Consumer Protection Law Commons^™

Controlling Moral Hazard In Limited Liability With The Consumer Sales Practices Act, Nathaniel Vargas Gallegos

Journal of Legislation

The few states that have passed the Model Consumer Sales Practices Act have common definitions and case law regarding the definition of a “supplier.” This definition is broad enough to include managers of companies in limited liability entities in the states that have adopted the model act. The practicality is that business principals, owners, and managers can be held personally liable for deceptive practices under the state acts. But this is not a piercing of the corporate veil or of the limited-liability company. This Article is meant to accomplish four purposes: (1) exhibit the origins of the act, (2) show …

The Need For Corporate Guardrails In U.S. Industrial Policy, Lenore Palladino

Seattle University Law Review

U.S. politicians are actively “marketcrafting”: the passage of the Bipartisan Infrastructure Law, the CHIPS and Science Act, and the Inflation Reduction Act collectively mark a new moment of robust industrial policy. However, these policies are necessarily layered on top of decades of shareholder primacy in corporate governance, in which corporate and financial leaders have prioritized using corporate profits to increase the wealth of shareholders. The Administration and Congress have an opportunity to use industrial policy to encourage a broader reorientation of U.S. businesses away from extractive shareholder primacy and toward innovation and productivity. This Article examines discrete opportunities within the …

Securities Regulation And Administrative Deference In The Roberts Court, Eric C. Chaffee

Seattle University Law Review

In A History of Securities Law in the Supreme Court, A.C. Pritchard and Robert B. Thompson write, “Securities law offers an illuminating window into the Supreme Court’s administrative law jurisprudence over the last century. The securities cases provide one of the most accessible illustrations of key transitions of American law.” A main reason for this is that the U.S. Securities and Exchange Commission (SEC) is a bellwether among administrative agencies, and as a result, A History of Securities Law in the Supreme Court is a history of administrative law in the Supreme Court of the United States as well.

Delegated Corporate Voting And The Deliberative Franchise, Sarah C. Haan

Seattle University Law Review

Starting in the 1930s with the earliest version of the proxy rules, the Securities and Exchange Commission (SEC) has gradually increased the proportion of “instructed” votes on the shareholder’s proxy card until, for the first time in 2022, it required a fully instructed proxy card. This evolution effectively shifted the exercise of the shareholder’s vote from the shareholders’ meeting to the vote delegation that occurs when the share-holder fills out the proxy card. The point in the electoral process when the binding voting choice is communicated is now the execution of the proxy card (assuming the shareholder completes the card …

Capitalism Stakeholderism, Christina Parajon Skinner

Seattle University Law Review

Today’s corporate governance debates are replete with discussion of how best to operationalize so-called stakeholder capitalism—that is, a version of capitalism that considers the interests of employees, communities, suppliers, and the environment alongside (if not before) a company’s shareholders. So much focus has been dedicated to the question of capitalism’s reform that few have questioned a key underlying premise of stakeholder capitalism: that is, that competitive capitalism does not serve these various constituencies and groups. This Essay presents a different view and argues that capitalism is, in fact, the ultimate form of stakeholderism. As such, the Essay urges that the …

The Esg Information System, Stavros Gadinis, Amelia Miazad

Seattle University Law Review

The mounting focus on ESG has forced internal corporate decision-making into the spotlight. Investors are eager to support companies in innovative “green” technologies and scrutinize companies’ transition plans. Activists are targeting boards whose decisions appear too timid or insufficiently explained. Consumers and employees are incorporating companies sustainability credentials in their purchasing and employment decisions. These actors are asking companies for better information, higher quality reports, and granular data. In response, companies are producing lengthy sustainability reports, adopting ambitious purpose statements, and touting their sustainability credentials. Understandably, concerns about greenwashing and accountability abound, and policymakers are preparing for action.

In this …

Table Of Contents, Seattle University Law Review

Seattle University Law Review

Table of Contents

The Marijuana Insurgency: Federalism And Social Reframing In Policy Reform, Matthew P. Cavedon

Seattle University Law Review

After fifty years of federal prohibition, marijuana reform efforts have won political and legal success. These victories hold lessons for anyone seeking to resist federal law without being able to directly affect it.

