Unfair or Deceptive Trade Practices False Advertising

News & Analysis as of

Advertising Law - October 2016 #4

New in False Advertising Suits: "Natural" Claims, Healthy Beverages - Demonstrating that the focus on health-related claims has not abated, two new class actions were filed challenging the "natural" labels for deli meat...more

Manufacturer Settles FTC “Made in USA” Lawsuit

Last week, the Federal Trade Commission (the “FTC” or “Commission”) announced that Georgia-based glue manufacturer Chemence, Inc. (“Chemence”) has agreed to pay $220,000 to settle a lawsuit filed in connection with Chemence’s...more

Accurate Net Weight Disclosures May Defeat Slack-Fill Claims in California

Last April, we reported on Ebner v. Fresh, Inc., in which a Ninth Circuit panel held that the plaintiff failed to state a claim that Sugar lip balm packaging was misleading because it contained non-functional “slack-fill.”...more

Stuck in the Middle with the FTC

Legal actions regarding “Made in the USA” claims, whether prosecuted by the Federal Trade Commission (FTC) or through various state unfair trade practices acts, often settle early in the proceedings. For example, in 2014,...more

No Protection for Network Marketing Provider That Had Knowledge and Authority to Control Deceptive Conduct of Affiliates

In Federal Trade Commission v. LeadClick Media, LLC, 2016 U.S. App. LEXIS 17383 (2nd Cir. 2016), the Second Circuit recently held that an affiliate marketing network provider could be subjected to liability under the Federal...more

Starbucks Puts Another False Advertising Lawsuit On Ice

On Friday, the U.S. District Court for the Northern District of Illinois dismissed a class-action lawsuit against Starbucks. The class alleged a violation of Illinois’ Uniform Deceptive Trade Practices Act and the Illinois...more

Marketers of Health Supplement Settle FTC Charges Over Deceptive Advertising

Recent FTC action, and $150 million judgment, is a reminder that advertising rules must be followed and health claims need to be backed by scientific evidence. ...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

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

Deceptive trade practice claim to proceed based on ‘nothing artificial’ label

The Eastern District of Missouri (the Honorable John A. Ross, U.S. District Judge) recently issued an order denying a motion to dismiss claims involving an allegedly deceptive food label. Plaintiff alleged that she purchased...more

Resource for Doing Business in the U.S. – Installment #8 – Consumer Protection

Almost everyone approaching the U.S. consumer market has heard nightmares about lawsuits and read damaging headlines from consumer claims. These range from industry wide antitrust investigations to criminal indictments for...more

Ninth Circuit: Food Manufacturers May be Liable for Misleading Consumers if They Label Foods Containing Synthetic Citric and...

On September 30, the Ninth Circuit Court of Appeals reversed in part a district court decision granting summary judgment to Dole Packaged Foods, LLC (“Dole”), finding that a reasonable fact finder could conclude that Dole’s...more

A Berry Mixed Decision: Consumer Class Action Challenging Packaging of “Himalania” Goji Berries Largely Survives Motion to...

On September 2, 2016, United States District Judge Dean P. Pregerson for the Central District of California granted in part and denied in part a motion to dismiss a class action complaint alleging violations of the UCL and...more

FTC Wins Health Benefit-Related Deceptive Advertising Lawsuit

The Federal Trade Commission (“FTC”) recently prevailed in a deceptive advertising lawsuit against COORGA Nutraceuticals Corporation (“COORGA”) and its principal. The judgment provides for, among other things, a monetary...more

Marketing your brand with influencers? Make sure the FTC hits the “Like” button

Brand owners and their attorneys are grappling with an important question: how to disclose their connections to luminaries like PewDiePie. If you haven't heard of PewDiePie, don't worry—he's a 26-year old Swedish...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

I May Not Be Able To Pronounce Acai But I Know It Doesn’t Burn Fat Cells: 5 Recent Over-the-Top Weight Loss Advertising Claims And...

Some say “ah-sigh;” I say “ah-kai;” but apparently the proper pronunciation of “acai” — the so-called super berry — is actually “ah-sigh-ee.” Who knew? Acai berries are native to the Amazon rainforest and have been hailed...more

Empty spaces causing big problems: the rise of slack-fill litigation

Last month, a district court judge in California dismissed a highly publicized lawsuit in which the plaintiff claimed that Starbucks’ iced beverages contained too much ice and not enough coffee. The suit was the subject of...more

Can Using Social Media Lead to a Lawsuit? (Part 2)

In part 1 of this blog series, I discussed the potential legal implications of social media as it pertains to defamation, privacy rights, and ownership rights. As we pick back up with our discussion, I want to address the...more

NYAG Announces Settlement with Synergy Fitness for Improper Billing

This week, the New York State Attorney General (the “Attorney General”) announced that it had settled with nine Synergy Fitness (“Synergy”) health clubs over alleged deceptive and improper billing practices. Specifically,...more

2 for 1—Private and Government Actions Regarding Price Comparisons

Amazon made recent news for pricing items without stating a list price or whether an article was on sale or was offered at a discounted cost. The policy was based on the idea that Amazon's numerous Prime members would buy...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

Advertising Law - August 2016

Court Awake To Plaintiff’s Deceptive Sleep-Tracking Claims Against Fitbit - A challenge to Fitbit’s claims that certain models of its exercise monitoring device tracked users’ sleep patterns will move forward after a...more

Food Manufacturer Sued for Allegedly Deceptive ”Slack-Fill”

Last Thursday, four New York City residents commenced a federal lawsuit and prospective class action against the world’s leading pasta maker, Barilla S.p.A., and its subsidiaries Barilla America, Inc. and Barilla USA...more

NYAG Announces Deceptive Advertising Settlements

Last week, the New York State Attorney General (the “Attorney General”) announced settlements with two separate companies relating to claims involving allegations of deceptive advertising and billing practices. The...more

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