[{"url":"https://www.ftc.gov/business-guidance/blog/2019/04/i-dressup-data-security-mess","titre":"i-Dressup and a data security mess-up","pubDate":"Thu, 08 Oct 2026 08:06:59 +0200","description":"i-Dressup and a data security mess-up lfair April 24, 2019 | 3:08PM i-Dressup and a data security mess-up By Lesley Fair Kids love to play dress-up, but parents wouldn’t want them rummaging through the attic or climbing to the top shelf of the wardrobe without permission and proper supervision. The i-Dressup.com website offered users – including children – a virtual way to play dress-up and design clothes without those potential dangers. But according to an FTC complaint, Unixiz, Inc. , the company behind i-Dressup, violated the Children’s Online Privacy Protection Act in ways that created different kinds of risks. COPPA puts two separate sets of protections in place to help keep parents in control of personal information collected from their kids online. First, COPPA-covered companies must clearly disclose their information policies and get parental consent before collecting personal information from children under 13. Second, companies must provide reasonable and appropriate security for the data they collect. According to an FTC settlement, i-Dressup fell short on both COPPA requirements. The complaint alleges i-Dressup failed to provide sufficient notice on its site of the information it collected online from kids, how it used it, its disclosure practices, and other specifics required by the COPPA Rule. The company’s direct notices to parents were deficient, too. Among other things, they didn’t include the COPPA-required statement that if parents don’t provide consent within a reasonable time, i-Dressup will delete their online contact information from its records. Stick with the story because that failure turned out to be particularly troubling. In addition to letting users play online games, i-Dressup featured a community where they could “explore their creativity and fashion sense with unique personal profiles” and interact with others. To register, i-Dressup required people to submit a user name, password, birthdate, and email address. If the birthdate indicated the person was under 13, the email field changed to “Parent’s Email.” Once the under-13 user filled in the required fields and clicked “Join Now,” i-Dressup collected the personal information and sent a message to the address entered into the Parent’s Email field. The person receiving the email could consent by clicking the “Activate Now!” button. However, if the parent didn’t give consent, i-Dressup retained the personal information it had collected from the child online. The FTC says the company’s failure to delete that information violated Section 312.5(c)(1) of the COPPA Rule. In addition to violating COPPA’s parental consent provisions, i-Dressup allegedly violated the Rule’s data security requirements . According to the FTC, i-Dressup stored and transmitted users’ personal information (including passwords) in plain text. In addition, the company failed to perform network vulnerability testing of its network, even for well-known threats like SQL attacks; it didn’t implement an intrusion detection and prevention system; and it didn’t monitor for potential security incidents. The upshot? The company learned that a hacker had gained entry to its network and accessed information about 2.1 million users, including approximately 245,000 users who indicated they were under 13. To settle the case , i-Dressup and its owners will pay a $35,000 civil penalty. They’re also prohibited from violating COPPA in the future, and can’t sell, share, or collect any personal information until they implement a comprehensive data security program and get independent biennial assessments. In addition, they’ll have to provide the FTC with an annual certification of compliance. The message for sites and operators covered by COPPA is that an effective system of parental consent is only the first step toward compliance. Section 312.8 of the COPPA Rule also requires you to “establish and maintain reasonable","id":3203250,"source":"FTC USA Business Blog Posts"},{"source":"FTC USA Business Blog Posts","id":3203247,"description":"FTC consumer protection year in review offers 2020 vision for your business lfair January 8, 2020 | 9:26AM FTC consumer protection year in review offers 2020 vision for your business By Lesley Fair They say hindsight is 20/20, but what about foresight? We’re not ones to prognosticate, but a look at notable FTC cases and initiatives from the past year suggests some topics likely to be top of mind in months to come. Here is a non-exhaustive list of issues in our 2019 rearview mirror and likely visible through the 2020 windshield. Consumer privacy. The FTC’s $5 billion enforcement action against Facebook made history and headlines, but the other notable part of the case is the monumental change the order mandates to Facebook’s privacy ecosystem. The Commission opinion in Cambridge Analytica reaffirms the proposition that like any other claim, a company’s privacy promises are viewed through the lens of established FTC consumer perception principles. A series of cases demonstrates the agency’s continued commitment to challenging false or misleading representations about businesses’ compliance with the EU-U.S. Privacy Shield Framework. Another important development is the FTC’s proposed settlement with Retina-X . It’s our first action against a marketer of stalking apps – software that allowed purchasers to monitor the mobile devices on which they’re installed, without users’ knowledge. COPPA. Congress passed the Children’s Online Privacy Protection Act to ensure that when it comes to the collection of kids’ personal information online, parents are in the driver’s seat. The FTC settlement with YouTube – brought in conjunction with the New York Attorney General – alleges that the company collected kids’ personal data without parental consent, in violation of the COPPA Rule . The $170 million civil penalty broke the record for the largest remedy in an FTC COPPA case, set months before in our $5.7 million settlement with Musical.ly , now known as TikTok. If you’re a YouTube channel owner, read a special Business Blog post for tips on determining if your content is directed to children. Data security. Is your company honoring its data security promises and taking reasonable steps to safeguard the sensitive information in its possession? The FTC, CFPB, and State AG actions against Equifax illustrate how consumers are injured when companies ignore reasonably foreseeable threats. The settlement, which totals between $575 million and $700 million – also reminds businesses that heeding warnings about known risks is more prudent (and cost-effective) than the alternative. Three threads tie together the FTC’s unrelated actions against LightYear Dealer Technologies and InfoTrax Systems . They both sell management software to specific industries. They both allegedly failed to take reasonable steps to secure their networks, resulting in damaging data breaches. And they’re both covered by similar new orders the FTC has introduced in recent data security cases. If you or your clients are players in the Internet of Things, the settlement of the FTC’s litigation against connected device company D-Link sends an unmistakable message: The future of the IoT marketplace depends on secure software development. Endorsements, certifications, and influencers. Why is the FTC concerned about the accuracy of endorsements and certifications? Because they’re material to consumers. The FTC says Truly Organics’ claim that its personal care products were “certified organic” lathered up a double bubble of deception. First, its merchandise contained ingredients that weren’t organic. Second, the company falsely claimed that its products were certified by USDA’s National Organic Program. Other FTC developments focused on the use of endorsements in social media. The FTC’s action against Devumi alleges the company sold fake followers, phony subscribers, and bogus","pubDate":"Thu, 08 Oct 2026 08:06:58 +0200","titre":"FTC consumer protection year in review offers 2020 vision for your business","url":"https://www.ftc.gov/business-guidance/blog/2020/01/ftc-consumer-protection-year-review-offers-2020-vision-your-business"},{"url":"https://www.ftc.gov/business-guidance/blog/2018/09/root-root-root-regions","titre":"Root, root root for the regions","pubDate":"Wed, 07 Oct 2026 14:05:07 +0200","description":"Root, root root for the regions lfair September 24, 2018 | 2:03PM Root, root root for the regions By Andrew Smith, Director, FTC Bureau of Consumer Protection T his year eight major league baseball teams are celebrating milestone anniversaries – and so are the FTC’s regional offices. In 1918, the Commission opened the first three of its regional offices. Today, eight regional offices continue to knock it out the park on behalf of America’s consumers. So it’s only fitting that on this momentous day we acknowledge the regional offices’ century of pennant-winning performances. According to the Commission’s 1918 Annual Report, “In order to expedite the greatly increased work of the Commission . . . small branch offices were established in New York, Chicago, and San Francisco.” Over time, the FTC has added other locations for a current total of eight offices in seven regions. Regional staff work with the Bureau of Consumer Protection and the Bureau of Competition on investigations and litigation. But they are in a unique position to host roundtables and workshops in their communities; to coordinate with local, state, and cross-border law enforcers; and to build partnerships with consumer groups and small business organizations within their region. According to the scouting report, there isn’t a pitch they can’t hit. Here’s a brief look at each region’s box score with a focus on just a few of their many MVP contributions to the FTC’s consumer protection mission. East Central Region . In 1918, the Cleveland Indians finished just out of pennant contention, but the FTC’s Cleveland-based office works hard to bring home the W for consumers and small businesses. For example, ECR has brought a number of cases over the past two decades to protect small businesses in their area and around the country, including cramming, business directory, and unordered merchandise scams. Recently, ECR played a central role in Operation Main Street, the FTC’s recent initiative against scammers targeting small businesses. Midwest Region . Chicago fans may be divided in their loyalty to the Cubs and the White Sox, but consumers who lost money to scammers who used the services of a major money transfer company are united in their appreciation for the FTC-DOJ settlement that returned $586 million back to them. And just recently, MWR hosted the Commission’s workshop on cryptocurrency scams and took a lead role in Operation Tech Trap, a coordinated state, federal, and international effort to shut down tech support fraudsters. Northeast Region . Given New York’s connection to names like Huggins, Houk, Stengel, Berra, and Torre, it’s no wonder the FTC’s Northeast Region has particular expertise in coaching. But in NER’s case, it’s about companies that make deceptive “coaching” and money-making representations. The New York-based office also has been one of the FTC’s power hitters in addressing misleading practices in the affiliate marketing industry. And from their Big Apple location, NER has been a leader in educating consumers, particularly older Americans and small businesses. Northwest Region . Like their hometown Seattle Mariners, the FTC’s Northwest Region has a proven record of navigating the complexities on the field of play. NWR coordinated Operation Donate with Honor, a nationwide crackdown on fraudulent charities alleged to have conned consumers by falsely promising their contributions will help veterans and servicemembers. In addition, our team in Seattle regularly coordinates with Canadian counterparts to combat cross-border fraud. And they’ve been ahead of the curve on tech issues, bringing one of the FTC’s first internet cases in the 90s and more recently, an early online influencer action. Southeast Region . The Atlanta Braves boast a national fan base – and due to their expertise in fighting fraud, the FTC’s Southeast Region can be proud of its coast-to-coast impact,","id":3201877,"source":"FTC USA Business Blog Posts"},{"description":"FTC’s Lord & Taylor case: In native advertising, clear disclosure is always in style lfair March 15, 2016 | 8:37AM FTC’s Lord & Taylor case: In native advertising, clear disclosure is always in style By Lesley Fair It’s a fetching frock with spaghetti straps, an engineered paisley print, and an asymmetrical hemline. And it’s at the center of a law enforcement action against department store chain Lord & Taylor for its allegedly deceptive use of native advertising – the first case of its kind since the FTC released its Enforcement Policy Statement in December. The lawsuit also challenges Lord & Taylor’s “product bomb” campaign on Instagram as misleading. Lord & Taylor used an extensive social media push to launch Design Lab, its own apparel line aimed at women between 18 and 35. The strategy was interesting: Focus on just one item – that paisley asymmetrical dress. For the native advertising part of the campaign, Lord & Taylor signed a contract to have Nylon, an online fashion magazine, run an article about the Design Lab collection featuring a photo of the paisley dress. Lord & Taylor reviewed and approved the paid-for Nylon article, but didn’t require a disclosure about their commercial arrangement.  