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In praise of Toby Flenderson

Kate Resnevic and Lesley Fair
HR could use better PR. Say "human resources" and some people think of Dunder Mifflin’s joy-deficient Toby Flenderson from "The Office." But you know better and appreciate the job your HR team does to keep your organization up and running. They're also a critical line of defense between your company and the onslaught of data thieves and scammers. The BCP Business Center has a special page to make their job a little easier. Why should HR be a part...

Court finds litany of violations in alcoholism "cure" case

Lesley Fair
People who signed up with the Jacksonville-based Alcoholism Cure Corporation were promised a “scientifically proven” program that “cures alcoholism while allowing alcoholics to drink socially.” What they got was a shopping list, instructions to take handfuls of unproven supplements, and a particularly troubling surprise when they tried to cancel their membership. A recent ruling by a federal judge upheld FTC and Florida AG allegations that when...

Fineprint footnotes: Kryptonite for advertisers?

Lesley Fair
Remember the character from the Superman comic books who was the exact opposite of the Man of Steel? He said no when he meant yes, his alter ego went by the name "Kent Clark," and was part of the Injustice League of America. It made for fun reading, but you wouldn’t want him crafting your ad claims. According to the FTC’s lawsuit against DR Phone Communications, promotional materials for the company’s long distance calling cards said one thing —...

Check that check

Colleen Tressler & Karen Hobbs
At the BCP Business Center, we offer tips on how to stay on the right side of the law. But we also do our best to spread the word about the latest frauds targeting businesses — and this one’s a piece of work. If your company accepts checks or online payments, you’ll want to be on the look-out for a scam that could leave you with a stack of worthless paper. Here’s what’s happening: In exchange for a fee and some personal information, fraudsters...

Speaking of Spokeo: Part 3

Lesley Fair
The terms of the FTC’s Spokeo settlement apply just to Spokeo, but that case and other recent law enforcement actions offer insights for a much broader audience. Consumer reporting agencies. Sure, people usually think of a few specific companies when the topic turns to consumer reports, but the definition of “consumer reporting agency” under the Fair Credit Reporting Act is broader than you might think. If you’re covered under the FCRA, you have...

Speaking of Spokeo: Part 2 — The company’s allegedly bogus endorsements

Lesley Fair
The lawsuit against data broker Spokeo is the FTC’s first Fair Credit Reporting Act case addressing the collection of online info — including data from social networking sites — when used in the context of employment screening. But that’s not the only way the Spokeo settlement touches on social media. The FTC also charged that Spokeo violated Section 5 by having employees post glowing recommendations of the company’s services on news and...

Speaking of Spokeo: Part 1

Lesley Fair
Like chicken and waffles or ham and pineapple on pizza, some combos don’t sound like they’d go together, but make sense once you find out more. Put the FTC’s settlement with Spokeo on that list. According to the FTC, data broker Spokeo violated the Fair Credit Reporting Act and used deceptive endorsements in violation of Section 5. A closer look at the pleadings explains how those two hot topics found their way into one FTC complaint. FCRA first...

Collection deception

Lesley Fair
On classic episodes of the Tonight Show, affable sidekick Ed McMahon sought guidance from Johnny Carson's all-knowing Carnac character. But as demonstrated by a recent FTC law enforcement action — which involved a company's misleading reference to the late Mr. McMahon — you don't need a psychic to know that challenging deceptive debt collection practices remains a top priority. According to the complaint, defendants Luebke Baker & Associates, CEO...

What your ads say and what the science supports: If the shoe doesn't fit...

Lesley Fair
According to the FTC, Skechers made false and deceptive claims about the benefits of Shape-ups and other Skechers brands. If you’re in the fitness or health business, the $40 million settlement should grab your attention. But the underlying principles apply to all advertisers. If you're looking to get a leg up on substantiation, here are some footnotes to take from the case. Proving ground. To support their representations, advertisers must have...

FTC to Skechers: Shape up your ad claims

Lesley Fair
It’s usually Skechers promising to help people shape up. But this time, the shoe’s on the other foot. In a $40 million settlement announced by the FTC — part of a broader agreement that also resolves charges by state AGs — the agency is telling Skechers to shape up its claims for Shape-ups and other Skechers shoes. According to the FTC, through ads featuring celebrities like Kim Kardashian and Brooke Burke, Skechers made numerous false and...