SoLo Funds, a peer-to-peer lending platform, is embroiled in a class action lawsuit accusing it of deceptive practices by hiding fees behind 'tips' and 'donations'. Despite its no-interest promise, the lawsuit alleges that these hidden fees make loans more costly than expected. This follows multiple lawsuits and regulatory issues, including actions by the CFPB and several states. Meanwhile, Allstate has settled a $3.3 million lawsuit for recording calls without consent, and Pfizer's Oxbryta faces a class action due to severe side effects in sickle cell treatment.
The landscape of consumer finance and healthcare is witnessing significant legal upheavals with major companies facing class action lawsuits over alleged deceptive practices and safety concerns. SoLo Funds, a peer-to-peer lending platform, is currently facing a class action lawsuit for allegedly deceiving consumers by hiding fees. In a separate case, Allstate has agreed to a $3.3 million settlement for recording customer calls without consent, and Pfizer's drug Oxbryta is under scrutiny for potentially exacerbating health crises in sickle cell disease patients.
SoLo Funds is accused of misleading its customers by promoting zero interest fees while effectively charging them through 'tips' and 'donations' that are hard to opt out of. This has led to a class action lawsuit amid a trail of other legal and regulatory challenges. Previously, SoLo settled lawsuits with Connecticut, California, and the Consumer Financial Protection Bureau (CFPB), which claimed the company used 'digital dark patterns' to mislead consumers. Despite these settlements, the CFPB's case remains ongoing, highlighting ongoing concerns about the platform's transparency and fairness in lending practices.
Allstate Insurance has settled a class action lawsuit for $3.3 million after it was accused of recording customer calls without their consent, a violation of California’s Invasion of Privacy Act. The settlement covers calls made by Allstate’s Claims Liability Determination Unit to consumers' cell phones between February 1, 2022, and December 31, 2022. This case underscores the ongoing issues related to consumer privacy and corporate responsibility, with Allstate not admitting any wrongdoing as part of the settlement agreement.
Pfizer's Oxbryta, a treatment for sickle cell disease, has come under legal scrutiny due to its potential to increase the risk of vaso-occlusive crises, which are severe, life-threatening complications. A class action lawsuit investigation is exploring claims against Pfizer for these severe side effects, following the drug's market withdrawal due to safety concerns highlighted in post-approval studies. This situation raises important questions about drug safety and manufacturer accountability in the pharmaceutical industry.
The recent lawsuits against major companies like SoLo Funds, Allstate, and Pfizer highlight a growing concern over corporate practices that may mislead or harm consumers. These cases emphasize the need for transparency and ethical conduct in both the financial and healthcare sectors. As these legal battles unfold, they will potentially lead to more stringent regulations and greater consumer protection measures in the respective industries.
"While the payday loan industry, rightfully so, has a very negative connotation, some of these new-ish things are talking a kinder, friendlier, gentler language, but could be loan-sharky in their own way." - Ted Rossman