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The University of Phoenix, Inc.

In December 2019, the FTC announced The University of Phoenix and its parent company agreed to pay a record $191 million to resolve allegations that they used deceptive advertisements falsely touting their relationships and job opportunities with companies such as AT&T, Yahoo!, Microsoft, Twitter, and The American Red Cross. The settlement order requires UOP to pay $50 million in cash, as well as cancel $141 million in debts owed to the school by students harmed by the deceptive ads.

In March 2021, the FTC sent payments totaling nearly $50 million to more than 147,000 UOP students who may have been lured by allegedly deceptive advertisements.

In late September 2023, the U.S. Department of Education announced that it will forgive nearly $37 million in federal loans for more than 1,200 students affected by the University of Phoenix’s deceptive practices, based in part on the FTC’s 2019 case.

Type of Action
Federal
Last Updated
FTC Matter/File Number
152 3231
Case Status
Pending

James D. Noland, Jr. (Success by Health)

A federal court granted the Federal Trade Commission’s request to temporarily shut down an alleged pyramid scheme known as “Success By Health,” and to freeze the assets of the company and its executives.

In May 2023, a federal court sided with the Federal Trade Commission, ruling that James D. Noland, Jr. illegally owned and operated two pyramid schemes—Success By Health (SBH) and VOZ Travel—in violation of the FTC Act and that Noland violated a previous federal court order barring him from pyramid schemes and from misrepresenting multilevel marketing participants’ income potential.

Type of Action
Federal
Last Updated
FTC Matter/File Number
X0100166
Case Status
Pending

Hey Dude Inc., FTC v.

In September 2023, the FTC announced online shoe retailer Hey Dude, Inc. (Hey Dude) will pay $1.95 million to settle charges that the company misled consumers by suppressing negative reviews, including more than 80 percent of reviews that failed to provide four or more stars out of a possible five. The FTC also contends the company violated the Commission’s Mail, Internet, or Telephone Order Merchandise Rule in several ways between 2020 and 2022. In August 2024, the FTC announced it was returning $1.9 million to defrauded consumers.

Type of Action
Federal
Last Updated
FTC Matter/File Number
X2123082
Docket Number
2:23-cv-1412
Case Status
Pending