Disclosure Requirements Federal Trade Commission

News & Analysis as of

Having The “Are You Operating an (Illegal) Franchise System Without Knowing It?” Conversation

Franchising laws are very broad in scope and may inadvertently encroach upon standard licensing or distribution agreements. The repercussions for operating an illegal (or more likely inadvertent) franchise system can be very...more

#Ad! — Lessons from the FTC’s First Case since the Release of its Enforcement Policy on Native Ads

As was widely reported, the Federal Trade Commission entered into a settlement in March with Lord & Taylor over charges that the retailer allegedly deceived consumers through a native advertising campaign run on Instagram and...more

National Retailer Settles FTC Native Advertising Complaint

The potential pitfalls of native advertising were on display this month at the Federal Trade Commission (FTC). The agency reported that national retailer Lord & Taylor settled with it on charges that the company improperly...more

FTC Complaint Highlights the Need to Disclose Material Connections in Ads

The recent complaint highlights the importance of clearly and conspicuously disclosing material connections between advertisers and paid influencers, including in social media posts or in native ads. ...more

Good Lord, & Taylor! Of Course You Need to Disclose Native Ads

On March 15, 2016, national retailer Lord & Taylor agreed to settle FTC charges that it “deceived consumers by paying for native advertisements.” The settlement is the first of its kind following the December 2015 guidance...more

Lord & Taylor Settles with FTC Over Influencer Native Advertising Campaign on Social Media and Online Magazine

We’ve seen native advertising take many forms, from paid celebrity Tweets to advertisements masked as editorial content to paid influencers promoting brands on social media. With a growing number of companies engaging in...more

FTC Takes Action against Debt Relief Operation

On February 24, the FTC announced that it charged a debt relief operation and two individuals with violations of the FTC Act and the Telemarketing Sales Rule (TSR). According to the FTC, the named defendants misrepresented...more

FTC Issues a Friendly Warning on Certain Types of Online Advertising

Do you know how much of the content on your favorite digital news site or print magazine is advertising? Probably more than you think. Many advertisements are obvious because they have a clear promotional message, style...more

Did You Catch that Hashtag at the Super Bowl?

Early in the game on Sunday night, Esurance ran a commercial announcing that it was giving away more than $1 million through a sweepstakes on Twitter. You may remember that Esurance made a splash with a Twitter-based...more

Going Native? Part 2: The FTC’s Native Advertising Guide for Businesses – The Why, When and How of Effective Disclosures

At the end of December, we blogged about the FTC’s long-awaited Enforcement Policy Statement on Deceptively Formatted Advertisements. Along with the policy, the FTC issued a Guide for Businesses that contains seventeen...more

Increased Government Scrutiny of Ads on Social Media Expected in 2016

Recent statements and actions by the Federal Trade Commission, the Food and Drug Administration and the Consumer Financial Protection Bureau forewarn of additional regulatory enforcement of advertisements on social...more

Advertising and Issuing Credit Online

DWT’s Payments Team participated in the ABA Consumer Financial Services Committee’s Winter Meeting in Park City, Utah last week. Andrew Owens delivered a presentation on advertising and issuing credit online during the...more

Seller Beware: Lessons Learned from 2015 Deceptive Advertising Enforcement in the Consumer Finance Space

Federal regulators took a close look at advertisements for consumer financial products and services in 2015, bringing over 25 enforcement actions totaling over $975 million in penalties and consumer redress. In the majority...more

FAST Act Drives Long-Awaited Gramm-Leach-Bliley Amendment

In late 2015, Congress passed the Fixing America’s Surface Transportation Act - a vehicle for an amendment to the Gramm-Leach-Bliley Act (GLBA) meant to eliminate the need for certain companies to provide annual privacy...more

Brain Freeze: Lumosity Settles Charges With FTC Over Ads About Cognitive Health

Lumosity’s online “brain training” program was playing Jedi mind tricks (yes, a Star Wars pun) on consumers according to a complaint filed by the Federal Trade Commission (FTC) against Lumos Labs, Inc. (Lumosity) and its...more

Serious Games Require Serious Attention to Marketing Statements

Lumos Labs recently paid $2 million to the FTC to settle claims that it deceived consumers about its brain training application’s ability to increase cognitive function. According to the FTC, the company alleged that its...more

FTC Issues Enforcement Policy Statement on Native Advertising in New Media

Digital media marketers are aggressively increasing the use of so-called sponsored content, or native advertising to reach new customers. Particularly with the growing use of ad blockers on web and mobile browsers, marketers...more

FTC Issues Much-Anticipated Guidance Regarding "Native" Advertising

The Federal Trade Commission (FTC) released two highly anticipated documents regarding "native" advertising, namely, its Enforcement Policy Statement on Deceptively Formatted Advertisements and Native Advertising: A Guide for...more

Going Native? The FTC’s Enforcement Policy Statement on Deceptively Formatted Advertisements Provides a Roadmap – Part 1

Last week, the FTC issued its long-awaited Enforcement Policy Statement on Deceptively Formatted Advertisements, often referred to as “native advertising.” For those unfamiliar with the term, the FTC helpfully explains that...more

Special Focus: FTC Issues Long-Awaited Native Advertising Guidance

On December 22, 2015, the Federal Trade Commission (“FTC” or “Commission”) issued long-awaited guidance on native advertising – commercial content designed with the look and feel of editorial content – and published its...more

FTC Issues Enforcement Statement, Business Guide on Native Advertising

The Federal Trade Commission this week issued an enforcement policy statement on “native advertising,” explaining how existing advertising regulations apply to this advertising format, among others. The “Enforcement Policy...more

What’s a Biz Op?

What’s a business opportunity or, as we often say, a “biz op”? The Federal Trade Commission (FTC) regulates biz op sales under its authority to regulate unfair or deceptive trade practices. The FTC’s definition of a business...more

As Reliance on “Digital Influencers” Grows, So Does FTC Enforcement

As we saw in a prior post regarding Kim Kardashian and Instagram, the FDA pays attention to how brand companies use paid celebrities to endorse their products. Likewise, the FTC closely scrutinizes how brand companies use...more

San Francisco Launches First “Internet of Things” Wireless Network in United States

With the onslaught of smart watches, smart thermostats, and even smart refrigerators that allow you to Tweet hungry messages to your followers, it’s only natural that a “smart city” would follow. This week, San...more

ANDA Update - October 2015

Federal Circuit Interprets Statutory Requirements for Biosimilar Regulatory Pathway - Amgen Inc., v. Sandoz Inc., (Fed. Cir. July 21, 2015): In a case of first impression, the U.S. Court of Appeals for the Federal...more

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