Internet Marketing Law Blog

The New FTC CARS Rule and What You Should Know

Misleading ads and hidden fees?  The FTC’s new Combating Auto Retail Scams (CARS) Rule aims to make changes by stopping bait-and-switch tactics and hidden fees. What Does the FTC CARS Rule Mean for Car and Truck Buyers? Pricing and Payments A dealer must tell you the offering price, which is the full price of the…

FCC Adopts New Rule to Close the Lead Generator Robocall and Robotexts Loophole

On December 13, 2023, the Federal Communications Commission adopted new rules designed to protect consumers from “scam communications” by directly addressing some of the “biggest vulnerabilities” in America’s robotext defenses and closing the “lead generator” robocall/robotexts loophole. The new rules allow blocking of “red flagged” robotexting numbers, codifies Do-Not-Call rules for texting, and encourages an…

Lead Generation Industry to be Turned Upside Down: Proposed FCC Rule Requires Consent Must be Secured From a Single Seller at a Time

One of the key issues relating to the NPRM pertains to consent being sent directly to/obtained by one seller at a time. The FCC has now circulated its proposed rule.  It has not been adopted yet but it looks like it will be in December when voted upon.  It looks like the rule will become effective…

FTC Authorizes Use of Civil Investigative Demands (CIDs) for AI-Related Products and Services

On November 21, 2023, the Federal Trade Commission announced that it has approved an omnibus resolution authorizing the use of compulsory process in non-public investigations involving products and services that use or claim to be produced using artificial intelligence (AI) or claim to detect its use.  The resolution will streamline the FTC staff counsel’s ability to…

Direct Seller Beats FTC Pyramid Scheme and Income Claim Allegations

In November 2019, the Federal Trade Commission filed a lawsuit against direct selling wellness company Neora, LLC (f/k/a Nerium International, LLC) and its Chief Executive Officer alleging that the company operates as an illegal pyramid scheme and falsely promises recruits they will achieve financial independence if they join the scheme. The lawsuit also alleges that…

FTC Adds Senior Executives That Allegedly Played Key Roles in Alleged Amazon Prime Enrollment Scheme

As previously blogged about here,  in June 2023, the Federal Trade Commission announced an action against Amazon.com, Inc. for allegedly enrolling consumers in its Prime program without consent and knowingly making it difficult for consumers to cancel their subscriptions.  On September 20, 2023, the FTC accounced that it has added senior executives that allegedly played…