Wall Street Journal: Airbnb Hosts Receive a Chill

David O. Klein Comments on NYC Airbnb Investigation Will Airbnb Inc. hosts balk at New York State’s attorney general Eric Schneiderman combing through their records? The room-renting start-up reached an agreement with the state Wednesday to deliver anonymized records of all its New York hosts, and to identify hosts Mr. Schneiderman decides to further investigate. Mr. Schneiderman […]

Wall Street Journal: Airbnb Hosts Receive a Chill Read More »

Record Do-Not-Call Settlement

In a record Federal Communications Commission (“FCC”) Do-Not-Call violation settlement announced on May 19, 2014, Sprint Corporation (“Sprint”) agreed to pay $7.5 Million to resolve an FCC investigation into its wireless division’s failure to honor consumer requests to opt-out of the receipt of future telephone and text message marketing.  This settlement follows an earlier 2011

Record Do-Not-Call Settlement Read More »

FCC Finds Robocalling Service Provider Liable for TCPA Violations

On May 7, 2014, the Federal Communications Commission (“FCC”) issued a notice of apparent liability ruling which held that a robocalling service provider may be held liable for violations of the Telephone Consumer Protection Act (“TCPA”) related to prior written consent, even if the robocalling service was merely providing transmission facilities that enabled its third

FCC Finds Robocalling Service Provider Liable for TCPA Violations Read More »

Supplement Purveyors Sued for Deceptive Weight Loss Claims on Fake News Sites

In its continuing effort to remove deceptive weight loss advertising from the Internet, on May 14, 2014, the Federal Trade Commission (FTC) brought suit in Federal District Court in Florida against various companies and their respective principals for violating Section 5 of the FTC Act, which prohibits unfair or deceptive acts or practices in or affecting commerce.  Specifically,

Supplement Purveyors Sued for Deceptive Weight Loss Claims on Fake News Sites Read More »

FTC Targets Online Advertising Industry

This week, Associate Director Maneesha Mithal of the Federal Trade Commission (“FTC”) testified before the Senate Committee on Homeland Security and Governmental Affairs, detailing the FTC’s renewed focus on the online advertising industry.  Specifically, the Associate Director made clear that the FTC is now aggressively targeting issues relating to privacy, spyware/malware and data security.  

FTC Targets Online Advertising Industry Read More »

Rivals Pounce on Overblown Ad Claims

Wall Street Journal Quotes KMT Managing Partner David O. Klein Small Businesses Often Tripped Up by Rules, Suits Craig Dubitsky, founder and CEO of Hello Products, which was sued by Procter & Gamble. Daniella Weeks after Craig Dubitsky’s new company delivered its first shipment of “pink grapefruit” and “mojito mint” toothpaste to about 8,000 stores across the

Rivals Pounce on Overblown Ad Claims Read More »

Multi-Level Marketing Firm Settles Pyramid Scheme Allegations with the FTC

Yesterday, Fortune Hi-Tec Marketing, Inc. (FHTM) and its principals (which were individually named in the complaint), settled a suit brought by the Federal Trade Commission (FTC) alleging that the company had engaged in an international pyramid scheme for the last four (4) years.  The FTC’s complaint alleged that FHTM falsely represented to consumers that they

Multi-Level Marketing Firm Settles Pyramid Scheme Allegations with the FTC Read More »

Fantasy Sports Contests: Avoiding Civil and Criminal Liability

The Unlawful Internet Gambling Enforcement Act of 2006 (“UIGEA”) prohibits any person engaged in the business of betting or wagering from knowingly accepting payments in connection with the participation by another person in unlawful Internet gambling.   Violation of this statute may result in criminal penalties, including monetary fines and imprisonment for up to five (5)

Fantasy Sports Contests: Avoiding Civil and Criminal Liability Read More »