While the fast food industry is known for high worker turnover and employees who go from one competitor to the next, the folks at Jimmy John’s apparently thought that the skills they provided to their workers were so special that employees had to sign strict noncompete clauses preventing them from taking their sandwich-craft elsewhere, even if they were fired. Now, as part of a settlement with the New York attorney general, JJ has agreed to stop using these restrictive employment agreements. [More]
eric schneiderman
NY Attorney General: TWC “Has Earned The Miserable Reputation It Enjoys Among Consumers”
Last fall, the New York Attorney General launched an investigation to find out the answer to one big question: are New Yorkers actually getting anything like the internet speeds their providers claim, and that they pay for? The investigation is still underway, but early results say that from one provider at least, the answer is a big fat “no.” [More]
New York Sues Domino’s Pizza HQ, Alleges Underpayment Of Workers
A new lawsuit filed by New York state prosecutors accuses Domino’s Pizza and three Domino’s franchisees of underpaying workers at 10 stores by at least $565,000. Meanwhile, Domino’s HQ contends it should not be a defendant because franchisees are responsible for handling issues of pay. [More]
Federal & State Agencies Probing High Lead Levels In Cra-Z-Art Jewelry Kits
Under federal law, the acceptable level of lead that can be present in a product is capped at 100 parts per million. A recent investigation by the New York Attorney General’s office found 10 times that level of lead in certain children’s jewelry toys sold by national retailers like Target, Walmart, and Amazon, and now federal regulators have opened a probe into the crafts. [More]
Walgreens, Duane Reade To Pay $500,000 For Overcharging, Misleading Customers
When you see a “sale” price on a store shelf, you expect to pay that price at the register. When you see something marked as a “Great Buy,” you might believe that it’s been discounted. And when a store advertises a “Last Chance” or “Clearance” sale, you probably have reason to think that those items won’t be in stock much longer. But Walgreens — and its subsidiary Duane Reade — have different ways of thinking about the above scenarios, and it’s gotten them into trouble with the state of New York. [More]
MoneyGram To Pay $13M, Revamp Policies To Protect Against Wire Transfer Fraud
While advances in technology now allow us to zap money from our bank accounts to our friends and family members with the touch of a button, some people continue to rely on money transfer services. But as we’ve reported several times in the past, these companies are often the service of choice for scammers looking to get their hands on your hard-earned money. One such outfit, MoneyGram, today agreed to revamp its policies and provide $13 million in restitution to consumers who were harmed by fraudsters using the service. [More]
Settlement Between New York, Tobacco Companies Provides $550M For Smoking-Related Health Costs
A decades-long dispute between the New York Attorney General’s Office and major tobacco firms over payments the companies were required to make for smoking-related public-health costs, but refused to dish out, has come to an end. A new settlement between the parties directs the tobacco companies to deliver $550 million to the state, New York City and other counties. [More]
Urban Outfitters Will End On-Call Scheduling In New York
Following in the footsteps of retailers like Victoria’s Secret, Bath & Body Works, Abercrombie & Fitch and Gap, Urban Outfitters says it will stop using on-call scheduling — but only in New York. This change comes after pressure from New York Attorney General Eric Schneiderman’s office, which has been probing various companies’ use of the system. [More]
Lyft To Pay $300,000 To Resolve Claims It Illegally Operated In Some Areas Of New York
Nearly a year after the New York Attorney General’s office and state insurance regulators filed a lawsuit accusing ride-sharing app Lyft of violating state law in certain areas, the company has agreed to pay $300,000 to resolve the complaint. [More]
Attorneys General Coalition Urges Dept. Of Education To Clarify Corinthian Students’ Options
A week after nine senators urged the Department of Education to provide support to the thousands of students affected by the closure of now-bankrupt Corinthian Colleges schools — Everest University, Heald College, and WyoTech — the top prosecutors in 11 states are adding their voices to the chorus encouraging the Dept. to protect students and clarity their options following the company’s final downfall. [More]
NY AG Probing Gap, Target & 11 Other Retailers For Possibly Illegal On-Call Scheduling Practices
Over the past several years, companies that employ hourly workers in New York have come under scrutiny for a variety of practices, including not providing reimbursement for uniforms to requiring some work be performed off the clock. Today, the state attorney general’s office began scrutinizing another practice by major retailers: the use of on-call scheduling. [More]
Makers Of SmartCandy Warned About Possibly Misleading Nutrition Claims
The Attorney General’s office for the state of New York is cautioning the company behind “vitamin infused snack” SmartCandy that its advertising may run afoul of state and federal regulations, according to a letter obtained by Consumerist. [More]
GNC Agrees To DNA, Allergen Testing Of Herbal Supplements
Earlier this year, New York state Attorney General Eric Schneiderman sent cease-and-desist letters to several major retailers, including Target, Walgreens, and GNC, after genetic testing of store-brand herbal supplements found that many of these products did not contain the herbal ingredients they purported to include, and that some contained potentially dangerous allergens. Today, GNC and Schneiderman announced an agreement that will apply stricter testing standards — more rigorous than those required by the federal government — to the company’s supplements. [More]
New York Papa John’s Franchisee Ordered To Pay Workers More Than $2M For Wage Violations
A New York Papa John’s franchisee must pay more than $2 million to workers as part of a judgment resolving charges that the company underpaid hundreds of delivery workers at five Harlem-area restaurants. [More]
Marketer Of Snuggies, Perfect Brownie Pans, Others Must Pay $8M For Allegedly Deceiving Consumers
The marketer of popular “as-seen-on-TV” products such as Snuggies, Magic Mesh door covers and Perfect Brownie Pans must pay $8 million to resolve federal and state charges it deceived consumers with promises of buy-one-get-one-free promotions and then charged exorbitant fees for processing and handling, nearly doubling the cost of the products. [More]
Feds & NY Attorney General Team Up To Sue Abusive Debt Collectors
Just like one of those action movies where a federal agent gets paired up with a small-town sheriff who knows all the bad guys in the area, the Federal Trade Commission has brought its crackdown on abusive debt collectors to New York and partnered with the Empire State’s attorney general to shut down a pair of unsavory operators. [More]
Investigation Finds Kids’ Clothes With Banned Drawstrings In N.Y. Thrift Stores
For the last decade or so, children’s clothing with drawstrings have been illegal to sell in this country. Such items still often go on the market, as our monthly Recall Roundups show, and older hand-me-downs may still have the offending strings. A recent investigation by the New York Attorney General’s office found banned kids’ clothes in the majority of thrift stores that it checked in the state. [More]
Lyft Can Launch In New York City, Only Using Commercial Drivers
Two weeks ago, car-sharing service Lyft was supposed to launch in New York City, allowing car-owners to receive cash for driving strangers around. The state’s attorney general stopped the launch, saying that the company is a livery service in disguise and should be regulated as one. Today, the AG’s office announced that they’ve come to an agreement with Lyft, which will be able to launch in New York City using only already-licensed commercial drivers. [More]