Tag Archives: FTC

Beware Operation CBDeceit

By Randal M. Shaheen, Amy Ralph Mudge and John P. Ferry on December 22, 2020 Posted in CBD

The Federal Trade Commission (“FTC”) announced on December 17 that it has taken action against six sellers of CBD products. In case you need a refresher, CBD is a substance found in the cannabis plant that is widely touted for its health benefits. The 2018 Farm Bill legalized hemp-derived CBD at the federal level, and … Continue Reading

Will FTC Penalties Under Section 5(m)(1)(B) Rise Again?

By Amy Ralph Mudge and Randal M. Shaheen on November 5, 2020 Posted in FTC

As we wait to see how the Supreme Court will rule on the FTC’s redress authority and whether the FTC will potentially be controlled by Republicans or Democrats for at least the next four years, it is worth noting that Commissioner Chopra and one of his attorney advisors has written an interesting draft paper advocating … Continue Reading

FTC Enforcement: What Is Equitable Relief?

By Randal M. Shaheen and John P. Ferry on October 5, 2020 Posted in FTC

All eyes remain on the Supreme Court and what, if any, changes the Court may make to the Federal Trade Commission’s (FTC’s) authority to seek consumer redress. Will the Court strip the FTC of that authority entirely? The Third Circuit’s recent decision in an antitrust matter suggests so. The circuit court held Section 13(b) of … Continue Reading

Beware of Dark Patterns

By Randal M. Shaheen and Amy Ralph Mudge on September 18, 2020 Posted in Advertising

Yoda cautioned Luke Skywalker to beware of the Dark Side. In The Golden Compass, we were told to beware of dark materials. For those old enough to remember, the town of Collinsport was told to beware of Barnabas Collins, who lurked in Dark Shadows. And little kids in general are just plain scared of the … Continue Reading

No More Blurry Searches: 1-800 Contacts Settles Class Action Lawsuit Alleging Search Term Restraints

By Darley Maw and Ann O'Brien on May 21, 2020 Posted in Class Actions

Last week, mega-online retailer 1-800 Contacts settled claims brought by a class action suit in the Central District of Utah alleging that the company was the mastermind of a scheme to prevent competition in the online contact lens market. The plaintiffs, consumer purchasers of contact lenses, alleged that 1-800 Contacts coerced some of its competitors … Continue Reading

When Your ‘Looks’ Are Late: FTC Settles With Online Fashion Retailer Over Alleged Mail Order Rule Violations

By Linda A. Goldstein and Matthew Renick on May 6, 2020 Posted in FTC

Online retailers are well aware of how the promise of quick delivery can influence consumer purchasing decisions. Especially in times like these, when delivery times have slowed for many companies, marketers might be even more tempted to promise fast delivery as a way to entice consumers to place an order. A recent enforcement by the … Continue Reading

FTC Case Against Rent to Own Company Airs Differences Over Redress, Individual Liability and ROSCA

By Randal M. Shaheen and Amy Ralph Mudge on April 25, 2020 Posted in FTC

The Rent to Own industry has been a frequent target of Federal Trade Commission (FTC or Commission) action. While the industry notes that it provides an ownership option for consumers who are unable to pay up front and who may not qualify for traditional credit, critics point to the fact that the final cost of … Continue Reading

Commissioner Wilson Weighs In on FTC Priorities

By Randal M. Shaheen and Amy Ralph Mudge on April 9, 2020 Posted in FTC

We have blogged quite a bit about efforts by one or both of the Federal Trade Commission’s (FTC or Commission) Democratic commissioners to push the Commission into a more enforcement-minded posture and to think creatively and expansively about the enforcement tools the Commission has at its disposal. Thus it seems appropriate to give equal time … Continue Reading

COVID-19 Update: Pricing During COVID-19 Without Gouging or Fixing

By Ann O'Brien and Jeanne-Michele Mariani on April 8, 2020 Posted in FTC

We recently blogged here about the FTC and states combating scams, price gouging and deceptive ads, and our antitrust group issued an alert on navigating antitrust issues in the wake of COVID-19. Today, we write to provide updates about the recent focus on price gouging and how you can set prices in these difficult times … Continue Reading

Regulators Issue Warning: These Products Cannot Treat Coronavirus

By Amy Ralph Mudge and Matthew Renick on March 9, 2020 Posted in FTC

Last week at our #BakerDigitalForum (BakerHostetler’s forum on advertising, e-commerce, data privacy & security law) we heard from Richard Cleland, assistant director, Advertising Practices, for the Federal Trade Commission (FTC)’s Bureau of Consumer Protection. He informed attendees that the FTC’s priorities often come from the headlines, citing COVID-19 as the first example of current events … Continue Reading

The FTC, AI and Algorithms

By Randal M. Shaheen and Amy Ralph Mudge on February 13, 2020 Posted in FTC

If you got past the title to this point, congratulations – not sure that we would have. In exchange for your trust, we promise to try to address a complicated and fascinating subject in a relatively clear manner. That’s pretty much what Commissioner Rebecca Slaughter of the Federal Trade Commission (FTC) did in a recent … Continue Reading

