Penalty Amount
$5,000,000
Connecticut Attorney General filed a $5 million stipulation judgment against Safe Home Security for repeated non-compliance with court-ordered consumer protection measures, including blocking contract terminations and misrepresenting terms. The judgment requires immediate payment of $1 million and suspends $4 million pending compliance, with an independent monitor for five years.
Safe Home Security must pay $1 million within ten months, with $4 million suspended based on compliance. The judgment imposes injunctive relief, requires hiring an independent monitor for five years, establishes a dedicated email for complaints, and mandates good faith efforts to resolve unresolved complaints with the Attorney General's office.
In-house legal teams should review all customer-facing agreements, particularly vendor contracts for security system installation/maintenance and direct-to-consumer service agreements. Focus on termination clauses that may unlawfully block cancellations or impose excessive fees, auto-renewal provisions lacking clear consent, warranties guaranteeing equipment functionality, and service level agreements defining response times. Representations about system reliability or installation quality in marketing materials must align with contractual guarantees. Amendments should ensure transparent cancellation processes, remove barriers to termination, and align all customer communications with contractual obligations to prevent deceptive practices.
Entity
Safe Home Security Inc.
Also known as: Safe Home Security
Industry
Technology$625K
Connecticut reached a $625,000 settlement with Frontier Communications Parent Inc. over an April 2024 breach in which compromised employee and vendor credentials were used to access internal systems and exfiltrate unencrypted personal information of 58,841 Connecticut residents. The settlement requires Frontier to strengthen its security program, implement specific safeguards and training, and obtain an independent third-party assessment.
$2.6M
Connecticut and New York found that Boston Children’s Health Physicians and its security vendor, XTIUM, failed to use reasonable safeguards, resulting in hackers accessing sensitive personal, medical, and employee information. The companies agreed to pay penalties totaling $2.64 million and implement enhanced cybersecurity measures.
Connecticut joined a coalition of state attorneys general filing a notice in Character Technologies, Inc.’s bankruptcy proceedings, raising concerns about the company’s safety and privacy practices and the sensitive information it holds. The states seek protections for children and consumers if the company’s business or assets are sold or transferred; the filing does not impose a fine or other remedy.
Attorney General William Tong and Consumer Counsel Claire Coleman petitioned PURA to review how Connecticut public utilities use artificial intelligence, citing potential data privacy and cybersecurity risks, algorithmic errors, and misleading outputs. The petition asks PURA to examine utility AI systems, safeguards, vendors, and data security practices; it does not report a finding of violation or an imposed penalty.
$2.0M
Connecticut Attorney General William Tong announced a settlement with RZ Smoke, Inc. over allegations that it distributed and sold high-potency cannabis products without a state license. The stipulated judgment is $2 million, with $375,000 payable to the State and $1.6 million suspended to ensure compliance; the company is barred from specified cannabis activities in Connecticut unless licensed.
$13.7M
Connecticut joined a coalition of states and the federal government in settling allegations that Takeda paid healthcare providers speaker honoraria and provided meals to induce prescriptions of Trintellix, leading to allegedly false claims to government healthcare programs. Takeda agreed to pay $13,670,921 plus accrued interest, with portions allocated to federal and state programs.