Blog

Coronavirus claims for zappers, virus-busting cards, sage, oregano, and bay leaves are among the representations called into question in the latest round of warning letters sent by FTC staff. With the total closing in on 300, the letters make it clear that companies need to clean up their claims about preventing or curing COVID-19. Here are the products and promises that have raised the most recent concerns. The1VirusBuster. Citing statistics on...

It is generally a serious violation of our rules for counsel to pass private notes to a witness in an investigational hearing or deposition, or otherwise coach or consult with a witness, while a question is pending. 16 CFR 2.9(b)(1). Happily, violations of this rule are very rare. But, with the recent shift to remote depositions and hearings, we want to remind the bar that neither this rule nor our vigilance in enforcing it have been relaxed...

Recently, Alimentation Couche-Tard and CrossAmerica Partners (collectively ACT) agreed to pay a $3.5 million civil penalty to settle allegations that they violated a Commission divestiture order that was designed to prevent their merger from harming consumers. A close read of the Commisson’s action in this case yields some timely advice for any company that is subject to a divestiture order. Any deadline in a Commission order is a “real” deadline...

Consumers and small businesses want personal protective equipment now. So when companies advertise those items online with promises of in-stock merchandise and fast shipping, those claims may be the difference between a big sale and no sale. The FTC just filed three cases alleging that marketers violated the Mail, Internet, and Telephone Order Rule and the FTC Act by – among other things – failing to have a reasonable basis to support their...

Small businesses are a critical part of the U.S. economy, providing opportunity and employment to consumers across the country. Unfortunately, the current health crisis has brought financial strain to small businesses and their ability to secure the financing they need to survive. So now more than ever, struggling businesses and their owners need protection from deceptive and unfair practices. And the FTC is working swiftly to provide it. Since...

Golden Sunrise Nutraceutical and related company Golden Sunrise Pharmaceutical sell “plans of care” – regimens of health-related products – advertised to treat COVID-19 and other serious medical conditions. The FTC has gone to court in an effort to see the sun set on what it alleges are Golden Sunrise’s deceptive claims. The just-filed case also sends an important message to the hundreds of companies like Golden Sunrise that have received FTC...

It’s one of the biggest purchases people make, but two new FTC staff reports examine some common pitfalls when consumers are in the market for a car. Buckle down and read the Bureau of Consumer Protection’s Buckle Up: Navigating Auto Sales and Financing, which focuses on the challenges buyers face in getting accurate, understandable information when shopping for a vehicle. Not in the auto business? Not so fast. The deep-dive analysis of Buckle Up...

Ask consumers what would make their lives easier and some lists might include a more comfortable home and lower bills. Four cases just filed by the FTC challenge allegedly deceptive R-value, energy-savings, or money-savings claims by unrelated companies that sell a variety of architectural coatings for houses and other structures. First, a little R-value R-efresher. Most consumers are out in the cold when it comes to evaluating insulation claims...

As adage-writers go, whoever penned, “Sticks and stones will break my bones, but words will never hurt me,” should have looked for another line of work. And, the writer should have hoped that prospective employers wouldn’t spot a promotion for MyLife.com, saying they could see the writer’s criminal and sexual offender records by subscribing to MyLife’s background reports. A lawsuit announced today alleges that MyLife.com, Inc., and its founder...

The FTC’s actions against Volkswagen for false “clean diesel” claims were record-setting in size, scope, and seriousness. The defendants spent millions to pitch their cars to environmentally conscious consumers. But behind those low emissions numbers was a dirty little secret – and we do mean dirty: The defendants had cheated on the test. The cases made headlines in 2016 and 2017 and for many people, that was the end of the road. But as a Final...