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Cancelling Subscriptions Could be Easier, or Maybe Signing Up Will Get Harder
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January 15, 2025
Cancelling Subscriptions Could be Easier, or Maybe Signing Up Will Get Harder
By: Jordan Briggs
Drawn in by the appeal of steady revenue, nearly three-quarters of direct-to-consumer companies now include a subscription model.[1] Everything has a subscription these days: video games, groceries, dating apps—you can even subscribe to a service to cancel your other subscriptions.[2] These subscriptions were not deterred from joining their most prominent predecessor (the gym membership) as an age-old punchline about how hard they are to cancel. However, cancelling subscriptions started to look less like a joke and more like a “trick” or even a “trap,”[3] so the FTC stepped in with the “click-to-cancel” rule to provide clarity to both companies and consumers on what the subscription cancellation process should look like. The click-to-cancel rule is the headliner for a few new…
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Temporary relief from compliance obligations under the Corporate Transparency Act
December 5, 2024
Temporary relief from compliance obligations under the Corporate Transparency Act
By: Steven Eichorn
On December 3, 2024, a U.S. District Court[1] issued a nationwide preliminary injunction that enjoins the federal government from enforcing the Corporate Transparency Act (the CTA)[2]. The CTA requires “reporting companies” in the United States to disclose basic identifying information about their beneficial owners — the individuals who ultimately own or control a company — to the Treasury Department’s Financial Crimes Enforcement Network (FinCEN). The…
Will Free Speech Become Expensive for Big Tech?
December 2, 2024
Will Free Speech Become Expensive for Big Tech?
By: James Trusty
Section 230 of the Communications Decency Act[1] is the federal law that allows internet platforms to host online content without fear of lawsuits based on third party content. In other words, for hosting free speech, internet providers are given immunity from liability if the speech somehow crosses the line from protected free speech into unprotected territory (defamatory, criminal solicitation, etc.). With the recent presidential and…
FTC Secures Nine Figure Judgment Against Single Co-Defendant in Scareware Case
March 19, 2014
FTC Secures Nine Figure Judgment Against Single Co-Defendant in Scareware Case
By: Ifrah Law
After the FTC secured a $163MM judgment against Kristy Ross in the US District Court of Maryland, the 4th Circuit affirmed, and so ends the FTC’s six-year “scareware” enforcement action. From beginning to end, this odyssey has been quite colorful, to say the least. The nine-figure judgment against Ross is no exception. Originally, there were eight codefendants: Innovative Marketing, Inc., ByteHosting Internet Services, LLC, and…
Electronic Cigarette Advertising Practices Draw Legislative Attention – Will Regulations Follow?
March 6, 2014
Electronic Cigarette Advertising Practices Draw Legislative Attention – Will Regulations Follow?
By: Ifrah Law
Advertisements for electronic cigarettes, or “e-cigarettes,” are increasingly drawing scrutiny from consumer advocates and public health groups who are calling for the federal government to regulate these advertisements in the same manner that traditional cigarette advertisements are regulated. The e-cigarette industry is growing at a rapid pace, particularly among younger people. Last year, the industry generated roughly $2 billion and industry sources estimate sales are…
Attorney General Holder Calls on Congress to Establish Strong National Data Breach Notification Standard
February 25, 2014
Attorney General Holder Calls on Congress to Establish Strong National Data Breach Notification Standard
By: Michelle Cohen
By Michelle Cohen, CIPP-US Yesterday, in his weekly video address, Attorney General Eric Holder urged Congress to create a national data breach notification standard requiring companies to quickly notify consumers of a breach of their personal or financial information. In the wake of the high profile holiday season data breaches at retailers Target and Neiman Marcus, Holder stated that the Department of Justice and the U.S….
TCPA Not Violated When Consumer Voluntarily Provided Number to Business
February 6, 2014
TCPA Not Violated When Consumer Voluntarily Provided Number to Business
By: Ifrah Law
A federal court in California recently ruled that a plaintiff who was required to enter her phone number to purchase a plane ticket online had consented to receive a text message, and dismissed her claim under the Telephone Consumer Protection Act (TCPA). A plaintiff’s prior express consent is a major issue in TCPA litigation and this decision represents a victory for companies that obtain phone…
Overstock Case Could Alter the Landscape of Price Comparison Advertising
January 31, 2014
Overstock Case Could Alter the Landscape of Price Comparison Advertising
By: Ifrah Law
A California court ruled earlier this month that Overstock must pay a roughly $6.8 million penalty to settle claims that the retailer “routinely and systematically” made false and misleading claims about the prices of its products on its website. If upheld, this ruling could have significant effects on how companies use price comparisons in advertisements in the future. A group of California District Attorneys sued…