Victory can come from reframing an issue. For marijuana reform, social reframing—not formal legal analysis or material factors—provides the best explanation for how advocates achieved change. Their unconventional political tactics, akin to those used by insurgents in wartime, undercut federal prohibition by winning hearts and minds.

This is an analysis of the sociology of legal change. It is also the story of how ordinary Americans retook personal …

Data Controllers As Data Fiduciaries: Theory, Definitions & Burdens Of Proof, Noelle Wilson, Amanda Reid

University of Colorado Law Review

As more U.S. states have begun to pass consumer privacy laws, there are growing calls for federal data privacy regulation to ease the burden of compliance with various, sometimes conflicting, state laws. However, scholars and lawmakers are divided on how best to balance robust privacy protections with privacy laws to which businesses can realistically comply. Two prominent regulatory models have emerged from scholarly debate. The Rights/Obligations Model grants consumers various rights and imposes obligations on businesses. This model has been trending in U.S. states, which have mirrored language from the European Union’s General Data Protection Regulation (GDPR) by imposing different …

Tipping Back The Scales: Reworking The Changed Product Rule To Make Derivative Aircraft Safer, Rachel Wright

Loyola University Chicago Law Journal

The dark adage "regulations are written in blood" can be constructively viewed as the FAA's commitment to continuously improving and regulating aircrafts to promote aviation safety. The Changed Product Rule defines specifically when the newest regulations are applicable to the certification of a derivative aircraft, and when old regulations can be legacied into a certification plan. After the tragic Boeing MA4X crashes, industry experts called for a reassessment: is the Changed Product Rule doing its job of ensuring safe design and certification of derivative aircraft? This Comment addresses this question, and advocates for targeted and practical changes to three areas …

How To Get The Property Out Of Privacy Law, Jane R. Bambauer

UF Law Faculty Publications

For the last ten years, American rhetoric and state lawmaking has attempted to provide consumers with greater and stickier property interest in their personal information. But the impracticalities of the sticky property model are becoming evident, and will be impossible to ignore as AI becomes more prevalent and useful. This Article critiques the property framework in privacy law, and explains how a risk-based approach can be modernized and implemented instead. An enduring system of privacy laws will manage risks rather than bestowing rights to control and delete information. To do this, data practices should be categorized into safe harbor practices …

Shareholder Primacy Versus Shareholder Accountability, William W. Bratton

Seattle University Law Review

When corporations inflict injuries in the course of business, shareholders wielding environmental, social, and governance (“ESG”) principles can, and now sometimes do, intervene to correct the matter. In the emerging fact pattern, corporate social accountability expands out of its historic collectivized frame to become an internal subject matter—a corporate governance topic. As a result, shareholder accountability surfaces as a policy question for the first time. The Big Three index fund managers, BlackRock, Vanguard, and State Street, responded to the accountability question with ESG activism. In so doing, they defected against corporate legal theory’s central tenet, shareholder primacy. Shareholder primacy builds …

Verses Turned To Verdicts: Ysl Rico Case Sets A High-Watermark For The Legal Pseudo-Censorship Of Rap Music, Nabil Yousfi

Seattle University Law Review

Whichever way you spin the record, rap music and courtrooms don’t mix. On one side, rap records are well known for their unapologetic lyrical composition, often expressing a blatant disregard for legal institutions and authorities. On the other, court records reflect a Van Gogh’s ear for rap music, frequently allowing rap lyrics—but not similar lyrics from other genres—to be used as criminal evidence against the defendants who authored them. Over the last thirty years, this immiscibility has engendered a legal landscape where prosecutors wield rap lyrics as potent instruments for criminal prosecution. In such cases, color-blind courts neglect that rap …

Meta V Bundeskartellamt: A Double-Edged Sword For Consumer Protection, Adrianus Van Heusden, Larisa Munteanu

