UPDATE: Kris Mayes, Arizona’s Attorney General, has just secured a significant victory against CBR Systems, Inc., as a Maricopa County judge has denied the company’s attempt to dismiss a consumer fraud lawsuit. This urgent ruling underscores the state’s commitment to protecting Arizona families from alleged deceptive practices.
The lawsuit alleges that CBR misled parents with inflated claims about the utility of stored cord blood, suggesting an alarmingly low chance of need, estimated between 1 in 400 to 1 in 200,000 over a child’s lifetime. Attorney General Mayes emphasized the impact of such misleading information, stating, “We know Arizona parents and families fell victim to the scam of CBR’s cord blood pitch.”
The allegations extend further, claiming that CBR failed to safely transport cord blood samples to its facility in Tucson. Reports indicate that the samples were shipped without adequate temperature controls, putting the viability of these crucial cells at risk. This oversight could render the samples completely useless, directly affecting families who believed they were making a critical investment in their children’s health.
Moreover, the lawsuit accuses CBR of exploiting the trust of healthcare professionals. The company allegedly provided financial incentives to physicians to endorse its services, a tactic that undermines the integrity of medical advice given to expectant parents.
In a troubling twist, CBR reportedly disparaged publicly-funded cord blood banking options to steer customers toward its pricier services. This strategy is seen as an attempt to diminish the value of public alternatives, pressuring families into more expensive private banking solutions.
The Attorney General’s Office urges anyone who suspects they have been misled by CBR or similar entities to file complaints. This ongoing legal battle signifies a critical moment for consumer protection in Arizona, with Mayes vowing to seek justice for affected families.
As this case develops, attention will focus on how CBR will respond to these serious allegations and what further actions the Attorney General’s Office will take. The stakes are high for many Arizona families who trusted CBR with their children’s health, making this a pivotal moment in consumer protection.
Stay tuned for updates as this urgent situation unfolds.
