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With Uncertainty Surrounding the FTC’s Negative Option Rule, New California Requirements Wait in the Wings

Last Friday, the FTC’s final Negative Option Rule was published in the Federal Register, starting the clock on the effective dates for the agency’s expansive overhaul of requirements related to goods or services sold through...more

Amidst AI Crackdown Hype, FTC Stakes Out Aggressive New Position on Unfairness and Means and Instrumentalities Liability

Much has already been said and written about the FTC’s recent enforcement initiative, dubbed ​“Operation AI Comply.” The coordinated sweep announced last month involved five separate FTC enforcement actions against companies...more

Why Dissenting Statements by FTC Commissioners Matter

Last week, the FTC, by a 3-2 vote along party lines, adopted its click-to-cancel rule, which purports to make it easier to cancel gym memberships, streaming services, and the like. [We wrote about it here.] The final rule...more

FTC Finalizes ​“Click to Cancel” Rule; Brings Vast Changes and New Risks to Subscription Plans, Repeat Delivery Offers

Last year, we wrote about the FTC’s proposal to massively expand the Negative Option Rule to cover any goods or services involving a negative option or automatic renewal plan, including free trials, subscriptions, and repeat...more

FTC to Study “Surveillance Pricing”

On July 23, 2024, the Federal Trade Commission (FTC) announced that it had voted unanimously to initiate a new study focused on how companies may be leveraging consumer purchasing behaviors to personalize pricing for...more

Customer Service Chatbots: What You Need To Know

Generative AI continues to dominate the conversation in 2023, and one particular aspect receiving increased scrutiny in the past weeks is AI-powered customer service chatbots. The Consumer Financial Protection Bureau (CFPB)...more

Compliance with the INFORM Consumers Act – Find Resources Here

As we’ve written here, a brand new law governing online marketplaces and sellers takes effect TODAY, Tuesday, June 27. The new law (the Integrity, Notification, and Fairness in Online Retail Marketplaces for Consumers Act, or...more

When Chatbots Go Rogue

Last week, a mental-health chatbot used by the National Eating Disorder Association suddenly began giving diet advice to people seeking help for eating disorders. The rogue chatbot had apparently been developed as a closed...more

FTC Adopts Policy Statement on Biometric Data

During the Federal Trade Commission’s (FTC) Open Meeting on May 18, the Commissioners unanimously voted to adopt the Policy Statement on Biometric Information and Section 5 of the FTC Act. The Policy Statement broadly defines...more

The FTC’s Proposal to Ban Noncompetes is on Shaky Legal Ground

By now, most of our readers have likely heard about the FTC’s proposed rule to ban noncompete clauses in employment contracts, including from Kelley Drye’s other posts on the topic discussing the sheer breadth of the proposal...more

FTC Insights: How Employers Can Prepare for a World Without Noncompetes

When the FTC proposes a rule that could regulate nearly every employer in the nation, we take notice. In this second installment of our series on the FTC’s proposed rule to ban noncompete agreements, we provide a pragmatic...more

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