In addition, Lord & Taylor contracted to have Nylon post a photo of the paisley dress on Nylon’s Instagram page. Again, Lord & Taylor reviewed and approved the paid-for post, but didn’t require a disclosure. That was only part of the campaign. Lord & Taylor also recruited a team of fashion influencers, all of whom had two things in common: a sense of style and a massive number of followers on social media platforms. Lord & Taylor gave the dress to 50 influencers and paid them between $1,000 and $4,000 to post photos of themselves in the dress on Instagram on one specified “product bomb” weekend in March 2015 – the same weekend when Nylon posted its Lord & Taylor-approved photo. Style the dress any way you like, Lord & Taylor told the influencers, but in other aspects, the contract was all business. The influencers had to: 1) use the @lordandtaylor Instagram user designation and the campaign hashtag #DesignLab in the photo caption; and 2) tag the photo @lordandtaylor. Lord & Taylor’s reps preapproved each of the influencers’ Instagram posts to make sure they included the required hashtag and Instagram designation. The company also edited some of what the influencers planned to say. But despite the company’s punctilious approach to hashtags, handles, and the like, Lord & Taylor was curiously silent about other key aspects of the campaign. For example, according to the FTC, Lord & Taylor’s contract didn’t require the influencers to disclose that Lord & Taylor had paid them. Furthermore, none of the Instagram posts Lord & Taylor approved included a disclosure that the influencer had received the dress for free, that she had been compensated for the post, or that the post was a part of a Lord & Taylor ad campaign. And as the complaint alleges, Lord & Taylor didn’t add a disclosure to that effect to any of the influencers’ posts it reviewed. The Instagram campaign reached 11.4 million individual users, resulting in 328,000 brand engagements – likes, comments, reposts, etc. – with Lord & Taylor’s Instagram handle.  And the paisley dress sold out. The FTC complaint charges Lord & Taylor with three separate violations:  1) that Lord & Taylor falsely represented that the 50 Instagram images and captions reflected the independent statements of impartial fashion influencers, when they really were part of a Lord & Taylor ad campaign to promote sales of its new line; 2) that Lord & Taylor failed to disclose that the influencers were the company’s paid endorsers – a connection that would have been material to consumers; and 3) that Lord & Taylor falsely represented that the Nylon article and Instagram post reflected Nylon’s independent opinion about the","id":3201871,"source":"FTC USA Business Blog Posts","url":"https://www.ftc.gov/business-guidance/blog/2016/03/ftcs-lord-taylor-case-native-advertising-clear-disclosure-always-style","titre":"FTC’s Lord & Taylor case: In native advertising, clear disclosure is always in style","pubDate":"Wed, 07 Oct 2026 14:05:06 +0200"},{"source":"FTC USA Business Blog Posts","description":"The FTC's Google settlement: What's the buzz? wfg-adm109 April 1, 2011 | 4:28PM The FTC's Google settlement: What's the buzz? By Lesley Fair “Sweet!  Check out Buzz.” “Nah, go to my inbox.” That was the intriguing choice facing Gmail users last year when Google launched Google Buzz, its social network. But according to a settlement announced this week by the FTC, the company violated the privacy promises it made to Gmail users and used deceptive tactics in the Buzz rollout. The story starts with Google’s privacy policy. From October 2004 until October 2010, Gmail users were told, \"Gmail stores, processes and maintains your messages, contact lists and other data related to your account in order to provide service to you.\"  On the subject of the choices users had about the use of their personal information in all of Google’s products, including Gmail, the privacy policy said, \"When you sign up for a particular service that requires registration, we ask you to provide personal information. If we use this information in a manner different than the purpose for which it was collected, then we will ask for your consent prior to such use.\"  According to the FTC, statements like that conveyed that Google would use information from people signing up for Gmail only for the purpose of providing them with email service and that Google would ask for their consent before using their info for any other purpose. So far, so good. But then came the roll-out of Google Buzz. The service allows users to share updates, comments, pictures, videos, and the like through “buzzes” made either publicly or privately to individuals or groups of users. When Buzz was launched, Gmail users were taken to a welcome screen that announced the new service and presented the “Sweet!” or “Nah” choice. If users clicked “Nah,” the FTC complaint alleges that their info was nonetheless shared in a number of ways. First, the user could still be “followed” by Gmail users who enrolled in Buzz. Second, if the Gmail user had previously created a Google profile, he or she could appear on the public Google profiles of Buzz enrollees who were following them. Third, a link to Buzz would show up on the list of links on the user’s Gmail page. If the user clicked on that link, he or she would be taken to the Buzz welcome screen and would be automatically enrolled in Buzz without any disclosure of that fact. In other words, users would be enrolled in certain features of Buzz even if they didn’t sign up. So much for “Nah.” The FTC’s complaint alleges that despite what it said in its privacy policy, Google didn’t use information from people signing up for Gmail just for the purpose of providing email service. Rather, the company used it to populate Buzz. Thus, said the FTC, the representations in Google’s privacy policy were false or misleading. Furthermore, the agency alleged that despite the promise in its privacy policy that Google would ask for consumers’ consent before using their information for another purpose, Google went ahead and used it to populate its social network without getting their permission. The FTC charged that was false or misleading and constituted a deceptive practice. The next part of the story:   The not-so-sweet results when users clicked the “Sweet!”","id":3200009,"titre":"The FTC's Google settlement: What's the buzz?","url":"https://www.ftc.gov/business-guidance/blog/2011/04/ftcs-google-settlement-whats-buzz","pubDate":"Tue, 06 Oct 2026 14:06:39 +0200"},{"id":3200011,"description":"We can’t go for that (no can do) lfair July 17, 2017 | 11:38AM We can’t go for that (no can do) By Lesley Fair Of course, phantom debt collection – the practice of pressuring people to pay “debts” they don’t owe – harms consumers. But as an FTC complaint demonstrates, when phantom debt collectors strike, they could affect your company, too. According to the FTC , a Florida-based outfit engaged in a scheme to defraud consumers through the collection of debts people didn’t actually owe or the company didn’t have the authority to collect. The complaint charges that the defendants – Hardco Holding Group, S & H Financial Group, Dequan M. Sicard, and Daryl M. Hall (no, not that Daryl Hall) – violated the FTC Act and Fair Debt Collection Practices Act. When contacting consumers, in many instances the defendants allegedly impersonated attorneys and threatened to have people thrown in jail if they didn’t pay up on delinquent payday loans – loans, remember, that many consumers didn’t take out in the first place and defendants didn’t have the right to collect. One tactic involved contacting people with a “case number” and directing them to dial a callback number. On the second call, the defendants allegedly said they were affiliated with named law firms and that the consumer had committed a felony, could go to prison, or faced arrest. According to the complaint , to boost the credibility of their threat of pending or imminent legal action, the defendants claimed to have the consumer’s Social Security number, bank account number, or contact information for family members. Afraid of legal repercussions, many consumers knuckled under to the demand for payment. The FTC says the defendants also told third parties that consumers owed money, a violation of the FDCPA. In addition, the complaint charges that the defendants didn’t disclose their identity to consumers, failed to provide proper validation notices, and used other false, misleading, and abusive tactics. Phantom debt collectors unquestionably injure consumers, but how could conduct like that affect your company? According to the lawsuit, when pressed to identify themselves, the defendants often gave the names or addresses of legitimate small businesses that had nothing to do with the purported debt or the debt collectors. When concerned consumers contacted those companies to complain, their employees got an understandably angry earful. From the FTC’s perspective, unrelated small businesses shouldn’t have their reputations sullied by others’ allegedly illegal tactics. A federal court in Orlando has temporarily halted the operation and frozen its assets. The FTC wants to stop the illegal practices once and for all. What can consumers do if they’re getting calls for debts they don’t owe ? File a complaint with the FTC. How can small businesses help protect their good names? Every now and then, do a selfie search with your company name and a word like “debt.” If you see consumer posts that suggest that a debt collector is illegally using your name – or if your employees are getting complaints about debt collection calls supposedly coming from your company – let the FTC know about it , too. In the meantime, businesses looking for FDCPA compliance resources can visit the FTC’s debt collection page for some – in the words of the other Daryl Hall (and let’s not forget John Oates) – “Adult Education.”","source":"FTC USA Business Blog Posts","pubDate":"Tue, 06 Oct 2026 14:06:39 +0200","url":"https://www.ftc.gov/business-guidance/blog/2017/07/we-cant-go-no-can-do","titre":"We can’t go for that (no can do)"},{"id":3199074,"description":"Planning a social media marketing campaign? Read this first. lfair November 13, 2018 | 12:24PM Planning a social media marketing campaign? Read this first. By Lesley Fair It started as one of those “run it up the flagpole” ideas to enlist big-name gymnasts to promote a brand of mosquito repellent just as news stories about the 2016 Brazil Olympics were sounding warnings about the Zika virus. Public relations firm Creaxion Corporation and specialty sports magazine publisher Inside Publications used a variety of digital strategies on behalf of the brand: athlete endorsements, social media posts, “advertorials,” and consumer reviews. But according to the FTC’s complaint , their efforts violated established FTC advertising principles. Which of those strategies are you using? And are you avoiding legal pitfalls by making appropriate disclosures? Creaxion – an Atlanta-based marketing and PR company – was approached by client HealthPro Brands to help launch its mosquito repellent. They agreed Creaxion would produce a “strategic media relations campaign” that would be “tied to the worldwide outbreak of the Zika Virus.” Creaxion then contacted Inside Publications, publisher of magazines like Inside Volleyball , Inside Cheerleading , and Inside Gymnastics , to broker a partnership with HealthPro. You’ll want to read the complaint for details about the “Social and Digital Media Activation and Athlete Engagement” agreement between HealthPro and Inside Publications, but here are some of the things HealthPro paid for: endorsements by leading gymnasts, magazine “articles” featuring the repellent, the product’s placement in “Good Luck” gift baskets from Inside Gymnastics to top U.S. gymnasts, and social media posts touting the product by Inside Publications and athlete endorsers. According to the complaint, Creaxion president Mark Pettit acted as an intermediary between Inside Publications and HealthPro. Ultimately, 2004 Olympic gold medal gymnast Carly Patterson Caldwell agreed to become a paid spokesperson. She received several thousand dollars for social media posts and an Inside Gymnastics advertorial. (She decided not to attend the Brazil Olympics because of her concerns about