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FTC Actions Posts
Got Endorsers? Federal Trade Commission Issues Updated Advertising Guides
Jul 10, 2023
Got Endorsers? Federal Trade Commission Issues Updated Advertising Guides
The Federal Trade Commission (“FTC”) recently issued updated “Endorsement Guides.” Guides, last revised in 2009, give businesses guidance on what endorsement practices may be considered “unfair” or “deceptive” under the FTC Act. They also provide the general principles the FTC will use in evaluating endorsements and testimonials. As social media has evolved, the FTC has…
A Review of Top-Rated AI Tech Companies Undermines the FTC’s Warning of Deception
Mar 22, 2023
A Review of Top-Rated AI Tech Companies Undermines the FTC’s Warning of Deception
Artificial intelligence (“AI”) was once thought of as science fiction – something we could only see on a movie screen or read about in a comic book. But in recent years, the technology has become both accessible and popular, proliferating nearly every sector of society. From healthcare to…
The FTC Weighs In: Online Services Must Be Diligent When Kids’ Privacy At Stake
Mar 9, 2022
The FTC Weighs In: Online Services Must Be Diligent When Kids’ Privacy At Stake
WW International (f/k/a Weight Watchers) seems to be doing children a service: the company developed an online program tailored to address childhood weight issues. The program, offered by WW subsidiary Kurbo, has an app, youthful professional coaches, and many features that look promising both to attract and to retain program young subscribers. Plus, the program…
FTC Tells Advertisers – Fake Reviews and Endorsements Are Going to Cost You
Oct 14, 2021
FTC Tells Advertisers – Fake Reviews and Endorsements Are Going to Cost You
Does your company or its affiliate advertisers use celebrities or influencers to market your services? Do you use customer reviews to promote your offerings? The Federal Trade Commission (“FTC”), energized by new Chairperson Lina Khan, just sent out notices to over 700 companies – including many household names (https://www.ftc.gov/system/files/attachments/penalty-offenses-concerning-endorsements/list-recipients-endorsement-notice.pdf) warning them about using fake reviews…
Supreme Court rules that FTC cannot seek disgorgement under Section 13(b) of the FTC Act
Jul 12, 2021
Supreme Court rules that FTC cannot seek disgorgement under Section 13(b) of the FTC Act
Last October, we reported on the Third Circuit Court of Appeals’ decision in Federal Trade Commission v. AbbVie, Inc., in which the appeals court overturned a trial court’s decision ordering $448 million in disgorgement pursuant to Section 13(b) of the Federal Trade Commission (“FTC”) Act against a group of businesses accused of trying to monopolize…
Plot thickens in FTC disgorgement debate, as $448 million award is reversed
Oct 2, 2020
Plot thickens in FTC disgorgement debate, as $448 million award is reversed
As previously reported in this space, the Supreme Court is scheduled to hear argument in its upcoming term regarding whether the Federal Trade Commission was authorized to seek monetary relief such as disgorgement or restitution under Section 13(b) of the FTC Act. These cases do not just call into question the availability of a certain…
Upcoming Supreme Court cases could stop FTC from halting businesses and freezing assets via TROs
Jul 16, 2020
Upcoming Supreme Court cases could stop FTC from halting businesses and freezing assets via TROs
If it was not already apparent, the Supreme Court last week made it clear that it is taking a close look at the power of federal agencies to obtain monetary relief such as disgorgement or restitution through civil proceedings. Indeed, on June 22, the Court in Liu v. Securities and Exchange Commission held that although…
FTC Settles with Gaming App for False Representations about Children’s Privacy
Jul 9, 2020
FTC Settles with Gaming App for False Representations about Children’s Privacy
On July 6, 2020, the Federal Trade Commission announced a settlement with gaming app developer Miniclip S.A. The settlement addresses allegations that Miniclip falsely claimed membership in a Children’s Online Privacy Protection Act (COPPA) safe harbor program for the last several years. Miniclip boasts more than 1 billion downloads of its 45 “high-quality mobile games”…
FTC Enforcement reminds Companies to live up their Promises
Apr 15, 2020
FTC Enforcement reminds Companies to live up their Promises
The FTC recently announced its settlement with Tapplock, Inc., a maker of smart padlocks (Internet-connected fingerprint-enabled padlocks that you can use in lieu of old-fashioned combo locks). The FTC investigated the Canadian-based company for its allegedly false claims that its Internet-connected smart locks were designed to be “unbreakable” and that the company took reasonable steps…
You Got Loot? FTC Examines In-Game Purchases
Aug 8, 2019
You Got Loot? FTC Examines In-Game Purchases
The FTC held three panels on Wednesday, August 7, 2019, that centered on one topic: loot boxes earned or purchased during online game play. It’s clear from the selection of panelists and the questions posed by FTC staff that the FTC is on high alert about potential consumer protection issues surrounding these in-game purchases. If…
