Late last week, the Federal Trade Commission (FTC) announced that it had sent a “Notice of Penalty Offenses” on claim substantiation to around 670 companies. While this notice tactic is not a new tool, it has been reinvigorated following the 2021 Supreme Court decision in AMG Cap. Mgmt., which led to the FTC losing its
A recent class action lawsuit that claimed a manufacturer misrepresented its laundry detergent products as “all natural” when they, in fact, contained synthetic ingredients, has resulted in a $1.5 million settlement. A New York federal court gave preliminary approval to the settlement, which also requires the company to add qualifying language that states “contains naturally
Remember those ads from the 80s where an actor would start a medicine endorsement with the disclaimer: “I’m not a doctor, but I play one on TV”? A recent Federal Trade Commission (FTC) settlement order relating to the marketing of the dietary supplements CogniPrin and FlexiPrin is a good reminder about the importance of using
The newly launched Children’s Confection Advertising Initiative (CCAI), modeled on the Children’s Food and Beverage Advertising Initiative (CFBAI) and its Core Principles, is the latest food industry self-regulatory announcement under which participants agree to limit advertising to children under 12 or in elementary schools (from pre-kindergarten through sixth grade). The Council of Better Business
The Federal Trade Commission (FTC or Commission) announced that it will extend the period for the public to comment on its proposed update to the Guides for the Jewelry, Precious Metals, and Pewter Industries (the Jewelry Guides, published in 16 C.F.R. Part 23). Comments
Lumosity, an online site and smartphone app, is supposed to help its users train their brains so they can achieve their “full potential in every aspect of life.” Unfortunately, the company was unenlightened when it came to avoiding false advertising claims. According to the Federal Trade Commission (FTC), the company claimed that using its
On December 17, 2015, the Federal Trade Commission (FTC) announced that Lifelock, Inc. (LifeLock), agreed to pay a record-breaking $100 million to settle charges that it violated an earlier consent agreement related to flawed data security practices issued in March 2010. The LifeLock settlements implicate both the “fairness” of the company’s data security practices and
We recently wrote about the potential dark side of store loyalty cards, citing a putative class action filed in New York City. In the wake of a decision denying classification in that case we discussed earlier, our concern has been somewhat alleviated. In his August 6, 2015 decision, a federal judge said that data of
A California federal court this month ruled against defendants’ attempt to rely on a federal law requiring U.S.-origin claims on textile fabric products to displace a California statute with more stringent requirements about “Made in the USA” labels. The ruling allows a class action suit to proceed, lowering the hopes of retailers and manufacturers that
Technology is advancing fast, but would you use an app to figure out if you had cancer? According the Federal Trade Commission (FTC), that’s just what two app developers were recommending, but the FTC said they lacked the evidence to back their claims up. The FTC entered into consent agreements with two companies, MelApp and
