[{"source":"FTC USA Business Blog Posts","url":"https://www.ftc.gov/business-guidance/blog/2017/07/we-cant-go-no-can-do","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.”","titre":"We can’t go for that (no can do)","id":3200011,"pubDate":"Tue, 06 Oct 2026 14:06:39 +0200"},{"description":"First INFORM Consumers Act enforcement case filed against online marketplace Temu kkrown September 5, 2025 | 10:00AM First INFORM Consumers Act enforcement case filed against online marketplace Temu Online marketplaces and third party sellers looking for a refresher on the INFORM Consumers Act should look no further than the recent settlement with Whaleco, Inc., which operates the online marketplace Temu. The complaint alleges the company failed to provide online shoppers with required information and tools. This is the first case brought to enforce the INFORM Act. The INFORM Act, which went into effect in 2023, seeks to make online transactions more transparent. Among other things, the law requires online marketplaces to collect, verify, and disclose certain information about high-volume third party sellers. ( Informing Businesses about the INFORM Consumers Act  has more on how the law defines terms, what’s required of online marketplaces, and the substantial penalties the FTC and state law enforcers may seek if online marketplaces violate the law.) In 2022, Temu launched its online marketplace in the United States, where consumers can view product listings on Temu’s homepage, through search results, and in gamified shopping experiences on the platform. According to the complaint, Temu violated the INFORM Act by failing to offer a mechanism for consumers to report suspicious activity — electronically and by phone — on the gamified product listings of many high-volume third party sellers and by failing to offer a telephonic mechanism on non-gamified product listings. The complaint also alleges that Temu did not post required identifying information about sellers on its gamified product listings or mobile site, and that Temu’s disclosures, when made, were difficult to find. According to the settlement, Temu will pay a $2 million civil penalty, provide a telephonic mechanism for consumers to report suspicious activity on listings, and make other required disclosures. Is your business covered by the INFORM Act? Make sure you:  Review the provisions of the INFORM Act thoroughly . Make sure you fully understand — and have measures in place to comply with — each of its requirements. Make required disclosures easy for consumers to notice . Required disclosures should stand out from any surrounding material and use plain language. Minimize or eliminate steps consumers need to take to reach required disclosures. Ensure required disclosures are available across all iterations of your platform . The INFORM Act mandates disclosures on all interfaces with product listings. And as your platforms evolve, regularly assess and update your compliance efforts. If your business sells through online platforms, check out  What Third Party Sellers Need to Know About the INFORM Consumers Act . This covers what sellers are impacted by the INFORM Act, what you can expect online platforms to require of you, and what information platforms must disclose about you to consumers. It also answers some questions you may have about the law. And if you spot a violation of the INFORM Act, r­eport it to the FTC using this  dedicated link","titre":"First INFORM Consumers Act enforcement case filed against online marketplace Temu","id":3198178,"pubDate":"Mon, 05 Oct 2026 14:07:45 +0200","source":"FTC USA Business Blog Posts","url":"https://www.ftc.gov/business-guidance/blog/2025/09/first-inform-consumers-act-enforcement-case-filed-against-online-marketplace-temu"}]