Sep 14, 2017 | Securities Class Action Archive
Health Insurance Innovations (NASDAQ: HIIQ)
Kehoe Law Firm’s securities fraud attorneys are investigating potential claims on behalf of investors of Health Insurance Innovations (NASDAQ: HIIQ) involving possible securities law violations. A class action lawsuit was filed on September 11, 2017 on behalf of investors who purchased shares of HIIQ between August 2, 2017 and September 11, 2017.
HIIQ Share Price Falls 21.9%
On September 11, 2017, Seeking Alpha published an article charging that Health Insurance Innovations was rejected for a key insurance license in Florida because a regulator uncovered undisclosed legal actions against HIIQ insiders. The article also alleged that HIIQ privately warned the Florida regulator of a potentially disastrous “domino effect” spreading to other states, which could cause additional licensure losses. Following this news, shares of HIIQ fell $6.55 per share, or 21.9%, to close at $23.35 per share, causing significant harm to HIIQ investors.
The complaint alleges that Defendants made false and/or misleading statements and/or failed to disclose that:
- HIIQ’s application for a third-party insurance administrator’s license with the Florida Office of Insurance Regulation was denied due in part to material errors and omissions
- the Florida Office of Insurance Regulation’s rejection of HIIQ’s application for a third-party insurance administrator’s license could result in its losing licenses in the other states
- as a result, HIIQ’s public statements were materially false and misleading at all relevant times
Health Insurance Innovations Stock Losses?
If you purchased or otherwise acquired shares of Health Insurance Innovations and would like to speak privately with a securities attorney to learn more about the investigation and your potential legal rights, please fill out the form to the right or contact John Kehoe, Esq., (215) 792-6676, Ext. 801, [email protected]; Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, [email protected]; or send an e-mail to [email protected].
Kehoe Law Firm, P.C. is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors and consumers from corporate fraud, negligence, and other wrongdoing. Driven by a strong and principled sense of social responsibility and obtaining justice for the aggrieved, Kehoe Law Firm, P.C. represents plaintiffs seeking to recover investment losses resulting from securities fraud, breaches of fiduciary duty, corporate wrongdoing or malfeasance, those harmed by anticompetitive practices, and consumers victimized by fraud, false claims, deception or data breaches. Together, the partners of Kehoe Law Firm, P.C. have spent more than 30 years prosecuting precedent-setting securities and financial fraud cases in federal and state courts on behalf of institutional and individual clients.
Sep 8, 2017 | Consumer Protection, Employment & Technology Archive
Equifax Data Breach – FTC’s Information for Individuals
On September 8, 2017, the FTC’s “Consumer Information” blog provided details regarding the Equifax data breach.
Equifax Data Breach Facts
The FTC’s blog post reported that
[i]f you have a credit report, there’s a good chance that you’re one of the 143 million American consumers whose sensitive personal information was exposed in a data breach at Equifax, one of the nation’s three major credit reporting agencies.
Here are the facts, according to Equifax. The breach lasted from mid-May through July. The hackers accessed people’s names, Social Security numbers, birth dates, addresses and, in some instances, driver’s license numbers. They also stole credit card numbers for about 209,000 people and dispute documents with personal identifying information for about 182,000 people. And they grabbed personal information of people in the UK and Canada too.
Equifax Data Breach – Steps One Can Take to Protect Misuse of Information
The FTC provided information about steps individuals can take to protect misuse of personal information. One of the steps recommended visiting Equifax’s website, www.equifaxsecurity2017.com.
IMPORTANT NOTE: Individual’s May Unwittingly Waive Their Rights to a Class-Action Lawsuit
According to The Washington Post, although Equifax has established a website to allow individuals to determine if their personal information was exposed, caution should be used, particularly due to the website’s terms of service which potentially restricts one’s legal rights. According to the Washington Post, “. . . in the terms of service is language that bars those who enroll in the Equifax checker program from participating in any class action lawsuits that may arise from the incident.”
Further, The Washington Post reported that
. . . after social media users began complaining about the arbitration clause, Equifax updated its terms of service to give consumers an escape hatch if they do not wish to be bound by its language.
Here’s how the opt-out provision reads:
In order to exclude Yourself from the arbitration provision, You must notify Equifax in writing within 30 days of the date that You first accept this Agreement on the Site (for Products purchased from Equifax on the Site). …
[You] must include Your name, address, and Equifax User ID, as well as a clear statement that You do not wish to resolve disputes with Equifax through arbitration.
