The Consumer Protection Act (CPA) declares a variety of business practices unlawful. These unlawful practices include:
A person injured by a violation of the CPA may bring a civil action to enjoin further violations and to recover actual damages, costs, and attorney's fees. Recovery may also include an increased award of triple the actual damages, up to a maximum of $25,000.
The Attorney General may bring an action in the name of the state, or on behalf of persons residing in the state, against any person to enjoin violations of the CPA and to obtain restitution for persons injured by the violation. The prevailing party may, in the discretion of the court, recover costs and attorney's fees. The Attorney General may also seek civil penalties up to statutorily authorized maximums against any person who violates the CPA.
A violation of the CPA's prohibitions on monopolies and on contracts, combinations, and conspiracies in restraint of trade or commerce are subject to the following maximum penalties:
Civil penalties imposed in CPA actions are paid to the state.
Every person who violates prohibitions on monopolies or the formation of contracts, combinations, and conspiracies in restraint of trade or commerce must pay a civil penalty of up to three times the unlawful gains or loss avoided as a result of each violation.
PRO: This legislation aims to ensure a fair marketplace for businesses and consumers by updating penalties for antitrust violations like collusion, price fixing, and monopolies to make sure that the costs of these violations match the unlawful behavior. Violators may see the current penalties as nominal since the maximum statutory penalty is only $900,000. Deterring antitrust conduct will lead to a stronger and fairer marketplace. It is not enough to punish behavior. Future unlawful behavior must also be deterred. Tying penalties directly to profit will be an effective deterrent. This will ensure that people play by the rules and ensure a fair playing field for everyone.