News & Analysis as of

Unfair or Deceptive Trade Practices Advertising

Environmental False Advertising: An Earth Day Green Guide Review

Earth Day is coming up on April 22, which means that a lot of consumers are going to be reminded to think green, and to buy green. What if your company is looking to access this vast market of environmentally-minded shoppers,...more

NetSpend Settles FTC Charges, Resolving Allegations that it Deceived Consumers over Access to Prepaid Funds

by Kelley Drye & Warren LLP on

Last week the FTC announced that it had reached a settlement with NetSpend over allegations that NetSpend deceived consumers by promising “immediate access” with “guaranteed approval” to money loaded on its general purpose...more

Sale Price Advertising and Fictitious MSRP Litigation

by Bryan Cave on

Section 5 of the Federal Trade Commission Act prohibits retailers from engaging in “unfair or deceptive acts or practices.” Courts consider an advertisement, whether in-store, or on-line, to be deceptive where a retailer: (1)...more

Influencer Marketing: The FTC's Evolving Policies on Paid Promotion Disclosure

Rapid Growth of Influencer Marketing - With more consumers cutting the cord to their TVs and paying for premium subscriptions or ad blockers to avoid advertising, social media has become an important medium through which...more

FTC Settles Deceptive Advertising Lawsuit against Operators of Online “High School”

by Klein Moynihan Turco LLP on

Two weeks ago, the Federal Trade Commission (“FTC”) announced multi-million dollar settlements with the operators of two online “high schools.” According to a complaint filed by the FTC last year, Capitol Network Distance...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

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

by Kelley Drye & Warren LLP on

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

Emerging Trends Newsletter - Q4

by Stinson Leonard Street on

The Volcker Rule Under the Trump Administration - The so-called Volcker Rule—named after Paul Volcker, a former chairman of the Federal Reserve Board—was part of the Dodd-Frank Wall Street Reform and Consumer Protection...more

The Quarter Ham: California Court of Appeal Affirms Judgment in Unfair Competition and False Advertising Case

by Reed Smith on

You can still get your quarter ham “STARTING AT $23.99” from Honey Baked Ham, Inc. according to the California Court of Appeal in its unpublished decision on November 8, 2016. The Court of Appeal affirmed a trial court’s...more

When the Strength of the Facts Cannot be Lifted – SDNY Dismisses Muscle Maker Slack-Fill Class Action

The Southern District of New York recently dismissed a putative class action against Cytosport, the maker of Muscle Milk protein powder. The plaintiff, Orlando Bautista, alleged that he bought a container of Muscle Milk...more

Turn Settles Allegations by the FTC for Deceptive Advertising Tactics

Turn, Inc. (Turn), a California based company that enables sellers to target digital advertisements to consumers via a website or mobile app, settled allegations by the Federal Trade Commission (FTC) that it deceived...more

CFPB Consent Orders Serve as a Reminder to Mortgage Industry on Advertising Practices

A recent series of CFPB consent orders should remind the mortgage industry to carefully monitor its advertising practices. The MAP Rule prohibits deceptive and misleading commercial communications regarding any term of any...more

FTC Settles with Ad Tech Company Over Deceptive Online Tracking Practices

by BakerHostetler on

On December 20, 2016, the Federal Trade Commission (FTC) announced that Turn Inc. agreed to settle charges that it misled consumers about its online tracking activities and failed to honor consumer opt-outs as described in...more

FTC Settles with Targeted Digital Advertising Company over Supercookie Advertising Practices

by Ballard Spahr LLP on

The Federal Trade Commission (FTC) has entered into a proposed consent order requiring digital advertising company Turn Inc. to include a clear and conspicuous notice detailing how it collects, uses, or shares information...more

Top 10 Litigation Risks and Trends for Retailers

by Perkins Coie on

With the 2016 holiday shopping season in full swing, the risk of litigation heightens for retailers. We created our own version of a “holiday list” to identify the top-10 risk areas where retailers may be vulnerable to claims...more

Friends, Family and High Blood Pressure – FTC Takes Action Against Undisclosed Family Reviews and Unsubstantiated Claims for...

by Dorsey & Whitney LLP on

In previous posts, we’ve discussed the Federal Trade Commission’s significant enforcement efforts focused on two hot button issues: unsubstantiated health marketing claims and deceptive product endorsements. Once again, both...more

Guest Post — Do It If It Makes You Feel Good: FTC’s Report on Homeopathic Medicine Advertising

by Reed Smith on

What follows is a guest post by John Feldman, a partner in Reed Smith’s Entertainment and Media Industry Group. John closely follows all things Federal Trade Commission and approached us when he saw the FTC weighing in a...more

Advertising Law - November 2016 #2

Advertiser’s Claims for Sex Supplement Too Vague for Lawsuit - An advertiser’s claims were too vague to be actionable, a California federal court held when dismissing a false advertising class action. Jonathan...more

The FTC's Crackdown on Social Media #Ads

by Nossaman LLP on

In the ongoing effort to reach the hearts and minds of consumers, brands are increasingly looking beyond the traditional media outlets of radio, print and television. The recent meteoric rise and diversity of social media...more

FTC to Take Additional Steps to Rein in Influencer Marketing?

by Klein Moynihan Turco LLP on

Last week, two advocacy groups filed a complaint with the Federal Trade Commission (“FTC”) taking direct aim at the burgeoning influencer marketing industry. The complaint implores the agency to take enforcement action...more

Advertising Law - October 2016 #2

No Shades of Gray in Order Banning Supplement Claims - In a case based on a referral from the National Advertising Division, the Federal Trade Commission obtained summary judgment and a final order against an advertiser...more

FTC Targets Auto Dealers, Alleges Deceptive Financing Practices

by Ballard Spahr LLP on

The Federal Trade Commission (FTC) has filed an action against nine auto dealerships and their individual owners in a California federal court that the FTC described as its "first action against an auto dealer for 'yo-yo'...more

FTC Targets Tech Support Companies for Deceptive Pop-Up Marketing

by Klein Moynihan Turco LLP on

On October 12, 2016, the Federal Trade Commission (“FTC”) announced that a temporary restraining order had been issued by a court of law against five related tech support companies and their respective principals (the...more

Affiliate Marketing Network Held Liable for its Publishers’ Deceptive Content

by Klein Moynihan Turco LLP on

The U.S. Court of Appeals for the Second Circuit recently affirmed a ruling of a lower court that held an affiliate marketing network liable for its role in promoting a deceptively-marketed product. Despite the fact that the...more

Recent FTC Consent Decree with InMobi for Unlawful Geolocational Tracking Provides Insight for App Developers

Recently in United States v. InMobi Pte Ltd., the Federal Trade Commission (FTC) set a new standard for geolocational tracking. The FTC told app developers and app marketers one simple rule: honor consumers location privacy...more

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