The Federal Trade Commission (FTC) has a “Cooling-Off Rule” that gives consumers a three-day right to cancel a sale made at their home, workplace, or dormitory, or at a seller’s temporary location, like a hotel or motel room, convention center, fairground, or restaurant. Thus, the Rule applies both to in-home presentations and to in-person seminars
Feds Continue to Target Companies Marketing COVID-19 Products
Nearly every week it seems as though the Federal Trade Commission (FTC) is sending out a new round of warning letters to companies marketing products and therapies as effectively treating or preventing COVID-19. We previously wrote blog posts here and here about sets of such letters, and our colleague, Marissa Koblitz Kingman, recently wrote
Reminder Regarding Cannabis Products
The federal Food and Drug Administration (FDA) recently issued a consumer update regarding products containing cannabis or cannabis-derived compounds, including cannabidiol (CBD). Although aimed at consumers, the update contains important reminders for businesses marketing or selling these types of products. The FDA’s website also includes lengthy Q&A guidance about its regulation of them. A prior
FTC Issues “Disclosures 101 for Social Media Influencers”
Last week, the Federal Trade Commission (FTC) issued guidance titled “Disclosures 101 for Social Media Influencers.” The guidance consists of a short, easy-to-read document aimed directly at those who work with brands to recommend or endorse products. It is intended to give those influencers tips on when and how to make good disclosures about their
FTC’s Antitrust Guidelines for IP Licensing
Since 1995, the Federal Trade Commission (FTC) and the Department of Justice (DOJ) have maintained intellectual property licensing guidelines, most recently updated in 2017. Those guidelines, titled “Antitrust Guidelines for the Licensing of Intellectual Property,” discuss how the FTC and DOJ evaluate licensing for patents, copyrights, trade secrets, and know-how and how they
The FTC Wants Honest Customer Reviews
The Federal Trade Commission (FTC), which enforces federal consumer protection and antitrust laws with the goal of promoting competition while protecting consumers from fraud, deception, and unfair business practices, has enforcement or administrative responsibility over dozens of laws, including the Consumer Review Fairness Act (CRFA). The CRFA is designed to protect consumers’ ability to share
Beware “Natural” Advertising
What does “natural” mean in the context of product advertising? Consumers see phrases like “natural,” “all natural,” and “100% natural” over and over again in modern marketing. The trouble is that “natural” may not mean what consumers expect it to mean, thereby opening companies up to claims of false or misleading advertising.
Two recent lawsuits
FTC Issues New Marketing Rules for Jewelry Industry
The FTC has amended its Jewelry Guides (formally, the “Guides for the Jewelry, Precious Metals, and Pewter Industries”) which aim to help prevent deception in jewelry marketing by providing clear standards.
The Jewelry Guides, like other industry guides published by the FTC, are intended to help marketers understand their responsibilities with respect to avoiding consumer
Electronic Retailing Self-Regulation Program
When hoping to resolve advertising concerns or disputes quickly and easily, companies should not only consider utilizing the National Advertising Division (“NAD”), but also the potentially lesser-known Electronic Retailing Self-Regulation Program (“ERSP”). ESRP is a self-regulatory program administrated for the Advertising Self-Regulatory Council (“ASRC”) by the Council of Better Business Bureaus. The program was established
Importance of Claim Substantiation
Failing to have adequate substantiation for advertising claims can land companies in hot water. Case in point: The Federal Trade Commission (“FTC”) recently announced that it had settled charges against a company and its CEO related to their advertising of anti-aging products using what the FTC believed were false or unsubstantiated claims. According to the