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FTC Actions Posts
FTC’s Mortgage Acts and Practices Advertising Rule May Not Help Consumers
Aug 15, 2011
FTC’s Mortgage Acts and Practices Advertising Rule May Not Help Consumers
The FTC recently issued the Mortgage Acts and Practices – Advertising Final Rule. This rule is the FTC’s response to a congressional directive to address unfair or deceptive acts in the mortgage loan industry. Briefly, the MAP Rule (1) gives the FTC and state authorities the ability to seek civil penalties for deceptive mortgage advertising,…
Should FTC Sue Law Schools For Misrepresentation?
Jul 11, 2011
Should FTC Sue Law Schools For Misrepresentation?
On May 25, 2011, a class action was filed against the Thomas Jefferson School of Law (TJSL) in San Diego for intentionally misrepresenting employment data of recent alumni. The complaint states that in order to continue attracting students despite exorbitant law student debt and a depleted legal job market, TJSL has “adopted a practice of…
Since When Did the FTC Start Regulating Cyber Security?
May 11, 2011
Since When Did the FTC Start Regulating Cyber Security?
There’s no question that the Federal Trade Commission has the authority to prevent deceptive and unfair trade practices, such as false or misleading claims directed at consumers. Somehow, however, that authority has morphed into a much broader reach than one would have expected on the basis of common sense. We’ve written extensively about such jurisdictional…
FTC Files Suit Against Acai Marketing Sites Disguised as ‘News’
Apr 29, 2011
FTC Files Suit Against Acai Marketing Sites Disguised as ‘News’
The FTC recently filed suit against ten operations with websites that market acai berry weight loss products. The FTC alleged that the companies’ websites – which look like news websites – deceived consumers who thought the sites were credible journalistic outlets as opposed to elaborate marketing schemes. According to the FTC, the sites contained titles…
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…
