Blog

Last year the FTC and the Utah Division of Consumer Protection sued Nudge, LLC, and related companies and individuals, alleging they used bogus money-making claims to lure people into buying real estate training programs – a scheme the two agencies say ultimately took consumers for more than $400 million. Soon after that, the parties entered into a stipulated preliminary injunction. The latest development in the case is that the FTC is seeking to...

Online subscription services can be a convenience for consumers and a boon for business – especially now that so many people are shopping from home. But under the law, companies have an obligation to explain the details of the deal up front, clearly disclose any automatic renewal terms, get consumers’ express consent before billing, and offer simple ways to cancel. The FTC just announced a $10 million settlement with online learning company...

Tenth anniversaries are traditionally for tin. So we’re commemorating the tenth anniversary of the FTC’s Bureau of Consumer Protection Business Center and Business Blog by doing some tin-kering that regular readers may have noticed. (Sorry. After a decade, the wordplay is second nature.) Take a quick look at the BCP Business Center and you’ll see it’s undergone some renovations. Front and center now are direct links to our primary topics...

If you have kids in school, there’s a good chance they’re kicking off their school year . . . in your living room. All the while, you’re connecting with clients, taking meetings, and making sales from a carved out corner at home. The start of a new school year is a good time to double-check your online set-up to make sure the kids can take their classes while you take care of business. Here are a few things to check or consider. Secure your...

Every day, the FTC is collecting data, watching the numbers, and spotting the trends. We’re also spreading the word about COVID-19-related scams that target consumers and businesses. Because the more you know about what’s happening, the easier it will be to protect yourself and others from these scams. So far, we have gotten more than 175,000 COVID-19-related reports about fraud, identity theft, Do Not Call, and other consumer protection problems...

As parents know, kids spend a huge amount of time online, especially now with COVID-19 school and camp closures. They get ideas from influencers on social media and video platforms, make purchases on their smartphones, and influence a lot of family spending. This phenomenon is not limited to the U.S. alone. Recent data from the Organization for Economic Co-operation and Development shows that, on average, kids around the world spend at least...

If you’re unfamiliar with loot boxes, you probably don’t have clients in the video game industry, aren’t a gamer yourself, or aren’t the parent of one. But for the millions of people who have been following the national – and international – conversation on the subject, the FTC just issued a Staff Perspective on its workshop, Inside the Game: Unlocking the Consumer Issues Surrounding Loot Boxes. The workshop gathered consumer advocates, industry...

Coronavirus claims for zappers, virus-busting cards, sage, oregano, and bay leaves are among the representations called into question in the latest round of warning letters sent by FTC staff. With the total closing in on 300, the letters make it clear that companies need to clean up their claims about preventing or curing COVID-19. Here are the products and promises that have raised the most recent concerns. The1VirusBuster. Citing statistics on...

It is generally a serious violation of our rules for counsel to pass private notes to a witness in an investigational hearing or deposition, or otherwise coach or consult with a witness, while a question is pending. 16 CFR 2.9(b)(1). Happily, violations of this rule are very rare. But, with the recent shift to remote depositions and hearings, we want to remind the bar that neither this rule nor our vigilance in enforcing it have been relaxed...

Recently, Alimentation Couche-Tard and CrossAmerica Partners (collectively ACT) agreed to pay a $3.5 million civil penalty to settle allegations that they violated a Commission divestiture order that was designed to prevent their merger from harming consumers. A close read of the Commisson’s action in this case yields some timely advice for any company that is subject to a divestiture order. Any deadline in a Commission order is a “real” deadline...