International Journal on Consumer Law and Practice

Although consumers and data subjects do not always overlap in the European Union, the fields of data protection and consumer law are increasingly intertwined. Within this case note, one of the most impactful and recent decisions of the Court of Justice of the European Union will be analysed. Case C-252/21 will be examined through the lens of consumers using social networks in the digital age, additionally making references to the ‘take it or leave it’ and ‘cash for privacy exchange’ concepts identified by the doctrine in the field. Innovatively, this commentary will present a distinct and atypical opinion related to …

Evaluating The Rights Of Air Consumers Under International And Regional Instruments With A Focus On Qatar, Eman Naboush

International Journal on Consumer Law and Practice

This paper examines the rules protecting air consumers in cases of flight disruptions as outlined in the international instruments, regional agreements, and in Qatar. It aims to examine the Qatari rules that may provide protection for air consumers and compare them to those adopted regionally and internationally. The article demonstrates that Qatari legislation falls short of the internationally recognized minimal threshold for safeguarding air consumers, as implemented in other countries. Nevertheless, the Qatari national airline incorporates many sets of regulations for customers from the European Union, United States, and Canada in its carriage contract. Although the contractual provisions offer significant …

Financial Exclusion In The Uk's Cashless Society Initiative: Challenges And Policy Considerations, Ogochukwu Monye

International Journal on Consumer Law and Practice

This study explores the challenges posed by the United Kingdom's (UK) cashless society initiative, which has sparked a surge in digital financial services (DFS), including contactless payment and online banking. While the policy promises benefits such as convenience, security, and faster transactions, there is a concern that many, particularly financially underserved and excluded consumers, will face isolation from the cashless transition. Data from the Bank of England (BoE) reveals that approximately 1.2 million UK adults lack access to traditional bank accounts, compelling them to rely primarily on cash transactions. Using the doctrinal research method, this study examines the compelling issue …

Ashwani Chawla V Flipkart Internet Private Ltd: Formal Recognition Of Dark Pattern Prevention And Regulation Guidelines, Shouvik K. Guha, Sanchari Roy

International Journal on Consumer Law and Practice

In this case comment, the authors analyse the decision of the State Consumer Disputes Redressal Commission, Chandigarh in the matter of Ashwani Chawla v Flipkart Internet Pvt Ltd and Others. This case involves multiple issues related to traditional consumer protection law, such as the jurisdiction of the commission, defect in good, deficiency in service, unfair contract, and unfair trade practices. More importantly, this decision is one of the first Indian consumer law judgments to explicitly apply the Guidelines for Prevention and Regulation of Dark Patterns 2023. In addition, it also discusses the joint and several liability of the …

Balancing Interests: Ai, Business & Human Rights, And The Legal Landscape In An Era Of Disruption, Jena Martin, Ritu Narula

Faculty Articles

On October 30, 2023, the Biden Administration issued a sweeping executive order espousing a policy to advance the development and use of artificial intelligence ("Al") while also establishing safeguards across the federal government. The Executive Order marked the U.S. government's largest move forward related to the regulation of Al. The Order also represents the government's latest effort to advance equity, privacy, and national security in the use of AI systems. Moreover, the Order comes at a time when governments around the world are wrestling with the impact of AI and its disruptive effect, not just on markets, but on society …

Data In Distress: Effectuating State Data Privacy Laws During Bankruptcy, Cameron Love

Emory Law Journal

In 2000, an online toy retailer, Toysmart.com, attempted to liquidate consumer data to pay creditors in its bankruptcy case. The attempted sale drew objections from the Federal Trade Commission and forty-seven state attorneys general. Five years later, Congress attempted to resolve privacy concerns in bankruptcy, amending the Bankruptcy Code to provide clear procedures for the liquidation of “personally identifiable information.” Recently, scholars have criticized these amendments, characterizing them as “limited,” “outdated,” and “privacy theater.” This Comment adds to these criticisms, arguing the amendments’ failure to mandate consideration of relevant nonbankruptcy law puts these permissive sales procedures on a collision course …