This language helps address some of the concerns, but it requires consumers to remember to write to Equifax.
The FTC also advised individuals that they can find out if their information was exposed by
. . . [c]lick[ing] on the “Potential Impact” tab and enter your last name and the last six digits of your Social Security number. Your Social Security number is sensitive information, so make sure you’re on a secure computer and an encrypted network connection any time you enter it. The site will tell you if you’ve been affected by this breach.
According to The Washington Post, the fact that Equifax’s data breach website requests one’s last name and the last six digits of one’s Social Security number is “extremely unusual.” According to another story published by The Washington Post:
“This is very unusual — most security systems are hard-wired only to reveal the last four digits of an SSN for identification purposes,” said Satya Gupta, co-founder & chief technology officer at Virsec Systems, a cybersecurity firm. “This strongly implies that the typical four digits may have been compromised, and they need additional, previously ‘secret’ information to positively identify customers. This reinforces the conundrum of these breaches — with more information exposed, how do you now prove a person’s identity?”
What Can Consumers Do If They Believe Their Personal Information Has Been Compromised?
If you believe your personal information may have been exposed or compromised due to the Equifax data breach, please complete the form to the right or contact either John Kehoe, Esq., (215) 792-6676, Ext. 801, [email protected]; Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, [email protected]; or send an e-mail to [email protected].
The Kehoe Law Firm, P.C. is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors and consumers from corporate fraud, negligence, and other wrongdoing. Driven by a strong and principled sense of social responsibility and obtaining justice for the aggrieved, Kehoe Law Firm, P.C. represents plaintiffs seeking to recover investment losses resulting from securities fraud, breaches of fiduciary duty, corporate wrongdoing or malfeasance, those harmed by anticompetitive practices, and consumers victimized by fraud, negligence, false claims, deception, data breaches or whose rights to minimum wage and overtime compensation under the federal Fair Labor Standards Act and state wage and hour laws have been violated.
Sep 1, 2017 | Securities Class Action Archive
SteadyMed (NASDAQ: STDY) – Securities Class Action Investigation
Securities attorneys with Kehoe Law Firm, P.C. are investigating claims on behalf of investors of SteadyMed Ltd. (NASDAQ: STDY) regarding possible violations of federal securities laws following the FDA’s refusal to review the company’s new drug application for Trevyent.
On August 31, 2017, SteadyMed announced that it had received a Refusal to File letter from the FDA regarding the SteadyMed’s New Drug Application for Trevyent, a treatment for pulmonary arterial hypertension.
Specifically, the FDA determined, based on a preliminary review of the New Drug Application, that it was not complete enough to permit a substantive review. According to SteadyMed, the FDA requested additional information on certain device specifications and performance testing as well as additional design verification and validation testing on the final Trevyent product.
Following this news, SteadyMed’s share price plummeted by more than 44% in intraday trading, to ultimately close down more than 35% at $3.80 on August 31, 2017.
According to SteadyMed’s August 31, 2017 press release, SteadyMed
. . . a specialty pharmaceutical company focused on the development of drug product candidates to treat orphan and high-value diseases with unmet parenteral delivery needs . . . announced receipt of a Refusal to File letter from the U.S. Food and Drug Administration (FDA) relating to its New Drug Application (NDA) for Trevyent® for the treatment of Pulmonary Arterial Hypertension (PAH).
Based on a preliminary review of the NDA, which was submitted in June 2017, the FDA determined that the application is not sufficiently complete to permit a substantive review. FDA has requested further information on certain device specifications and performance testing and has requested additional design verification and validation testing on the final, to-be-marketed Trevyent product. Within the next 30 days, the Company will request a Type A meeting with the FDA to gain further clarification on the additional information required for resubmission and acceptance of the NDA. The Company will provide further guidance after the anticipated meeting with FDA.
Have You Purchased or Acquired SteadyMed Shares?
If you purchased or acquired SteadyMed common stock or other securities and would like to speak privately with a securities attorney to learn more about the investigation and your potential legal rights, please fill out the form to the right or contact John Kehoe, Esq., (215) 792-6676, Ext. 801, [email protected]; Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, [email protected]; or send an e-mail to [email protected].