Zika.) Olympic gold medal gymnast Jake Dalton also signed on and was paid for promoting the repellent to his fans and followers. The two gymnasts posted endorsements of the repellent on social media without disclosing their paid promotional relationship. For example, Ms. Patterson Caldwell said on Facebook, “I was definitely bummed to have to make the decision to not go to Rio for the summer Olympics because of the threat of the Zika virus, but working on starting a family and being safe and protecting myself was way more important to my husband and me! I am so thankful to have found a safe and organic product (FIT Organic) that will ease my worries as mosquito season approaches.” Similarly, Mr. Dalton posted on Twitter, “Getting Rio Ready! Not worried about Zika. Fit Organic has my back and body covered. Love the Fit mosquito repellent.” Inside Publications also posted and reposted statements on social media about the repellent, primarily through its Inside Gymnastics account, including some featuring Patterson Caldwell and Dalton. According to the complaint, Inside Publications didn’t disclose the spokespersons’ paid promotional relationships with HealthPro or that its own posts were paid ads. Nor did it disclose that the “Caring for Carly,” “The latest on Zika” and “Move Over Mosquitos” articles were really paid ads. The FTC also says Creaxion conducted an online consumer review program that reimbursed Creaxion employees and “friends” for buying FIT repellent and reviewing the product online without disclosing their affiliation with the brand. The complaint charges that the gymnasts’ statements about the repellent were falsely represented as the","source":"FTC USA Business Blog Posts","pubDate":"Tue, 06 Oct 2026 08:06:23 +0200","titre":"Planning a social media marketing campaign? Read this first.","url":"https://www.ftc.gov/business-guidance/blog/2018/11/planning-social-media-marketing-campaign-read-first"},{"id":3198181,"description":"Keep FCRA in the foreground when the subject is background screening chundycz April 9, 2014 | 12:13AM Keep FCRA in the foreground when the subject is background screening By Lesley Fair When the talk turns to Big Data, part of the conversation is about all the public information available about people's lives – and how companies market it to prospective employers, landlords, etc.  Two cases just announced by the FTC  serve as a cautionary reminder to members of the industry that what they do may be subject to the long-standing consumer protections of the  Fair Credit Reporting Act (FCRA) .  InfoTrack, an Illinois company, and San Diego-based Instant Checkmate will be paying civil penalties to settle FTC lawsuits that they violated the FCRA.  Is it time for an FCRA refresher at your business? Instant Checkmate marketed its reports as a way for prospective employers and landlords to investigate applicants.  For example, the company advertised that one of the “GOOD REASONS to get instant criminal checks on anyone right now” was to “check out tenants before they rent.”  It also used a Google Ad Words campaign to make sure its site appeared when people searched for background checks on nannies, babysitters, maids, and housekeepers.  What kind of information would buyers get?  Current and previous addresses, birth certificates, arrest histories, and marriage and divorce records, to name just a few examples. InfoTrack offered similar services to employers nationwide, including background screening reports with people’s driving records, education and employment information, criminal histories, and even records from sex offender registries. How does the FCRA come in?  The law defines a “consumer report” as a “communication of any information” by a consumer reporting agency (CRA) that bears on a person’s “credit worthiness, credit standing, credit capacity, character, general reputation, personal characteristics, or mode of living” which is used (or expected to be used) as a factor in establishing their eligibility for credit, insurance, employment, or other reasons outlined in the law. According to the FTC, what Instant Checkmate and InfoTrack were doing triggered the FCRA.  For example, companies covered by the law must follow procedures to assure their reports are as accurate as possible, must take steps to see that those using their reports have permissible purposes for accessing them, and must provide required User Notices explaining key protections for consumers.  The law imposes special requirements when CRAs provide reports containing public record information that could have an adverse effect on a person’s ability to get a job.  In that case, the CRA must either: 1) notify the consumer that it’s reporting the information in the public record; or 2) maintain “strict procedures” – that’s the language in the law – designed to ensure the reported public information is complete and up to date. You’ll want to read the complaints for specifics of where the FTC says the companies fell short, but one example cited in the lawsuit against InfoTrack offers an object lesson on why FCRA protections are so important to consumers – and how the consequences can be devastating when companies don’t live up to the law.  According to the FTC, the reports InfoTrack provided to prospective employers included information about whether a job applicant was on the National Sex Offender Registry.  The employer would provide the first and last name and the date of birth to help InfoTrack with its search.  The problem was that before the fall of 2011, no date of birth was available for many names on the Registry.  If InfoTrack’s search found more than one person with the same first and last name, it reported a “possible match” to employers and gave them reports that included several different people with the","source":"FTC USA Business Blog Posts","pubDate":"Mon, 05 Oct 2026 14:07:46 +0200","titre":"Keep FCRA in the foreground when the subject is background screening","url":"https://www.ftc.gov/business-guidance/blog/2014/04/keep-fcra-foreground-when-subject-background-screening"},{"url":"https://www.ftc.gov/business-guidance/blog/2017/08/stick-security-require-secure-passwords-authentication","titre":"Stick with Security: Require secure passwords and authentication","pubDate":"Mon, 05 Oct 2026 08:07:08 +0200","source":"FTC USA Business Blog Posts","description":"Stick with Security: Require secure passwords and authentication lfair August 11, 2017 | 10:47AM Stick with Security: Require secure passwords and authentication By Thomas B. Pahl, Acting Director, FTC Bureau of Consumer Protection To make it harder for hackers to bluff their way onto a computer network, careful companies follow the advice of Start with Security and require strong authentication practices . We’ve considered FTC settlements, closed investigations, and the questions we get from businesses about implementing good authentication “hygiene.” Here are some tips on using effective authentication procedures to help safeguard your network. Insist on long, complex, and unique passwords. A password’s very reason for being is to be easy for a user to remember, but hard for a fraudster to figure out. Obvious choices like ABCABC, 121212, or qwerty are the digital equivalent of a “hack me” sign. Furthermore, experts have determined that passphrases or longer passwords are generally harder to crack. The smarter strategy is for companies to think through their standards, implement minimum requirements, and educate users about how to create stronger passwords. Also, when you install software, applications, or hardware on your network, computers, or devices, change the default password immediately. And if you design products that require consumers to use a password, configure the initial set-up so they have to change the default password. Example: A staff member attempts to select payroll as the password for the database that includes employee payroll information. The company sets up its system to reject an obvious choice like that. Example: To access the corporate network, a business allows employees to type in their username and a shared password common to everyone who works there. Employees are also allowed to use that shared password to access other services on the system, some of which contain sensitive personal information. The more prudent policy would be to require strong, unique passwords for each employee and to insist that they use different passwords to access different applications. Example: At a staff meeting, a company’s IT manager offers tips for employees about good password hygiene. She explains that passphrases or longer passwords are better than short passwords based on standard dictionary words or well-known information (for example, a child’s name, a pet, a birthday, or a favorite sports team). By establishing a more secure corporate password standard and educating employees about implementing it, the IT manager is taking a step to help her company reduce the risk of unauthorized access. Store passwords securely. A company’s first line of defense against data thieves is a workforce trained to keep passwords secret. But even the strongest password is ineffective if an employee writes it on a sticky note on her desk or shares it with someone else. Train your staff not to disclose passwords in response to phone calls or emails, including ones that may appear to be coming from a colleague. Con artists have been known to impersonate corporate officials by spoofing phone numbers or email addresses. A compromised password poses a particular risk if it can be used to open the door to even more sensitive information – for example, a database of other user credentials maintained on the network in plain, readable text. Make it difficult for data thieves to turn a lucky password guess into a catastrophic breach of your company’s most sensitive data by implementing policies and procedures to store credentials securely. Example: A new employee gets a call from someone who claims to be the company’s system administrator. The caller asks him to verify his network password. Because the new staffer learned about impersonation scams at an in-house security orientation, he refuses to disclose his password and instead reports the incident to the appropriate person in the company. Example: A company keeps user credentials and other passwords in plain","id":3197409},{"pubDate":"Mon, 05 Oct 2026 08:07:08 +0200","titre":"New FTC warning letters cite unsupported Coronavirus-related health and earnings claims","url":"https://www.ftc.gov/business-guidance/blog/2020/04/new-ftc-warning-letters-cite-unsupported-coronavirus-related-health-earnings-claims","id":3197413,"description":"New FTC warning letters cite unsupported Coronavirus-related health and earnings claims sgressin April 24, 2020 | 12:44PM New FTC warning letters cite unsupported Coronavirus-related health and earnings claims By Seena Gressin The FTC is not the pen pal you want if you operate a multi-level marketing company but aren’t closely monitoring your distributors. In its latest round of warning letters, the FTC warns ten MLM companies that they are responsible for the claims made by their participants. The letters direct the companies to report within 48 hours what actions they’ve taken to stop their distributors from claiming their products can treat or prevent Coronavirus disease, that MLM business opportunity participants are likely to earn substantial income, or both. The FTC says that the health and earnings claims are unsubstantiated and therefore violate truth-in-advertising laws. The products at issue are not scientifically proven to treat or prevent COVID-19, the disease that Coronavirus causes. The FTC previously has sent warning letters to companies about their Coronavirus-related health claims, but the new letters are the first to also target claims about potential business opportunity earnings. The letters come at a time when millions of people are out of work and facing financial challenges as a result of the pandemic. MLM companies rely on a network of independent distributors, sometimes called business opportunity participants, to buy and resell their products, often through direct person-to-person sales or online. MLMs typically offer participants a cut of the sales made by people the participant recruits to invest in the business opportunity. The new recruits then try to sell the products, and try to recruit more people to do the same. Most people who join MLMs make little or no money. According to the FTC, distributors of the MLM companies receiving the letters have posted promotional messages on Facebook, Instagram, and other social media sites. Health claims the FTC letters cite include: “STAY SAFE!! MAKE YOUR IMMUNE SYSTEM STRONG!!!” Standard coronavirus protection kit . #antiseptics and #immunity_support.” “HOW WILL YOU FIGHT OFF CORONA? USE NUTRABURST-CHAGA- .... #coronacure #coronaprevention ... #immunesupport #immunebooster ... #immunesystembooster” “Got the coronavirus heebeegeebees? Boost your immunity