Aaaaaabbott!
Texas Attorney General Greg Abbott has doubled down with the house money against Sony.
The Texas suit (as with most AG-driven consumer protection and fraud suits) could be exhibit A in the case against the wacky shell game attorneys general play with the national (and international) economy. When Texas (or any state) regulates a national product, and sues based on that regulation, they effectively regulate the product nationally. Furthermore, the proceeds of the suit are taken from the national consumer base (in the form of higher prices) and dumped into the plaintiff state’s general fund. The most Draconian state regulator “wins,” by stealing the most money from the others. This inane configuration incentivizes each state to regulate national markets—and to sue national companies—more than every other state.
And the companies, such as Sony, cannot avoid their products winding up in this or that state, except at prohibitively high costs. It is easier for them to make every product comply with the strictest regulation than to tailor each product to each jurisdiction and somehow ensure that software designed for Tucson doesn’t end up on a shelf in Tuscaloosa.
Each state races to rule the world; the result is multi-multi-multi-mutually assured destruction of the national economy and social structure (call it, “mmmMADNESS“).
AG Watch is no fan of spyware, but this must be an area for federal preemption. If and when the feds regulate Sony et al., then we’ll get behind the suit. As it stands, Mr. Abbott adds a dash of Bah and a sprinkle of Humbug to the AG Watch holiday.