The Federal Trade Commission continued its active enforcement posture in late March 2026, with significant developments spanning healthcare, franchise regulation, competition, and consumer financial protection. The Commission distributed more than $10.9 million to consumers harmed by a credit repair pyramid scheme, while the FTC secured a record-breaking franchise settlement. Chairman Ferguson also launched a new Healthcare Task Force to coordinate agency-wide enforcement efforts in the healthcare sector. These stories and more after the jump.

Tuesday, March 17, 2026

Consumer Protection | Bureau of Consumer Protection | Credit & Loan Offers | Consumer Refunds | Advertising and Marketing | Online Advertising and Marketing | Advertising and Marketing Basics | Credit and Finance | Credit and Loans

  • The FTC announced it is distributing more than $10.9 million to consumers affected by a credit repair operation known under multiple names, including Financial Education Services (“FES”), United Wealth Education, United Credit Education Services, and Youth Financial Literacy Foundation. In 2022, the FTC sued FES, alleging that the company targeted consumers with low credit scores by making misleading promises about improving their credit and then recruiting them into a pyramid scheme selling the same credit repair services to others. The FTC secured settlements with FES and its owners and operators in 2024, requiring them to cease the challenged practices and turn over funds for consumer redress. The FTC is now sending checks to 443,048 affected consumers, who should cash their checks within 90 days as indicated on the check. The action reflects the FTC’s use of Section 5 of the FTC Act and related consumer protection statutes to pursue operators of multi-level credit repair schemes and obtain restitution for affected consumers. Companies involved in credit repair or multi-level marketing programs should closely evaluate their business models and disclosure practices in light of FTC enforcement actions.

Wednesday, March 18, 2026

Consumer Protection | Regional Officers | Southwest Region | Bureau of Consumer Protection | Going into Business | Franchises, Business Opportunities, and Investments

  • The FTC reached a $17 million settlement against Xponential Fitness, which the agency described as the largest monetary recovery in a franchise case in FTC history, for alleged violations of the Franchise Rule and related claims of deceptive practices. Xponential is the franchisor of Club Pilates, Pure Barre, YogaSix, StretchLab, BFT, and other fitness studio brands. In the complaint, the FTC alleged that Xponential:
    • Falsely claimed franchisees typically open within six months of signing, when in reality openings routinely took more than a year, resulting in alleged substantial unexpected costs for franchisees;
    • Failed to disclose that former CEO Anthony Geisler had been repeatedly sued for fraud and that the former President of Franchise Development had declared bankruptcy, both required disclosures under the Franchise Rule; and
    • Provided inaccurate, incomplete, or untimely Franchise Disclosure Documents (FDDs) to prospective franchisees who were paying an average initial fee of $45,000 and entering into 10-year agreements.

The proposed order requires $17 million in redress to affected franchisees, prohibits misrepresentations in the promotion or sale of any franchise, and mandates full compliance with the Franchise Rule going forward. Franchisors may wish to review their FDDs and marketing materials to ensure compliance with applicable disclosure obligations.

Friday, March 20, 2026

Consumer Protection | Competition | Office of Policy Planning | Bureau of Competition | Bureau of Consumer Protection | Bureau of Economics | Health Care | Office of Technology

  • Chairman Ferguson launched an FTC Healthcare Task Force, directing the Bureaus of Competition, Consumer Protection, and Economics, along with the Offices of Policy Planning and Technology, to take a coordinated, integrated approach to healthcare enforcement and advocacy. The Task Force will lead targeted enforcement initiatives, develop agency-wide strategies on investigations, identify amicus and statement of interest opportunities, and flag emerging priority areas. The Task Force also aims to expand its membership to include HHS, DOJ, and other law enforcement partners. The launch follows President Trump’s executive order directing the FTC to promote a more competitive, innovative, and affordable healthcare system, and builds on recent FTC actions.