with this amazing deal!!!!” “... If interested to learn more or obtain oils or rollers Let me know A little extra protection can help #doterra #NursesCOVID19 #Dialysis #ImmunityBoosters #ImproveRespiratoryFunction” Earnings claims the FTC letters cite include: “...Living in quarantine and where 14 million people applied for unemployment just last week ... I’ll stick with the opportunity to change people’s lives ... turn a small investment into six figures .... #arbonne ... #quarantine #2020” “Need to make extra money? Find it difficult to pay your bills? Were you laid off/ #fired? Be your own Boss w/doTERRA essential oils. Msg me to achieve financial independence #laidoff #unemployed #cantpaymybills #cantpaymyrent #student #sales #sidehustle #makemoney #stayathomemom.” “[E]veryone’s getting stimulus checks right now... There is no better investment you could do... Take that money that you’re about to get back... figure out a way to make this happen tonight.” In the letters alleging unsubstantiated health claims, FTC staff reminds the companies that, under the FTC Act, claims that a product can prevent, treat, or cure a serious disease require the support of well-controlled human clinical studies. Because “no such study is currently known to exist” for the advertised products, the FTC says the companies “must immediately cease making all such claims.” In the letters alleging deceptive earnings claims, FTC staff reminds the companies that under the FTC Act, “claims about the potential to achieve a wealthy lifestyle, career-level income, or significant","source":"FTC USA Business Blog Posts"},{"titre":"Speaking of Spokeo: Part 2 — The company’s allegedly bogus endorsements","url":"https://www.ftc.gov/business-guidance/blog/2012/06/speaking-spokeo-part-2-companys-allegedly-bogus-endorsements","pubDate":"Sat, 03 Oct 2026 14:06:13 +0200","description":"Speaking of Spokeo: Part 2 — The company’s allegedly bogus endorsements wfg-adm109 June 13, 2012 | 12:25PM Speaking of Spokeo: Part 2 — The company’s allegedly bogus endorsements By Lesley Fair The lawsuit against data broker Spokeo is the FTC’s first Fair Credit Reporting Act case addressing the collection of online info — including data from social networking sites — when used in the context of employment screening.  But that’s not the only way the Spokeo settlement touches on social media.  The FTC also charged that Spokeo violated Section 5 by having employees post glowing recommendations of the company’s services on news and technology websites without disclosing their true identity. Perhaps just the work of a rogue cubicle occupant?  No, said the FTC.  According to the complaint , Spokeo directed its employees to write the comments.  Spokeo managers then edited what they wrote and had the staffers post the endorsements using account names provided by Spokeo.  The purpose, says the FTC, was to give readers the misleading impression that the laudatory words had been posted by independent consumers or business users of Spokeo. The FTC’s revisions to its Endorsement Guides made headlines a few years ago.  Ironically enough, the provision that seemed to attract the most attention is one that didn’t change.  It’s the law — and it’s always been the law under Section 5 — that consumers have a right to know when there’s a material connection between an advertiser and an endorser.  Here’s how the Guides put it:  \"When there exists a connection between the endorser and the seller of the advertised product that might materially affect the weight or credibility of the endorsement ( i.e., the connection is not reasonably expected by the audience), such connection must be fully disclosed.\" According to the FTC, by posting comments that conveyed the untruthful impression that they came from satisfied users of Spokeo’s services, Spokeo engaged in false and misleading practices.  To settle the endorsement count in the lawsuit, Spokeo has agreed that it won’t misrepresent, expressly or by implication, the status of any user of a product or service — for example, that someone is an independent, ordinary endorser if that’s not the case.  The company also will clearly and prominently disclose any material connection between an endorser and Spokeo (or any other entity advertising, selling, or promoting a product) when a connection exists.  What about the bogus endorsements already posted?  Spokeo has seven days to take all reasonable steps to pull them down. Looking for more about complying with the Endorsement Guides?  Read The FTC’s Revised Endorsement Guides: What People are Asking and watch this video: While you’re at it, share this post and those resources with your marketing staff, your ad agency, your PR firm, and anyone else who plays a role in your publicity and promotions. Next:  What the Spokeo settlement means for your business, your next ad campaign, and your job search","id":3195787,"source":"FTC USA Business Blog Posts"},{"pubDate":"Sat, 03 Oct 2026 08:09:37 +0200","url":"https://www.ftc.gov/business-guidance/blog/2016/06/practice-fusion-case-suggests-6-health-privacy-pointers","titre":"Practice Fusion case suggests 6 health privacy pointers","id":3194910,"description":"Practice Fusion case suggests 6 health privacy pointers lfair June 8, 2016 | 9:01AM Practice Fusion case suggests 6 health privacy pointers By Lesley Fair Combine two of the most talked-about consumer protection topics – health privacy and consumer-generated online content – and what do you get? A proposed FTC settlement with Practice Fusion, the largest cloud-based electronic health records company in the country, and six compliance tips for others in the industry. One of San Francisco-based Practice Fusion’s primary products is an electronic records system for outpatient providers. In 2009, the company launched “Patient Fusion,” an online portal where patients whose providers were already using Practice Fusion could view or download their health information or transmit it to another provider. Patient Fusion also let patients send and receive secure messages from their providers. Fast forward several years and the company decided to expand Patient Fusion to include a public directory where current and prospective enrollees could search for doctors geographically or by specialty, read patient reviews of providers, and request appointments. But Practice Fusion had to ask itself a question familiar to many online companies: How do we get the content – in this case, patient reviews? That’s the focus of the FTC’s lawsuit. According to the complaint , Practice Fusion solicited data in a misleading way that led some patients to believe they were sending follow-up messages directly to their doctors about their diagnosis, medical treatment, prescriptions, etc. – and not contributing content to a public website. Practice Fusion, however, populated its new site with the information those people provided, some of which was highly sensitive. Here’s what happened. After appointments with their doctors, patients received emails titled “How was your visit?” The message continued, “To help improve your service in the future, please let us know how your visit went” and included a link with rating stars. The message ended this way: Thank you, Dr. [Name] In a footer, the message said “This email was sent to you by Patient Fusion®, a tool Doctor [Name] uses to deliver the highest quality of care to patients.” Below that in smaller print it said “Sent on behalf of Doctor [Name]’s office by: Practice Fusion.” If patients clicked the link, they were taken to a page that asked for feedback about things like how long they had to wait for their appointment, the doctor’s bedside manner, and whether their medical concern was addressed. There also was a text box where patients were invited to “leave a review for your provider.” Below that was a pre-checked box with the phrase “Keep this review anonymous.” What did some people put in that box? Highly sensitive information directly addressed to their doctors, not evaluations meant to be shared publicly. Here are just a few examples: “Dr [name], My Xanax prescription that I received on Monday was for 1 tablet a day but usually it’s for 2 tablets a day. I have not taken it to the pharmacy yet. Can I pick up a new one, or can I get a prescription called into a pharmacy? Thanks, [patient’s full name] “I called today and left a message regarding my daughter and no one has returned my call. I think she is depressed and has stated several times this week that she wishes she was dead. Could someone please call me [phone number]?” “The cefuroxime axetil does not seem to be doing anything for me. I did a little research and I think I have a yeast infection called candida. Not sure what to do about it yet. I guess I will first try to change my diet. Medication? [patient’s full name] “I would like to make an appointment for my back pain and possible shingles. Can you please call me @ [phone number]? Thank you! [patient's full name]” “I HAVE NO INFECTION [healthcare provider name].  EVERYTHING WENT","source":"FTC USA Business Blog Posts"},{"titre":"Company to pay $22 million for offering \"free\" credit scores that turned out to be not so free","url":"https://www.ftc.gov/business-guidance/blog/2014/11/company-pay-22-million-offering-free-credit-scores-turned-out-be-not-so-free","pubDate":"Sat, 03 Oct 2026 08:09:37 +0200","description":"Company to pay $22 million for offering \"free\" credit scores that turned out to be not so free wfg-adm109 November 19, 2014 | 11:12AM Company to pay $22 million for offering \"free\" credit scores that turned out to be not so free By Lesley Fair We’ve brought law enforcement actions – dozens of ‘em. We’ve held workshops, issued reports, and sent warning letters. If it takes sky writing, tap dancing, and a float in a Thanksgiving Day parade, we’ll do that, too. But here’s what’s not going to happen. The FTC is not giving up until businesses get the message that: 1) Free means free; and 2) Key terms and conditions have to be clearly and conspicuously disclosed. A $22 million settlement announced by the FTC and the AGs of Illinois and Ohio with a national credit monitoring service advertising so-called “free” credit scores emphasizes that point. Another note for practitioners: It's the FTC's third case alleging violations of ROSCA . One Technologies and related outfits marketed their credit monitoring programs, MyCreditHealth and ScoreSense, through at least 50 sites, including FreeScore360.com, FreeScoreOnline.com and ScoreSense.com. Their strategy was simple. Buy advertising on search engines so their ads show up near the top when people look for phrases like “free credit report\" and then follow up with a persuasive pitch: “View your latest Credit Scores from All 3 Bureaus in 60 seconds for $0!” According to the lawsuit , the defendants failed to clearly tell consumers that if they availed themselves of those “free” services and didn’t cancel within seven days, the defendants would ding their credit cards for $29.95 a month over and over and over again. The complaint includes screen shots of the defendants’ sites, but before looking at them, take out your reading glasses because they’ll come in handy in trying to locate where the defendants chose to tell people about that $29.95 monthly fee. One line of fine print added in late 2012 said “Free 7-Day trial when you order your 3 Free Credit Scores. Membership is then just $29.95 per month until you call to cancel.” The first problem: The type was tiny – a fraction of the size of the defendants’ multiple use of the word “free.” The second problem: Why should consumers even have to be on the look-out for the cost, given that the defendants so prominently advertised it as “free”? A second purported disclosure appeared as an obscure hyperlink on the page where people typed in their Social Security number and birthdate.  Sandwiched between the logos of various security firms and a large color button that said CONTINUE was this less-than-crystal-clear statement: By clicking on the ‘Continue’ button, you agree to the Offer Details, to the Terms and Conditions, acknowledge receipt of our Privacy Policy and agree to its terms . . . The “Offer Details” link triggered a small pop-up that said, among other things, “At the end of the 7-day trial period, your credit/debit card will be charged $29.95 on a monthly basis until you call to cancel.” Another place the defendants put the information was on a side panel of the Payment Form in white letters on a grey background – a color combination one of the defendants’ own employees described as “known to cause seizures in lab rats.” According to the complaint, once people spotted the unauthorized charges on their accounts, the defendants didn’t make it easy to stop the billing.  