FTC

FTC Lawsuit Alleging Deceptive Marketing of “Free” Products and Continuity Plans Settles

September 18, 2017 The Federal Trade Commission (“FTC”) has announced that ten online marketers of cooking and golf-related products have agreed to settle claims alleging violations of the FTC Act and the Restore Online Shoppers’ Confidence Act, based on the marketers’ alleged improper use of two types of negative option offers:  (i) continuity plans, where […]

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Dietary Supplement Marketers Agree to $6.5M Settlement of FTC Lawsuit

August 25, 2017 The Federal Trade Commission (“FTC”) has announced that dietary supplement marketer Synergixx, LLC (“Synergixx”), its owner, Charlie Fusco, and a naturopathic physician named Ronald Jahner have agreed to settle claims brought by the FTC and the State of Maine (the “FTC lawsuit”) alleging violations of the FTC Act, the Telemarketing and Consumer

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FTC Hits Marketers with Negative Option Lawsuit

August 17, 2017 Last month, the Federal Trade Commission (“FTC” or “Commission”) filed a negative option lawsuit in a Las Vegas federal district court against a tangled web of business entities and related individuals in connection with the defendants’ low-cost “trial” marketing practices. What should marketers know before offering free or low-cost trials?

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Soundboard technology and the FTC- Klein Moynihan Turco

Soundboard Technology Calls Qualify as Robocalls Under TSR

This past Monday, the United States District Court for the District of Columbia upheld a Federal Trade Commission (“FTC”) interpretation of the Telemarketing Sales Rule (“TSR”) which held that marketing calls placed through use of soundboard technology constitute “robocalls” under the statute.  Although the FTC originally found that telephone calls using soundboard technology do not

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Weight Loss Marketing Companies Settle FTC Claims

April 27, 2017 Last week, the Federal Trade Commission (“FTC”) announced a $32 million settlement with NutriMost, LLC, NutriMost Doctors, LLC and their owner (collectively, “Defendants”).  The FTC alleged that the Defendants’ weight loss marketing materials misled consumers into believing that the Defendants’ product would cause consumers to lose 20-40 pounds in 40 days.  According

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FTC Trains Its Sights on Social Media Influencers

April 24, 2017 For the first time, the Federal Trade Commission (the “FTC” or “Commission”) has contacted, and questioned the product endorsement practices of, dozens of social media influencers – individuals who are powerful, popular and relevant enough to influence others within their online social sphere.  Influencers provide product endorsements through social media platforms, such

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Email Marketing Attorneys and the FTC Clash Over and Settle Spam Claims

March 22, 2017 Last week, email marketing lawyers and the Federal Trade Commission (“FTC”) announced a $500,000.00 settlement between the agency and a company offering weight-loss products which were allegedly marketed via email in violation of federal law.  The FTC alleged that the defendant corporations (all related) and their respective principal “paid affiliate marketers to

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FTC Settles Deceptive Advertising Lawsuit against Operators of Online “High School”

February 27, 2017 Two weeks ago, the Federal Trade Commission (“FTC”) announced  multi-million dollar settlements with the operators of two online “high schools.”  According to a complaint filed by the FTC last year, Capitol Network Distance Learning Programs and Stepping Stonez Development, LLC, along with their respective principals (collectively, the “Defendants”), falsely advertised that their

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