want to allow sports betting or not.

Attorneys General from several states signed onto a brief back in September 2017 supporting New Jersey’s side of the lawsuit, including Tennessee AG Herbert Slatery.

Neither Slatery nor other state officials immediately issued statements on the ruling. Slatery’s office did not provide a statement requested by the Flyer but confirmed that he did sign onto the brief. However, Slatery’s signature on that friendly brief shows at least a tacit approval of the matter.

Meanwhile., Mississippi gambling officials told The Clarion-Ledger that they could have sports betting up and running with 45 days.

New Jersey Gov. Chris Christie called the move a “great day for the rights of states and their people to make their own decisions.”

Tennessee AG Supported New Jersey on Sports Betting Suit

New Jersey officials argued the law was a federal over-reach of states’ rights, that the federal government failed to set up a regulatory authority on betting for states, and even that laws like PASPA harmed “our system of dual sovereignty.”

Further, a ruling on the matter said state officials have to “bear the brunt of public disapproval, while the federal officials who devised the regulatory program may remain insulated from the electoral ramifications of their decision.”

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Tennessee Suing Obama Administration Over Transgender School Guidance

Herbert Slatery

Tennessee will join 10 other states in a lawsuit suing President Barack Obama’s administration over its directive regarding transgender student bathroom access in public schools.

Earlier this month, Obama issued guidance to public schools suggesting that transgender students should be allowed to use the restroom and locker rooms that match their gender identity. Governor Bill Haslam has criticized the directive and accused Obama of “over-reaching.” 

On Wednesday, 11 states — Tennessee, Texas, Oklahoma, Alabama, Wisconsin, West Virginia, Maine, Arizona, Louisiana, Utah, and Georgia — filed a lawsuit in a North Texas federal court declaring the directive to be unlawful.

The suit states that Obama has “conspired to turn workplace and educational settings across the country into laboratories for a massive social experiment, flouting the democratic process, and running roughshod over commonsense policies protecting children and basic privacy rights.”

Tennessee Attorney General Herbert Slatery released the following statement on Wednesday afternoon:

The Executive Branch has taken what should be a state and local issue [under the Tenth Amendment] and made it a federal issue. Schools that do not conform under the new rules risk losing their federal funding. This is yet another instance of the Executive Branch changing law on a grand scale, which is not its constitutional role. Congress legislates, not the Executive Branch. Our Office has consistently opposed efforts like this to take away states’ rights and exclude the people’s representatives from making these decisions, or at a minimum being able to engage in a notice and comment period under the Administrative Procedures Act (APA). As the complaint describes, it is a social experiment implemented by federal departments denying basic privacy rights and placing the burden largely on our children, not adults. Sitting on the sidelines on this issue was not an option.

Meanwhile, Shelby County Schools has said they’re carefully reviewing the information Obama sent to school districts, and they’ll continue to work with families of transgender students on a case-by-case basis.

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TN Supreme Court Surrenders on Attorney General

It was just a little over a month ago that Tennesseans did themselves proud by decisively rejecting a campaign, led by Republican Lieutenant Governor Ron Ramsey, to purge three state Supreme Court justices — Gary Wade, Connie Clark, and Sharon Lee — in a retention election.

Although Ramsey did his best to malign the three for this or that alleged defect, the real offense of these distinguished jurists was that they had been appointed to office by a former Democratic governor, Phil Bredesen. The state’s voters obviously discerned this purely partisan motive in the purge campaign and voted by a 2-to-1 margin to retain the justices, who won’t be vulnerable for another eight years. So far, so good.

Ramsey, in his campaign against the three justices, had charged, among other things, that — with state Attorney General Robert Cooper coming up for reappointment or replacement in the wake of the election — they would be unlikely to appoint a state attorney general who would enlist in the national GOP’s ongoing legal vendetta against the Affordable Care Act (aka “Obamacare”), as Cooper had declined to do. The justices, quite properly, dismissed the charge as irrelevant to their oath of office, which requires them to avoid prejudgments and to remain free of political motives (indeed, the fact that supporters, as well as foes, kept referring to them as “Democrats” was an improper stretch).

There was a political sequel of sorts to the retention election. The three newly retained Bredesen appointees, along with two others who had been appointed by GOP Governor Bill Haslam, now had the duty of deciding whether to reappoint Cooper or name a replacement. Justice Lee, who in the wake of the retention election was named chief justice by her colleagues, made a public statement offering reassurance that politics would not play a role in the appointment decision. Coincidentally or not, though, the eventual choice of the justices was Herbert Slatery, who served Haslam in the same role that Cooper had served Bredesen, that of chief legal adviser to the governor.

The appointment stuck in the craw of state Representative Craig Fitzhugh (R-Ripley), the Democrats’ leader in the state House, who praised Cooper for his achievements as AG and professed disappointment “that our Supreme Court has capitulated to Lieutenant Governor Ron Ramsey and the very special interest groups that tried to replace our justices just one short month ago.” Continued Fitzhugh: “While the people have shown they can be trusted to preserve the integrity of the courts, the Supreme Court justices have shown they are too susceptible to political pressure.”

Was Fitzhugh too harsh? Well, there was a reaction from the Republican Attorneys General Association (RAGA), a Washington-based lobby that describes itself as “the only national organization whose mission is electing Republicans to the Office of Attorney General.” Said RAGA in a press release: “We are very pleased by the appointment of Mr. Slatery,” adding, after some boilerplate praise for Slatery’s legal prowess: “The appointment of Herbert Slatery brings the total number of Republican AGs across the country to 25.”  

We hope we — and Fitzhugh — are wrong, but it’s beginning to look like the defenders of nonpartisan justice in Tennessee, having won a battle only last month, have run up the white flag of surrender this month.