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Earlier today, an en banc panel of the U.S. Court of Appeals for the D.C. Circuit ruled that the CFPB was constitutionally structured, reversing an earlier decision by a divided three-judge panel and holding that the Dodd-Frank Act permissibly shields the CFPB Director from removal without cause.  The Court’s 7-3 majority opinion only addressed the

Earlier this week, the FTC announced its first settlement involving internet-connected toys. The FTC alleged that the Kid Connect app used with some of VTech’s toys collected personal information from hundreds of thousands of children, and that the company failed to provide direct notice of its privacy practices to parents, or to obtain verifiable consent

On November 1, 2017 the House Antitrust Law Subcommittee held a hearing to discuss the role of federal agencies in preserving an open Internet.

The core question discussed at the hearing was whether current antitrust law is sufficient to ensure net neutrality absent FCC rules. The panelists—including FTC Acting Chairman Maureen Ohlhausen and Commissioner Terrell McSweeney; former FCC Commissioner Robert McDowell; and Michael Romano, NTCA Senior Vice President of Industry Affairs and Business Development—and committee members were generally divided down party lines, with Republicans arguing that FCC rules were both unnecessary and counterproductive and Democrats arguing that rules were necessary to ensure an open Internet, free expression, and innovation.

Continue Reading House Antitrust Subcommittee Explores the Role of Antitrust Law in Net Neutrality

On Monday, the FTC issued an Enforcement Policy Statement stating that the Commission will not take action against operators that collect an audio file of a child’s voice as a replacement for written words, such as for translation into text, without first obtaining parental consent, provided the file is retained only for the brief time

After months of speculation among the consumer protection and antitrust bars, Trump announced today his intention to nominate former Director of the Bureau of Competition and current Paul Weiss partner Joseph Simons as Chairman of the Federal Trade Commission.  Trump also announced his plan to nominate Rohit Chopra, currently a senior fellow at the Consumer

In its first case challenging “organic” claims, the FTC announced a settlement with Moonlight Slumber, LLC  resolving charges that the company misrepresented or could not support a variety of environmental and health-related claims about its baby mattresses.

Misleading and Unsubstantiated Claims. The FTC’s complaint asserts that Moonlight advertised its baby mattresses as “organic,” “natural,” “hypoallergenic,” and “eco-friendly.” Moonlight also indicated that the mattresses were made with “BabySafe Natural Materials” and “eco-friendly plant-based foam.” According to the FTC, the company’s products were made of a majority of non-organic materials. For instance, the cores and fire barriers of the company’s Starlight Simplicity and Little Star mattresses did not contain any organic material, and 70% of the cotton cover of these mattresses was non-organic material. The Little Star mattress core was made of a synthetic latex material, rather than the “natural latex” the company advertised, and for both the Starlight Simplicity and Little Star mattresses, only the mattress ribbon itself contained solely organic materials. According to the FTC, most of the company’s mattresses were made of polyurethane, either wholly or substantially, and the foams in these mattresses were comprised of “little or no plant-based material.”

Continue Reading Moonlight Slumber Says “Goodnight” to Misleading and Unsubstantiated “Organic” Advertising Claims After Settlement with FTC

The Federal Trade Commission recently announced settlements with Decusoft, LLC, Tru Communication, Inc. (doing business as TCPrinting.net), and Md7, LLC, resolving allegations that the companies misrepresented their participation in the E.U.-US and Swiss-US Privacy Shield. The announcement comes just before the first Privacy Shield annual review (scheduled for September 2017) and marks the FTC’s first

The FTC announced last week a settlement with Blue Global Media, LLC  and its CEO Christopher Kay.  The company operated 38 Internet domains that solicited online loan applications from consumers.  The applications collected extensive sensitive personal information, including social security numbers, bank routing numbers, credit scores, and incomes. The company represented to consumers it would

An Update on the New EU General Data Protection Regulation

On 16 April 2016, the EU adopted the General Data Protection Regulation (‘GDPR’) which largely rewrites and harmonizes the European legal framework of data protection. The new regulation will become applicable in May 2018, but given the scope and complexity of the GDPR it is

Last week the FTC announced that it had reached a settlement with NetSpend over allegations that NetSpend deceived consumers by promising “immediate access” with “guaranteed approval” to money loaded on its general purpose reloadable cards.  Approved 2-1 with a vote by then-Commissioner Ramirez before her resignation, the order prohibits NetSpend from making misrepresentations about the