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Arizona AG files lawsuit against blood bank company serving parents of newborns

Complaint alleges company 'preyed on families at one of the most vulnerable moments of their lives'
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PHOENIX — Arizona Attorney General Kris Mayes has announced a lawsuit against a company that promised to advocate for the health of newborn babies.

According to the Attorney General’s office, a lawsuit was filed against CBR Systems, Inc., alleging “deceptive and unfair practices that preyed on families at one of the most vulnerable moments of their lives—the birth of a child.”

According to the attorney general, CBR is one of the largest umbilical cord blood banking companies, which collects and stores the stem-cell containing blood for possible use in treating health problems down the road.

See a copy of the complaint here.

The lawsuit “alleges that CBR systematically misled consumers, failed to deliver on its promises, and engaged in an unethical kickback scheme with healthcare providers.”

The lawsuit alleges that CBR violated the Arizona Consumer Fraud Act, and AG Mayes is asking for civil penalties of up to $10,000 per violation. They are also looking for CBR to stop their unlawful practices and return all profits obtained through the practices.

Attorney General Mayes encourages any Arizonan who used CBR’s services and believes they were misled to file a complaint with the Attorney General’s Office. Consumers can submit complaints online at www.azag.gov/consumer.