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FTC Issues Final Rule Banning Fake Reviews and Testimonials

The Federal Trade Commission (FTC or Commission) has issued a final rule prohibiting fake consumer reviews and testimonials. The rule also permits the FTC to seek civil penalties against violators who knowingly violate the...more

FTC Obtains Largest Civil Penalty for False Made in USA Claims

The Federal Trade Commission (FTC) has announced that it has obtained a $2 million civil penalty from tractor maker Kubota North America for falsely labeling thousands of its replacement parts as being “Made in USA.” Under a...more

When Is a Sponsored Disclosure Insufficient to Disclose a Material Connection?

This InStyle social media post for Cariuma sneakers has the disclosure “Sponsored” in faint gray font under the publisher’s name. Was the post sponsored by InStyle or Cariuma? It is hard to tell....more

What’s Next for the FTC’s Proposed Rule Banning Fake Reviews and Testimonials?

The Federal Trade Commission (FTC or Commission) received 105 comments from the public on its proposed trade regulation rule to prohibit marketers from using unfair or deceptive practices involving consumer reviews and...more

FTC’s Proposed New Rule Prohibiting Fake Reviews and Testimonials

The Federal Trade Commission (FTC or Commission) has proposed a trade regulation rule to prohibit marketers from using deceptive practices in their product reviews and testimonials. The goal of this rule is to increase...more

Guidelines for Creating Ads Using AI

Generative artificial intelligence (AI) can be a powerful tool to create and enhance advertising campaigns, but it is important to ensure that the ads are legally compliant. Generative AI, a type of AI that can create new...more

FTC Warns Almost 700 Advertisers: Substantiate Your Claims or Face Civil Penalties

The Federal Trade Commission (FTC) has put hundreds of advertisers on notice that they should avoid misleading consumers with ads that make product claims that cannot be substantiated. In notices sent to approximately 670...more

2022 FTC and NAD Roundup

2022 has proven to be an interesting year at the Federal Trade Commission (FTC or Commission) and the National Advertising Division (NAD). Below is a roundup of some of the highlights from the FTC and the NAD this past year,...more

CARU Determines Primark’s Advertising Furthers Negative Gender Stereotypes

The Children’s Advertising Review Unit (CARU) of BBB National Programs has recommended that Primark US Corp. (Primark) modify its children’s products and their associated advertising messages to not violate CARU’s recently...more

NAD Recommends P&G Discontinue Claim that Olay “Improves Skin 3X Better” than Leading Body Wash

The National Advertising Division (NAD) of BBB National Programs has recommended that The Procter & Gamble Company (P&G) discontinue the claim that Olay Premium body wash “improves skin 3X better” than the leading body wash....more

NAD Suggests Comcast Discontinue ‘Unlimited 5G’ and ‘Best Price’ Claims for Xfinity 5G Mobile Plans

In a recent case, the National Advertising Division (NAD) of BBB National Programs determined that “Unlimited 5G” and “best price” claims by Comcast for its Xfinity 5G mobile plans were not supported and should be...more

Lina Khan Is New Chair of the FTC

Lina Khan was sworn in as Chair of the Federal Trade Commission (FTC) on June 15, 2021. President Biden named Khan, a Democrat, to a term on the Commission that expires September 25, 2024, and designated her as Chair. Khan...more

NAD Finds Some Crest Whitening Emulsions Claims Supported, Recommends Others Be Retired or Modified

In another decision involving teeth whitening claims, the National Advertising Division (NAD) of BBB National Programs determined that The Procter & Gamble Company (P&G) substantiated claims that its Crest Whitening Emulsions...more

FTC Prohibits Medical Director of $23,000 COVID-19 ‘Treatment’ Plan From Making False Health Claims

The medical director of Golden Sunrise Nutraceutical, Inc., agreed to settle Federal Trade Commission (FTC) charges that he took part in deceptively advertising a $23,000 treatment plan as a scientifically proven way to treat...more

NAD Issues Decision Regarding Zarbee’s Cough Products

Cough relief claims for Zarbee’s, Inc., cough products were challenged by a competitor, Maty’s Healthy Products, LLC, with the National Advertising Division (NAD) of BBB National Programs. Both companies sell honey-based...more

FTC Sends Warning Letters to Eyeglass Prescribers

The Federal Trade Commission (FTC) has sent 28 warning letters to eyeglass prescribers warning them of potential violations of the FTC’s Ophthalmic Practice Rules, known as the Eyeglass Rule, which enables consumers to...more

FTC Sends $7 Million in Refunds to Tech Support Scam Victims

The Federal Trade Commission (FTC) has been active in sending refunds to consumers who were allegedly victimized by false and misleading advertising and marketing campaigns. On October 14, the FTC announced that it was...more

FTC Sends Refunds to Consumers Who Bought Deceptively Marketed ‘Miracle’ Pain Cure for Older Adults

In another case, the Federal Trade Commission (FTC) announced that it is sending checks totaling more than $76,000 to consumers who bought Isoprex, a purported “miracle” pain supplement marketed to older Americans nationwide....more

Split Ninth Circuit Upholds $50M FTC Victory Against Online Publisher

On September 11, 2020, in a 2-1 decision, the U.S. Court of Appeals, Ninth Circuit, upheld the Federal Trade Commission’s (FTC) $50 million victory in its lawsuit alleging that an India-based online publisher, OMICS Group,...more

FTC Sues Marketer Over False COVID-19 Claims

The Federal Trade Commission (FTC) has sued a California-based company named Golden Sunrise Nutraceutical, Inc., and some of its officers, alleging that the company is falsely marketing its Emergency D-Virus plan as a...more

Pay-for-Play Website Pays FTC Over Fake Reviews, Deceptive Rankings

Deceptive rankings and fake reviews triggered a Federal Trade Commission (FTC) action for a comparison shopping website—and a warning to other companies. Delaware-based LendEDU operates a website that compares consumer...more

NAD Chews On Meal Kit Delivery Service Claims

A claim of “more flexibility” had adequate support, but other challenged claims—such as “more choice” and “Rated #1”—should be discontinued, the National Advertising Division (NAD) recommended in a case that involved the...more

Beer Ads Up to Code, Self-Regulatory Body Concludes

A beer company’s ad campaign did not run afoul of the industry’s self-regulatory principles, the Code Compliance Review Board (CCRB, or the Board) of the Beer Institute recently determined. The CCRB is composed of individuals...more

Supplement Claims Should Be Discontinued, NAD Recommends

In a new decision, the National Advertising Division (NAD) recommended that the marketer of a dietary supplement discontinue claims about its product performance and safety, its testimonials, and its “doctor recommended”...more

Clearing the Air: NAD Recommends Discontinuing Air Purifier Claims

Performance and comparative superiority claims for an air purifier should be discontinued, the National Advertising Division (NAD) recently recommended, although the advertiser plans to appeal part of the decision. ...more

11/20/2019  /  Advertising , False Advertising , Marketing , NAD
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