News & Analysis as of

Civil Monetary Penalty Marketing

Davis Wright Tremaine LLP

Stay ADvised: 2025, Issue 7

New Suit Claims "Scientifically False" Pheromone Ads Are "Pure" False Advertising - "It's not myth. It's science." So claims Pure Instinct in its ads for pheromone perfumes. But a new class action lawsuit claims it's not...more

Troutman Pepper Locke

Alaska Obtains Six-Figure Civil Penalty in Product Labeling Case

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Alaska’s Department of Law’s Consumer Protection Unit recently announced it obtained a Superior Court order issuing a $250,000 civil penalty against B. Merry Studio, which the state alleged to have marketed products as being...more

Hinch Newman LLP

Did Your Company Receive an FTC Warning Letter or Notice of Penalty Offense?

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Has your company received an FTC warning letter or a penalty offense notice? If so, such correspondence should not be ignored because there is a high likelihood that the FTC is in the process of actively and quickly seeking...more

Troutman Pepper Locke

Company Enters $10M Settlement to Resolve Deceptive Advertising Claims

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Illinois Attorney General (AG) Kwame Raoul entered a settlement with Teleperformance Colombia SAS, TPUSA Inc., and Teleperformance SE (collectively, Teleperformance). The agreement resolves allegations that Teleperformance...more

Cozen O'Connor

Connecticut Continues Streak of Solar Settlements

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Connecticut AG William Tong has reached a settlement with Vision Solar, LLC to resolve allegations that the company violated the Connecticut Unfair Trade Practices Act through its marketing, sales, permitting, and...more

Hinch Newman LLP

What Digital Marketers and Influencers Need to Know About the FTC Final Rule Banning Fake Consumer Reviews and Testimonials

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As previously blogged about here, following notices of proposed rulemaking in 2022 and 2023, on August 22, 2024 the Federal Trade Commission finalized a rule that will impose monetary civil penalties false and misleading...more

WilmerHale

FTC Penalizes Cloud-Based Physical Security Company for Data Security and CAN-SPAM Violations

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On August 30, the Federal Trade Commission (FTC) entered into a proposed settlement order with cloud-based physical security solutions provider, Verkada Inc. (“Verkada”), settling allegations of data security violations and...more

BCLP

Part 6: What the FTC’s Final Rule on Reviews and Testimonials Means for Enforcement, Penalties

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In this post, the final part of our six-part series, we explore the nuances of the “teeth” of the FTC’s Final Rule on consumer reviews and testimonials—the money the FTC can recover for violations of the Final Rule....more

Goodwin

SEC Sends Additional Message to Registered Investment Advisers on Marketing Rule Obligations Through Enforcement Actions

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On September 9, 2024, approximately one year since its first flurry of similar Marketing Rule actions, the Securities and Exchange Commission (the SEC) announced settlements with nine SEC-registered investment advisers (the...more

BakerHostetler

When Can the FTC Get $50,000 for a Consumer Review Snafu? Key Things to Know about the Rule on the Use of Consumer Reviews and...

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The Final Trade Regulation Rule on the Use of Consumer Reviews and Testimonials was issued yesterday. It becomes effective 60 days after the rule is published in the Federal Register, which has not happened yet so no clock is...more

Mintz - Health Care Viewpoints

The OIG Issues New FAQs on Financial Assistance Policies and Marketing to Patients

On July 8, 2024, the Office of Inspector General (OIG) updated its General Questions on Fraud and Abuse Authorities (FAQs) related to the Anti-Kickback Statute (AKS) and the Beneficiary Inducement Prohibition of Civil...more

Womble Bond Dickinson

Federal Trade Commission Strikes Against “Crafted in America” Language

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As previously reported by Home Textiles Today, the Federal Trade Commission (FTC) has announced a “record civil penalty” of $3.175 million against a retailer who failed to tell the truth about whether the products it sells...more

Dorsey & Whitney LLP

SEC Settles with Five Investment Advisers for Marketing Rule Violations

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The SEC recently settled charges against five registered investment advisers for violations of the marketing rule (“Marketing Rule”) under the Investment Advisers Act of 1940 (“Advisers Act”)....more

