FTC Settlement Targets Deceptive Business Opportunity and Credit Repair Scheme

Cozen O'Connor
Contact
LinkedIn
Facebook
X
Send
Embed

Cozen O'Connor

  • The FTC secured a settlement with Growth Cave, LLC and related entities (“Growth Cave”), along with the company’s co-CEOs, to resolve allegations that Growth Cave violated the FTC Act, the Business Opportunity Rule, and the Credit Repair Organizations Act through a deceptive business opportunity and credit repair scheme.
  • According to the complaint, Growth Cave allegedly lured consumers with false promises of significant income, misrepresented the assistance it would provide, used bogus testimonials, and imposed requirements that were previously undisclosed. The FTC also alleges Growth Cave misrepresented its ability to improve credit scores, charged advance fees for credit repair services, and failed to provide required disclosures under the Credit Repair Organizations Act.
  • Under the proposed stipulated orders against Growth Cave and its co-CEOs, Lucas Lee Tyson and Osmany Batte, the defendants must pay $48.6 million, partially suspended based on inability to pay, and liquidate certain assets, with proceeds used for consumer redress.
Send Print Report

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

© Cozen O'Connor

Written by:

Cozen O'Connor
Cozen O'Connor
Contact
more
less

What do you want from legal thought leadership?

Please take our short survey – your perspective helps to shape how firms create relevant, useful content that addresses your needs:

Cozen O'Connor on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
Sign Up Log in
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide