MilConsumer Blog Feed

Since 2004, brand-name and generic drug manufacturers have filed certain agreements with the FTC and DOJ as required by the Medicare Prescription Drug, Improvement and Modernization Act (also known as MMA filings). Congress required these filings after the FTC raised concerns that some agreements between brand-name and generic drug companies had the potential to unlawfully delay generic drug entry and thereby undermine the goals of the Hatch...

When we announced Operation Collection Protection in November, a federal-state crackdown on illegal debt collection practices, we said it was just the start of a historic partnership – and we weren’t kidding. Today marks the next phase: four FTC cases against debt collectors who falsely claimed an affiliation with local courts or law enforcement, new actions from the CFPB and state law enforcers, and a video you won’t want to miss. The name...

Ads for Lumosity’s “brain training” program made it sound simple. Play games for 10-15 minutes several times a week to delay memory decline; protect against dementia and Alzheimer’s disease; improve school, work, and athletic performance; and reduce the effects of everything from ADHD to post-traumatic stress disorder. But an FTC complaint alleges that defendant Lumos Labs didn’t have sound science to support those claims. What’s the message for...

2015 saw the end of The Late Show with David Letterman, but his Top 10 List legacy lives on. From the home office in Washington, D.C., here is our informal take on ten topics we covered this year in the BCP Business Blog. Advertising substantiation. People will be citing the D.C. Circuit’s POM Wonderful opinion for years to come, so we extracted a dozen quotable quotes. Other relevant posts: Spilling the beans: The anatomy of a diet craze...

If what looks to be an article, video, or game is really an ad – but it’s not readily identifiable to consumers as such – the FTC has another word for it: deceptive. Ads that blur the line between advertising and content have long been a consumer protection concern under Section 5 of the FTC Act. The FTC just issued an Enforcement Policy Statement on Deceptively Formatted Advertisements that reiterates how it applies established legal principles...

When consumers updated Java SE, which has been installed on more than 850 million computers, Oracle Corporation promised “safe and secure access to the world of amazing Java content” and stated that the updates had “the latest . . . security improvements.” But according to a settlement just announced by the FTC, when it came to those security updates, Java SE was pouring decaf. Consumers use Java to do everything from playing online games to...

The law may not authorize the use of light sabers, but to protect consumers and ensure that companies comply with existing orders, the FTC will use the forces within its power. It’s a lock that the agency’s $100 million settlement with LifeLock – one of the largest redress orders of its kind – makes that point as big as life. LifeLock’s first go-round with the FTC and 35 state AGs was in 2010. According to that complaint, LifeLock didn’t live up...

Data security watchers read with interest the United States Court of Appeals’ decision earlier this year in FTC v. Wyndham, upholding the FTC’s authority to challenge allegedly lax data security practices under the unfairness prong of the FTC Act. We view that ruling as a milestone victory for consumers and for companies of all sizes that are committed to keeping customers’ personal information secure. Now there’s another big development in the...

Maybe “a rose by any other name would smell as sweet,” but deceptively describing rayon clothing as bamboo isn’t so sweet – and violates the FTC’s Textile Rules. In addition to civil penalties totaling $1.3 million, settlements with Bed Bath & Beyond, Nordstrom, J.C. Penney Company, and Backcountry.com suggest another important point for industry members: Don’t ignore warnings about deceptive ads and misleading labels. Why does this issue matter...

As the song by The Who asks, “Who are you?” When it comes to the Fair Debt Collection Practices Act, many companies think they know who they are. If they’re third-party debt collectors, they’re covered by the FDCPA. If they’re creditors collecting their own debts, they aren’t. But as I mentioned recently in a presentation at an industry event, it’s not that simple. Some creditors and others may not realize that certain courses of conduct can put...