[{"url":"https://www.ftc.gov/business-guidance/blog/2019/12/sign-times-protecting-your-company-b2b-deception","source":"FTC USA Business Blog Posts","description":"Sign of the times? Protecting your company from B2B deception lfair December 9, 2019 | 2:09PM Sign of the times? Protecting your company from B2B deception By Lesley Fair They may look like invoices sent to business owners for posters they may need to display in the workplace. But we think of them as un voices – deceptively worded solicitations that tried to sell companies posters that are readily available for free. A law enforcement action just settled by the FTC and Florida Attorney General offers tips on protecting your business from this form of B2B deception. According to the FTC and AG, four defendants with ties to Texas and Florida – Starwood Consulting, Starwood Capital, Corporate Poster Supply, and Thomas Henry Fred, Jr. – sent letters to businesses across the country with the goal of tricking them into paying $84 for posters about labor practices. To perfect their pitch, the letters had the look of invoices from government agencies or other authorities and warned recipients that they had two choices: 1) buy the $84 posters; or 2) face hefty fines. In fact, posters similar to the ones in question were available for free from relevant government agencies. But according to the lawsuit, many businesses forked over $84 under the misimpression that they had to buy them from the defendants. The proposed settlement in the case includes provisions to prevent the defendants from using similar tactics to injure consumers in the future, including a ban on unsolicited direct mail. Based on the defendants’ financial condition, the $6 million judgment will be partially suspended upon the payment of $1.2 million. What can other businesses do to protect themselves from B2B deception? What’s your sign? Investigate first. If you think you may need to post signs, check with the relevant government agency. But don’t use a phone number or URL listed in a solicitation you get in the mail. Do your research and go to the legitimate .gov website for more information. Consider free options. It’s true that certain agencies may require businesses to display signs on the premises about subjects like labor practices. But if a poster is required, most likely it’s available for free from the agency’s website. One helpful resource is the Department of Labor’s FirstStep Poster Advisor , which walks businesses through industry-specific posters required by that agency and provides the signs at no charge to employers. You can order them online, call the agency toll-free for copies, or even download them directly and print them out. Why pay for something your business can get for free? Alert colleagues in the business community . Are you active in a trade association or local business group? Enlist them to educate members about similar solicitations and other forms of B2B deception, including bogus office supply invoices and imposter phone calls that claim your company will be shut down if you don’t pay an immediate fee. Read the FTC brochure Scams and Your Small Business (also available in Spanish ) for tips on spotting B2B","pubDate":"Thu, 08 Oct 2026 14:08:41 +0200","id":3204242,"titre":"Sign of the times? Protecting your company from B2B deception"},{"url":"https://www.ftc.gov/business-guidance/blog/2014/10/first-ftc-rosca-case-challenges-bogus-bogo-free-claims","source":"FTC USA Business Blog Posts","description":"First FTC ROSCA case challenges bogus BOGO and \"free\" claims wfg-adm109 October 21, 2014 | 12:02PM First FTC ROSCA case challenges bogus BOGO and \"free\" claims By Lesley Fair It’s called ROSCA – the Restore Online Shoppers’ Confidence Act – and it prohibits marketers from charging consumers for an online transaction unless the marketer has clearly disclosed all material terms of the deal and received the consumer’s express informed consent. Your e-commerce clients will want to know about the FTC’s first ROSCA case , filed recently in Nevada. According to the lawsuit, Health Formulas, LLC and a tangle of related California- and Nevada-based companies and individuals – consumers may know them as Simple Pure Nutrition – pitched a variety of products for weight loss, muscle building, virility, and skin care. The defendants advertised diet supplements like Pure Green Coffee Bean Plus and RKG Extreme as a shortcut to drop the pounds: “Burn fat without diet or exercise,” “Extreme weight loss!” “Shed pounds fast!” “Super concentrated double fat burning,” etc. Among the defendants’ more colorful business names: Weight Loss Dojo, Longhorn Marketing (sorry, Texas fans), Black Bull, and Unleash the Thunder. But unsubstantiated weight loss claims were just the start. The FTC says the defendants lured people in with bogus promises of a “free” trial or deceptive buy-one-get-one (BOGO) offers. Then they tricked consumers into giving their credit or debit card information with the false implication that consumers had to “just pay shipping.”   Digits in hand, the defendants really went to town, allegedly signing consumers up without their authorization for a negative option program that billed their accounts over and over again, to the monthly tune of between $60 and $210. The FTC says the defendants violated ROSCA by using a negative option feature without providing clear and conspicuous disclosures, getting the consumer’s express informed consent, and offering a simple mechanism for stopping the recurring charges. The FTC’s complaint also cites the defendants’ hard-to-find and hard-to-understand fine-print “terms and conditions,” which consumers could reach only by scrolling through the equivalent of two printed pages and clicking on an obscure hyperlink. Assuming they found it – and that’s a big if – the typical “terms and conditions” document was 10 pages long. On some websites, consumers had to scroll down the payment page to see further fine-print disclosures about the cost of the products. The first sentence reiterated what consumers generally understood (“You must pay a shipping and handling fee of $4.95 for us to send you a full 30 day supply of Garcinia Cambogia Extract”) but it wasn’t until the middle of the paragraph that the defendants mentioned that the trial period lasts only 14 days, that it began when the items were shipped (not delivered), and that consumers would be charged after that. Other websites didn’t even include that information. According to the lawsuit, consumers who attempted to take the defendants up on their money-back guarantee were met with a series of undisclosed roadblocks. In addition to the ROSCA counts, the FTC says the defendants’ practices violated the Electronic Fund Transfer Act by debiting consumers’ accounts on a recurring basis without their prior written authorization. What’s more, the complaint charges that the defendants continued to call people after being told to cut it out, in violation of the Telemarketing Sales Rule’s entity-specific Do Not Call provisions. The FTC says they also violated the TSR through a series of deceptive upsells. A federal judge has entered a temporary restraining order and the FTC is seeking to put a permanent stop to the defendants’ illegal practices. If your clients have ROSCA questions, the","pubDate":"Wed, 07 Oct 2026 08:05:50 +0200","id":3201052,"titre":"First FTC ROSCA case challenges bogus BOGO and \"free\" claims"}]