Fenwick & West LLP

Remember the CAN-SPAM Act? The FTC Does. Practical Takeaways from the FTC’s Recent CAN-SPAM Enforcement Action

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On August 14, 2023, the U.S. Department of Justice and the Federal Trade Commission (FTC) entered a stipulated settlement with Experian Consumer Services to resolve allegations that Experian violated the Controlling the...more

Fox Rothschild LLP

FTC’s Newest Notice of Penalty Offenses

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Last week the Federal Trade Commission (FTC) issued a press release stating that it “is putting hundreds of advertisers on notice that they should avoid deceiving consumers with advertisements that make product claims that...more

BakerHostetler

FTC Reverts to Penalty Letters, Threatening 670 Companies with Penalties for Unsubstantiated Health Claims and Maybe More

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Advertisers likely recall that back in 2021, the Federal Trade Commission (FTC) created quite the stir when it sent to more than 700 companies warning letters that threatened penalties if companies engaged in deceptive...more

Cozen O'Connor

Missouri AG Schmitt Sues Residential Solar Power Company for Alleged Misrepresentations, Shoddy Installations

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Missouri AG Eric Schmitt sued residential solar energy company Power Home Solar, LLC over allegations that Power Home used false promises, misrepresentation, and omissions, among other things, in the marketing, sales,...more

BakerHostetler

All Eyes on Us - the Latest FTC Case Involves Contact Lenses plus an Important Lesson About Incentivized Reviews

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Up until now, most of the FTC’s law enforcement involving the Contact Lens Rule (Rule) has focused on sellers of cosmetic or decorative lenses. Indeed, safety concerns about decorative lenses were newsworthy in 2010, when...more

Goodwin

FinCEN Proposes Rule for SARs Sharing Pilot Program

Goodwin on

In This Issue. The Financial Crimes Enforcement Network (FinCEN) issued a proposed rule about the establishment of a limited-duration pilot program for sharing suspicious activity reports (SARs); FinCEN published the final...more

Stark & Stark

FTC Issues Penalty Offenses Concerning Money Making Opportunities to Hundreds of Franchise Companies

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The Federal Trade Commission (“FTC”) has kept itself busy as of late, issuing a series of notices to over 1,000 businesses (many of them franchise companies) advising them that they could face civil penalties for conduct that...more

Cozen O'Connor

Lead Generation Company Settles Allegations It Misled Millions of Consumers to Collect Sensitive Financial Information

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The FTC reached a settlement with lead generation company ITMedia Solutions LLC and a number of related entities and individuals (collectively “ITMedia”) to resolve allegations that ITMedia used misleading marketing tactics...more

BakerHostetler

Legal Marketing Resolutions for 2022 — Better Coffee for All

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I made my last New Year’s resolution 10 years ago in 2012. Technically, it wasn’t a resolution; maybe it was more of a lifestyle choice. I vowed that I would no longer drink the coffee that was sold in the Federal Trade...more

Sheppard Mullin Richter & Hampton LLP

FTC Cracks Down On Violations of Newly-Codified “Made in USA” Claims Rule

The Federal Trade Commission (“FTC”) recently settled an enforcement action against an advertiser for $753,000 for deceptive “Assembled in USA” product claims, the first such settlement following the FTC’s recent adoption of...more

Cozen O'Connor

Opioid Fallout: Ad Agency Sued For Allegedly Helping Purdue Deceptively Market OxyContin

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Massachusetts AG Maura Healey sued healthcare marketing company Publicis Health, LLC (“Publicis”) under a theory of public nuisance and for violations of Massachusetts’s consumer protection law over Publicis’s alleged role in...more

BakerHostetler

AD-ttorneys@law – May 2021 #1

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SCOTUS: No Equitable Monetary Relief for FTC Under § 13(b) - Well, the buck stops here (for now). In AMG Capital Management, LLC v. Federal Trade Commission, the Supreme Court unanimously ruled that Section 13(b) of the...more

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