When did a light bulb become the symbol of a good idea? We don’t know, but a ruling in the FTC’s lawsuit against Lights of America – including a $21 million order mandating refunds for consumers and some bookmark-worthy notable quotes from the Court – should serve as a light bulb moment for marketers.
In old movies, ransom notes came in the form of pasted letters cut from newspapers. There’s a new kind of ransom that could pose a substantial risk to your business. Have you alerted your staff about how to protect one of your company’s most valuable assets?
Usually when someone says “keep it under your hat,” they’re asking you to keep information confidential. But when the FTC staff says “keep it under your hat” – and the hat in question is made of wool – we mean the exact opposite. To us, it’s a reminder to marketers that hats containing wool must have labels that clearly disclose what the product is made of.
Familiar with Fantage? If you have kids, they probably are. It’s a MMORPG – a massively multiplayer online role-playing game – where millions of children customize avatars to play online games in a virtual world. According to the FTC, there are a few more initials this MMORPG will want to be mindful of in the future: the U.S.-EU Safe Harbor Framework.
Consumers may not know it, but there are technologies out there that let retailers and others track their movements within and around stores and other attractions through their mobile devices. Businesses can use the information to identify trends in consumer behavior, plan sales and promotions, and more efficiently staff their stores and structure check-out (although no matter how sophisticated the technology, we always manage to choose the slow-moving line).
We’re not lyricists, but had the 1972 hit “You Don’t Mess Around with Jim” been addressed to defendants in FTC actions, here’s our proposed rewrite:
You don’t tug on Superman’s cape.
You don’t spit into the wind.
You don’t pull the mask off that old Lone Ranger.
And you don’t engage in acts and practices in contempt of a United States District Judge’s Permanent Injunction.
Imagine doing a routine online search and having the search engine serve up files that include medical histories, notes from psychiatric sessions and children’s medical exams, sensitive information about drug abuse or pregnancy loss, and personal data like Social Security and driver’s license numbers. That suggests a breach that “uh-oh” doesn’t begin to cover. The FTC’s lawsuit against GMR Transcription Services –
Today is Data Security Day. You've educated your staff about limiting access to sensitive information, locking up confidential paperwork, and securing the network. But Latanya Sweeney, the FTC’s new Chief Technologist, just clued us in about a potential security vulnerability you, your HR team, and your web master can do something right now to correct.
When an ad purports to show a “right before your eyes” demonstration of a product in action, the visual must be a truthful representation of what it can do. If that’s not the case, both the advertiser and the ad agency can find themselves in law enforcement quicksand. That may have been news to Don Draper and his colleagues at Sterling Cooper in the early 60s, but it’s been a well-established legal tenet since then. The FTC’s complaint against Nissan North Amer
Business may seem borderless these days, but it’s important that companies honor applicable legal principles. That’s especially true when it comes to privacy. The good news for U.S.
What do dirty diapers and deceptive ads have in common? (We’ll pause a moment so you can add your own punch line.) Now that’s out of the way, the action against Portland-based Down to Earth Designs – consumers know them as gDiapers – is the FTC's latest effort to ensure the accuracy of environmental marketing claims. But even if green isn't your game, the case also offers insights into what the FTC calls "unqualified claims."
Whooping it up can be fun, but hooping it up – requiring consumers to jump through hoops to exercise their rights under the Fair Credit Report Act – is illegal. That’s one message businesses can take from the FTC’s $3.5 million settlement with TeleCheck.
Update (3/27/14): Apple will notify people about how to get refunds by April 15. The settlement requires Apple to provide full refunds for in-app charges made by kids without parental permission.
They’re incredibly valuable. In the wrong hands, they can be dangerous. And they’re in your workplace right now. What are they? Your employees’ Social Security numbers. Are you taking commonsense steps to thwart tax identity theft at your business?
In a drive to encourage truth in auto advertising, the FTC has announced Operation Steer Clear – a coast-to-coast law enforcement sweep focusing on deceptive TV, newspaper, and online claims about sales, financing, and leasing. If you have clients in the auto industry, the lessons of Operation Steer Clear can help keep them on the right track.
Sprinkle it on food. Slather it on skin. Place drops under the tongue. Regardless of how consumers use your product, if you make weight loss claims, here’s a New Year’s resolution to consider: Make sure you have sound science to support what you say. That’s just one message marketers can take from FTC actions against Sensa, L’Occitane, HCG Diet Direct, and LeanSpa, settlements that will return big money back to consumers – including $26.5 million to peop
Back in the day, consumers looking for a personalized product had to settle for a monogrammed hanky. GeneLink, Inc.
We’ve said it before, but it bears repeating: Glitch Happens. In the case of Accretive Health, Inc., it was a laptop taken from the passenger compartment of an employee’s car. What transformed this oops into a full-fledged uh-oh was that the laptop contained files with 20 million pieces of data about 23,000 patients, including sensitive health information. And according to the FTC’s lawsuit, the employee in question didn’t need all that
We got an interesting suggestion recently. “With how fast technology changes, how about building in a process so companies can see if newer methods meet the requirements of existing rules?” A related recommendation: Crowdsourcing. “The FTC could publicize an idea and get feedback from people.” We’re fans of innovation, too, which is why the Children’s Online Privacy Protection Rule includes a procedure for companies to ask if methods of getting parental consent not listed in COPPA nonetheless meet the Rule’s standards. As for crowdsourcing, we call it a notice and request for public
No one is sliding across the living room floor in shades lip synching to Bob Seger, but violating the FTC’s Risk-Based Pricing Rule is risky business nonetheless. That’s the message of the FTC’s $1.9 million settlement with telecom company Time Warner Cable, Inc., the first case brought under the Risk-Based Pricing Rule.