The Federal Trade Commission (FTC) has issued orders to five e-cigarette manufacturers (JUUL Labs, Inc., R.J. Reynolds Vapor Company, Fontem US, LLC, Logic Technology Development LLC, and NJOY, LLC) seeking information about the companies’ 2019 and 2020 sales, advertising, and promotions. The FTC sent similar orders to the same companies in October 2019 seeking information
Advertising
FTC Announces Workshop to Explore Internet “Dark Patterns”


On April 29, 2021, the Federal Trade Commission (FTC) will host a virtual public workshop to examine the nature and effects of “dark patterns” on online user behavior. “Bringing Dark Patterns to Light: An FTC Workshop” is expected to explore ways in which user interfaces can have the effect, intentionally or unintentionally, of obscuring, subverting,…
Mobile Ad Company Settles FTC Charges Over Misleading In-Game Rewards


Tapjoy, Inc., the operator of a mobile advertising platform that appears in certain mobile gaming applications, has settled Federal Trade Commission (FTC) allegations that the company deceived consumers by failing to provide them with promised rewards. Tapjoy’s platform allows mobile app users to interact with third-party advertisers and gain rewards, such as virtual currency, for…
FTC Approves Final Amendments to Energy Labeling Rule for Portable ACs


On December 22, 2020, the Federal Trade Commission’s (FTC) announced adoption of a final rule requiring the use of the EnergyGuide labels on portable air conditioners (ACs). Effective October 1, 2022, portable AC manufacturers must attach yellow EnergyGuide labels on the principal display panel of their packaging and include an image of the required label…
FTC Imposes Record $1.2 Million Penalty for a “Made in USA” Case


For the second time since 2016, glue producer Chemence, Inc. (Chemence) has found itself adverse to the Federal Trade Commission (FTC) for making allegedly deceptive claims that its products are American made. And this time it cost them $1.2 million – the highest settlement amount ever paid in a “Made in USA” case.
In 2016,…
FTC Finalizes Settlement with Sunday Riley Skincare Over Alleged Fake Reviews


Online opinions – and not just from celebrities – are big business. Consumer reviews can be highly influential in convincing other shoppers to buy a product. In fact, the founder and CEO of Sunday Riley Modern Skincare LLC (Sunday Riley Skincare) was so convinced about the power of those starred reviews on cosmetics chain Sephora’s…
FTC Targets Negative Option Schemes in Two Multimillion Dollar Settlements


The Federal Trade Commission (FTC) recently announced settlements with two online companies for allegedly misleading customers about automatic membership renewal costs. On September 2, 2020, the FTC announced that Age of Learning, Inc., d/b/a ABCmouse, will pay $10 million to settle charges that the company enrolled thousands of consumers in a negative option scheme to…
Interested in Environmental Marketing?

Interested in environmental marketing? Do you make and sell plastic products? Partner Sheila Millar and Counsel Boaz Green discuss a bill likely to become law in California that further restricts environmental marketing claims for plastic products sold in California. AB 2287 would expand restrictions on plastic degradability claims by effectively banning marine degradable claims. Read…
FTC Staff Perspective Paper Offers Key Takeaways on Loot Box Workshop


More than 160 million Americans play video games. Originally designed as single-use purchases for consoles or computers, video games are now downloadable, making them more accessible to consumers than ever. One important development for the video game industry has been the creation of “micro purchases” – in-game transactions such as “loot boxes” that players can…
FTC Targets False Energy Performance Claims


Marketing products as environmentally friendly can induce customers to pay higher prices than they would for other goods. But when promises of lower emissions or higher insultation ratings prove false, that hurts consumers, and the Federal Trade Commission (FTC) steps in. The FTC recently concluded its four-year long false advertising case against Volkswagen and Porsche…