Unfair or Deceptive Trade Practices Advertising

News & Analysis as of

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

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

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?

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

Beware Social Media Masters, FTC Taking Long Look at Phony Blogs

In the age of digital communities, bloggers, vloggers and Instagramers create and disseminate a huge amount of content on myriad topics, building trust, credibility and a loyal following through authentic content on a variety...more

FTC Targets Auto Dealers, Alleges Deceptive Financing Practices

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

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

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

Regulators and Industry Thought Leaders Discuss Issues in Social Media Advertising - Highlights from "The FTC, Native Advertising...

Holland & Knight and the Word of Mouth Marketing Association (WOMMA) on Sept. 21, 2016, held an informative, half-day seminar featuring presentations and a panel discussion of trends and forefront regulatory compliance issues...more

Advertising in MA: Can Consumers Bring Class Actions for ‘Deceptive’ Advertising that has Neither Deceived Nor Harmed Them?

If your company advertises and sells products in Massachusetts, it could be subjected to a class action lawsuit by Massachusetts consumers who purchased one of its products if the consumers can show that a reasonable person...more

House of Representatives Passes Consumer Review Fairness Act and Better Online Ticket Sales Acts

The House of Representatives passed two bills last week relevant to the advertising industry: the Consumer Review Fairness Act and the Better On-line Ticket Sales Act (“BOTS Act”). The Consumer Review Fairness Act is...more

Advertising Law - August 2016 #3

ANA, 4As Battle Over Transparency Guidance - Two industry groups are engaging in a public battle over transparency. The dispute began when a joint task force was formed between the American Association of...more

FTC Targets Brand Owner Policing Search Ad Keywords

This Monday, the Federal Trade Commission (the “FTC” or “Commission”) commenced an administrative proceeding against 1-800 Contacts, Inc. (“1-800 Contacts”), alleging that the online contact lens retailer had entered into...more

Advertising Law - August 2016 #2

Electric Toothbrushes Battle It Out Before NAD - In a battle over electric toothbrushes, the National Advertising Division determined that Procter & Gamble can support superiority claims for its Oral-B models challenged...more

The FTC Social Media Consent Order Against SmartClick

The FTC continues its efforts to combat deceptive social media advertising. In June 2016, the FTC brought an enforcement action against SmartClick Media LLC and its owner. The FTC alleged that SmartClick engaged in the...more

NY Attorney General Announces Infomercial Settlements

This week, the New York Attorney General announced that it had settled investigations with two companies for deceptive sales practices related to infomercials. ?One company agreed to pay $700,000 to settle the investigation...more

State Safe Harbor Doctrines: A Life Preserver from False Advertising Claims Facing Alcohol Manufacturers?

Food and beverage companies, beset by lawsuits about their product labels, struggle to find consistent application of consumer protection laws across the country. The experience of one distiller and its use of one word on its...more

The 2015 FTC Policy Statement: An Advertisement Can Be Deceptive Based On Its Formatting

Starting a few years ago, the FTC began increasing its efforts to address online disclosures in new media. For example, in 2013, the FTC issued .com Disclosures: How To Make Effective Disclosures in Digital Advertising, which...more

Court Grants Motion Of Non-Signatory To Compel Arbitration Of Privacy Violation Claims Of Putative Class Of Verizon Customers

The class action was brought by Verizon subscribers against a “targeted advertising” company business partner of Verizon (Turn, Inc.) for deceptive trade practices under New York law. Plaintiffs alleged that Turn violated...more

FTC Puts Teeth into Native Ads Guidance: Lord & Taylor Settles Deceptive Ad Claim

Last week, fashion retailer Lord & Taylor reached a settlement with the FTC over its allegedly deceptive advertising campaign, the first such action since the FTC released its Enforcement Policy Statement on Deceptively...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

Advertising Law - February 2016 #3

EU, U.S. Reach Data Deal—Not a Harbor, but a Shield - After the deadline expired to reach a deal on a new Safe Harbor for the transatlantic transfer of data, the European Union and the United States reached an agreement...more

Children's Products: An Overview of Advertising Laws and Regulations

Like all businesses, manufacturers and retailers of children's products must comply with advertising laws and regulations. Advertising laws protect consumers by requiring advertisers to be truthful about their products....more

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