Consumer Protections Posts

Ad-Tech Europe: The Moving Target Marking Targeted Advertising

Apr 26, 2024

Ad-Tech Europe: The Moving Target Marking Targeted Advertising

The European Data Protection Board (“EDPB”) recently published an opinion on the legality of pay-or-consent models for online platforms offering services in Europe.  While the opinion is non-binding and limited to “large online platforms[1],” companies that offer platforms large and small in Europe should pay attention to the EDPB’s analysis—it will inform their future guidance…

Social Media Networks’ Section 230 Immunity on the Chopping Block? New York Court Allows Claims to Proceed Stemming from Buffalo Shooting

Apr 1, 2024

Social Media Networks’ Section 230 Immunity on the Chopping Block? New York Court Allows Claims to Proceed Stemming from Buffalo Shooting

Since 1996, Internet platforms and social media companies have relied on a federal law, Section 230 of the Communications Decency Act, to protect them from liability for civil law claims stemming from content on their platforms. As the influence of platforms like Facebook, Twitter (now X), and others has grown, members of Congress, consumer groups,…

CFTC Wins Suit Against DAO, With Potential Broad Implications for DAO Ecosystem

Jun 26, 2023

CFTC Wins Suit Against DAO, With Potential Broad Implications for DAO Ecosystem

The Commodities Futures Trading Commission (“CFTC”) has only brought one lawsuit against a Decentralized Autonomous Organization, or a DAO, which was recently decided in federal court. The case involved a decentralized finance trading protocol “that had transformed into a decentralized autonomous organization, a DAO, offering leveraged and margined retail commodity transactions to the public,” according…

Liar, Liar Robot on Fire – Can You Seek Legal Relief if a Chatbot Defames You?

May 22, 2023

Liar, Liar Robot on Fire – Can You Seek Legal Relief if a Chatbot Defames You?

When another person publishes a lie about you that causes harm to your reputation, you can seek relief by filing a defamation lawsuit. But what sort of relief is available when the person making the defamatory statement isn’t a person at all – but instead is a robot? The world may soon find out. In…

Federal Court Dismisses Illegal Lottery Claims Against Omaze, Emphasizing Adequacy of Fundraiser’s Alternative Means of Sweepstakes Entry

Feb 25, 2022

Federal Court Dismisses Illegal Lottery Claims Against Omaze, Emphasizing Adequacy of Fundraiser’s Alternative Means of Sweepstakes Entry

 As covered in this blog, in most states, companies that offer sweepstakes entries with certain purchases must also allow free entry (often called “alternative means of entry” or “AMOE”). This requirement stems from the three elements that generally make up regulated gambling: (1) consideration, (2) prize, and (3) chance. Random-chance giveaways inherently meet the latter…

New Federal Court Decision Counsels “Clear and Conspicuous” Advertisement of Alternative Means of Sweepstakes Entry – Coinbase Suit Proceeds

Jan 12, 2022

New Federal Court Decision Counsels “Clear and Conspicuous” Advertisement of Alternative Means of Sweepstakes Entry – Coinbase Suit Proceeds

  Most states require that companies offering sweepstakes allow entry without requiring purchase or other consideration. This alternate means of entry, or “AMOE,” avoids liability under gambling and lottery statutes by removing the “consideration” element in state gambling and lottery laws. A recent decision in California federal court has shed new light on how sweepstakes…

Supreme Court Finds That CFPB Director Can Be Removed By President, But Allows Agency To Continue To Operate

Jun 29, 2020

Supreme Court Finds That CFPB Director Can Be Removed By President, But Allows Agency To Continue To Operate

On June 29, 2020, the Supreme Court issued a ruling that expanded the President’s authority to remove a director of the Consumer Financial Protection Bureau (CFPB), while simultaneously finding that the Bureau itself could continue to exist an operate. In Seila Law LLC v. CFPB, both the law firm Seila Law—which was under investigation by…

TCPA Prior Express Consent Via Business Card? Third Circuit Says “Yes, It Counts”

Apr 1, 2020

TCPA Prior Express Consent Via Business Card? Third Circuit Says “Yes, It Counts”

As businesses that make telemarketing or automated/prerecorded phone calls and send text messages and telemarketing faxes are well aware, the federal Telephone Consumer Protection Act (“TCPA”) imposes certain restrictions on communications sent without the recipient’s express consent or permission.  Many courts view the “prior express consent” or permission requirement quite broadly.  And just this week,…

Raising Money for COVID 19 Related Causes? Read this First.

Mar 23, 2020

Raising Money for COVID 19 Related Causes? Read this First.

Cause Marketing Social causes are an important part of both community and business culture. Increasingly, businesses identify social causes to support as a part of their company mission. When they fold that mission into their marketing, it can trigger federal and state consumer protection laws (as well as federal tax laws). Why? To prevent fraud…

Ability to Revoke TCPA Consent Limited When Consent Was Provided Via Contract

Apr 3, 2019

Ability to Revoke TCPA Consent Limited When Consent Was Provided Via Contract

Although the Telephone Consumer Protection Act (“TCPA”) limits the ways in which companies may contact individuals via automated dialers, with prerecorded messages, or via text message, one of its hallmarks is that companies are entitled to contact consumers who have provided their express consent to be called.  However, in 2015, the Federal Communications Commission (“FCC”)…