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Around the world in shady ways

Lesley Fair
Yes, it’s a global marketplace, but geography still matters. Misrepresentations about where a company is based can have significant implications for buyers. That’s the message of an FTC settlement announced today against a California online retailer that allegedly deceived British consumers into thinking it was a “hometown operation” by falsely using a .co.uk website. The settlement puts an end to the FTC’s law enforcement action against Jaivin...

Free means free, says the FTC

Lesley Fair
You can swim freestyle. You can work freelance. And there are those among us who still hold up lighters and yell “Play Free Bird.” But for marketers, one thing you can’t do is advertise a product as free and then bill customers’ credit cards — not once and certainly not over and over and over again. The legal theories advanced in the pending case against Canadian Jesse Willms , ten companies the FTC says he controls, and other individual and...

Looking out for unauthorized access

Lesley Fair
With a corporate name like Lookout, it pays to — well — look out. Unfortunately, according to the FTC’s complaint against Lookout Services, Inc., the company’s questionable security practices left the door open for an employee of one of Lookout’s customers to access sensitive information, including Social Security numbers, of thousands of people. Lookout sells a web-based product called the I-9 Solution. Taking its name from Immigration Services...

Nitro in the trunk?

Lesley Fair
The French movie classic “The Wages of Fear” — remade in 1977 as “The Sorcerer” by American director William Friedkin — was a taut thriller about a team of toughs transporting a payload of volatile nitroglycerine to a remote location in South America. They meet with hazards along the way: a rope bridge hanging by a thread over a flood-swollen river, a boulder blocking a twisted mountain path, and a stretch of road so pot-holed it’s called “The...

Won't get fauxed again

Lesley Fair
If you haven’t seen the ads, you’ve probably been too busy listening to eight-tracks and playing Pong because billions — with a capital B — have been served up online. They look like news investigations about acai berry weight loss products conducted by independent journalists for reputable news outlets featuring the logos of national media and follow-up comments by satisfied consumers. Except that according to the FTC, they’re not news...

Cleaning up ad claims

Lesley Fair
Science, studies, and statistics. There’s a reason advertisers feature them so prominently. When used accurately, they can be powerful tools for distinguishing your product from the competitors. But scientific claims — especially health-related ones — need solid proof. That was the cause of the recent legal dust-up between the FTC and Oreck Corporation involving the Oreck Halo vacuum and the Oreck ProShield Plus portable room air cleaner. The...

The FTC's settlement with Google: Part 4

Lesley Fair
Business practices at odds with promises in the company’s privacy policy. The failure to disclose adequately that the contacts with whom users emailed and chatted the most would become public by default. Confusing and hard-to-find controls to limit the sharing of personal info. False claims about adherence to the U.S.-EU Safe Harbor privacy framework. Those were the allegations in the FTC’s complaint against Google. What changes will the agency’s...

The FTC's settlement with Google: Part 3

Lesley Fair
As any business knows, it is indeed a small world after all. And the FTC’s recent settlement with Google related to the launch of its Google Buzz social network demonstrates why it’s important for companies to think about the global ramifications of their privacy practices. In addition to concerns about allegedly deceptive representations in the company’s privacy policy and misleading practices that exposed information to public disclosure...

The FTC’s settlement with Google: Part 2

Lesley Fair
According to the FTC’s recent settlement with Google, when people declined to sign up for Google Buzz, the company’s new social network, Google nonetheless enrolled them in certain features without their consent. But what about people who clicked the link that said “Sweet! Check out Buzz”? The FTC’s complaint alleged that they, too, weren’t adequately informed that certain information that had been private — including the people they chatted with...

The FTC's Google settlement: What's the buzz?

Lesley Fair
“Sweet! Check out Buzz.” “Nah, go to my inbox.” That was the intriguing choice facing Gmail users last year when Google launched Google Buzz, its social network. But according to a settlement announced this week by the FTC, the company violated the privacy promises it made to Gmail users and used deceptive tactics in the Buzz rollout. The story starts with Google’s privacy policy. From October 2004 until October 2010, Gmail users were told,...