An operation marketing Visa- and MasterCard-branded prepaid debit cards to subprime consumers has agreed to settle Federal Trade Commission charges that it made unauthorized debits from consumers’ bank accounts and engaged in deceptive marketing practices. The settlement requires the defendants to pay $2,258,258 for consumer redress, plus the proceeds from the sale of an automobile. […]
Category Archives: Federal Trade Commission
FTC Challenges Patent Holders Refusal to Meet Commitment to License Patents Covering ‘Ethernet’ Standard Used in Virtually All Personal Computers in U.S.
The Federal Trade Commission today announced a complaint and settlement with Negotiated Data Solutions LLC (N-Data), which allegedly violated federal law by engaging in unfair methods of competition and unfair acts or practices regarding its enforcement of certain patents against makers of equipment employing Ethernet, a computer networking standard used in nearly every computer sold […]
Commission Announces Revised Jurisdictional Thresholds for Section 8 and Section 7A of the Clayton Act
Commission approval of Federal Register notices: The Commission, by a vote of 5-0, has authorized publication of a Federal Register notice announcing the revised thresholds for Section 8 interlocking directorates. Section 8 of the Clayton Act was amended on November 16, 1990. The amendment establishes jurisdictional thresholds that trigger the Act’s prohibition on interlocking directorates. […]
Sellers of Alternative Hormone Replacement Therapy Products Settle with FTC for Failing to Substantiate Health Claims
The Federal Trade Commission today announced a consent agreement with online sellers of alternative hormone replacement therapy (HRT) products that settles charges that they made health claims for their products without supporting scientific evidence. The Commission’s administrative complaint, filed in September 2007, alleged that Herbs Nutrition Corporation and its principal, Syed M. Jafry, claimed that […]
Online Apparel Retailer Settles FTC Charges That It Failed to Safeguard Consumers Sensitive Information, in Violation of Federal Law
An apparel company that collected sensitive consumer information and pledged to keep it secure has agreed to settle Federal Trade Commission charges that its security claims were deceptive and violated federal law. The order against Life is good, Inc. and Life is good Retail, Inc. bars deceptive claims about privacy and security policies and requires […]
FTC Releases Report Examining Laws That Apply Differently to the U.S. Postal Service and its Private Competitors
The Federal Trade Commission today issued a report entitled “Accounting for Laws that Apply Differently to the United States Postal Service and its Private Competitors,” which fulfills its requirement under the Postal Accountability and Enhancement Act (PAEA). The report identifies and quantifies – to the extent possible – the Postal Service’s economic burdens and advantages […]
Sellers of Hoodia Coffee Settle with FTC for Bogus Weight-Loss Claims
The marketers of “Slim Coffee” – an instant coffee product purportedly containing hoodia – have agreed to settle Federal Trade Commission charges that their advertising falsely claimed that their product would enable its users to lose significant amounts of weight without diet or exercise. The defendants ran television ads claiming that drinking Slim Coffee had […]
FTC, Canadian Law Enforcement Partners Target Cross Border Fraud
Today, the Toronto Strategic Partnership, of which the Federal Trade Commission is a member, released a paper summarizing the joint law enforcement initiatives undertaken in the last seven years to combat cross-border telemarketing fraud and other mass-marketing fraud. Through their combined efforts, the Partnership has shut down cross-border operations that defrauded nearly two million U.S. […]
FTC Staff Seeks Comments on Credit Freezes: Impact and Effectiveness
Federal Trade Commission staff is seeking comments on the impact and effectiveness of credit freezes as part of a multi-pronged approach to combat identity theft. Thirty-nine states and the District of Columbia have enacted laws providing consumers the right to place credit freezes, and each of the three nationwide consumer reporting agencies (“CRAs”) is offering […]
Appeals Court Affirms Ruling in FTCs Favor in Q-Ray Bracelet Case
The U.S. Court of Appeals for the Seventh Circuit has upheld a district court ruling requiring marketers of the “Q-Ray Ionized Bracelet” to give up almost $16 million in net profits as part of a maximum $87 million they must pay in refunds to consumers. In a decision issued on January 3 and written by […]