And even when people asked for their money back because they hadn’t approved of the charges, the defendants denied refunds to many of them. The lawsuit alleges violations of the FTC Act, as well as the Illinois Consumer Fraud Act, the Ohio Consumer Sales Practices Act, and related state rules. In addition, the complaint is the third FTC action to charge violations of ROSCA, the Restore Online Shoppers’","id":3194913,"source":"FTC USA Business Blog Posts"},{"source":"FTC USA Business Blog Posts","id":3191275,"description":"Lights out on unsubstantiated pain relief claims and deceptive native advertising lfair June 25, 2020 | 3:00PM Lights out on unsubstantiated pain relief claims and deceptive native advertising By Lesley Fair For consumers struggling with severe or chronic pain, ads for a product called Willow Curve appeared to offer light at the end of the tunnel. But the FTC alleges the marketers made false and unsubstantiated claims for the product , a device that applied low-level light and mild heat to the site of pain – and set people back between $599 and $799 in the process. The proposed settlement also sheds light on the FTC’s ongoing concern with deceptive native advertising. The complaint names two Michigan companies, Physician’s Technology, LLC, and Willow Labs, LLC, and two individuals affiliated with both businesses, Dr. Ronald Shapiro and David Sutton. In ads on national TV, satellite radio, online, and in social media, the defendants claimed that for people suffering from rheumatoid arthritis, diabetic neuropathy, nerve damage, shingles, fibromyalgia, lupus, torn tendons, and other serious conditions, the light-emitting Willow Curve would provide “real, lasting, proven pain relief, without the costs, risks or inconvenience associated with elective surgery, prescription drugs or office visits.” The defendants also sold Willow Curve through a network of distributors and resellers, supplying them with promotional materials touting the product’s purported health benefits. What’s more, the defendants claimed to have clinical studies to support what they said about Willow Curve and that the FDA had reviewed and approved the device for its advertised pain relief and other health benefits. The FTC challenges those claims as false. The complaint also alleges the defendants advertised a “risk-free” and “money-back” guarantee for consumers if they were “not completely satisfied” within a specified time period. But the FTC says in many instances, the defendants required consumers to jump through hoops to get the hefty purchase price back – for example, by first undertaking a regimen of 92 “treatments” over a 180-day period. According to the complaint, those requirements were hidden behind hyperlinks or buried in paperwork in the Willow Curve box. Despite the defendants’ claim that they issued refunds within seven to ten business days, the FTC says some people never got their money back. Others got a refund a year or more later or only after reporting the defendants to a State Attorney General or the Better Business Bureau. Another notable count relates to the defendants’ use of native advertising. For example, what appeared to be an online magazine article, “Understanding the Gender Gap in Sports Injuries and Treatment,” was actually advertising for Willow Curve. According to the FTC, the defendants hired a marketing company to write this article and others, which looked a lot like the non-advertising content of the magazines and newspapers in which the ads ran. The complaint alleges the articles weren’t identifiable as ads, including when consumers posted or shared them on social media or in email. The settlement includes a judgment of $22 million, which – based on the defendants’ financial condition – will be partially suspended when defendants Shapiro and Sutton each pay $200,000. Among other things, the proposed order requires the defendants to have randomized, double-blind, and placebo-controlled testing to support a broad range of pain relief claims. The order also prohibits them from representing expressly or by implication that advertising is a statement or opinion from an independent publisher or source. The case illuminates some issues of interest to advertisers. Support pain relief claims with sound science.   There’s a predictable cycle. As more consumers experience chronic and serious pain, more marketers position their products as purported remedies. What comes next?","pubDate":"Thu, 01 Oct 2026 14:10:47 +0200","titre":"Lights out on unsubstantiated pain relief claims and deceptive native advertising","url":"https://www.ftc.gov/business-guidance/blog/2020/06/lights-out-unsubstantiated-pain-relief-claims-deceptive-native-advertising"},{"source":"FTC USA Business Blog Posts","id":3189429,"description":"Fighting Coronavirus scams: Taking stock chundycz May 8, 2020 | 9:01AM Fighting Coronavirus scams: Taking stock By Andrew Smith, Director, FTC Bureau of Consumer Protection Since the beginning of the COVID-19 crisis, the FTC has released dozens of warning letters against people trying to make an illegal buck off the Coronavirus. More than a month in, it seems like a good time to look back at what’s happened. If you follow this blog, you’ll know these have been busy weeks – with advice about spotting the many scams we’re all facing, news of the warning letters sent on a wide range of scams, and some enforcement actions filed. You might wonder: Why send letters? Why not just sue the !*$@&#? Fair question. But the letters are working. And, given the scope of the scams out there right now, we want to get the best and fastest results we can with the most efficient tool we have. Right now, for these Coronavirus-related issues, that’s warning letters. In general, here’s how it goes: We spot someone advertising something with no proof that it works – and, in many cases, telling outright lies about its wonders. We send a letter pointing out the illegal things they’re doing. They then have 48 hours to tell us what they’ve done to resolve the problems we’ve raised. In nearly all cases so far, those who get the letters have stopped making the false claims or selling the scammy thing – whether cures from a product or earnings from a work-at-home scheme. Within 48 hours: no more lying to people, no more stealing people’s money. During a crisis like this, we’ve prioritized stopping as many bad actors as we can, as quickly as we can. And when a warning letter will do that, we’ll take that win. Most of the letters sent so far relate to the first scams out of the box: the treatments and cures – many of which we heard about from you. These treatments and cures were, of course, not at all what they claimed to be. The sellers peddled everything from teas and essential oils to IV or ozone “therapies,” stem cell treatments, and high doses of Vitamin C. All of these products have had one thing in common: There was no evidence – none – that they work against the Coronavirus. The warning letters are working in other areas, too. We’ve sent 13 letters to VoIP service providers and other companies, telling them we see how they’re helping illegal telemarketers or robocallers make calls related to COVID-19, and telling them to cut it out. And, just two weeks ago, we sent 10 letters to multi-level marketing (MLM) companies for making exaggerated earnings claims for their business opportunity selling fake Coronavirus treatments or cures from home. These companies hit the daily double: false income claims for their work-at-home program and unsubstantiated health claims for their products. But sometimes you need more firepower to get the desired result. It took a lawsuit to stop a company that, allegedly, pretended to be affiliated with the Small Business Administration’s Paycheck Protection Program, fooling hundreds – if not thousands – of small businesses. And, last week, we filed suit against Whole Leaf Organics for allegedly claiming to treat not only the Coronavirus, but also cancer with CBD. Both cases are now pending. What we know about COVID-19 changes every week. And right now, the scammers are shifting their focus to the economic impact payments, among other things, to find new ways to get your money or information. But here are some things that remain true: Scammers are peddling cures and treatments with no proof they work. Remember: Right now, there is nothing that has been proven to prevent COVID-19. Anyone who tells you to pay them by gift card, money transfer, cash, or Bitcoin is a scammer. Period. And, if they say they’re from the government, they’re not. Never give your Social Security, bank account, or credit card number to anyone who contacts you. Again, not even if they say","pubDate":"Thu, 01 Oct 2026 08:11:56 +0200","titre":"Fighting Coronavirus scams: Taking stock","url":"https://www.ftc.gov/business-guidance/blog/2020/05/fighting-coronavirus-scams-taking-stock"},{"source":"FTC USA Business Blog Posts","id":3187485,"description":"FTC takes on unproven health claims and “own-dorsements” lfair March 19, 2020 | 4:38PM FTC takes on unproven health claims and “own-dorsements” By Lesley Fair It’s a disturbing trend. Companies are targeting older consumers, claiming to have easy answers for serious diseases for which there may not be a proven cure. That’s one allegation in the FTC’s action against Nevada-based telemarketer Health Center, Inc.   Another count challenges what we call “own-dorsements.” According to Health Center’s telemarketing scripts, websites, social media, and testimonials from supposedly satisfied customers, the company’s Rejuvi-Cell oral spray and Rejuvi-Sea and Rejuvi-Stem pills could treat a broad range of medical conditions: everything from cancer, Alzheimer’s disease, and Parkinson’s disease to hepatitis, heart attacks, and high cholesterol. In promoting the products, which sold in packages priced between $350 and $800, the company checked the buzzword boxes with science-y sounding terms like homeopathic , adult stem cell enhancement , and marine phytoplankton . The company claimed that diseases like diabetes, rheumatoid arthritis, and dementia “could be greatly reduced if not eliminated” through the use of its products. According to the complaint , Health Center’s telemarketers – who were instructed to follow the scripts word-for-word – told consumers the main ingredient of Rejuvi-Sea “alkalizes your body . . . so you can’t grow cancer cells.” Then there were heartfelt testimonials from purported customers who described themselves as “walking on air” and “amazed and redeemed,” thanks to the products. But the FTC says the company hasn’t conducted any studies demonstrating the products cure or treat any diseases or health conditions and there are no human clinical studies in the scientific literature to that effect. What’s more, the lawsuit alleges that some of those glowing endorsements that appeared to come from satisfied customers across the country were actually “own-dorsements” – testimonials from Health Center’s own employees. To settle the case , the defendants have agreed to injunctive provisions, including a requirement that a broad range of health claims must have the support of randomized, double-blind, and placebo-controlled human clinical testing. Almost all of the $8.6 million judgment will be suspended, based on their financial condition. Aside from the obvious points that the FTC continues to take a close look at cures targeting older consumers and that companies shouldn’t palm off endorsements from employees as independent opinions, the case illustrates two other important principles. First, the defendants’ unlawful practices were the subject of an earlier enforcement action by the Iowa Attorney General. Companies shouldn’t have to be told once of the need to substantiate their health claims – and they certainly shouldn’t have to be told twice. Second, the complaint includes a count for violating the Telemarketing Sales Rule , which prohibits misrepresentations about “any material aspect of the performance, efficacy, nature, or central characteristics of goods or services that are the subject of a sales offer.” That’s yet another reason to keep your telemarketing efforts above board .","pubDate":"Wed, 30 Sep 2026 14:10:25 +0200","url":"https://www.ftc.gov/business-guidance/blog/2020/03/ftc-takes-unproven-health-claims-own-dorsements","titre":"FTC takes on unproven health claims and “own-dorsements”"},{"source":"Federal Trade Commission - Protecting America's Consumers","description":"The Federal Trade Commission announced today that is considering whether to update its Rule on Impersonation of Government and Businesses or take other action to prevent online platforms from engaging in ad-optimization practices that may be furthering impersonation scams. In an Advance Notice of Proposed Rulemaking (ANPRM) to be published in the Federal Register , the FTC is seeking comment on the extent to which ad-optimization tools and services offered by social media, search engines and other digital marketplace platforms further efforts by scammers to impersonate legitimate businesses and government agencies using online ads.  “Free markets depend on trust, transparency and consumers’ ability to make informed choices. Impersonation scams—especially when amplified by digital platforms that profit from them—do more than rob Americans of their hard-earned money,” said Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection. “They erode the very foundation that allows competitive markets to function. Today’s impersonation scams are no longer the work of isolated con artists; they are sophisticated, highly engineered operations powered by the same advertising and targeting tools that platforms sell to legitimate businesses. Consumers reported nearly $3.5 billion in losses to impersonation fraud last year, and the true cost is likely far higher. “The Commission’s mission has always been to safeguard the conditions under which competitive markets can thrive. Increasingly, consumers rely on a small number of dominant digital platforms for everyday transactions—from shopping, banking and travel bookings to accessing government services. Yet these platforms are the very places fraudsters seek out consumers, exploiting their trust while platforms profit from optimizing and disseminating scam ads. “Today’s advance notice of proposed rulemaking asks whether the Commission should require platforms to take concrete steps to prevent impersonation ads from ever reaching consumers. By exploring potential new obligations platforms would have to follow, the rulemaking aims to ensure that Americans participate in an online economy where truthful information guides consumer choice.”  Impersonation scams have topped the list of fraud complaints reported to the FTC by consumers in recent years. In 2025, the FTC received more than 1 million reports about imposter scams from consumers, who reported losing nearly $3.5 billion to such scams. In addition, online platforms play an important role in many scams. For example, nearly 30% of consumers who reported losing money to scammers in 2025 said they were first contacted on social media platforms, with reported losses reaching $2.1 billion. The ANPRM notes that impersonation scams have been amplified by search engines, social media and other digital marketplace platforms that profit from optimizing online ads for third parties, regardless of whether the third parties are legitimate. The ANPRM seeks comment on a wide range of topics related to the use of these ad-optimization tools and services and the proliferation of ads that impersonate businesses and government agencies including:  The financial incentives driving these platforms to offer ad-optimization tools and services, details on how each tool and service optimizes the content and delivery of the ad, and the steps platforms currently take to prevent the use of such tools and services for deceptive advertising The extent to which these platform ad-optimization tools and services constitute unfair or deceptive acts or practices by furthering impersonation scams Whether these unfair or deceptive acts or practices are prevalent in the marketplace and whether the Commission should address these acts or practices by amending the existing Impersonation Rule, proposing a new separate rule or implementing non-regulatory Measures Measures the Commission could consider in crafting any new regulations, including vetting","id":3176041,"url":"https://www.ftc.gov/news-events/news/press-releases/2026/09/ftc-seeks-public-comment-whether-update-rule-impersonation-government-businesses-address-platforms","titre":"FTC Seeks Public Comment on Whether to Update Rule on Impersonation of Government and Businesses to Address Platforms’ Role in Promoting Impersonation Scams","pubDate":"Fri, 25 Sep 2026 08:10:48 +0200"},{"titre":"FleetCor Agrees to Pay $100 Million to Resolve Administrative Action After Federal Court Finds that It Violated the FTC Act by Charging Unauthorized Fees","url":"https://www.ftc.gov/news-events/news/press-releases/2026/09/fleetcor-agrees-pay-100-million-resolve-administrative-action-after-federal-court-finds-it-violated","pubDate":"Fri, 18 Sep 2026 08:08:58 +0200","description":"FleetCor and its CEO will pay $100 million to settle a Federal Trade Commission administrative action alleging that the company charged its customers, who overwhelmingly are small businesses, undisclosed fees in connection with their use of fuel cards that FleetCor falsely promised businesses would save them money. In a complaint first filed in federal court in 2019 , the FTC alleged that FleetCor Technologies Inc., now known as Corpay Inc., and its CEO Ronald Clarke imposed a broad array of unauthorized fees that its customers never knew about and did not agree to pay, totaling hundreds of millions of dollars and harming tens of thousands of customers.  In addition, FleetCor charged late fees to customers who had either paid on time or were prevented by FleetCor from paying on time. FleetCor also misrepresented the gas savings, fraud-control features, and fees associated with its fuel cards. “FleetCor deceived its small business customers by promising fuel savings that never materialized, while unfairly charging them hidden and unauthorized fees,” said Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection. “In addition to the relief the FTC has obtained in federal court, this order will help return money to the customers the company took advantage of.” According to the complaint, FleetCor often waited to begin charging many fees until several billing cycles passed, making the fees less noticeable to consumers. The complaint also alleged that FleetCor’s invoices did not disclose that any fees were being charged, requiring customers to proactively view other account management reports. Even on those documents, many fees were obscured among other information or not listed at all. In 2023, a federal district court entered summary judgment for the FTC on all counts, finding that FleetCor had charged its customers hidden or otherwise unauthorized fees and misrepresented the gas savings and fees associated with FleetCor’s fuel cards. The court-imposed order permanently prohibits FleetCor from: billing a customer for any charge unless FleetCor has obtained the customer’s express informed consent and provided clear and unavoidable information about the charge; hiding material information about a charge behind a hyperlink; and making deceptive claims about its fuel cards. In 2026, a federal appeals court upheld the summary judgment against FleetCor on all counts and affirmed the permanent injunction against it.  The court affirmed the judgment against Clarke on all but one count and vacated the injunction as to Clarke.  As part of the settlement order with the FTC, FleetCor and Clarke will pay $100 million, which will be used to provide redress to the company’s business customers harmed by its practices. FleetCor and Clarke have also agreed not to oppose reimposition of a federal court injunction against Clarke.  The Commission vote to accept the consent agreement was 1-0-1. FTC Chairman Andrew N. Ferguson is recused. The FTC will publish a description of the consent agreement in the Federal Register soon. The agreement will be subject to public comment for 30 days after publication in the Federal Register after which the Commission will decide whether to make the proposed consent order final. Instructions for filing comments will appear in the published notice. Once processed, comments will be posted on Regulations.gov. NOTE: When the Commission issues a consent order on a final basis, it carries the force of law with respect to future actions. Each violation of such an order may result in a civil penalty of up to","id":3160549,"source":"Federal Trade Commission - Protecting America's Consumers"},{"titre":"FTC Finalizes Orders with Cox Media Group, Two Other Firms Settling Charges They Deceived Customers About “Active Listening” AI-Powered Marketing Service","url":"https://www.ftc.gov/news-events/news/press-releases/2026/08/ftc-finalizes-orders-cox-media-group-two-other-firms-settling-charges-they-deceived-customers-about","pubDate":"Fri, 28 Aug 2026 08:07:59 +0200","source":"Federal Trade Commission - Protecting America's Consumers","description":"The Federal Trade Commission finalized orders requiring Cox Media Group (CMG) and two other firms to pay a total of $930,000 to settle allegations they deceived customers by falsely claiming to offer an AI-powered service that could target localized ads based on conversations captured from consumers’ smart devices and that consumers had opted into such targeting. In three separate complaints first announced in May , the FTC alleged that Georgia-based media and marketing company CMG Media Corporation, which does business as  Cox Media Group , and two marketing firms it worked with, New Hampshire-based MindSift LLC  and Wisconsin-based  1010 Digital Works LLC ,  deceived customers by claiming they used a special algorithm to listen in on and detect pertinent conversations from smart devices in order to target ads to consumers within a specific geographic region. Contrary to these companies’ claims, however, the marketing service wasn’t based on voice data, and consumers hadn’t opted into this service. If the service had functioned as advertised, this collection and use of consumers’ voice data without adequate consent would itself violate the FTC Act. Under the proposed orders settling the FTC’s allegations,  CMG must pay $880,000 while both  MindSift and  1010 Digital Works  must each pay $25,000, which will be used to provide redress to CMG customers impacted by these practices. In addition, each defendant is prohibited from making any misrepresentation about the qualities or features of its advertising or marketing services; the collection and use of voice data and whether consumers have provided their consent to collect, use or disclose their voice data; and the geographic targeting capabilities of its advertising or marketing services. After receiving two comments on the proposed settlement orders, the Commission voted 2-0 to give final approval to the consent","id":3120376},{"pubDate":"Tue, 21 Jul 2026 08:04:33 +0200","titre":"Founders of Celsius Network Ordered to Pay $16.5 Million to Resolve FTC Charges","url":"https://www.ftc.gov/news-events/news/press-releases/2026/07/founders-celsius-network-ordered-pay-165-million-resolve-ftc-charges","id":3042974,"description":"Alexander Mashinsky, the former CEO of cryptocurrency platform Celsius Network Inc. (Celsius), and his business partners, Shlomi Daniel Leon and Hanoch “Nuke” Goldstein, will pay a total of $16.5 million to resolve the Federal Trade Commission’s charges that they deceived users by falsely promising that deposits made to their cryptocurrency platform would be safe and always available. Mashinsky and Leon have also agreed to a ban on marketing or selling products or services that can be used to deposit, exchange, invest or withdraw assets. Similarly, Goldstein has agreed to a ban on marketing or selling retail products or services that can be used to buy, sell, deposit, withdraw, distribute or trade cryptocurrency. In its  July 2023 complaint , the FTC alleged that Celsius and its co-founders promised consumers that Celsius was “safer” than a bank or other traditional financial institutions and misrepresented that their deposits were safe because Celsius earned profits at “no risk” to consumers by making secured loans to other exchanges. The FTC says the company and its top executives deceived users by falsely promising them that they could withdraw their deposits at any time, that the company maintained a $750 million insurance policy for deposits, that it had sufficient reserves to meet customer obligations and that those in its Earn program could earn rewards as high as 18% annual percentage yield on deposits. They also repeatedly claimed that the company did not make any unsecured loans. The FTC, however, alleged that the promises were false and that its top executives continued to claim that customers’ deposits were safe days before the company filed for bankruptcy. The settlement orders with the FTC require Mashinsky to pay $10 million, Leon to pay $4.1 million and Goldstein to pay $2.4 million. In addition,  the order with Mashinsky ,  the order with Leon ,   and the proposed order with Goldstein   will also prohibit the Celsius co-founders from: Marketing or selling products or services that can be used to deposit or withdraw certain assets, as Mashinsky, Leon and Goldstein’s deceptive conduct led to enormous consumer injury; Making misrepresentations regarding the benefits of any product or service or any other material fact about any other product or service; and Violating the Gramm-Leach-Bliley Act, including by obtaining or attempting to obtain customer financial information by making false, fictitious or fraudulent representations; and Finally, the orders with Mashinsky and Leon prohibit them from disclosing nonpublic personal information about consumers unless the consumer first provides express informed consent. The Commission vote approving the stipulated final order with Mashinsky was 3–0 and was approved prior to the departure of former