Blog Posts Tagged with Endorsements

We haven’t tried bullhorns or signal flares yet, but aside from that, it’s tough to imagine a tactic the FTC hasn’t taken to warn businesses about the risks of involving themselves in deceptive weight loss promotions.

So you’ve received a Civil Investigative Demand (CID) from the Federal Trade Commission related to a consumer protection matter. Now what? We appreciate that it can be daunting for any company – especially a small business – and we want to be as transparent as possible about the process.

One Direction had a hit with a song called “18,” but the FTC’s recent law enforcement and policy initiatives suggest that the agency will continue to pursue many directions in its efforts to protect consumers in ‘18. (Sorry. We’re expecting a fresh shipment of pop culture references in January.) In case you missed them – and in no particular order – here are ten FTC consumer protection topics of note from 2017.

Like Alanis Morissette’s “rain on your wedding day” or “a free ride when you’ve already paid,” the FTC’s lawsuit against Florida’s NextGen Nutritionals, LLC, Anna McLean, Robert McLean, and related companies – in addition to challenging a number of claims as false or deceptive – includes three allegations that could be characterized as ironic.

The Federal Trade Commission and Victory Media, Inc. have reached a proposed administrative consent agreement resolving allegations that Victory Media violated Section 5 of the FTC Act in connection with its promotion of post-secondary schools to military consumers.

If you have any influence over influencers, alert them to three developments, including the FTC’s first law enforcement action against individual online influencers for their role in misleading practices. According to the FTC, Trevor Martin and Thomas Cassell – known on their YouTube channels as TmarTn and Syndicate – deceptively endorsed the online gambling site CSGO Lotto without disclosing that they owned the company.

If marketing claims are any indication, “green” paint is popular with consumers, but not just in the sense of emerald, mint, or avocado. Companies are advertising that their paints are emission-free, VOC-free, and without chemicals that could harm consumers, including pregnant women, babies, and people with asthma. Some brands even feature seals and certifications touting purported environmental benefits.

Silence may be golden, but not when it comes to contract clauses that would muzzle consumer complaints. That’s one message from an FTC settlement with the makers of NutriMost weight-loss products. Here’s another: don’t make weight-loss claims without scientific evidence to back them.

Imagine a series of promotions that involve pain relief promises, cognition claims, endorsements, 30-minute radio ads, “risk-free” money-back guarantees, “free” trial offers, negative options, telemarketing, and upsells of buying club memberships. What could possibly go wrong for consumers?

Where would you like to start?