The U.S. Food and Drug Administration (FDA) and the Federal Trade Commission (FTC) issued warning letters on July 16, 2024, to five companies for illegally selling and introducing into the market copycat food products containing delta-8 tetrahydrocannabinol (THC). This action marks a continuation of the joint efforts by FDA and FTC to protect consumers from
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The FTC’s Latest AI and Your Business
The Federal Trade Commission (FTC) recently published a new blog post within its series titled “AI and Your Business.” The post emphasized the FTC’s views on the importance of accuracy, transparency, and privacy as brands continue to incorporate artificial intelligence (AI) in their businesses, particularly through anthropomorphic AI chatbots and avatars.…
From California to New York, Junk Fees Continue to Be a Hot Topic for Legislators and Regulators
Key Updates:
- California’s “drip pricing” law, which will limit how businesses can present fees and prices, is set to come into effect July 1, 2024.
- On May 8, 2024, California Attorney General Rob Bonta issued guidance on the new law.
- On May 20, 2024, Minnesota Governor Tim Walz signed a bill banning practices related to
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CARU Issues Warning About Using AI in Child-Directed Advertising and Data Collection
Key Updates:
- On May 1, 2024, BBB National Programs’ Children’s Advertising Review Unit (CARU) issued a compliance warning stating that its Self-Regulatory Guidelines for Children’s Advertising (Advertising Guidelines) and Self-Regulatory Guidelines for Children’s Online Privacy Protection (Privacy Guidelines) apply to artificial intelligence (AI) in advertising and data collection targeted at children under 13.
- CARU warns
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Is Your Trademark Notice an Advertising Claim?
In an unusual decision[1] this month, the National Advertising Division of BBB National Programs (NAD) recommended that Planting Hope Brands (PHB), a plant-based food and beverage company, discontinue its use of the registered trademark symbol or ® on the packaging and advertising for its product RIGHTRICE, a plant-derived flour-based kernel. …
DOJ Adopts Accessibility Standards for State and Local Government Web Content
Key Updates:
- Earlier this month, the Department of Justice (DOJ) adopted a final rule under Title II of the Americans with Disabilities Act of 1990 (ADA) aimed at ensuring web content and apps are accessible to people with disabilities.
- Specifically, the new rule requires that public entities covered by Title II, which includes state and
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National Advertising Division Flags Social Media Disclosure Obligations for Wonderbelly, Its Influencers, and Investor Demi Moore
Key Takeaways:
- Disclosure of a payment or other material connection (e.g., via #Ad) must be prominent and “before the fold” for social media posts.
- Influencers must include applicable disclosures in video content (not merely in the caption that accompanies the video).
- A brand cannot repost influencer content without disclosing that the content has been paid
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Top Advertising Law Trends for 2024
With the first quarter of 2024 in full swing, it is a good time for brands to revisit marketing compliance strategies to minimize the risk of potential class actions, regulatory enforcement actions, and competitor challenges. This Update highlights hot topics in advertising law for 2024.
Judge Rules Water Bottler Must Face Class Action Over “Carbon Neutral” Claims
Key Update:
- A federal court in New York denied Danone Waters of America’s motion to dismiss a class-action lawsuit accusing it of falsely advertising Evian-branded bottled water as “carbon neutral.”
- The putative class-action lawsuit claims that the Evian water bottles are not actually carbon neutral due to alleged emission of carbon dioxide during manufacturing.
- The
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FTC Warns Trade Associations and Influencers About Social Media Posts Promoting Sugar
Key Update:
- The Federal Trade Commission (FTC) issued warning letters to the American Beverage Association (AmeriBev), The Canadian Sugar Institute, and 12 health influencers, citing concerns over inadequate disclosures in Instagram and TikTok posts promoting aspartame or sugar-containing products.
- The FTC claimed the trade associations might not have adequately disclosed influencer relationships, emphasizing the necessity
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