Commissioner Melissa Holyoak. The Commission votes approving the stipulated final orders with Leon and Goldstein were both 2–0. The FTC filed the proposed orders in the U.S. District Court for the Southern District of New York. Stipulated final orders have the force of law when approved and signed by the District Court Judge. The staff attorneys on this matter are Stephanie Liebner, Carlton Mosley and Sally Tieu of the FTC’s Bureau of Consumer","source":"Federal Trade Commission - Protecting America's Consumers"},{"id":3004264,"description":"The Federal Trade Commission finalized an order with Publishing.com LLC and its two principals, settling allegations that they misled consumers about how much money consumers were likely to earn using their self-publishing products. Under the order finalized by the Commission, Publishing.com and its principals, CEO Christian Mikkelsen and Chief Product Officer Rasmus Mikkelsen, will pay $1.5 million and be required to substantiate earnings claims in the future. In a complaint first announced in April 2026, the FTC alleged that Publishing.com claimed its programs and services would help consumers earn substantial income publishing e-books and audiobooks online. The FTC further alleged that Christian and Rasmus Mikkelsen claimed that they personally used this system to obtain significant wealth through online self-publishing. The FTC alleged, however, that most consumers who bought Publishing.com’s products and services never made the income the company promised in its advertising. Consumers who sought refunds discovered that Publishing.com imposed many additional conditions, which were often buried in fine print or the company’s lengthy terms of service, that made it difficult or impossible for consumers to get their money back. The FTC’s complaint further alleged that the company failed to disclose when reviews were written by company employees or other interested people, including relatives of the Mikkelsens, and that the company offered incentives to people for providing positive testimonials. The final order approved by the Commission prohibits Publishing.com and the Mikkelsens from: Making earnings claims unless they are not misleading and they have a reasonable basis to support them; Making the specific misrepresentations detailed in the complaint, as well as misrepresentations concerning material facts in the sale of any product or service; Failing to disclose terms and conditions of any cancellation or refund policy or failing to promptly honor a consumer’s cancellation or refund request in accordance with company policies; and Making misrepresentations regarding endorsements and reviews. The final order also requires the company and the Mikkelsens to disclose any unexpected material connections with endorsers or reviewers and any payments or other incentives for posting reviews. The Commission voted 2-0 to finalize the order and sent responses to the five","source":"Federal Trade Commission - Protecting America's Consumers","pubDate":"Fri, 03 Jul 2026 08:06:27 +0200","url":"https://www.ftc.gov/news-events/news/press-releases/2026/07/ftc-approves-final-order-against-publishingcom-settling-allegations-it-misled-consumers","titre":"FTC Approves Final Order Against Publishing.com, Settling Allegations It Misled Consumers"},{"titre":"FTC Requires Amazon to Pay $2.25 Million to Resolve Charges It Knowingly Violated the Fair Credit Reporting Act","url":"https://www.ftc.gov/news-events/news/press-releases/2026/06/ftc-requires-amazon-pay-225-million-resolve-charges-it-knowingly-violated-fair-credit-reporting-act","pubDate":"Wed, 01 Jul 2026 08:09:43 +0200","description":"Amazon will pay $2.25 million in civil penalties to settle Federal Trade Commission allegations that the online retail giant knowingly violated the Fair Credit Reporting Act (FCRA) by refusing to provide transaction records to consumers whose personal information was used by identity thieves to commit fraud. The complaint , filed by the Department of Justice upon notification and referral from the FTC, alleged that in numerous instances, Amazon.com Inc. failed to comply with Section 609(e) of the FCRA, which requires companies to, within 30 days of a consumer’s request, provide victims of identity theft with application and business transaction records about fraudulent transactions made in their names. According to the complaint, Amazon had no written policy to respond to Section 609(e) requests until early 2025, after it learned of the FTC’s investigation, despite prior outreach from FTC staff advising the company to review its compliance with Section 609(e). “Amazon often put identity theft victims through a Kafkaesque ordeal by demanding they identify the thief who stole their information before Amazon would release the records the law entitles them to—records that could help victims protect themselves and recover from the fraudulent conduct,” said Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection. “The FTC will not allow companies to simply ignore their legal obligations, especially those designed to support and protect identity theft victims.” Many consumers who contacted Amazon to report fraud were told by its customer service agents that they could not provide the requested records for “security” or “privacy” reasons, the complaint alleged. For example, one consumer reported that when they contacted Amazon seeking business records related to unauthorized charges stemming from a fraudulent account, a company representative said they could not share details about the other account that had used the consumer’s credit card for “security reasons” unless the consumer guessed the name on the account (the name used by the identity thief), which the consumer was unable to do after making 30 attempts. The complaint alleged that in other instances, Amazon agents told consumers they were not able to access the requested records. Amazon even refused to provide application and business transaction records to law enforcement agencies who had been authorized to, and who did, submit requests to Amazon on behalf of consumers who were victims of identity theft. Some frustrated consumers resorted to sending copies of the FCRA and FTC guidance to Amazon in hopes of receiving the requested records, but Amazon still failed to comply with the law. The complaint also alleged that in some cases where Amazon ultimately provided requested records, it failed to respond to consumers within the 30-day timeframe required by the FCRA. In addition to the $2.25 million civil penalty—a record for a Section 609(e) violation—the proposed order will prohibit Amazon from failing to comply with Section 609(e) of the FCRA, requiring the company to provide the records lawfully requested by identity theft victims and law enforcement agencies acting on their behalf. The order also requires Amazon to provide notice to consumers about how identity theft victims can request records under the FCRA. The company must also contact consumers who had requested records since April 2024 from Amazon but did not receive them to inform these consumers that it may have additional records and that the consumers may request those records from Amazon. This is the second case the FTC has brought using its authority under Section 609(e) of the FCRA. The FTC announced its first case involving a violation of Section 609(e) of the FCRA in 2020 against Kohl’s Department Stores Inc . The Commission voted 2-0 to authorize the staff to refer the complaint to the DOJ and to approve the proposed stipulated order. The DOJ filed the complaint and final","id":2997627,"source":"Federal Trade Commission - Protecting America's Consumers"},{"source":"Federal Trade Commission - Protecting America's Consumers","description":"New data from the Federal Trade Commission reveal that people reported losing a staggering $3.5 billion to imposter scams in 2025, with reported losses increasing nearly three times since 2020. FTC data also show that people reported imposter scams more than any other fraud category in 2025—nearly one in three fraud reports were about imposter scams. These scams lured consumers through text, phone, email, social media, search engine results and other means. Some of the costliest impersonation scams start with a fake security alert, often from a bank. People are convinced to move money to “protect” it, with their losses often limited only by their available funds. Last year, people reported losing nearly $1 billion to business impersonators with the highest reported losses to bank impersonators—and about $920 million to government impersonators, up from $866 million and $789 million respectively in 2024. The FTC has seen a striking increase in reported fraud losses to all types of fraud—about $16 billion was reported lost in 2025, the highest on record and an increase of about 25% compared to the 2024 figure. “Consumers derive enormous benefits from competitive markets built on truthful information. But fraud undermines that foundation, impeding the market process and preventing markets from operating efficiently,” said Christopher Mufarrige, Director of the Bureau of Consumer Protection. “The FTC will use every tool available to combat one of the most pernicious forms of fraud—government and business impersonation—and to protect the integrity of the digital economy.” The data underscore the importance of the FTC’s work with the  Elder Justice Coordinating Council (EJCC) , which is working to help raise awareness of imposter scams and other scams impacting older adults as well as other consumers. This year, the FTC, along with the Department of Justice, Department of Health and Human Services and members of the EJCC, is leading the Never Ever campaign, a public-private coordinated consumer education effort to raise awareness of government and business imposter scams. In addition to the federal agency members of the EJCC , the campaign also includes private sector representatives such as the American Bankers Association, USTelecom, Google and Microsoft. To help the public spot imposter scams, EJCC members launched the Never Ever campaign, which is aimed at promoting messaging on the key actions that government and businesses will Never Ever take. The Never Ever campaign will run from June 15 to June 26, in conjunction with World Elder Abuse Awareness Day. This first-of-its-kind public-private partnership includes participants from a wide range of organizations and is aimed at directing consumers to a website that includes information and resources to help them avoid imposter scams and what to do if they spot one. Enforcement Actions To help combat impersonation scams, the FTC in 2024 finalized the Impersonation Rule. The Rule gives the agency stronger tools to combat and deter scammers who impersonate government agencies and businesses, enabling the FTC to file federal court cases seeking to get money back to injured consumers and civil penalties against rule violators. Since then, the FTC has vigorously enforced the rule and brought a dozen enforcement actions that have resulted in halting imposter schemes and obtained over $70 million in redress for consumers. In 2025, the FTC brought law enforcement actions under the Impersonation Rule against:  American Tax Service (IRS imposter scheme);  MediaAlpha (government imposter scheme to sell health insurance);  Click Profit (business imposter money making scam);  Blackstone Legal (phantom debt business imposter scheme) and  Accelerated Debt Settlement (government and business imposter scheme that targeted older adults for debt relief). More recently, the  FTC filed a complaint against Innovative Partners in April 2026 , alleging the operators","id":2959787,"titre":"FTC Data Show People Reported Losing $3.5 Billion to Imposter Scams in 2025","url":"https://www.ftc.gov/news-events/news/press-releases/2026/06/ftc-data-show-people-reported-losing-3-point-5-billion-imposter-scams-2025","pubDate":"Tue, 16 Jun 2026 08:09:40 +0200"},{"titre":"FTC Begins Enforcing the TAKE IT DOWN Act","url":"https://www.ftc.gov/news-events/news/press-releases/2026/05/ftc-begins-enforcing-take-it-down-act","pubDate":"Wed, 20 May 2026 08:10:24 +0200","description":"The Federal Trade Commission today began enforcing the TAKE IT DOWN Act (TIDA), a law requiring platforms, at the request of victims, to remove intimate photos or videos shared online without victims’ consent. As part of its enforcement role, the FTC has launched TakeItDown.ftc.gov , a website allowing victims and survivors to submit complaints about platforms that have failed to act on valid requests for the removal of nonconsensual intimate images. The website also accepts complaints about platforms that have failed to create a process for people to request removal of these images. “Thanks to First Lady Melania Trump’s dedication, the public, especially children, will have recourse against digital exploitation and extortion,” said FTC Chairman Andrew N. Ferguson. “In the age of AI, anyone can be targeted, and