Who Can I Trust on the Way to the Dog Show? The FTC on Review Websites and Fake Reviews

By Amy Ralph Mudge on February 6, 2020 Posted in FTC

I am making my annual pilgrimage next week to bring my mother to the Westminster Dog Show. We need to stay and eat near Madison Square Garden, as she likes to be very close to all the action; plus, there is a chance we might be in the same hotel as Wilma the champion Boxer, … Continue Reading

FTC Takes a Peek at Loot Box Regulation

By Carolina Alonso and Patrick Waldrop on October 11, 2019 Posted in FTC, Gaming

How many times have you felt the thrill of buying a lottery ticket? What about the excitement before opening a sealed pack of baseball cards or the curiosity before diving for a mystery prize in a cereal box? Now imagine digitalized versions of all these items – in your favorite video game – and they’re … Continue Reading

FTC on Influencers and Consumer Reviews from the NAD Conference

By Matthew Renick on September 27, 2019 Posted in Advertising, FTC

Earlier this week at the National Advertising Division (NAD) annual advertising law conference, Mamie Kresses, a senior attorney in the Bureau of Consumer Protection, Advertising Practices division at the Federal Trade Commission (FTC), offered her views on influencers and consumer reviews, two topics near and dear to our hearts. We wanted to share some key … Continue Reading

Are Made in USA Chickens Worthless? These and Other Deep Questions from the FTC’s Made in USA Workshop

By Amy Ralph Mudge and Randal M. Shaheen on September 26, 2019 Posted in FTC

Today the Federal Trade Commission (FTC) hosted a half-day workshop looking at Made in USA claims and the FTC’s guidance and enforcement. For those who want to watch “all or substantially all” of the event, the videos and materials can be accessed here. Some highlights and suggested next steps are below. By way of general background, … Continue Reading

Lead Generation Leads to FTC Settlement

By Randal M. Shaheen and Amy Ralph Mudge on September 3, 2019 Posted in FTC

There is nothing particularly new about the idea of lead generation in marketing. Companies have from the very beginning paid their own employees or paid others to help find prospects for their goods and services. However, in today’s digital world and with the myriad different ways in which consumer information is gathered, the use of … Continue Reading

FTC Nursery Guides Go Bye-Bye but Not Without a Fight

By Amy Ralph Mudge and Randal M. Shaheen on June 10, 2019 Posted in FTC

We have practiced in the consumer protection space collectively for more than 50 years and have not once had occasion to consult the Federal Trade Commission’s (FTC or Commission) Nursery Guides. Perhaps then it is no surprise that the FTC has decided that after 40 years it was time to say goodbye to the guides. … Continue Reading

FTC MUSA Remedy Wars Continue

By Randal M. Shaheen and Amy Ralph Mudge on May 17, 2019 Posted in FTC

We recently wrote about the Federal Trade Commission’s (FTC’s) recent approval of a pair of Made in USA (MUSA) settlements. It is also worth noting that the approvals drew a statement and a dissent from the Commission’s Democrats and a concurrence from Chairman Simons. As is often now the case, the dispute made its way … Continue Reading

20 Years Young: The Maturing of COPPA in a Privacy-Conscious Age

By Carolina Alonso, Alan L. Friel, Amy Ralph Mudge and Taylor A. Bloom on April 30, 2019 Posted in Advertising, COPPA

We cover children’s privacy and advertising weekly. However, in light of COPPA’s recent 20th anniversary, and in the wake of CARU’s biggest-yet West Coast CARU conference, ADLaw has enlisted CARU super lawyer Katie Goldstein* to help us recap the past 2.5 decades of KIDlaw. 1998: A Concern for Children’s Privacy Was Born From the moment home … Continue Reading

COPPA Safe Harbor Hit by Storm

By Randal M. Shaheen and Amy Ralph Mudge on April 17, 2019 Posted in COPPA, FTC

Administrations come and administrations go, but the FTC and self-regulation have had a long-running love affair. But can there be too much of a good thing? The FTC has long been an enthusiastic cheerleader and active supporter of self-regulatory programs such as NAD. And the bloom doesn’t appear to be off that rose. However, a … Continue Reading

Supplement Sellers Beware

By Randal M. Shaheen and John P. Ferry on March 13, 2019 Posted in Dietary Supplements, FDA

Recognizing the rapid growth and penetration of dietary supplements into all demographics of American consumers, the Food and Drug Administration (FDA) is viewing at least some dietary supplements as belonging to “the Wild West,” and intends to be Wyatt Earp. Or supplements are the Wild Wild West and the FDA is Will Smith, if that’s … Continue Reading

Are Reports of the Federal Trade Commission’s Death Greatly Exaggerated?

By Randal M. Shaheen and Amy Ralph Mudge on March 5, 2019 Posted in FTC

The multiverse is abuzz about the recent Third Circuit ViroPharma decision and other like-minded courts that have placed significant limitations on the ability of the Federal Trade Commission to obtain an injunction in federal court against allegedly unlawful behavior that companies have already ceased. The FTC Act as originally written required that the agency bring … Continue Reading