Safelite Group, Inc. v. Jepsen

Safelite appealed from the denial of a preliminary injunction against enforcement of Connecticut's Public Act 13-67, "An Act Concerning Automotive Glass Work." The court held that the district court erred in applying rational basis review under Zauderer v. Office of Disciplinary Counsel of the Supreme Court of Ohio, but rather should have applied intermediate scrutiny under Central Hudson Gas & Electric Corp. v. Public Service Commission of New York. Under Central Hudson, the court concluded that there is no claim, much less evidence, that Safelite's communications to its customers were false, misleading, or illegal; the court was skeptical that the government's asserted consumer protection interests are genuine and not merely post-hoc rationalizations; even if the government had a substantial interest in consumer choice, PA 13-67 advances that interest, if at all, in an indiscernible or de minimus fashion; PA 13-67 is more restrictive than necessary to effectuate the government's legitimate interests; and PA 13-67 is underinclusive because it only applies to third-party insurance claims administrators who also own an affiliated glass shop. Accordingly, the court vacated the district court's judgment and remanded with instructions to enter a preliminary injunction and for further proceedings. View "Safelite Group, Inc. v. Jepsen" on Justia Law