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Advertising Law - February 2017 #3

NAD Inquiry Results in Modified Celebrity Endorsements - As a result of an inquiry by the National Advertising Division, celebrity endorsements of FitTea were revised to better disclose material connections. The...more

Restrictions on Advertising with Nutrition and Health Claims Apply to Both Communications Addressed to Consumers and to...

The Court of Justice of the European Union (ECJ) held that the restrictions on promoting foodstuffs with nutrition and health claims not only apply to communications addressed to the general public but also to communications...more

It’s a Grand Old Flag, but Should it Be in Your Ad?

United States Statutes purport to restrict the use made of the American flag. 4 USC § 8 – Respect for Flag - No disrespect should be shown to the flag of the United States of America; the flag should not be dipped...more

District Court Sacks Ginkgo Biloba False Advertising Case

On February 2, 2017, the Central District of California terminated a false advertising lawsuit against Schwabe North America, Inc. and Nature’s Way Products, LLC (Defendants), based on allegations that the companies...more

Crossing the Line – Two More NAD Decisions on Unsubstantiated Comparative Line Claims

Comparative advertising can be highly effective in touting the advantages of a company’s products against those of its competitor, but the language used must be carefully crafted and accompanying visual depictions should be...more

Michigan Adopts New Sales and Use Tax Laws on Direct Mail

New laws on the sales tax and use tax consequences on direct mail became effective in Michigan September 7, 2016. These laws were adopted as part of Michigan’s participation in the Streamlined Sales and Use Tax Agreement, and...more

Advertising Law - February 2017 #2

Uber’s Earnings, Financing Claims Crash Into FTC - For exaggerating claims about earnings potential and automobile financing, Uber has agreed to pay $20 million in a deal with the Federal Trade Commission. According...more

Socially Aware: The Social Media Law Update Volume 8, Issue 1

The Decline and Fall of the Section 230 Safe Harbor? - 2016 was a tough year for a lot of reasons, most of which are outside the scope of this blog (though if you’d like to hear our thoughts about Bowie, Prince or...more

The Top Ten Regulatory and Litigation Risks for Private Funds in 2017

Private investment funds and advisers are likely to face new regulatory challenges and increased litigation risks in 2017, not only because of a change in the administration, but also because many advisers have not corrected...more

FTC Settlement Applies “Made in the USA” Standard to “Built in the USA” Claims

Continuing its focus on “Made in the USA” claims, the Federal Trade Commission (“FTC” or “Commission”), on February 1, applied its standard for those claims to “Built in the USA” claims by entering into a settlement with...more

Is it a Lottery or is it Gambling? UK Regulator Slaps Lottoland for Misleading Radio Ad

Gambling, including online gaming, lotteries, and land-based gaming, has tremendous participation in the United Kingdom. One study concluded that 75% of the UK’s adult population gambled in some manner. UK regulators take...more

Top 10 most complained about adverts 2016

The ASA has published its list of the most complained-about adverts of 2016 and, similar to 2015, it is established reputable companies that dominate the ASA's "Top 10" list....more

Not a Passing Grade: FTC Settles with Company Over Alleged False Advertising for High School Diploma Program

On February 3, 2017, the Federal Trade Commission (FTC) announced a new settlement against Stratford Career Institute alleging that Stratford’s advertising for its high school diploma program (claiming that it provided the...more

Facebook Unfriends Policy Allowing for Exclusion of Certain Racial and Ethnic Groups in Housing, Credit, and Employment...

The social network giant, Facebook—amid criticism and a push from public figures and congressional leaders—announced that the site would no longer allow advertisers to exclude specific racial and ethnic groups in the areas of...more

Advertising Law - February 2017

SPECIAL FOCUS: Current State of the FTC: Three Top Priorities - On February 2, Acting Chairman of the Federal Trade Commission, Maureen Ohlhausen, addressed the ABA 2017 Consumer Protection Conference in Atlanta and...more

One More Reason to Call a Sweepstakes Lawyer

Last month, an Ohio federal district court refused to dismiss a putative class action lawsuit filed against Foot Levelers, Inc. (“Foot Levelers”) concerning the orthotics maker’s sweepstakes sponsorship and marketing...more

Litigation Alert: The Ninth Circuit Holds That a Telephone Consumer Protection Act Violation Alone Is Sufficient To Establish...

This week, the U.S. Court of Appeals for the Ninth Circuit held that allegations that unsolicited advertisement text messages were sent in violation of the Telephone Consumer Protection Act (TCPA) established a concrete...more

Big Tobacco Still Manipulating into the 21st Century

A doctor at his desk takes a drag off a Camel, deliberately deceiving the public about the dangers of the drug. Fred Flintstone fires up a Winston in front of Wilma and rattles off the company’s slogan, “Winston tastes...more

Advertising Litigation Report: Vol. 2, No. 1

Lanham Act False Advertising - Lanham Act Liability for Native Advertising Violations - Casper Sleep, Inc. v. Mitcham, --- F. Supp. 3d ---, No. 16 Civ. 3224 (JSR), 2016 WL 4574388 (S.D.N.Y. Sept. 1, 2016)...more

Billboards in Unincorporated Areas of California Subject to City, County Regulations

Many of California’s roadways are littered with advertising. A question regarding oversight of roadside billboards, however, has long remained: Does the state have ultimate control or can municipalities weigh in on...more

Using loyalty programs as a promotional strategy in Colombia

The Superintendency of Industry and Commerce (SIC) recently defined the rules applicable to loyalty programs in Colombia. Loyalty programs that attract consumers to products or services by providing benefits, such as...more

FTC Cries Foul On Breathometer Accuracy Claims

The FTC recently announced a settlement with Breathometer, Inc., a company that marketed a smartphone accessory that it claimed could detect blood alcohol levels. Users could simply plug the accessory into the headphone...more

FTC and DeVry University Settle False Advertising Claims for $100M

In December 2016, DeVry University agreed to pay $100 million to settle a lawsuit with the Federal Trade Commission (FTC) over allegations stemming from DeVry’s advertising about the employment rates and salaries of its...more

Cynosure Settles Fax TCPA Class Action for $16 Million

On Thursday, the parties in ARcare, Inc. v. Cynosure, Inc., an action concerning the Telephone Consumer Protection Act (“TCPA”), filed a motion for preliminary approval of a class action settlement of plaintiff’s fax TCPA...more

Advertising Law - January 2017 #2

SPECIAL FOCUS: Ohlhausen Named Acting Chair of FTC - On January 24, 2017, President Donald Trump designated Maureen Ohlhausen as acting chairwoman of the Federal Trade Commission. Ohlhausen, a Republican, has been...more

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