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Welcome to Wiley’s update on recent developments and what’s next in consumer protection at the Consumer Financial Protection Bureau (CFPB) and Federal Trade Commission (FTC). In this newsletter, we analyze recent regulatory...more
The FTC sent warning letters to 31 companies offering adoption intermediary services, warning them that misleading, unfair, or deceptive practices that harm prospective adoptive or birth parents may violate the FTC Act and...more
The FTC and Florida AG Ashley Moody obtained a temporary restraining order against RivX Automation Corp., and affiliated entities and individuals (collectively, “RivX”) for allegedly making false or unsubstantiated earnings...more
On January 17, the FTC announced two proposed settlements against an independent sales organization and its owners (collectively, “defendants”) for allegedly participating in deceptive and unfair acts and practices. The FTC...more
In recent weeks, class action plaintiffs have brought a new tranche of lawsuits challenging companies’ online terms and conditions. In them, plaintiffs allege that the terms violate California’s law prohibiting contracts for...more
Reviews Can Drive Business - Reviews matter. In a survey conducted by Yelp, 83% of consumers who read reviews say they trust online reviews about local businesses. However, fake reviews may mislead consumers. Recently,...more
The accelerating advances in artificial intelligence (“AI”) and the practical, legal, and policy issues AI creates have exponentially increased the federal government’s interest in AI and its implications. In these weekly...more
A federal court has issued a temporary restraining order against Automators, LLC, its affiliated entities and operators (collectively, “Automators”) in a lawsuit brought by the FTC alleging that these entities and individuals...more
As previously blogged about here by FTC defense lawyer, the Federal Trade Commission and state attorneys general continue to aggressively investigate and prosecute those that advertise, market, distribute, promote and sell...more
Perhaps a bit cliché (?), but knowledge really is the ultimate gift that gives back – hands down. Consider this thinking in the context of exercise equipment (and media) company Peloton and its now infamous and controversial...more
In this Issue. The Financial Industry Regulatory Authority (FINRA) issued a reminder about chief compliance officer (CCO) supervisory liability under FINRA Rule 3110 (Rule 3110); and the Consumer Financial Protection Bureau...more
Third-Party Review Services are a Focus- On January 25, the Federal Trade Commission announced that Fashion Nova LLC will be prohibited from suppressing customer reviews of its products and required to pay $4.2 million to...more
Resolve this new year to avoid advertising mistakes that could result in class actions, regulator enforcement, or competitor claims. Five advertising law takeaways for brand and legal teams to consider for 2020 follow....more
Seyfarth Synopsis: FTC publishes proposed consent order with cosmetic company that posted fake customer reviews but some FTC commissioners place doubt on its effectiveness because there is no financial penalty....more
The use of false celebrity endorsements and deceptive claims made by Zurixx, LLC, and related entities caused the Federal Trade Commission (FTC) to obtain a temporary restraining order. ...more
The FTC recently brought action against two companies for including non-disparagement provisions that bar or impose financial penalties on consumers for writing negative reviews in their form contracts, without a meaningful...more
By now, virtually all companies understand the importance and power of consumer reviews, both for and against them, and reviews of their competitors. Especially since negative reviews dampen purchases, companies often attempt...more
The Federal Trade Commission (FTC) doubled down on actions based on Consumer Review Fairness Act (CRFA) violations and issued administrative complaints alleging that two vacation rental companies and their owners used illegal...more
FTC Takes Aim at Two More (Alleged) CRFA Violators - Commission claims real estate contracts tried to mum consumers - And You Thought the Beat Slowed Down? In a story from about a month ago, we wrote that the Federal...more
Charities- California Attorney General Sues International Assistance Charity Over Allegedly Misleading Reporting Scheme and Deceptive Solicitations- California AG Xavier Becerra filed a lawsuit against international...more
The Federal Trade Commission (FTC), which enforces federal consumer protection and antitrust laws with the goal of promoting competition while protecting consumers from fraud, deception, and unfair business practices, has...more
The FTC today announced two new actions under the Consumer Review Fairness Act against companies (CRFA) that allegedly used non-disparagement provisions in consumer form contracts in connection with selling their respective...more
Cannabis/Marijuana- Bipartisan Coalition of 38 Attorneys General Urge Congress to Protect Banks Serving Marijuana Industry- The National Association of Attorneys General (“NAAG”) sent a letter, signed by a bipartisan...more