Showing posts filed under: FTC Beat by Nicole Kardell

September 15, 2014

For-Profit Education Flunking Regulations Overload 101

  The last few years have been tough on the for-profit education industry – it’s not easy being the target of a host of federal and state investigations. For-profit educators have been poked and prodded by, among others, the U.S. Congress, a coalition of state attorneys general, the Consumer Financial Protection Bureau, the Federal Trade… Read More

June 10, 2014

Higher Ed False Claims Act Suits – Pass or Fail?

Career Education Corporation, like a host of other for-profit education companies, has found itself spinning on the courthouse revolving door. The latest legal challenge for CEC: a False Claims Act suit filed in federal court in New Jersey on May 16. The lawsuit alleges that CEC defrauded the federal government by (1) falsifying job placement… Read More

November 8, 2013

After Being Unfairly Characterized by Regulators, For-Profit Institutions Slowly Rebranding Image

For-profit education needs rebranding. With the recent appointment of Michael Dakduk as key advisor to the Association of Private Sector Colleges and Universities, the sector has made a step in the right direction. The onslaught of negative news against for-profit educators has severely impacted industry growth. Recent reports on drops in enrollment (and thus earnings)… Read More

October 11, 2013

FTC Takes Tough Action Against ‘Scareware’ Tactics

A great way to make money is to develop a product or service that responds to a consumer want or demand, and then to stay ahead of prospective competitors by offering better pricing or quality. A not-so-great way to make money is to convince consumers to buy a product or service that they don’t really… Read More

August 6, 2013

FTC Looking Closely at Impact on Consumers of ‘Big Data’

Manufacturers and marketers know that the more consumer data they have, the more they can tailor and direct their advertising, their products, and their product placement. This helps them to maximize sales and minimize costs. Thanks to the combination of cheap data storage and ubiquitous data capturers (e.g., smart phones, credit cards, the Web), the… Read More

December 31, 2012

Can ‘Disparate Impact’ Become the Basis for a Fair-Lending Claim?

As part of its aggressive program to protect consumers in financial matters, the Consumer Protection Financial Bureau (CFPB) has announced that it is prepared to adopt a controversial “disparate impact” theory of liability against lenders. A case that the U.S. Supreme Court may accept would have a major impact on whether the CFPB is actually… Read More

November 12, 2012

Policing the Wide, Wild New World of Biometrics

Progress in the world of biometrics should cause us all to shudder. Cameras in public locations can now employ facial recognition to direct advertising to us based upon an assessment of our age, sex, and other characteristics. Cameras can determine our reaction to and engagement in video games and movies. It sounds a bit like… Read More

October 18, 2012

It’s Not Easy Being Green: FTC’s Revised Green Guidelines May Adversely Affect the Little Guy

Earlier this month, the Federal Trade Commission released its revised Green Guidelines, providing parameters for advertising and marketing claims of supposedly eco-friendly products. The publication completes a two-year revision process that the FTC undertook, involving the updating of guidelines last visited in 1998. The Commission touted the new guidelines as helping marketers “avoid making misleading… Read More

Page 2 of 512345