Humans Outside The Loop, Charlotte A. Tschider

Faculty Publications & Other Works

Artificial Intelligence (AI) is not all artificial. Despite the need for high-powered machines that can create complex algorithms and routinely improve them, humans are instrumental in every step used to create AI. From data selection, decisional design, training, testing, and tuning to managing AI’s development as it is used in the human world, humans exert agency and control over the choices and practices underlying AI products. AI is now ubiquitous: it is part of every sector of the economy and many people’s everyday lives. When AI development companies create unsafe products, however, we might be surprised to discover that very …

“Green” Is The New Black: Enforcing Consumer Protection Laws Against Greenwashing In The Fashion Industry, Emma Sammons

Emory International Law Review

As climate change continues to relentlessly change landscapes, threaten harvests, and increase the frequency of natural disasters, legislators and regulators globally must expand upon their efforts to protect the environment and citizens from the harmful practices of corporations, some of the greatest contributors to climate change. One of the greatest perpetrators of harm to the environment is the fashion industry. The harm is further compounded by the rise of fast fashion companies. These companies utilize methods of rapid production and encourage overconsumption, resulting in a rampant storefront to landfill cycle. However, legal activists, politicians, the public, and some industry leaders …

We Shall Overcome: The Evolution Of Quotas In The Land Of The Free And The Home Of Samba, Stella Emery Santana

Seattle University Law Review

When were voices given to the voiceless? When will education be permitted to all? When will we need to protest no more? It’s the twenty-first century, and the fight for equity in higher education remains a challenge to peoples all over the world. While students in the United States must deal with the increase in loans, in Brazil, only around 20% of youth between the ages of twenty-five and thirty-four have a higher education degree.

The primary objective of this Article is to conduct an in-depth comparative analysis of the development, implementation, and legal adjudication of educational quota systems within …

Pacific Islands And The U.S. Military: The Legal Borderlands Of The Environmental Movement, Sonia Lei

Seattle University Law Review

Climate change remains an urgent, ongoing global issue that requires critical examination of institutional polluters. This includes the world’s largest institutional consumer of petroleum: the United States military. The Department of Defense (DoD) is a massive institution with little oversight, a carbon footprint spanning the globe, a budget greater than the next ten largest nations combined, and overly generous exemptions to environmental regulations and carbon reduction targets. This Comment examines how this lack of accountability and oversight plays out in the context of three Pacific islands that have hosted U.S. military bases for decades. By considering the environmental impact of …

The Battle Between Open Markets And National Security: How Limiting Investments Into Foreign Technology Might Be Hurting National Security Goals, Alexandra Van Cleef

Catholic University Journal of Law and Technology

No abstract provided.

Corporate Retreat In Asia: A New Era Of U.S. Law Firm Globalizations, Jocelyn Zhao

Emory Business Law Review Perspectives

No abstract provided.

When Eating The Rich Has Consequences: The Potential Long-Term Effects Of The Inflation Reduction Act’S Drug Price Negotiation Program, Allison Hickman

Emory Business Law Review Perspectives

No abstract provided.

Something To Wine About: Why Rhode Island’S Restrictions For Out-Of-State Wine Retailers Are Unconstitutional, Sara Jane Pruell

Roger Williams University Law Review

No abstract provided.

A Reputational View Of Antitrust’S Consumer Welfare Standard, Murat C. Mungan, John M. Yun

Faculty Scholarship

A reform movement is underway in antitrust. Citing prior enforcement failures, deviations from the original intent of the antitrust laws, and overall rising levels of sector concentration, some are seeking to fundamentally alter or altogether replace the current consumer welfare standard, which has guided courts over the past fifty years. This policy push has sparked an intense debate over the best approach to antitrust law enforcement. In this Article, we examine a previously unexplored potential social cost from moving away from the consumer welfare standard: a loss in the information value to the public from a finding of liability. A …

Tesla, Let Me Fix My Car: The Right To Repair And The Need For A Balance Between Public And Private Enforcement, Emanuele S. Putrino

Oklahoma Law Review

No abstract provided.

Antitrust Standing For Umbrella Purchasers, Ahmed Alfaris

University of San Francisco Law Review

No abstract provided.