U.S. Senate Gives Green Light to Market Fraud and Deception
Feb. 10, 2005
U.S. Senate Gives Green Light to Market Fraud and Deception
Statement by Public Citizen President Joan Claybrook
The U.S. Senate today has given banks, credit card companies, insurers, HMOs, drug manufacturers and other big corporations a green light to defraud and deceive consumers without fear of being held accountable. Passage of the class action legislation will mean that many class action lawsuits will not be heard in either state courts or federal courts. Innocent consumers who are victimized by predatory lending, car repossessions, fraudulent billing practices and other corporate abuses will be locked out of the courthouse.
This action by a Republican-controlled Senate is a Washington power grab that takes power away from the states and renders most state consumer protection laws unenforceable by consumers. It’s a travesty that the Senate cares more about padding the profits of big corporations and protecting their ability to cheat consumers than about protecting the rights of the least powerful in our society.
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