On August 26, 2024, the FTC announced a stipulated order and settlement with Care.com for 8.5 MM. The complaint, filed in W.D. Tex. alleges various violations of Section 5 of the FTC Act and the Restore Online Shoppers Confidence Act with respect to the manner in which Care.com advertised and promoted the number of jobs available on its platform, and its auto-renew or subscription feature. The FTC labeled Care.com’s subscription cancellation flow a “dark pattern”; it is hard to locate, and, once found, consumers must “navigate a multipage process rife with deceptive design tactics”. The conclusion, per the FTC is that Care.com just doesn’t want users to be able to cancel. In the stipulated order, the parties agreed that: Continue Reading The FTC and “Cancel Culture”
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FTC Updates (August 5-9, 2024)
The FTC stayed busy during the beginning of August. The agency announced a host of proposed settlements with companies and individuals engaged in deceptive and fraudulent business schemes. All this and more after the jump:Continue Reading FTC Updates (August 5-9, 2024)
Final Rule Announced: The FTC Strengthens Its Enforcement Capacity Against “Deceptive” Reviews and Testimonials
As we’ve previously reported, FTC practitioners and businesses alike have been anxiously awaiting details about the rule that will prohibit purportedly deceptive practices in connection with reviews and testimonials. Our readers likely recall the FTC’s advance notice of proposed rulemaking from November 2022, the notice of proposed rulemaking from June 2023, and the informal hearing on the proposed rule which occurred in February 2024. The wait is finally over: just yesterday, August 14, 2024, the agency announced the “Rule on the Use of Consumer Reviews and Testimonials” (the “Rule”). The final Rule, which the Commissioners unanimously approved, is a formal step to address alleged ongoing non-compliance with Section 5 of the FTC Act and the agency’s Guides Concerning the Use of Endorsements and Testimonials in Advertising (the “Endorsement Guides”), particularly in the consumer review space.Continue Reading Final Rule Announced: The FTC Strengthens Its Enforcement Capacity Against “Deceptive” Reviews and Testimonials
FTC Updates (July 15-19, 2024)
As we proceed through July, the FTC continues to bring the summer heat in cracking down on the advertising practices of cannabis manufacturers, and on the possible anti-competitive effects of serial acquisitions and roll-up strategies. All this, and more, after the jump.Continue Reading FTC Updates (July 15-19, 2024)
FTC Updates (July 1-12, 2024)
The FTC has kept a steady march through the summer, announcing developments in existing cases, submitting testimony to Congress, and revising existing regulatory exemptions. Also, the FTC finalized reports on dark patterns, challenged a merger, and issued warning letters on the right to repair. This, and more, after the jump.Continue Reading FTC Updates (July 1-12, 2024)
FTC Updates (June 3-7, 2024)
The first week of June brought two votes on final rules from the FTC, including the Amplifier Rule and Racetrack Safety Rule. Further, the FTC finalized a proposed settlement and consumer redress regarding Lurn, Inc.’s deceptive advertisings. All this and more after the jump:Continue Reading FTC Updates (June 3-7, 2024)
FTC Updates (May 27-31, 2024)
The FTC rounded out May by providing its annual report to the Consumer Financial Protection Bureau, highlighting the Commission’s efforts related to the Truth in Lending Act (TILA), Consumer Leasing Act (CLA), and Electronic Fund Transfer Act (EFTA).Continue Reading FTC Updates (May 27-31, 2024)
FTC Updates (May 13 – May 24, 2024)
Between announcing a joint public inquiry with the DOJ seeking information on serial acquisitions and roll-up strategies and Chair Lina Khan’s remarks at the 2024 American Economic Liberties Project Anti-Monopoly Summit, the FTC was active with regard to antitrust issues this week. The FTC provided a glimpse into the markets, in which it is currently interested in, for potential anticompetitive practices, and refunded consumers millions for false country of origin claims. These stories and more after the jump.Continue Reading FTC Updates (May 13 – May 24, 2024)
FTC Updates (April 22 – May 3, 2024)
Between its new Non-Compete Rule, warning letters against drug manufacturers, and numerous enforcement actions, the FTC has been making more headlines than usual in recent weeks. The FTC’s activity touches on a number of industries, including healthcare, oil and gas, pharmaceuticals, and telecommunications. These stories and more after the jump.Continue Reading FTC Updates (April 22 – May 3, 2024)
FTC Updates (April 15 – April 19, 2024)
The FTC’s enforcement and rulemaking arms have been active this week, with the former resolving actions related to telehealth and student debt relief companies. The agency will also hold a meeting this coming week regarding their much-commented-on proposed noncompete rule. In addition, the House of Representatives advanced a bill to dissolve the Bureau of Competition, the FTC’s division concerned with antitrust issues. These stories and more after the jump.Continue Reading FTC Updates (April 15 – April 19, 2024)