Tag: false advertising
Eric Schneiderman’s Losing Lineup
Defenders of DFS like to point out that it is skill-predominant. If the same can be said for public prosecution, then New York Attorney General Eric Schneiderman has been fielding one hell of a losing lineup. Between the two of them, DraftKings and FanDuel dominated the DFS space, and they still did after Schneiderman dumped… Read More
School Scams: FTC Cracks Down on Florida Online Diploma Mills
Online diploma mills, which require little or no coursework to complete a degree have recently garnered much attention within the online education realm. Websites which offer questionable diplomas for hundreds of dollars target vulnerable consumers seeking a degree to improve their life prospects, while simultaneously casting a shadow over legitimate online educational institutions which… Read More
$3.5 Million Cactus Juice Settlement Should be a Warning to Advertisers
In this health-conscious age, consumers are always on the lookout for new products which will improve wellness and quality of life. Marketers attuned to this trend may be tempted to increase sales by extolling the virtues of their products, even if health claims are unsubstantiated by scientific testing. A recent FTC case, however, demonstrates the… Read More
New Year Brings New Plans by the FTC to Take Down Deceptive Weight Loss Advertisers
New year, new resolutions. Yesterday, the FTC announced a resolution of its own: to undertake a nationwide enforcement effort to protect consumers against deceptive weight loss claims. Dubbed “Operation Failed Resolution,” the FTC’s latest enforcement effort seeks to protect consumers who face a barrage of “opportunistic marketers” promising quick ways to shed pounds. According to… Read More
FTC Takes Tough Action Against ‘Scareware’ Tactics
A great way to make money is to develop a product or service that responds to a consumer want or demand, and then to stay ahead of prospective competitors by offering better pricing or quality. A not-so-great way to make money is to convince consumers to buy a product or service that they don’t really… Read More
CFPB Takes Action Against ‘Abusive’ Acts by Debt-Relief Company
Recently, the Consumer Financial Protection Bureau, the watchdog agency of the financial industry, has proved that it has considerable bite. Created under the Dodd-Frank act to fill gaps in regulatory coverage, the CFPB’s mandate is to enforce federal regulations that, among other things, restrict “unfair deceptive or abusive acts or practices” in consumer finance. The… Read More
FTC Signals Interest in Enforcement of Deceptive Advertising Laws Against Payment Processors
Ignorance of the law is no excuse; nor is (willful) ignorance of a business partner’s illegal activities. That’s a lesson to be learned from a recent amended complaint filed by the FTC which named a payment processor in its complaint against a telemarketer that allegedly engaged in a scam concerning credit card interest rate reduction…. Read More
Wyndham Case Challenges FTC’s Authority Over Cybersecurity
Over the past decade the Federal Trade Commission has brought cybersecurity enforcement actions against various private companies, imposing tens of millions of dollars in monetary penalties and requiring companies to maintain more stringent data-security practices. No company has ever challenged the FTC’s authority to regulate cybersecurity in this way in court – until now. On… Read More
What’s That Charge on My Mobile Phone Bill? The FTC Wants to Know
“Cramming” – while it sounds like the experience of being in the middle row of a cross-country flight – actually refers to unauthorized charges on phone bills. Residential and business telecommunications customers have experienced cramming on their wireline bills for years, particularly for premium and other pay-per-call services. And the FTC has brought nearly two… Read More
A Q&A With Jeff Ifrah on the FTC’s Latest Draconian Tactics
Some lawyers who deal regularly with the Federal Trade Commission in investigations of allegedly false and deceptive online advertising have noticed that the agency is beginning to take steps in these investigations that are unprecedented and draconian – and that judges seem to be going along. Below is a set of questions and answers with… Read More
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