FTC Actions Posts

FTC Files First Lawsuit Against ‘Text Spam’

Apr 3, 2011

FTC Files First Lawsuit Against ‘Text Spam’

 Spam seems to be everywhere these days, and it has now invaded your wireless handheld.  Last month, the Federal Trade Commission filed its first lawsuit ever against an alleged perpetrator of “spam texting” – the practice of sending unsolicited commercial text messages to a large number of people.  The FTC is alleging that Phillip Flora…

Identity Theft Tops List of FTC Complaints in 2010

Mar 29, 2011

Identity Theft Tops List of FTC Complaints in 2010

This month, the Federal Trade Commission released its list of the top ten consumer complaints received by the agency in 2010. This list represents a good indication of some of the areas toward which the FTC may direct its resources and increase its scrutiny. For the 11th year in a row, identity theft was the…

FTC Cracks Down on Merchants’ Empty Promises

Mar 3, 2011

FTC Cracks Down on Merchants’ Empty Promises

On March 2, 2011, the Federal Trade Commission announced “Operation Empty Promises,” a multi-agency law enforcement initiative aimed at cracking down on misleading “work from home” and other business opportunity offers. The campaign includes more than 90 actions brought by various state and federal agencies in the past year, including the Department of Justice, the…

FTC Looks at Football Helmet Safety Claims

Feb 7, 2011

FTC Looks at Football Helmet Safety Claims

Helmet safety has caught the attention of the Federal Trade Commission, which is looking into marketing claims that some football helmets can help reduce concussions. Recent months have seen widespread publicity about concussions and other traumatic head and neck injuries suffered by football players, prompting the National Football League to step up enforcement of rules…

Middlemen Run Afoul of FTC Suspicions

Feb 3, 2011

Middlemen Run Afoul of FTC Suspicions

Brokers, middlemen, and intermediaries serve an economic purpose: to put people who want a product or service in touch with a product maker or service provider. Real estate brokers help us buy and sell homes; mortgage brokers help us find lenders for our home purchases; manufacturing reps help get new products on our grocery shelves,…

FTC Gets Serious About ‘Fake’ Reviews, Endorsements

Jan 24, 2011

FTC Gets Serious About ‘Fake’ Reviews, Endorsements

In a cybermarket full of every product and service imaginable, advertisers go to great lengths to make their products stand out by grabbing consumers’ attention and interest. In recent years blogs have become a popular forum for sharing tips and information, and advertisers have used blogs to promote their products. While advertisers are perfectly entitled…

How to Sell E-cigarettes and Avoid an FTC Investigation

Jan 20, 2011

How to Sell E-cigarettes and Avoid an FTC Investigation

Customers are flocking to electronic cigarettes — battery-operated nicotine delivery devices that are meant to replicate the flavor and sensation of smoking a tobacco cigarette. While merchants and advertisers are understandably eager to participate in this growing industry, we predict that the FTC will be watching ads carefully in anticipation of enforcing its advertising rules….

FTC Issues New Rule on Mortgage Scammers

Jan 10, 2011

FTC Issues New Rule on Mortgage Scammers

As the economic crisis continues for many homeowners, the Federal Trade Commission has taken actions to protect homeowners from mortgage relief scams. Most of the new requirements took effect on December 29, 2010, and all of the new requirements can be applied to affiliate marketers, who immediately need to be aware of the rule. The…

Suit Against FTC Asks: Did Agency Change Advertising Rules in Middle of Game?

Sep 17, 2010

Suit Against FTC Asks: Did Agency Change Advertising Rules in Middle of Game?

Is there a way to hold a government agency like the Federal Trade Commission (FTC) accountable for the cost to businesses of what a company says are abrupt and systemic changes in regulatory standards? POM Wonderful LLC, a Los Angeles-based juice company, is trying to do just that by suing the FTC in District Court….

In Rare Ruling, Court Permits Discovery Into Motives Behind FTC Subpoena

Jul 26, 2010

In Rare Ruling, Court Permits Discovery Into Motives Behind FTC Subpoena

When a U.S. magistrate judge in the District of Columbia issued his ruling in Federal Trade Commission v. Bisaro on July 13, 2010, permitting limited discovery of certain FTC officials regarding an agency subpoena, it had been more than three decades since the D.C. Circuit had found that “extraordinary circumstances” were present that warranted discovery…