NOSSCR filed suit on Friday, October 18, 2024, in the U.S. District Court for the Northern District of Illinois against a Spanish company for misleading Social Security beneficiaries and unnecessarily clogging SSA’s phone lines. The complaint alleges that La Grada Online published articles with sensationalized headlines about Social Security benefits, including a false report of a $600 payment increase in June 2024. This misinformation caused a surge in calls to SSA, overwhelming the agency’s phone lines and costing NOSSCR members considerable time and money. The complaint further alleges that La Grada Online published another misleading article in August 2024, falsely claiming a “Social Security benefit boost.”
The lawsuit accuses Kapital Media Productions of violating the Racketeer Influence and Corrupt Organizations Act (RICO), the Lanham Trade-Mark Act, and Illinois common law. NOSSCR seeks treble damages, attorneys’ fees, and an injunction to prevent La Grada Online from publishing further false information about Social Security benefits.
This case meaningfully addresses the growing problem of misinformation in online news. La Grada Online’s alleged actions not only wasted the time and resources of Social Security claimants and their representatives but also undermined public trust in reliable sources of information. The outcome of this lawsuit could set a precedent for holding online news outlets accountable for publishing false and misleading information. NOSSCR’s efforts to combat misinformation are crucial for protecting its members from excessive SSA wait times. The lawsuit also seeks to preserve SSA’s limited resources and protect vulnerable individuals who rely on accurate information about Social Security benefits.
News release from the National Organization of Social Security Claimants Representatives.
