Federal Trade Commission (FTC)
The U.S. Federal Trade Commission (FTC) enforces and investigates (Civil Investigative Demands) fraudulent, unfair and deceptive practices, as well as anticompetitive marketplace conduct. It possesses investigative authority pursuant to Sections 6, 9 and 20 of the FTC Act. Following an investigation, the FTC may initiate a consumer protection or antitrust enforcement action. The basic consumer protection statute enforced by the FTC is Section 5(a) of the FTC Act. Consumer protection laws are enforced by the Bureau of Consumer Protection. Antitrust laws are enforced by the Bureau of Competition.
FTC Continues to Focus on Unsubstantiated Health Claims and Fake Testimonials
The Federal Trade Commission has announced that it has settled charges, via an administrative consent agreement, with a New Jersey-based company and its owners for the alleged use of deceptive claims to sell purported mosquito-repelling perfume sprays and scented candles. Specifically, the FTC alleges that efficacy claims were unsubstantiated and that various consumer reviews were…
Read Article...FTC Announces Invention-Promotion Settlement and Mortgage Relief Enforcement Action
The Federal Trade Commission’s Bureau of Consumer Protection polices unfair acts that cause substantial injury to consumers in violation of the FTC Act. Recently, the agency announced two noteworthy enforcement matters. Settlement With Operators of Alleged Invention Promotion Scam In 2017, the Federal Trade Commission charged the operators of an alleged invention-promotion scam with deceiving consumers and attempting to…
Read Article...Mobile Phone Maker Reaches Settlement with FTC over Deceptive Privacy and Data Security Claims
Mobile phone manufacturer BLU Products, Inc. and its co-owner have reached a settlement with the Federal Trade Commission over allegations that the company allowed a China-based third-party service provider to collect detailed personal information about consumers, such as text message contents and real-time location information, without their knowledge or consent despite promises by the company that…
Read Article...FTC Staff Perspective Examines Key Financial Issues That Affect Military Consumers
A Staff Perspective by the Federal Trade Commission’s Bureau of Consumer Protection, examines financial issues that can affect military consumers, including servicemembers, veterans and their families when they are purchasing and financing a car, dealing with debt collectors or making credit decisions, as well as their legal rights and remedies, and strategies to promote financial…
Read Article...Hat Company Settles FTC Charges of Deceptive “Made in USA” Claims
On January 23, 2018, the Federal Trade Commission announced that a Pennsylvania-based company has agreed to cease making allegedly false claims that the hats and other products it sells are all or virtually all made in the United States, and to stop its alleged deceptive use of its “American Made Matters” certification and marketing materials. See the settlement…
Read Article...FTC Penalizes Telemarketer for Deceptive Charitable Solicitation Calls
The Federal Trade Commission recently announced that an Ohio-based company that allegedly made millions of calls to consumers nationwide on behalf of charitable organizations has agreed to pay a $250,000 civil penalty to settle FTC charges that its telemarketers deceived consumers by falsely stating that they were not calling to solicit contributions. The proposed order…
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