Wednesday, October 2, 2013

Nebraska AG Enjoined from Enforcing Cease & Desist Order Precluding Counsel’s Enforcement Activities

The court granted plaintiff's motion for a preliminary injunction precluding the Nebraska Attorney General from enforcing a cease and desist order prohibiting plaintiff's counsel from initiating further enforcement activities. "The court is deeply concerned about the ability of the Attorney General to issue cease and desist orders, prior to the conclusion of the investigation, prior to any negative findings, prior to any hearings, and prior to permitting submission of documents and evidence by [plaintiff's counsel's] firm. . . . The inability of [plaintiff's counsel] to submit such letters to businesses in Nebraska clearly infringes on the First Amendment rights of [plaintiff] to be represented by the counsel of their choice. . . . The public has a right to protection from scams and unfair trade practices. However, [plaintiff's] constitutional right to hire counsel of its choosing to pursue investigations and lawsuits against infringers is clearly impeded by the cease and desist order. . . . If, however, at some point during the investigation evidence supports a claim of bad faith, the Attorney General is free to revisit this preliminary injunction with the court."

Activision TV, Inc. v. Pinnacle Bancorp, Inc., 8-13-cv-00215 (NED September 30, 2013, Order) (Bataillon, J.)

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