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It’s a fact: No changes to FTC “Lighting Facts” requirements

Colleen Tressler
Word has it there’s been some confusion as to whether the FTC’s “Lighting Facts” label requirements are still in place. So we thought it would be a good idea to shed some light on the issue. The FTC’s requirements at 16 C.F.R. Part 305 still apply and, what’s more, nothing has changed: The FTC’s black and white Lighting Facts labels, like the one below, must still appear on packages for general service lamps and specialty consumer lamps...

The uphill case for a post-Order divestiture

Ian Conner, Bureau of Competition
Designing effective merger remedy orders is one of the Commission’s most important tasks. An effective merger remedy prevents the merger from causing harm. For many years – ever since our 1999 Divestiture Study identified a number of factors that caused remedies to fail – the Bureau of Competition has strongly favored divesting assets to an upfront buyer. Plainly put, while no approach is foolproof, divesting assets to an upfront buyer has been...

Selling genetic testing kits? Read on.

Elisa Jillson
If you sell genetic testing kits to consumers, you’re probably familiar with the Genetic Information Nondiscrimination Act (GINA), which prohibits discrimination on the basis of genetic information under some circumstances. You’re also familiar with the Health Insurance Portability and Accountability Act (HIPAA), which protects health information collected by certain types of entities. Then there are laws enforced by the FDA and the Centers for...

Nixing the Fix: Warranties, Mag-Moss, and restrictions on repairs

Lesley Fair
First, the bad news: That nifty purchase needs a repair. Now the good news for consumers: It’s still under warranty. But where can they go to get it fixed? Can the manufacturer restrict a consumer’s ability to go to the independent repair shop of their choice? Can the manufacturer use glue, non-standard screws, and proprietary diagnostic software that make it difficult for independent repair shops to fix things? Do limitations like these affect...

FTC’s 2018 Privacy & Data Security Update: What it means for your business

Lesley Fair
Looking to take a deep dive into the breadth and depth of the FTC’s approach to consumer privacy and data security in the past year? The FTC’s website, including the Business Center, has what you need. But what if you or your clients prefer an at-your-fingertips digest of developments in 2018? We’re got that covered, too. The FTC just issued its 2018 Privacy and Data Security Update – a compendium for attorneys, business executives, and others...

Compliance reports: Reinforcing a commitment to effective orders

Roberta Baruch and Bruce Hoffman, Bureau of Competition
Commission orders – both from negotiated settlements and from litigated matters – routinely require Respondents to submit periodic reports on their efforts to comply with the order. ( See also Commission Rule 2.41(a)). Ensuring compliance with Commission orders designed to remedy prior violations of antitrust law, and to prevent future recurrence, is a critical part of the FTC’s enforcement mission. Effective enforcement of existing orders...

Recipe for a ROSCA violation

Lesley Fair
From the FTC’s perspective, a certain pattern of online business has become a recipe for consumer injury. Start with a misleading “risk-free” trial offer. Add a hefty undisclosed charge if consumers don’t quickly cancel the “risk-free” trial. Cook up an undisclosed automatic shipment program that sends consumers unordered merchandise. Top with hard-to-follow upsells that add another layer of confusion. Fold in illegal charges to consumers’ credit...

HSR threshold adjustments and reportability for 2019

the Premerger Notification Office Staff
When Congress passed the Hart-Scott-Rodino Antitrust Improvements Act of 1976, it created minimum dollar thresholds to limit the burden of premerger reporting. In 2000, it amended the HSR statute to require the annual adjustment of these thresholds based on the change in gross national product. As a result, reportability under the Act changes from year to year as the statutory thresholds adjust. The PNO fields many questions about the upcoming...

Older adults hardest hit by tech support scams

Emma Fletcher
If the mere thought of your computer being hacked frightens you, you’re not alone. And tech support scammers know how to exploit that fear to their own advantage. They work to scare you into believing your computer is compromised and then offer to “fix” the problem – for a fee. The FTC’s Consumer Sentinel Network got nearly 143,000 reports about tech support scams in 2018. 1 These scams usually start with a phone call or a pop-up warning of a...

The FTC takes its subpoenas and CIDs seriously – and you should, too

Burke Kappler, Attorney, FTC Office of General Counsel
The FTC’s ability to obtain information through subpoenas and civil investigative demands (CIDs) is critical to the task of investigating potential law violations. The FTC uses this authority deliberately and responsibly, avoiding unnecessary burdens on businesses and individuals and consistent with our obligations to enforce the law. These requests are legally enforceable demands, and recipients of subpoenas or CIDs need to take their obligation...