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Misleading Statements

King & Spalding

Department of Justice Continues to Focus on AI This Week

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On September 23, 2024, the U.S. Department of Justice (Department) announced that it had updated its guidance to prosecutors on how to evaluate the effectiveness of a corporation’s compliance program. The guidance, known as...more

Hinch Newman LLP

What Digital Marketers and Influencers Need to Know About the FTC Final Rule Banning Fake Consumer Reviews and Testimonials

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As previously blogged about here, following notices of proposed rulemaking in 2022 and 2023, on August 22, 2024 the Federal Trade Commission finalized a rule that will impose monetary civil penalties false and misleading...more

Fenwick & West LLP

SEC Charges Biotech Co. with Misleading IPO Investors

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On September 13, the SEC charged Zymergen Inc., a biotechnology company, with misleading IPO investors about the company’s market potential and sales prospects....more

Gardner Law

Latest Untitled Letter from FDA’s OPDP Underscores Need for Careful Approach to Drug Advertising

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Late last month, the U.S. Food and Drug Administration’s (FDA) Office of Prescription Drug Promotion (OPDP) issued its fourth Untitled Letter of the year to AbbVie, Inc. OPDP uses Untitled Letters to inform drug companies and...more

Seward & Kissel LLP

SEC Charges Crypto Firm with Custody Rule Violations and Misleading Fund Investors on the Timing of Redemption Notices

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On September 3, 2024, the U.S. Securities and Exchange Commission (the “SEC”) announced settled charges against Galois Capital Management LLC (“Galois”), a Florida-based former registered investment adviser, for failing to...more

Fox Rothschild LLP

AI Companies Need to Be Transparent, Texas AG Says

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The Texas Attorney General recently took action against Pieces Technologies Inc., resolving claims that the company made a series of false and misleading statements about the accuracy and safety of its Artificial Intelligence...more

Venable LLP

FDA to Study Presence of Metals in Tampons: What to Know

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On September 10, the Food and Drug Administration (FDA) Biocompatibility and Toxicology Program published a statement announcing its intention to commission an independent literature review and internal bench laboratory study...more

BCLP

SEC Penalizes Company for "Unsupported Hype"

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The SEC announced settled charges against Zymergen Inc. in connection with its IPO based on misleading statements about its market potential, revenue prospects and customer pipeline. After raising $530 million in the 2021...more

Walkers

Global Legal Insights FinTech 2024: British Virgin Islands chapter

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The government of the British Virgin Islands (“BVI”) and the BVI Financial Services Commission (“FSC”) – the principal financial services regulator – have progressed important initiatives in recent years that demonstrate the...more

DLA Piper

Food and Beverage News and Trends - September 2024 #2

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This regular publication by DLA Piper lawyers focuses on helping clients navigate the ever-changing business, legal, and regulatory landscape....more

Baker Donelson

AI Firm Reaches Settlement With Texas Attorney General Over Misleading Accuracy Claims

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Texas Attorney General, Ken Paxton, (the Attorney General) announced on September 19, 2024, a landmark settlement with Pieces Technologies (Pieces) over allegations of false and misleading claims about the capabilities of its...more

Hendershot Cowart P.C.

FTC Advertising Compliance for Med Spas, IV Hydration

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The Federal Trade Commission (FTC) has broad authority over marketing and advertising, including for medical spas and other healthcare businesses. While there aren't specific regulations tailored solely to med spas or...more

Mintz

Recent Greenwashing Litigation Focuses on Consumer Products

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Over the past couple of weeks, there have been a pair of greenwashing lawsuits filed--by both private plaintiffs and government regulators--that highlight the current focus on consumer products as a centerpiece of...more

Husch Blackwell LLP

Texas Attorney General Reaches Generative AI Settlement

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Keypoint: The Texas Attorney General reaches a first-of-its-kind settlement with a healthcare company that provides generative AI products. On September 18, 2024, the Texas Attorney General announced that it had reached a...more

Proskauer Rose LLP

Third Circuit Follows Fifth and Ninth Circuits on Treatment of Make-Whole Claims in Bankruptcy

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In a much-anticipated decision, the United States Court of Appeals for the Third Circuit recently held that unsecured noteholders’ claims against a debtor for certain “Applicable Premiums” were the “economic equivalent” to...more

Sheppard Mullin Richter & Hampton LLP

CFPB Cracks Down on Credit Services Provider for Gouging and Trapping Consumers

On September 13, the CFPB filed a complaint against a nonbank corporation and its CEO, alleging that the company engaged in deceptive and abusive acts through misleading advertising and unjustified, exorbitant fees related to...more

Sheppard Mullin Richter & Hampton LLP

CFPB Penalizes VA Lender for Misrepresenting Cost of Cash-Out Refinance Loans

On August 29, the CFPB issued a consent order against a non-bank direct mortgage lender for misrepresenting the cost of its cash-out refinance loans, which are guaranteed under the VA home loan program, to active-duty...more

White & Case LLP

Luxury and ESG: Navigating the New EU Legal Landscape in the Fashion and Luxury Goods Industry

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Due to the increased importance of sustainability, environmental protection and social factors in recent years, the luxury industry has found itself at a crossroads of tradition and transformation. Once characterized...more

Jones Day

Misleading or Deceptive Conduct Claims on Projects in Australia

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A claim for misleading or deceptive conduct under s 18 of the Australian Consumer Law is one of the most commonly used causes of action in commercial litigation in Australia, including in disputes on major projects in mining,...more

Lippes Mathias LLP

New York Poised to More Actively Regulate the Pet Insurance Market

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The New York State legislature recently passed a bill that will, if approved by Governor Hochul, create a regulatory framework for the issuance of pet insurance in New York, mirroring similar legislation enacted in states...more

Moritt Hock & Hamroff LLP

CarShield’s $10 Million Lesson: A Tale Of Deceptive Advertising

I was recently in the potential market for an extended car warranty. After a bit of research, I contacted CarShield to explore my options. I spoke with a representative who heartily congratulated me on qualifying for one of...more

Shipkevich PLLC

New Rule Issued by FTC Focuses on Fake and AI-Generated Reviews, Imposes Heavy Civil Penalties

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The Federal Trade Commission (FTC) issued a new Final Rule (the “Rule”) on Wednesday, August 14, 2024, targeting unfair and deceptive acts or practices specifically related to consumer reviews and testimonials, allowing the...more

Morrison & Foerster LLP

Fünf wesentliche Änderungen für Unternehmen

Seit dem 20. Juli 2024 gilt das Gesetz über Musterverfahren in kapitalmarktrechtlichen Streitigkeiten (KapMuG) in seiner überarbeiteten Fassung. Mit der Neufassung dieses Spezialgesetzes für die gerichtliche kollektive...more

Morrison & Foerster LLP

The New Capital Markets Model Case Act: Five Key Changes for Companies

Since July 20, 2024, a reformed version of the Capital Markets Model Case Act (Gesetz über Musterverfahren in kapitalmarktrechtlichen Streitigkeiten – Kapitalanleger-Musterverfahrensgesetz – KapMuG) has been in force in...more

Perkins Coie

Notable Ruling Roundup - August 2024

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Our notable ruling roundup aims to keep our readers up to date on recent rulings in the food & consumer packaged goods space. Montiquento Corbett, et al. v. Pharmacare U.S., Inc., No. 3:21-cv-00137-JES-AHG (E.D. Cal. –...more

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