The role of state attorneys general (AGs) in business regulation is evolving as they become key players in shaping corporate practices.
With the absence of comprehensive federal legislation on issues like data privacy and environmental regulations, states are taking the initiative to enforce their own laws. Colorado AG Phil Weiser has been at the forefront of implementing the Colorado Privacy Act, highlighting the growing importance of state-level action in data privacy.
The upcoming AG elections in November 2024 could bring significant shifts in enforcement priorities. Currently, there are 23 AG offices held by Democrats and 27 by Republicans. The races in North Carolina and Pennsylvania are particularly important as they could influence the direction of legal enforcement in those states. Democrat Jeff Jackson in North Carolina emphasizes social justice and education, while Republican Dan Bishop focuses on law-and-order issues. The outcomes of these elections could have far-reaching implications for businesses nationwide.
AGs are increasingly using their authority to address national issues, making the regulatory landscape more complex. Companies are advised to review their practices to ensure compliance with evolving regulations, especially in areas like ESG reporting, data privacy, and healthcare.
Environmental issues have become a focal point for AG activism, with both Democratic and Republican AGs taking action. Democratic AGs have pursued fossil fuel companies for alleged contributions to climate change, while Republican AGs have challenged federal regulations and scrutinized corporate ESG practices.
In the realm of healthcare, AGs are focused on affordability and accessibility. Democratic AGs have addressed drug pricing and taken legal action against debt collection agencies for unfair practices related to medical debt.
Data privacy is a bipartisan focus for AGs as digital technologies become integral to business operations. Both Democratic and Republican AGs are active in regulating how companies handle consumer data. Businesses must stay informed about state privacy laws and adapt their practices accordingly.
The evolving role of state AGs in regulating business practices highlights the importance of vigilance and adaptability for companies operating in today's complex legal environment. The 2024 AG elections could bring significant shifts in enforcement priorities that impact operations and compliance strategies.