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First FTC case under opioid statute challenges acts of company that provided marketing services to treatment centers

Lesley Fair
In making the major decision to seek professional help, people battling addiction – and their families, friends, and colleagues – are looking for accurate information about the treatment best suited to the individual. But according to a proposed FTC settlement, R360 LLC, a company that provided marketing services to addiction treatment centers, and its principal, Steven Doumar, ran national ads that used false claims to promote their clients’...

Lions Not Sheep lambasted for deceptive Made in USA claims

Lesley Fair
“BEST DAMN AMERICAN MADE GEAR ON THE PLANET” So roared a Utah-based company called Lions Not Sheep in promoting its apparel and accessories online. But according to an FTC complaint, the company was pulling the wool over consumers’ eyes. Lions Not Sheep just signed a proposed settlement with the FTC over the company’s allegedly false Made in USA claims. Lions Not Sheep sells merchandise through social media, on Amazon, and on Etsy. It has...

Looking for a new job or considering a business opportunity? Spot signs of a possible scam.

Rosario Méndez
Scammers often target job seekers and prospective entrepreneurs with bogus employment and money-making offers. We know that because the FTC has investigated and stopped many of them. But scammers are a relentless breed and continue to make deceptive pitches in online ads, on job websites, and on social media platforms. Knowing some of the red flags can help you spot these scams. Job scams come in a variety of guises. Some fraudsters falsely claim...

FTC alleges “The Credit Game” broke the rules governing credit repair

Seena Gressin
The FTC’s latest credit repair case alleges that the creators of The Credit Game falsely promised to help people quickly boost their credit scores and misled them to think they could make millions by running their own credit repair companies. The defendants even went so far as to urge people to invest their COVID-19 government benefits in this supposed money-making opportunity. The lawsuit charges Michael Rando, his wife, Valerie Rando, and seven...

FTC sends $149 million in refunds to people harmed in alleged AdvoCare pyramid scheme

Seena Gressin
The FTC is returning more than $149 million to people who lost money to AdvoCare International, a former multi-level marketer that the FTC says operated a pyramid scheme disguised as a business opportunity and swindled hundreds of thousands of people who signed up to be distributors of its health-and-wellness products. The FTC sued Texas-based AdvoCare, its former CEO, and its top promoters in 2019, alleging the defendants deceived people into...

Telemarketing Sales Rule: We asked. You answered. We heard you.

Lesley Fair
T he FTC has proposed some changes to the T elemarketing Sales Rule and would like your feedback. But that’s not all. Commenters raised a number of other issues about TSR compliance and enforcement. So the FTC is publishing a separate Advance Notice of Proposed Rulemaking seeking your input on whether additional changes are warranted to strengthen the protections of the Rule. Both Notices merit your attention, especially proposals that...

FTC bids good night to deceptive day trading earnings claims

Lesley Fair
For people looking to gain a financial foothold, promises of $100,000 or more in “verified profits” in “under 45 days” are understandably alluring. But all too often what begins as a Siren’s Song ends in a Swan Song as people lose their life savings to the promoters of bogus schemes. The FTC has announced a $3 million settlement with an outfit known as Warrior Trading and its CEO Ross Cameron for using allegedly misleading investment claims to...

Cremation companies exploit grieving consumers, alleges FTC

Lesley Fair
Even the savviest consumers can be at their most vulnerable when making final arrangements for a loved one. They have to make quick decisions – often choices with major financial implications – while grieving the death of someone close to them. In a lawsuit filed on the FTC’s behalf by the Department of Justice, the FTC alleges that Colorado- and North Carolina-based Legacy Cremation Services, also doing business as Heritage Cremation Provider...

What the pandemic has taught businesses about the collection of health information

Megan Cox, Attorney, FTC Division of Privacy & Identity Protection
As businesses, government agencies, and nonprofits reopen and employees return to in‑person offices, many pandemic safety measures are being modified. If your company checked employees’ or customers’ vaccine status or collected other COVID-related information, have you considered what to do with the data now? Businesses that maintain that information or that developed apps or other products to facilitate its collection can pass along an important...

FTC prescribes remedy for practices of for-profit medical school

Lesley Fair
Saint James Infirmary is a haunting tune recorded by jazz legends like Louis Armstrong and Cab Calloway. Saint James School of Medicine is a for-profit operation in the Caribbean run by U.S. defendants. The two don’t have much in common except for this: Both have left people feeling the blues. In its latest challenge to illegal practices in the for-profit education sector, the FTC has charged that Park Ridge, Illinois-based Saint James School of...