News & Analysis as of

Advertising Law - November 2014 #3

NAD Sniffs at Odor Protection Claims - Concerned that a 48 hour antiperspirant/deodorant constitutes an overstated claim of “100% odor protection,” the National Advertising Division recommended...more

Wait for the "Green" Light Before Making Environmentally Friendly Claims

Consumers increasingly pay a premium for environmentally friendly products. As a result, companies are expanding their green marketing claims regarding products and packaging. Those companies may find themselves under...more

Making a “Made in the USA” Claim Requires a Reading of Federal and State Law

Given the rise in false advertising claims, manufacturers and retailers that wish to label or advertise their goods as being “Made in the USA” must be aware of federal and state laws that place certain requirements on the...more

Advertising Law - October 2014 #4

Red Bull’s $13M False Ad Deal Crashes Site - Red Bull may claim to give you wings, but a false advertising settlement with the company apparently couldn’t stop its servers from crashing....more

FTC Takes Action Against Unsubstantiated Caffeine-Infused Shapewear Weight-Loss Claims

Wacoal America and Norm Thompson, both manufacturers of women’s shapewear, recently entered into consent orders to pay sums of $230,000 and $1.3 million, respectively, and agree to not make any false and misleading future...more

Operation Full Disclosure! FTC’s Frontal Assault on Ads

In this blog we often discuss products being subjected to a lawsuit based on allegations that a label is false or misleading under California’s consumer protection laws. The Federal Trade Commission is similarly concerned...more

FTC Launches “Operation Full Disclosure” in Advertising Review

On September 23, 2014, the US Federal Trade Commission (FTC) announced its launch of “Operation Full Disclosure” – an effort to improve the effectiveness of disclosures in advertising. According to the FTC’s press release,...more

Advertising Law - September 2014 #2

Use of Flawed Study Results in $3.5M Settlement with FTC - For relying upon the results of a flawed study to make what the Federal Trade Commission characterized as “baseless” and “hopelessly flawed” weight-loss claims...more

Mortgage Lead Generator Will Pay $500,000 to Settle FTC Charges about False Ads

On September 12, a mortgage refinancing lead generator, Intermundo Media, LLC (doing business as Delta Prime Refinance), agreed to pay a $500,000 civil penalty, among other things, to settle the FTC’s allegations that the...more

$3.5 Million Cactus Juice Settlement Should be a Warning to Advertisers

In this health-conscious age, consumers are always on the lookout for new products which will improve wellness and quality of life. Marketers attuned to this trend may be tempted to increase sales by extolling the virtues of...more

Advertising Law - July 2014 #4

COPPA Gets Parental Consent Updates - With changes that should make it easier to develop child-directed apps, the Federal Trade Commission recently updated its guidance for verifying parental consent under the...more

L’Oréal Smooths Things Over With FTC, Reaches Proposed Settlement Regarding Anti-Aging Claims For Its Skin Care Products

On June 30, the Federal Trade Commission announced that it had reached a proposed settlement with L’Oréal USA, Inc. related to the Commission’s investigation of anti-aging claims made in advertisements for Lancôme Génifique...more

Too Good To Be True: FTC’s Crackdown On L’Occitane’s Body Slimming Almond Extracts

L’Occitane Inc’s advertisements for its topically-applied body sculpting almond extracts seemed straightforward: “Almond Shaping Delight 3 out of 4 women saw firmer, lifted skin. This luxuriously lightweight massage gel...more

Advertising Law - July 2014

Online Reviews Not Sufficient To Support Ad Claim, NAD Rules - While recognizing the benefits of using new sources of information, the National Advertising Division (NAD) decided that an advertiser’s use of aggregated...more

Pom v. Coke Will Impact Financial Services Too

Law 360, New York (June 23, 2014, 11:22 AM ET)--Legal and compliance departments, take note: the U.S. Supreme Court’s recent decision in Pom Wonderful LLC v.Coca-Cola Co. confirms that even i fan institution’s conduct meets...more

Advertising Law - June 2014 #4

Don’t Forget: FTC Settlement Over Memory Claims - The marketers of the BrainStrong dietary supplement – which claimed to improve adult memory and prevent cognitive decline – reached a settlement with the Federal Trade...more

Mortgage Lead Generator To Pay $250,000 in FTC Settlement on Deceptively Advertised Mortgage Rate Charges

GoLoansOnline.com, Inc., a Houston, Texas-based mortgage lead generator, will pay the Federal Trade Commission $250,000 under a settlement announced earlier this month of claims it operated mortgage lending websites that...more

Advertising Law - May 2014

W3C Reaches Milestone: “Do Not Track” Specification Set - The road to establish an industry standard for Do Not Track has been long and winding. Last year, efforts at consensus stalled, grinding the work of the...more

Milk Dud? False Advertising Lawsuit Against Makers of Muscle Milk Illustrates Interplay Between Lanham Act, FTC and FDA

In a lawsuit recently filed in the Southern District of Florida, Global Beverage Enterprises, Inc. (“Global”), the manufacturer of specialty carbonated beverages like Mr. Q. Cumber Sparkling Cucumber Beverage, brought Lanham...more

Advertising Law

NAD Decision Offers Reminder About Use of Before and After Pictures - “Before” and “after” photos can provide powerful imagery for advertisers. But a recent decision from the National Advertising Division emphasizes...more

Advertising Law

FTC Settles With ADT Over Deceptive Endorsements - Don’t believe everything you see on TV or read on the Internet – at least not from ADT Security Systems. According to an administrative complaint filed by the...more

FTC Cracks Down on False Advertising in Dietary Supplements

Supplements making claims regarding diabetes, genetically customized nutritional benefits, and weight loss are slammed for false advertising. Recent Federal Trade Commission (FTC) enforcement activities—including a...more

Advertising Law - Feb 13, 2014

FTC Drives Car-Related False Ad Suit to Settlement - The Federal Trade Commission recently settled charges with Nissan North America and its advertising agency over deceptive advertising for the Nissan Frontier pickup...more

Advertising Law - Feb 6, 2014

High-Profile Mistake Could Cost Data Brokers: Could a recent marketing error by OfficeMax impact the entire data-driven marketing industry? The company sent a mailer addressed to “Mike Seay, Daughter Killed in...more

FTC Issues Updated Media Guidance for Screening Fake Weight Loss Claims

On January 7, 2014, the Federal Trade Commission announced “Operation Failed Resolution”, targeting false and deceptive claims made by marketers of weight loss products. As part of this initiative, the FTC issued updated...more

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