False Advertising

News & Analysis as of

Food and Beverage News and Trends

Judge rejects consumer claim concerning evaporated cane juice - On March 12, a US district judge in the Northern District of Illinois dismissed with prejudice a consumer lawsuit against the manufacturer of Healthy Grains...more

Australian Federal Court Finds Rotten Conduct In Coles' 'Freshly Baked' Claims To The Tune Of $2.5 Million

The Federal Court has ordered Coles Supermarkets to pay a $2.5 million AUD penalty for making false and misleading claims regarding its bakery range in contravention of section 18 of the Australian Consumer Law (ACL)....more

Advertising Law - April 2015 #2

Red Light! Cab Companies Claim Uber Falsely Claims to Be Safer Service: What’s safer—riding in a cab or riding in an Uber car? - A new false advertising lawsuit raised that question when a coalition of 19...more

CFPB Targets Another Mortgage Lender for Deceptive Advertising

The CFPB has announced the settlement of an enforcement action against a California-based mortgage lender for alleged deceptive advertising practices, including the use of advertisements that the CFPB claimed falsely led...more

BakerHostetler Partner Alan Friel Talks Big Data and Data Collection [Video]

Alan Friel, Partner with BakerHostetler's Privacy and Data Protection team, talks about compliance programs for companies, consumer data collection, misrepresentation, and data security deficiencies....more

CFPB Orders Mortgage Lender to Pay $250,000 Penalty for Deceptive Advertising

On April 9, the CFPB announced a consent order with a California-based mortgage lender, requiring the lender to pay a $250,000 civil money penalty for advertising that allegedly led customers to believe the company was...more

StubHub to Ticketmaster: Don’t Block Our Sales

On March 29, 2015, StubHub, Inc. brought an antitrust action against the Golden State Warriors LLC (the “Warriors”) and Ticketmaster, L.L.C. (“Ticketmaster”), alleging that they monopolized the ticket resale market by forcing...more

Ninth Circuit Upholds FDA’s Primary Jurisdiction Over “Natural” Labeling On Cosmetics But Orders Stay Rather Than Dismissal

Plaintiffs’ lawyers love to challenge products labeled as “natural,” with hundreds of false advertising class actions filed in just the last few years. Recently, in Astiana v. Hain Celestial (pdf), the Ninth Circuit reversed...more

Laughter: It's The Best Medicine, But Not The Cure For False Advertising

Couch potatoes everywhere have had a chuckle over DirecTV’s campaign featuring Rob Lowe’s “cool” and creepy/awkward/dorky personas, wherein “cool Rob” is equated to DirecTV, and the less fortunate Rob is equated to a...more

Tripping the Light Cran-tastic: Ocean Spray Washes Away Attempted Class Certification

Class certification in false advertising cases often fails due to problems with the class itself such as ascertainability. But what happens when a class action plaintiff admits she didn’t rely upon the purportedly deceptive...more

False Advertising Claim Washed Away for Lack of Standing

The issue of whether a party has standing to litigate in federal court can end up sinking a lawsuit. And as one bottled-water litigant in the District of Maine recently found out, failure to satisfy the standing requirements...more

Court’s Maine Message to Plaintiff Suing Poland Spring: You Don’t Have a Leg to Stand on

The District Court of Maine recently provided a reminder that – even in the post-Lexmark world of Lanham Act false advertising standing – Article III standing requirements can still impose a meaningful barrier on plaintiffs....more

Mind the Gap! Avoiding Unexpected Gaps in Insurance Programs

No one insurance policy covers all liability risks. Risk managers expect to purchase several types or layers of insurance to cover different types of insurance liabilities, to provide sufficient limits for a catastrophe loss,...more

FTC Announces Results of “Operation Ruse Control” on Auto Industry

On March 26, the FTC announced the results of Operation Ruse Control, “a nationwide and cross-border crackdown” on the auto industry with the intent to protect consumers who are purchasing or leasing a car. Efforts taken...more

Advertising Law - March 2015 #5

Paying for Consumer Reviews Gets Company FTC Action - Accused of failing to disclose that it gave cash discounts to customers to post online reviews, AmeriFreight and owner Marius Lehmann agreed to a settlement with...more

Increased FTC Enforcement as FDA Deregulates Low-Risk Health IT Devices

The FTC steps up enforcement of misleading software and mobile app promotional claims as FDA deregulates low-risk health IT devices. In recent weeks, the Federal Trade Commission (FTC) has taken several enforcement...more

Liability for Commercial Speech: A Guide to False Advertising, Commercial Disparagement, and Related Claims

This volume summarizes related bodies of law – false advertising, commercial disparagement, and defamation – that govern the conduct of business communications. It sets forth elements, damages, and related defenses for each...more

Locke Lord QuickStudy: Tito’s Case to Move Forward — Court Denies Motion to Dismiss

On March 18, 2015, a federal judge in San Diego issued an eagerly anticipated ruling on the motion to dismiss filed by Fifth Generation, Inc. (the producer of Tito’s Handmade Vodka), effectively denying Tito’s motion to...more

SCOTUS Will Hear Arbitration Case in October Term

Just as I was beginning to worry that arbitration had fallen out of favor at the nation’s highest court… today the Supreme Court announced that it will hear the case of DIRECTV, Inc. v. Imburgia during its October Term, an...more

“March Madness”: Protect Your Business From The NCAA

The NCAA Tournament is here, and many local businesses will want to capitalize on this exciting time for basketball fans by using the well known “March Madness” slogan to advertise March specials. Think twice before your...more

Health Sector Under ACCC Spotlight In 2015

ACCC ENFORCEMENT PRIORITIES - The Australian Competition and Consumer Commission (ACCC) has released its enforcement priorities for 2015, with the Chairman of the ACCC giving a speech on the topic last week. Each year,...more

It’s a Complete Red Haring: Court Dismisses Wide Ranging Art-Authentication Lawsuit against Keith Haring Foundation

Art is no stranger to great controversy, although the arbiters of art world disputes are usually critics and artists rather than federal judges. Nevertheless, in early March, Judge Denise Cote of the Southern District of New...more

Pomegranate Health Benefit Claims Were False, Misleading - POM Wonderful, LLC, et al. v. Federal Trade Commission

In an opinion addressing the amount and type of scientific evidence required to substantiate disease treatment and prevention claims, the U.S. Court of Appeals for the District of Columbia upheld the Federal Trade...more

Court Finds that Class Action Plaintiffs’ False Advertising Claims are Stripped Bayer Based on Federal Preemption

In the recent case of Gallagher v. Bayer AG, Case No. 14-cv-04601-WHO (N.D. Cal. March 10, 2015), the plaintiffs asserted that the defendants Bayer AG and related entities (collectively, “Bayer”) engaged in false advertising...more

This Week In Securities Litigation

The SEC filed one new action this week – an administrative proceeding involving the principal of an investment adviser and undisclosed conflicts of interest. The Commission also amended a complaint in an insider trading...more

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