Kehoe Law Firm, P.C. is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors and consumers from corporate fraud, negligence, and other wrongdoing. Driven by a strong and principled sense of social responsibility and obtaining justice for the aggrieved, Kehoe Law Firm, P.C. represents plaintiffs seeking to recover investment losses resulting from securities fraud, breaches of fiduciary duty, corporate wrongdoing or malfeasance, those harmed by anticompetitive practices, and consumers victimized by fraud, false claims, deception or data breaches. Together, the partners of Kehoe Law Firm, P.C. have spent more than 30 years prosecuting precedent-setting securities and financial fraud cases in federal and state courts on behalf of institutional and individual clients.
Aug 17, 2017 | Blog
Overdraft – CFPB’s “Know Before You Owe” Disclosure Prototypes
Consumers Typically Pay Almost $450 More in Fees
On August 4, 2017, the Consumer Financial Protection Bureau (CFPB) announced
. . . new Know Before You Owe overdraft disclosure prototypes designed to improve the model form that banks and credit unions already provide to consumers weighing overdraft coverage. The [CFPB] is currently testing four prototypes that each have a simple, one-page design aimed at making the costs and risks of opting in to overdraft coverage easier to understand and evaluate. People who frequently attempt to overdraw their checking accounts typically pay almost $450 more in fees if they opted in to debit card and ATM overdraft coverage, according to a new CFPB study . . . [which] found that most of these frequent overdrafters are financially vulnerable, with lower daily balances and lower credit scores than people who do not overdraft as often.
“[The CFPB’s] study shows that financially vulnerable consumers who opt in . . . risk incurring a rash of fees when using their debit card or an ATM,” said CFPB Director Richard Cordray. “Our new Know Before You Owe overdraft disclosure prototypes are designed to help consumers better understand the consequences of the opt-in decision.”
According to the CFPB’s press release:
An overdraft occurs when consumers lack the funds in their account to cover a transaction, but the bank or credit union pays anyway. Financial institutions may charge a fee for this service, typically around $34 per transaction, and require that the account deficit be repaid with subsequent deposits. In 2010, federal regulations began requiring financial institutions to obtain a consumer’s consent in advance before charging overdraft fees on most debit card transactions and ATM withdrawals. Consumers who do not opt in to overdraft coverage will generally have debit card purchases and ATM withdrawals declined with no charge if their account doesn’t have enough funds to cover the transaction at the time they attempt it.
In addition to debit card transactions and ATM withdrawals, consumers can overdraw their account through checks, online bill payments, or direct debits from lenders or other billers. Banks and credit unions can charge overdraft fees on checks or electronic payments made through the Automated Clearing House system, and on debit card payments set up on a recurring basis. Charging these fees does not require the consumer to opt in, because those fees are not covered by the 2010 rule.
CFPB Says “Know Before You Owe”
The CFPB’s announcement stated that
[b]ecause of the possibility of racking up fees, choosing whether to opt in to debit card and ATM overdraft services can be an important decision for consumers. Federal regulations already require financial institutions to give consumers certain overdraft information, and the regulations provide a model form. The four one-page prototype model forms unveiled today, like the Bureau’s Know Before You Owe disclosures for mortgages and prepaid accounts, are designed to give consumers more clarity about a key financial decision. The CFPB developed the prototypes through interviews with consumers, and is now testing them more widely. The prototypes are aimed at making it easier to:
- Understand the costs of opting in:The updated designs are aimed at helping consumers to better understand opt-in costs by clearly laying out the size of the fees and when they can be charged. They are intended to clarify the institution’s overdraft polices. They also explain that the opt-in decision applies only to one-time debit card and ATM transactions, and that it does not affect overdraft on checks and other electronic transactions.
- Evaluate the risks and benefits of opting in:The prototypes are intended to better assist consumers in making their own choice about whether they want overdraft services for most debit card transactions. They make clear that debit card and ATM overdraft is optional, and that consumers are not required to opt in.
These updated prototypes, if adopted, could also make it easier to provide customers with the disclosure form. The CFPB would make any new Know Before You Owe model overdraft form available on its website. Institutions would be able to plug their specific program information into the online form and then quickly download it for free. This new approach could make it seamless for banks and credit unions to use a new model form within their existing compliance systems, and easier to update their disclosures following future overdraft program changes. However, as the Bureau tests these prototypes further and considers changes to existing requirements, the model form provided in the 2010 rule continues to apply.
