Court Sets New Restitution Parameters in FTC False Advertising Case
Posted by: Adam Solomon
September 26, 2006

The FTC's usual draconian position of requiring a monetary component of gross sales less refunds is begining to lose traction in the courts.  The QT decision, which requires a signficant financial component, nonetheless rejects the FTC's long-standing position.   Further, the decision comes on the heels of the Second Circuit's decision in Verity International -- in which the appeals court held that a party can only be held liable for the amount of monies it received.  Stay tuned to see if these orders have an impact on the FTC's willingness to accept a defendant's net profits as the measure of restitution.    

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Dateline Infomercial Expose Highlights Need For Due Diligence
Posted by: Andy Lustigman
September 19, 2006

NBC's Dateline one-hour expose on creating an infomercial for a bogus product highlights the need for anyone involved in the advertising process to undertake reasonable due diligence before creating or providing performance claims.

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Company Settles Allegations of Unlicensed Store Closing Sale and False Advertising
Posted by: Adam Solomon
September 15, 2006

NY AG settles with company for false advertising and failing to obtain a license for conducting a going-out-of-business sale.

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Grass Roots Do Not Mail Campaign Threatens Direct Marketers
Posted by: Andy Lustigman
September 10, 2006

A grass-roots organization's purported desire to declare Americans free from "junk mail" by urging consumers to push Congress and politicians to enact do not mail legislation is a misguided effort when an existing industry alternative already exists, and such legislation will have significant unanticiapted negative impact on the economy and the environment.

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Michigan AG Settles With Citizens For Wildlife Conservation Over Sweepstakes
Posted by: Adam Solomon
September 10, 2006

A wildlife conservation group reached a settlement with the Michigan AG that related to the organization's method to solicit donations in connection with a sweepstakes.

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