continuity billing

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States Revisit Their Continuity Billing Laws 

In the wake of increasing continuity billing practice complaints, the Federal Trade Commission (“FTC”) is again taking a hard look at the space. The FTC has once again reviewed its 1973 Negative Option Rule, which was enacted, in part, to regulate automatic renewal plans, free to pay conversions, and continuity billing. Some of the recently […]

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FTC Calls for Public Comment on Negative Option Marketing

September 30, 2019 On September 25, 2019, the Federal Trade Commission (“FTC” or “Commission”) published an Advance Notice of Proposed Rulemaking calling for public comment on the need to amend the current “Rule Concerning the Use of Prenotification Negative Option Plans” (the “Negative Option Rule” or “Rule”). Negative option marketing, where a consumer’s silence constitutes

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FTC Settles Another Free Trial Law Investigation

June 6, 2019 Last week, the Federal Trade Commission (“FTC”) announced that it had settled a free product trial lawsuit brought against Triangle Media Corp., Jasper Rain Marketing LLC, Hardwire Interactive Inc., Global Northern Trading Ltd., Brian Phillips, and Devin Keer (collectively, “Defendants”). The FTC’s free trial law complaint and amended complaint both alleged that

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Mastercard Free Trial Requirements

March 6, 2019  Last month, Mastercard Incorporated (“Mastercard”) announced an important change to its policies that will require merchants to provide specific automatic enrollment disclosures to consumers at the conclusion of all free-trial offers. The Mastercard free trial terms are intended to protect consumers from merchants that offer misleading “free to pay” conversions, continuity plans,

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Skincare Product Marketer’s Continuity Billing Draws FTC Scrutiny

March 4, 2019 Beauty product marketer, F9 Advertising, LLC, several related entities, and their individual owner, have been sued by the Federal Trade Commission (“FTC”) for allegedly fraudulent continuity billing practices.   The FTC alleges that the non-compliant continuity billing practices and related marketing violate the Restore Online Shoppers’ Confidence Act (“ROSCA”). How do the entities’

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Automatic Renewal Law Awaiting Mayor Approval in Washington D.C.

January 17, 2019  Washington D.C. is in the process of enacting the Structured Settlements and Automatic Renewal Protections Act of 2018 (the “Act”). In part, the automatic renewal law Act would place new restrictions on businesses that sell goods or services to consumers pursuant to a contract that automatically renews. What are the key provisions

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FTC Settles Negative Option Lawsuit

April 18, 2018 The Federal Trade Commission (“FTC”) entered into a settlement agreement this week with dozens of related entities and their individual owners in connection with a negative option marketing operation.  The FTC had commenced a lawsuit against the parties alleging that the individual owners operated nearly sixty (60) companies that sold personal care

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