The Kehoe Law Firm, P.C. is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors and consumers from corporate fraud, negligence, and other wrongdoing. Driven by a strong and principled sense of social responsibility and obtaining justice for the aggrieved, Kehoe Law Firm, P.C. represents plaintiffs seeking to recover investment losses resulting from securities fraud, breaches of fiduciary duty, corporate wrongdoing or malfeasance, those harmed by anticompetitive practices, and consumers victimized by fraud, negligence, false claims, deception, data breaches or whose rights to minimum wage and overtime compensation under the federal Fair Labor Standards Act and state wage and hour laws have been violated.
Aug 14, 2017 | Consumer Protection, Employment & Technology Archive
Roomstogo.com & Alleged Illegal Telemarketing Calls to Consumers
On August 10, 2017 a class action complaint was filed in federal court in Florida to stop Roomstogo.com’s “practice of making illegal telemarketing calls to the telephones of consumers nationwide and to obtain redress for all persons injured by [the] conduct [of Roomstogo.com.]”
The complaint alleges that Florida-based Roomstogo.com “placed illegal telemarketing calls to residents of the United States registered on the National Do-Not-Call Registry” and that Roomstogo.com “willfully violated the [Telephone Consumer Protection Act] . . . by causing unsolicited calls to be made to Plaintiff’s and other class members’ cellular and residential telephones.”
According to the complaint:
[Roomstogo.com] made more than one unauthorized call to Plaintiff’s residential line for the purpose of marketing furniture deals to Plaintiff. Plaintiff did not have an existing business relationship with Plaintiff, Plaintiff did not seek information about [Roomstogo.com’s] products, Plaintiff never provided express written consent to be called by [Roomstogo.com], and the calls were an invasion of Plaintiff’s privacy. Indeed, Plaintiff has been a member of the National Do-Not-Call Registry, authorized by the TCPA, since March 7, 2009 to prevent persistent and harassing marketing calls to his telephone.
Roomstogo.com – Class Action Seeks Damages & Injunction
On behalf of the members of the class action, the Plaintiff, according to the complaint, seeks an injunction to require Roomstogo.com to stop all unsolicited telephone calling activities to consumers, $500 per violation under the TCPA in statutory damages to members of the class action, and treble damages (for knowing and/or willful violations).
Repeated Unwanted Telemarketing Calls to Consumers
According to the complaint:
[Roomstogo.com] is a large furniture store chain operating over 220 locations across Alabama, Florida, Georgia, Louisiana, Mississippi, North Carolina, South Carolina, Tennessee, Texas, and Puerto Rico. Unfortunately for consumers, [Roomstogo.com] utilized (and continues to utilize) a sophisticated telephone dialing system to call individuals en masse promoting its products. On information and belief, [Roomstogo.com] obtained these telephone numbers (i.e., leads) by purchasing marketing lists containing consumers’ telephone numbers. Indeed, Plaintiff himself has never provided [Roomstogo.com] his telephone number.
In Defendant’s overzealous attempt to market its products, it placed (and continues to place) phone calls to consumers who never provided consent to call and to consumers having no relationship with [Roomstogo.com]. Worse yet, [Roomstogo.com] placed (and continues to place) repeated and unwanted calls to consumers whose phone numbers are listed on the DNC. Consumers place their phone numbers on the DNC for the purpose of avoiding unwanted telemarketing calls like those alleged [in the complaint].
[Roomstogo.com] knowingly made (and continues to make) these telemarketing calls without the prior express written consent of the call recipients. As such, [Roomstogo.com] not only invaded the personal privacy of Plaintiff and members of the putative Class, but also intentionally and repeatedly violated the TCPA.
Received Unsolicited or Unwanted Telephone Calls?
If you received more than one telephone call made by Roomstogo.com within a 12-month period to a telephone number registered with the National Do Not Call Registry for at least 30 days and for which there is no record of consent to make such calls, your rights under federal law may have been violated. For more information, please complete the form to the right or contact either John Kehoe, Esq., (215) 792-6676, Ext. 801, [email protected]; Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, [email protected]; or send an e-mail to [email protected].
The Kehoe Law Firm, P.C. is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors and consumers from corporate fraud, negligence, and other wrongdoing. Driven by a strong and principled sense of social responsibility and obtaining justice for the aggrieved, Kehoe Law Firm, P.C. represents plaintiffs seeking to recover investment losses resulting from securities fraud, breaches of fiduciary duty, corporate wrongdoing or malfeasance, those harmed by anticompetitive practices, and consumers victimized by fraud, negligence, false claims, deception, data breaches or whose rights to minimum wage and overtime compensation under the federal Fair Labor Standards Act and state wage and hour laws have been violated.
