Advertising and Marketing

Lead Generation Industry to be Turned Upside Down: Proposed FCC Rule Requires Consent Must be Secured 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…

Lead Generator Faces Devastating Civil Monetary Penalties for Alleged Telemarketing Sales Rule Violations

On September 1, 2023, an Illinois federal court ruled in the matter of Federal Trade Commission v. Day Pacer LLC, et al. (N.D. Ill. Sept. 1, 2023) that Day Pacer (f/k/a EduTrek) and company executives violated the Telemarketing Sales Rule (TSR) by allegedly making millions of calls to telephone numbers on the National Do Not…

NY AG and FTC Secure $1.6M from Online Apartment Finder for Allegedly Defrauding Renters

On August 28, 2023, the New York Attorney General and the Federal Trade Commission (FTC) announced that they have secured $1.6 million from Roomster, an online apartment search platform, and its owners, for allegedly defrauding millions of renters nationwide by posting unverified apartment listings and fake reviews. The consent order also prohibits Roomster and its…