Publications
Update on “Natural” Claims: NAD Recommends Discontinuance of “Naturally Dry” in Product Name
“What’s in a name?” Well, according to the National Advertising Division of the Council of Better Business Bureaus, truth should be a definite component. In its decision involving a challenge brought by Unilever United States, Inc...
TSR Changes in 2015
In late November 2015, the Federal Trade Commission finalized amendments to the Telephone Sales Rule that regulates the telemarketing industry. Marketers need to understand that the amendments contain changes that...
The Internet of Things Gone Wild: FTC Alleges Deception in Marketer’s Claims of Device Security
The FTC has filed a complaint in the Northern District of California alleging that D-Link Corporation, a Taiwan-based manufacturer, failed to take adequate steps to protect its routers and Internet cameras from readily preventable security flaws, and yet touted the security of its routers in the company’s promotional materials...
Tech Support Industry Gets $37 Million Wake-Up Call from FTC
In a reminder to all marketers that the use of scare tactics and similar high-pressure strategies in advertising are fair game for investigation, the Federal Trade Commission and the State of Florida have settled claims against Boost Software, Success Capital, LLC and a group of individual defendants for judgments totaling...
Takeaways from FTC Lumosity Matter
As you may have read by now, the makers of the Lumosity “brain training” program – Lumos Labs, Inc., and its founders, Kunal Sarkar and Michael Scanlon – have agreed to pay $2 million in redress (an amount suspended from $50 million, due to the company’s poor financial condition), and will be required to provide its subscribers...
Sweepstakes and Contests: Not Knowing the Difference May Cost You!
Sweepstakes and contests are popular and fairly inexpensive promotional tools for almost any product or service category. They are regulated by a patchwork of state laws, federal law via the Deceptive Mail Prevention and Enforcement Act, and under certain circumstances, by the FTC. As a result, campaign errors can quickly...
Sweepstakes and Contests: A Primer for User-Generated Content
In my previous blogpost about sweepstakes and contests, I addressed the primary differences between those two types of prize promotions (chance vs. skill) and the need for Official Rules. This post examines user-generated content. For both sweepstakes and contests, a popular format invites entrants to upload, post, or...
Quick Start Guide: Complying with FTC Guidance Concerning Social Media Influencer Campaigns
As you probably know by now, in April the Federal Trade Commission signaled its heightened concern with social media influencer campaigns that fail to disclose the existence of a business or family relationship between the influencer and the advertiser. As a clear indication of more serious enforcement to come, the Commission sent...