On September 27, 2022, California Governor Gavin Newsom signed SB 1162, which  requires employers with more than 15 employees to disclose pay scales to current employees and on job postings beginning January 1, 2023. The bill also requires private employers with more than 100 employees to submit significantly more pay data to the California Civil Rights Department (CRD, formerly known as the DFEH) beginning in May 2023.

Pay Scale Disclosure Requirements  

With SB 1162, California joins Colorado, Washington, and New York City in requiring employers with more than 15 employees to disclose the pay scale for a position in any job posting. “Pay scale” means the salary or hourly wage range that an employer reasonably expects to pay for the position. The bill does not specify how or if this requirement applies to postings for remote jobs that may or may not be performed in California. We expect the CRD to issue additional guidance on this and other key issues in the coming months.

Continue Reading California Requires Disclosure of Pay Scales in Job Postings and Significant New Pay Data Reporting

In an expansion designed to bring its advertising review jurisdiction in line with those of international self-regulatory organizations and enforcers, the National Advertising Division (NAD) has expanded its review authority so that it not only covers the truth and accuracy of national advertising, but also advertising that portrays “negative harmful social stereotyping, prejudice or discrimination.” In so doing, NAD seeks to adapt its review process to permit the review of ads that cause possible social harm based on stereotypical or discriminatory portrayals. Unlike some international bodies, which are not constrained by the First Amendment, NAD proposes to tether its review to such portrayals that may cause harm because they are misleading and inaccurate.

Continue Reading National Advertising Division (NAD) Expands Jurisdiction to Review of Advertising Portraying “Negative Harmful Social Stereotyping, Prejudice or Discrimination.”

The FTC had an active week and addressed numerous topics, including ways to protect older adults and gig economy workers. Notably, the FTC released a report showing the rise in sophisticated dark pattern practices and the Commission’s commitment to combatting them. The Commission also announced a proposed rule targeting government and business impersonation scams. This story and more after the jump. 

Continue Reading FTC Updates (September 12–16, 2022)

A new draft report to Congress by the U.S. Environmental Protection Agency and the National Oceanic and Atmospheric Administration on behalf of the Interagency Marine Debris Coordinating Committee cites textiles and the fashion industry as the leading sources of microfiber pollution in the environment. While the draft report acknowledges uncertainty about how microfiber pollution impacts the environment and human health, the report’s authors recommend that the textile and fashion industry—along with manufacturers of clothes washers and dryers and personal care products—design their products to prevent microfibers from being released into the environment.

The draft report was required to be developed pursuant to the Save Our Seas 2.0 Act, enacted in 2020 on a bipartisan basis to address problems associated with marine debris and plastics in the ocean. It has been made available for public comment, which closes October 17, 2022.

Continue Reading New Federal Report on Microfiber Pollution Spotlights Textile and Fashion Industries

The FTC had a lighter week following Labor Day as the Commission hosted a public forum on its proposed rulemaking on commercial surveillance and lax data security practices. A D.C. federal court judge handed the FTC a victory when it denied a request from Facebook to turn over the FTC’s analysis of Facebook’s acquisition of Instagram and WhatsApp. The Commission ended the week by announcing its agenda for an open commission meeting scheduled for September 15. This story and more after the jump. 

Continue Reading FTC Updates (September 5-9, 2022)

The FTC has been aggressive wrapping up the fiscal year before the Labor Day weekend—it initiated several actions across various industries, protecting consumers from sensitive data leak to deceptive “pre-approved” credit offers. The Commission also issued its E-Cigarette Report for 2019-2020, which highlights dramatic surge in sale of flavored disposable e-cigarettes and menthol e-cigarette cartridges. Last but not the least, the FTC is sending checks totaling more than $1.9 million to consumers who bought Hubble brand contact lenses from Vision Path, Inc. This story and more after the jump. 

Continue Reading FTC Updates (August 29-September 2, 2022)

On August 24, 2022, the California Attorney General’s Office announced a settlement with Sephora, Inc. (Sephora), a French multinational personal care and beauty products retailer. The settlement resolved Sephora’s alleged violations of the California Consumer Privacy Act (CCPA) for allegedly failing to: disclose to consumers that the company was selling their personal information, process user requests to opt out of sale via user-enabled global privacy controls, and cure these violations within the 30-day period currently allowed by the CCPA.

Continue Reading $1.2 Million CCPA Settlement with Sephora Focuses on Sale of Personal Information and Global Privacy Controls

New parents have their hands full. Baby bouncy seats and swings offer busy caregivers a way to put an infant down but still allow him or her to see and interact with the surrounding environment. But recent recalls have led parents to think twice before going hands free.

On August 15, 2022, 4moms and the CPSC announced a recall of more than two million 4moms MamaRoo Baby Swings (versions 1.0  – 4.0) and over 220,000 RockaRoo Baby Rockers sold in the U.S. and Canada. According to the announcement, the restraint straps on the 4moms MamaRoo Baby Swing and RockaRoo Baby Rocker can dangle below the seat when the product is not in use, posing a strangulation hazard to crawling infants. On August 29, 2022, residents from North Carolina and South Carolina sued Thorley Industries, LLC (d/b/a 4moms) on behalf of nationwide class of purchasers of the recalled products in federal court in Pennsylvania.

Continue Reading Litigation Recall Report: Nationwide Lawsuit Follows 4moms Recall of MamaRoo Baby Swing and RockaRoo Baby Rockers

With the end of the fiscal year approaching, the FTC has been busy issuing multiple reports, plans, and resolutions related to its various powers and obligations, including a report to Congress on the Children’s Online Privacy Protection Act (“COPPA”). This story and more after the jump. 

Continue Reading FTC Updates (August 22-26, 2022)

In the recent article, “Facebook and Google settled biometrics lawsuits. Look for more.” featured in Crain’s Chicago Business, Partner Jason Stiehl analyzes wider repercussions of Snapchat’s recent settlement after accusations that it used facial recognition technology that collected and stored users’ biometric information without consent. Stiehl explains that he expects more litigation due to Illinois’ law restricting how firms collect and store user data.

Stiehl provides insight on how companies can protect themselves as new technologies emerge, specifically in the retail space. He provides an example of “try-on” cases where people can try on clothing in virtual dressing rooms and technology captures biometric data. He explains, “I think companies are starting to realize that (try-on cases are) a real risk.”

Read more from Crain’s Chicago Business here (subscription required).