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Stemming unproven stem cell therapy claims

Lesley Fair
Old West nostrum sellers used to market treatments for a broad range of diseases with the slogan “Good for what ails ya.” California-based Regenerative Medical Group used a current buzzword in science – stem cell therapy – to peddle what they claimed were treatments for conditions as varied as cerebral palsy and autism to Parkinson’s disease, stroke, and macular degeneration. But according to the FTC , they didn’t have proof to back up their...

Cybersecurity resources for your small business

Andrew Smith, Director, FTC Bureau of Consumer Protection
Small businesses are concerned about ransomware, email imposters, and other common cyber threats. So FTC staff hosted roundtables to ask business owners what we can do to help. You came from different parts of the country and different economic sectors, but your answers were consistent and you didn’t mince words: 1) You want straightforward advice that’s easy to implement; and 2) You want consistent guidance from the different federal agencies...

$3 million FCRA settlement puts tenant background screening at the forefront

Lesley Fair
When people are looking to rent a house or apartment, the most important “screening” isn’t on the windows of the prospective new place. It’s the tenant background screening that goes on behind the scenes, the results of which can make the difference between home sweet home and homeless. The FTC announced a record-setting $3 million settlement with Texas-based RealPage, Inc., a consumer reporting agency (CRA) that offers tenant background...

The gift of data – and a few words about gift cards

Lesley Fair
When people take a moment to report fraud, identity theft, or questionable business practices to the FTC, they’re giving consumers everywhere a “gift” of sorts. We use those reports – we get millions every year – to warn others about the latest scams. They also serve as an important source of information for our law enforcement efforts. The FTC just announced a new development that makes those reports even more valuable . Until now, we have...

FTC sues American Immigration Center for claiming false government affiliation

Lesley Fair
When the FTC warns consumers about government imposter scams, we’re usually referring to bogus calls that falsely claim to come from the IRS or some other official office. But as a case just announced by the FTC demonstrates, that’s not the only kind of false government affiliation that can deceive consumers. A $2.2 million settlement with American Immigration Center reminds other businesses of the dangers of conveying a misleading connection to...

Scammers increasingly demand payment by gift card

Emma Fletcher
Through Consumer Sentinel we hear from people across the country about frauds they encounter in the marketplace. One thing we learn from these reports is how scammers want to be paid. People are telling us that they’re increasingly being told to pay with gift cards – specifically, by giving someone the PIN number off the back of a gift card. Often people are specifically asked for certain brands, like iTunes and Google Play cards.

Car dealer and marketing firm called out for bogus recall notices

Lesley Fair
Here’s something likely to make consumers start firing on all cylinders: receiving an “URGENT RECALL NOTICE” in the mail with a “warning” that their vehicle “may be under an important factory/safety recall.” But according to an FTC lawsuit against the Passport group of car dealerships in the Washington, D.C., area, the vast majority of people who received those notices didn’t have a vehicle subject to an open recall. The complaint offers object...

So proudly we hail: Maryland federal prosecutors honored with FTC award

Lesley Fair
Laidlaw v. Organ was an 1817 Supreme Court case concerning an allegedly deceptive trade practice affecting a small business. You may be surprised to learn who argued that case and why it’s relevant 201 years later. Counsel for one of the businesses was a young Maryland attorney named Francis Scott Key. Yes, that Francis Scott Key. After the defense of Fort McHenry inspired him to pen The Star-Spangled Banner , he returned to his law practice and...

U.S. Privilege Following Akzo Nobel v. European Commission

Alden F. Abbott, General Counsel, and Ashley Gum, Assistant General Counsel
Lawyers who have been paying attention to such things might recall the predicted fallout from the decision in Akzo Chemicals Ltd v. European Commission , Case C-550/07-P (September 14, 2010) . In Akzo , the ECJ held that internal communications between in-house counsel and their companies’ employees are not privileged in European competition law cases. Applying a 1980’s-era rule reserving attorney-client privilege to communications with outside...

Anti-scammy Sammy

Lesley Fair
There’s former Van Halen front man Sammy Hagar, NFL legend Slingin’ Sammy Baugh, and the incomparable Sammy Davis, Jr. All notable in their own right, but did they win back $586 million for defrauded consumers? We didn’t think so. That’s why we have another pick for the Sammy Hall of Fame. FTC a ttorney Karen Dodge and FTC Midwest Region team members Joannie Wei, Elizabeth Scott, and Doug McKenney were just honored with Samuel J. Heyman Service...