that becomes even more appalling if children are involved. The TAKE IT DOWN Act empowers families and provides the FTC with an effective tool to protect minors against this form of abuse.” The FTC enforces Section 3 of the TAKE IT DOWN Act, which set a May 19, 2026, deadline for covered platforms to give people a way to request the removal of intimate photos or videos shared online without their consent and to remove those intimate images, and known identical copies, within 48 hours of a valid request. The FTC has published new guidance to help consumers in the event that nonconsensual intimate images of them are posted online. The FTC also issued  guidance for businesses about how to ensure they are complying with the law. Underscoring the FTC’s commitment, Chairman Ferguson  sent letters last week to major platforms—Alphabet, Amazon, Apple, Automattic, Bumble, Discord, Match Group, Meta, Microsoft, Pinterest, Reddit, SmugMug, Snapchat, TikTok and X—reminding them of businesses’ obligation to comply fully with TIDA no later than May 19,","id":2893630,"source":"Federal Trade Commission - Protecting America's Consumers"},{"pubDate":"Fri, 06 Feb 2026 09:48:14 +0100","url":"https://www.ftc.gov/news-events/news/press-releases/2026/02/ftc-sending-nearly-23-million-consumers-who-invested-deceptive-sanctuary-belize-kanantik-real-estate","titre":"FTC is Sending Nearly $23 Million to Consumers Who Invested in the Deceptive Sanctuary Belize and Kanantik Real Estate Development Schemes","source":"Federal Trade Commission - Protecting America's Consumers","id":2679350,"description":"The Federal Trade Commission is returning nearly $23 million to consumers nationwide who bought deceptively marketed overseas real estate lots in what the sellers pitched as Sanctuary Belize, a supposed luxury development in southern, coastal Belize, as well as its nearby sister development, Kanantik. The FTC is mailing 1,659 checks to defrauded investors. The average amount of each check for Sanctuary Belize consumers is $16,462 and the average amount of each check for Kanantik consumers is $6,346.39. Today’s announcement represents the second mailing to consumers who invested in the Sanctuary Belize scheme, with approximately  $10 million distributed previously . The first round of checks was sent only to consumers who bought property within Sanctuary Belize. Today’s checks are going to both Sanctuary Belize investors, as well as consumers who invested in Kanantik, a related development owned and operated by some of the Sanctuary Belize defendants, and other areas covered by the court relief in this case. In November 2018, the FTC filed a complaint charging that Andris Pukke, a prior FTC defendant, and several other corporate and individual defendants deceived consumers who invested in Sanctuary Belize by promising they were investing in a luxury development and resort. The defendants, however, failed to deliver on the promised amenities, and consumers who invested in Sanctuary property lost money and could not resell their lots. Following a trial in 2020, a federal court found that the defendants, who took in more than $100 million, duped consumers into buying Sanctuary Belize lots by falsely claiming it would be a safe investment, that the development would include luxury amenities and be completed soon, and that consumers could resell their lots. The defendants appealed,  but the Court of Appeals confirmed the deceptive scheme and the monetary judgment against Pukke and his associates, Peter Baker and John Usher. The District Court  ordered the receiver to send an initial round of payments , with the money coming from previous settlements. As part of a second round of payments, the Commission is sending a total of $22,865,008.34 to consumers. Checks totaling $20,028,170.25 are being sent to 1,202 claim applicants who invested in properties within Sanctuary Belize, and checks totaling $2,836,838.09 are being sent to 447 claim applicants who invested in properties in the Kanantik and other covered development areas. Consumers who receive checks in this second distribution should cash them within 60 days, as indicated on the check. Consumers with questions about their payments should email the redress administrator, Rust Consulting, which is being supported by Ankura Consulting Group, LLC, at Payment@SanctuaryBelizeRedress.com . Consumers with other questions about the Sanctuary Belize receivership can contact  info@sanctuarybelizereceivership.com . The application process for requesting a payment is closed, and the receiver is no longer accepting applications from consumers. Consumers can also visit the receivership website at  www.SanctuaryBelizeReceivership.com to find other resources such as"},{"titre":"FTC Will Require Illusory Systems to Return Money Stolen by Hackers and Implement an Information Security Program","url":"https://www.ftc.gov/news-events/news/press-releases/2025/12/ftc-will-require-illusory-systems-return-money-stolen-hackers-implement-information-security-program","pubDate":"Wed, 17 Dec 2025 09:50:37 +0100","description":"The Federal Trade Commission is taking action against Illusory Systems Inc. for failing to implement adequate data security measures, leading to a major security breach in which hackers stole $186 million from consumers. Under a proposed order settling the FTC’s allegations, Utah-based Illusory, which does business as Nomad, will be required to implement an information security program to address numerous alleged security failures and to return recovered money to affected consumers. “The FTC Act requires companies to take reasonable security measures,” said Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection. “It’s important that companies live up to their security promises to consumers.” In its complaint , the FTC alleged that Nomad prominently touted its security in its advertising, claiming that it offered “security-first” services. The FTC, however, alleged that the company failed to live up to these promises by failing to: use secure coding practices; implement processes for receiving and addressing vulnerability reports and responding to security incidents; and utilize widely known technologies that might have helped mitigate consumer losses. According to the complaint, in June 2022, Nomad introduced inadequately tested code that included a significant vulnerability. Just over a month later, hackers began exploiting the vulnerability. The FTC alleged that Nomad failed to respond to the attack in time because of its inadequate security and incident response measures, which led to the loss of $186 million. The company was able to recover some money, but consumers lost approximately $100 million. Nomad was warned about the dangers of inadequate testing as well as the need to ensure it had adequate staff and security in place. The company, however, failed to implement basic safety measures that would mitigate consumer losses, the FTC alleged. Under the proposed order , Nomad will be prohibited from making misrepresentations about its security practices. In addition, the company will also be required to: Implement a comprehensive information security program that is designed to protect consumers from theft or other unauthorized access and address the security issues outlined in the FTC’s complaint; Obtain biennial assessments of its information security program by an independent third party and cooperate with the third-party assessor; and Return to consumers money recovered following the security breach that was not already returned to customers. The Commission voted 2-0 to accept the proposed complaint and order for public comment. The FTC will publish a description of the consent agreement package in the Federal Register soon. The agreement will be subject to public comment for 30 days after publication in the Federal Register after which the Commission will decide whether to make the proposed consent order final. Instructions for filing comments will appear in the published notice. Once processed, comments will be posted on Regulations.gov. NOTE:  The Commission issues an administrative complaint when it has “reason to believe” that the law has been or is being violated, and it appears to the Commission that a proceeding is in the public interest. When the Commission issues a consent order on a final basis, it carries the force of law with respect to future actions. Each violation of such an order may result in a civil penalty of up to $51,744. The lead staff attorneys on this matter are M. Hasan Aijaz and Julia Horwitz with the FTC’s Bureau of Consumer","id":2577895,"source":"Federal Trade Commission - Protecting America's Consumers"},{"titre":"FTC Surveillance Pricing Study Indicates Wide Range of Personal Data Used to Set Individualized Consumer Prices","url":"https://www.ftc.gov/news-events/news/press-releases/2025/01/ftc-surveillance-pricing-study-indicates-wide-range-personal-data-used-set-individualized-consumer","pubDate":"Thu, 10 Apr 2025 09:51:48 +0200","description":"The Federal Trade Commission’s initial findings from its surveillance pricing market study revealed that details like a person’s precise location or browser history can be frequently used to target individual consumers with different prices for the same goods and services. The staff perspective is based on an examination of documents obtained by FTC staff’s 6(b) orders sent to  several companies in July aiming to better understand the shadowy market that third-party intermediaries use to set individualized prices for products and services based on consumers’ characteristics and behaviors, like location, demographics, browsing patterns and shopping history. Staff found that consumer behaviors ranging from mouse movements on a webpage to the type of products that consumers leave unpurchased in an online shopping cart can be tracked and used by retailers to tailor consumer pricing. “Initial staff findings show that retailers frequently use people’s personal information to set targeted, tailored prices for goods and services—from a person's location and demographics, down to their mouse movements on a webpage,” said FTC Chair Lina M. Khan. “The FTC should continue to investigate surveillance pricing practices because Americans deserve to know how their private data is being used to set the prices they pay and whether firms are charging different people different prices for the same good or service.” The FTC’s study of the 6(b) documents is still ongoing. The staff perspective is based on an initial analysis of documents provided by Mastercard, Accenture, PROS, Bloomreach, Revionics and McKinsey & Co. Image The FTC’s 6(b) study focuses on intermediary firms, which are the middlemen hired by retailers that can algorithmically tweak and target their prices. Instead of a price or promotion being a static feature of a product, the same product could have a different price or promotion based on a variety of inputs—including consumer-related data and their behaviors and preferences, the location, time, and channels by which a consumer buys the product, according to the perspective. The agency will only release information obtained from a 6(b) study as long as all data has been aggregated or anonymized to protect confidential trade secrets from company respondents, and therefore the staff perspective only includes hypothetical examples of surveillance pricing.  The staff perspective found that some 6(b) respondents can determine individualized and different pricing and discounts based on granular consumer data, like a cosmetics company targeting promotions to specific skin types and skin tones. The perspective also found that the intermediaries the FTC examined can show higher priced products based on consumers’ search and purchase activity. As one hypothetical outlined, a consumer who is profiled as a new parent may intentionally be shown higher priced baby thermometers on the first page of their search results. The FTC staff found that the intermediaries worked with at least 250 clients that sell goods or services ranging from grocery stores to apparel retailers. The FTC found that widespread adoption of this practice may fundamentally upend how consumers buy products and how companies compete. As the FTC continues its work in this area, it is issuing a request for information   today seeking public comment on consumers’ experiences with surveillance pricing. The RFI also asks for comments from businesses about whether surveillance pricing tools can lead to competitors gaining an unfair advantage, and whether gig workers or employees have been impacted by the use of surveillance pricing to determine their compensation. Comments are due by April 17. The Commission voted 3-2 to allow staff to issue the report. Commissioners Andrew Ferguson and Melissa Holyoak issued a dissenting statement related to the release of the initial research summaries. The FTC has additional resources on the interim","id":2044739,"source":"Federal Trade Commission Concurrence communiqués"}]