False Advertising Federal Trade Commission

News & Analysis as of

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

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

Advertising Law - March 2015 #2

New DAA App Brings Choice to Mobile - Bringing consumer choice to mobile applications, the Digital Advertising Alliance released “AppChoices,” a free app that will allow consumers to opt out of tracking on mobile...more

Advertising Law - February 2015 #3

FCC Chair Announces New Net Neutrality Regs - The battle over net neutrality took a new turn when Federal Communications Commission Chairman Tom Wheeler announced his intention to reclassify broadband service as a...more

FTC Tastes Sweet Victory in POM Wonderful Deceptive Advertising Appeal

The District of Columbia Circuit Court of Appeals handed the Federal Trade Commission a critical win on January 30, 2015 by affirming the Commission’s January 2013 decision holding POM Wonderful LLC in violation of the FTC...more

CFPB takes action on misleading advertisements

Late last week, on February 12, the CFPB announced actions against three mortgage companies for alleged violations of Regulation N, the Mortgage Acts and Practices Advertising Rule. Among other restrictions, Regulation N bars...more

FTC Takes First Action Against Car Title Lenders

Why it matters - In the agency’s first action against a title lender, the Federal Trade Commission (FTC) recently reached a deal with a pair of car title lenders accused of deceptive advertising. The Commission alleged...more

FTC obtains $9.5 million judgment against fraudulent sweepstakes operators

On February 11, 2015 the Federal Trade Commission announced that it had accepted a $9.5 million settlement in a case brought against a sweepstakes operator for violating a previous FTC order. The settlement also permanently...more

Advertising Law - February 2015 #2

Podium P-O-V: Observations From Marc Roth on ERA’s Great Ideas Summit - I recently had the pleasure of participating on an “Advocacy Update” panel at the Electronic Retailing Association’s Great Ideas Summit in Miami...more

SPECIAL FOCUS: D.C. Circuit Limits FTC’s Ability to Require Two Randomized Clinical Trials to Substantiate Disease Claims in...

On January 30, 2015, the U.S. Court of Appeals for the District of Columbia Circuit issued its long-awaited opinion in the POM case. In a press release, the Federal Trade Commission (FTC or the Commission) Chairwoman Edith...more

D.C. Circuit Upholds FTC Ruling on Deceptive Advertising; Rejects First Amendment Challenge

In a much-awaited decision on Friday, January 30, the D.C. Circuit upheld the Federal Trade Commission’s decision that pomegranate juice maker POM Wonderful LLC engaged in false or misleading advertising by claiming its...more

FTC Ignores the First Amendment with $9 Million Fine Against Weight Loss Supplement Company

On January 26, the manufacturer of a green coffee bean extract (GCBE) agreed to pay the Federal Trade Commission $9 million to settle charges brought by the FTC that the manufacturer deceptively advertised weight loss...more

No Representation Without Substantiation? What POM Wonderful v. FTC Means for Consumer Class Actions

POM Wonderful vs. FTC in DC Court of AppealsIn this first post of a two-part series, we take a closer look at last Friday’s decision in POM Wonderful v. FTC by the U.S. Court of Appeals for the District of Columbia, which has...more

FTC: Warning Letters to Manufacturers of Dog Waste Bags Suggest They May Be in Deep Doo-Doo

For the dog lovers of the world, this one is for you. The Federal Trade Commission (FTC) recently sent "warning letters" to 20 manufacturers and marketers of dog waste bags that dog owners, walkers, and conscientious others...more

FTC Announces Settlement of First Actions against Auto Title Lenders

The Federal Trade Commission recently announced that it has entered into proposed settlements with two auto title lenders that were charged with deceptive advertising in violation of Section 5 of the FTC Act and the Truth in...more

Appeals Court upholds FTC order enjoining POM Wonderful claims – with modifications

In a much anticipated opinion, the Court of Appeals for the District of Columbia upheld the vast majority of a Federal Trade Commission order enjoining pomegranate juice maker POM Wonderful from advertising that its products...more

Appeals Court Sides with FTC in POM Wonderful Advertising Case

On January 30, a three-judge panel of the U.S. Court of Appeals for the District of Columbia Circuit upheld claims of false advertising by POM Wonderful LLC (“POM Wonderful”), finding that the government could prohibit the...more

D.C. Circuit’s POM Wonderful Decision Calls Into Question The FTC’s Imposition Of A Two-Study Requirement

On Jan. 30, 2015, the U.S. Court of Appeals for the D.C. Circuit affirmed the FTC’s ruling that POM Wonderful made false and misleading advertising claims that its pomegranate juice products were effective in fighting various...more

Federal Advertising Guidelines for Businesses

The Federal Trade Commission Act prohibits advertising that is untruthful, deceptive, or unfair, and it requires advertisers to have evidence to back up their claims. There are also other federal laws applicable to...more

Advertising Law - January 2015 #3

President Obama Focuses on Cybersecurity, Privacy, Data Breach Notification - Data security and privacy concerns received special attention in President Obama’s State of the Union address where the President advocated...more

There’s a Wrinkle in Your Advertising Claims: L’Oréal Settles with the FTC

L’Oreal’s Deceptive Advertising - The Federal Trade Commission (“FTC”) accused L’Oréal of making deceptive advertising claims regarding the benefits of two of its product lines. L’Oréal claimed that its Génifique...more

Advertising Law - January 2015 #2

Safeway Must Pay Customers for Higher Online Prices - A California federal court judge has ruled in a breach of contract suit that Safeway is liable to customers who paid more for items online than in the store. ...more

FTC Director Rich: Greater Transparency Needed in Post-Mad Men Era of Online Advertising

The world of the popular television show Mad Men may be glamorous, but according to the Director of the Federal Trade Commission’s Bureau of Consumer Protection, Jessica Rich, it depicts more fiction than fact about modern...more

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