On April 13, 2023, the Federal Trade Commission (FTC) used its penalty offense authority to issue Notices to approximately 670 advertisers, warning that the FTC will not hesitate to use its authority to target those who cannot substantiate their claims, with large civil penalties of up to $50,120 per violation. The Notice does not suggest
Regulators
FTC on the Path to Proposed Amendments to the Endorsement Guides
By Keri S. Bruce & Emily Faro on
On May 19, 2022, the Federal Trade Commission (FTC) unanimously voted to publish for public comment in the Federal Register proposed changes to the Guides Concerning the Use of Endorsements and Testimonials in Advertising (the Guides). The proposal makes a number of changes to the Guides, which were first enacted in 1980 and later updated…
FTC Gone Viral: Commission Puts 700+ Companies on Notice About Deceptive Endorsements
By Jason Gordon, Nikki Bhargava & Erika Auger on
Yesterday the Federal Trade Commission (“FTC”) announced that it sent “Notices of Penalty Offense” (the “Notice”) to over 700 companies in nearly every industrial sector, ranging from leading retailers, tech platforms, top consumer product companies, and major advertising agencies, warning them that they could incur significant civil penalties – up to $43,792 per violation – if they use endorsements in ways that run counter to prior FTC administrative cases.
Continue Reading FTC Gone Viral: Commission Puts 700+ Companies on Notice About Deceptive Endorsements
FTC Seeks Monetary Penalties for Deceptive Marketing of COVID-19 Treatments in First Action under the COVID-19 Consumer Protection Act
By Jason Gordon & Erika Auger on
Last week, the Department of Justice (“DOJ”) together with the Federal Trade Commission (“FTC”) announced a new civil lawsuit filed against St. Louis-based chiropractor Eric Anthony Nepute and his company, Quickwork LLC, alleging that they deceptively marketed products containing vitamin D and zinc as scientifically proven to treat or prevent COVID-19. This is the first…
FCC issues reminder to broadcasters on sponsorship IDs
By Keri S. Bruce & Erika Auger on
Earlier this month, the Federal Communications Commission (FCC) issued an enforcement advisory to remind broadcasters of their sponsorship obligations.
What is the Sponsorship Identification Rule?
Under section 317 of the Communications Act of 1934 (the Sponsorship Identification Rule), when a broadcast station transmits any matter for which money, a service, or other valuable consideration is…
FTC Issues Largest Ever Judgment Over Made In The USA Claims
By Jason Gordon on
Last week, the Federal Trade Commission issued a $1.2 Million judgment against glue maker, Chemence. Chemence is the manufacturer of various glues. The judgment originates from the production and manufacturing of various glue products with pre-packaged and pre-labeled Made in the USA claims. Additionally, the FTC alleged that Chemence represented to third parties that their…