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Influencer Liability: Will New-Age Litigation Net Celebrity Spokespeople?
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December 12, 2025
Influencer Liability: Will New-Age Litigation Net Celebrity Spokespeople?
By: Lauren Scribner
The “influencer economy,” in which so-called “content creators” share user-generated content such as livestreams or short-form film, is showing no signs of slowing down. Currently valued north of $250 billion, it is projected to reach nearly $500 billion by 2027.[1] “Creators earn income primarily through direct branding deals to pitch products as an influencer; via a share of advertising revenues with the host platform; and through subscriptions, donations and other forms of direct payment from followers. Brand deals are the main source of revenue at about 70%, according to survey data.[2] Indeed, a recent survey indicates that 64% of consumers are “more willing” to purchase a product when it is marketed by their favorite influencer.[3] And “9 in 10 marketers…
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The SEC Signs on to Arbitration
September 29, 2025
The SEC Signs on to Arbitration
By: George Calhoun
Early last week, on September 17, 2025, the SEC announced that it will no longer consider the presence of a mandatory arbitration provision in a company’s charter or bylaws when deciding whether to accelerate the effectiveness of a registration statement. This policy shift will permit companies to include arbitration clauses in their governing documents to require securities litigants (including class action plaintiffs) to pursue their…
Cal. High Court Softens Draconian Arbitration Fee Rule
August 19, 2025
Cal. High Court Softens Draconian Arbitration Fee Rule
By: Robert Ward
California law has often tested just how much room the Federal Arbitration Act (FAA) leaves for states to regulate consumer arbitration agreements. Last week, in Hohenshelt v. Superior Court,[1] the California Supreme Court determined that at least one claimant-favoring provision of the California Arbitration Act (CAA), California Code of Civil Procedure § 1281.98 comes close to, but does not cross, that line. At the same…
FTC Tells Advertisers – Fake Reviews and Endorsements Are Going to Cost You
October 14, 2021
FTC Tells Advertisers – Fake Reviews and Endorsements Are Going to Cost You
By: Michelle Cohen
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 and other misleading endorsements in advertising their products and services….
Supreme Court rules that FTC cannot seek disgorgement under Section 13(b) of the FTC Act
July 12, 2021
Supreme Court rules that FTC cannot seek disgorgement under Section 13(b) of the FTC Act
By: Ifrah Law
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 and restrain trade over a patented drug called AndroGel. At…
Plot thickens in FTC disgorgement debate, as $448 million award is reversed
October 2, 2020
Plot thickens in FTC disgorgement debate, as $448 million award is reversed
By: Ifrah Law
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 remedy; they may also have far-reaching impacts on the FTC’s…
SEC “Kiks” Another Goal In Ongoing Fight Against Cryptocurrencies
October 1, 2020
SEC “Kiks” Another Goal In Ongoing Fight Against Cryptocurrencies
By: Ifrah Law
In the latest blow to businesses seeking to offer digital tokens or cryptocurrencies to consumers, the United States District Court for the Southern District of New York ruled on Wednesday that Kik Interactive Inc.’s offering of its Kin digital token violated Section 5 of the federal Securities Act, granting summary judgment to the Securities and Exchange Commission in its lawsuit against Kik. Kik operates an…
Civil or Criminal Liability: Charging A Payment Processing Case by Coin Toss?
August 17, 2020
Civil or Criminal Liability: Charging A Payment Processing Case by Coin Toss?
By: James Trusty
In the eyes of federal investigators, when is a payment processor considered a benevolent alternative to traditional banks, and when is it viewed as a shady facilitator of all things criminal? In other words, is the client another Paypal or Venmo, or are we looking at a potential WireCard AG prosecution? We have noticed in recent cases that prosecutors are across the board in their…
