Enforcement

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Making good on promises to creatively explore all of its options for enforcement, the FTC yesterday notified 70 for-profit higher educational institutions that it intends to use its long dormant Penalty Offense Authority to obtain civil penalties when institutions make misrepresentations about their programs and job and earnings prospects.  The move closely follows recommendations proposed…

Commissioners Cut Procedures, Rescind Policy, Empower Staff, Target Tech

With an unprecedented attack on policies the Federal Trade Commission had long embraced, the new majority of Democratic Commissioners revealed a bold enforcement agenda that would circumvent Supreme Court decisions and avoid Congressional limits.

It was a meeting like none the Federal Trade Commission has ever held. On one week’s notice, the Commission adopted new rules to impose civil penalties on substandard Made-in-USA claims, removed judges and safeguards from rulemaking proceedings, rescinded its 2015 enforcement policy statement on unfair methods of competition, and granted staff more authority to issue subpoenas and civil investigative demands. The vote on every issue followed party lines. Republican Commissioners, Noah Phillips and Christine Wilson, voted against all, and the Democratic Commissioners, Chopra, Khan, and Slaughter, rejected all amendments. Chair Khan announced that public meetings will become regular events at the FTC. …
Continue Reading Chopra, Khan, Slaughter Take Control of the Federal Trade Commission

TINA.org continues to aggressively beat the enforcement drum.  Today, its leaders sent a letter to Acting Director of the Bureau of Consumer Protection Samuel Levine encouraging the FTC “to implement a penalty offense program targeting the direct selling industry and its market-wide practice of utilizing deceptive earnings representations and false health claims.”

As we discussed…

The FTC today announced four new enforcement actions and one new settlement alleging deceptive income claims in violation of the FTC Act.  The FTC noted that these actions are part of a broader initiative branded as “Operation Income Illusion,” which it described as a crackdown “against the operators of work-from-home and employment scams, pyramid schemes,…

Find the replay of our webinar Cleaning Up From 2020: Guidance for Disinfectant, Germ and Virus Killing Claims here.

COVID-19 has brought a proliferation of products claiming to kill or otherwise inhibit viruses, bacteria and other germs. These products, before they can be legally sold, are heavily regulated by the U.S. Environmental Protection Agency…

On July 22, the New York Department of Financial Services (DFS) announced the first enforcement action under its new Cybersecurity Regulation, which requires that businesses registered or licensed by DFS comply with a number of robust cybersecurity requirements. The action involves First American Title Insurance Company and, according to the Statement of Charges and Notice…

As we have previously advised, the Trump Administration is targeting the sale of counterfeit goods on e-commerce platforms. Early this year, the Department of Homeland Security issued its report to the White House on “Combating Trafficking in Counterfeit and Pirated Goods,” in response to which the White House entered its Executive Order aimed at blocking

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Bill MacLeod and other panelists representing antitrust and consumer protection bureaus from across the country discussed recent enforcement activities and the ongoing missions of state enforcement agencies during the American Bar Association’s Antitrust Section Virtual Spring Meeting.

Watch the replay here.

Ad Law Access Podcast

In conjunction with the American Bar Association’s Antitrust Section Spring Meeting, practice chair Christie Thompson participated in a panel discussion on recent FTC enforcement and priorities, including impacts, if any, of COVID-19 on enforcement priorities, as well as in the areas of privacy, data security, marketing, advertising, and fintech, consider whether FTC enforcement has…

Last week, the FTC sent warning letters to ten multi-level marketing companies alleging that the companies failed to stop their participants from making deceptive product and earnings claims related to COVID-19.  The letters request that the companies report within 48 hours what actions they have taken to stop their distributors from claiming their products can…