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Updates on Consumer Protection Trends, Issues, & Developments



Last Build Date: Wed, 21 Feb 2018 14:20:17 +0000

 



CPSC Votes to Sue Britax Over B.O.B. Strollers

Wed, 21 Feb 2018 03:15:14 +0000

Last Friday, the CPSC voted to sue Britax Child Safety, Inc. to force the company to recall various models of single and double B.O.B. jogging strollers. The one-count administrative complaint alleges that the strollers present a substantial product hazard under Section 15(a)(2) of the Consumer Product Safety Act because they contain a product defect that...… Continue Reading



Michaels Stores Inc. Agrees to Pay $1.5 Million CPSC Civil Penalty

Mon, 19 Feb 2018 13:22:28 +0000

Last week, the Department of Justice (“DOJ”) announced that Michaels Stores Inc. has agreed to pay $1.5 million in civil penalties to settle allegations that Michaels failed to file a timely report about a safety hazard associated with a large glass vase that Michaels sold. In 2015, DOJ filed a complaint on behalf of the...… Continue Reading



Senate Commerce Committee Holds Confirmation Hearings on FTC Chair and Commissioner Nominees

Fri, 16 Feb 2018 01:52:31 +0000

The Senate Commerce, Science, and Transportation Committee held confirmation hearings yesterday for the four nominees to the Federal Trade Commission: Joseph Simons (nominated as Chair), Rohit Chopra, Noah Phillips, and Christine Wilson.  We previously discussed the nominations of Simons, Chopra, and Phillips here.   Wilson, currently a Senior Vice President at Delta Airlines and previously Chief...… Continue Reading



State AGs Still Really Don’t Like Cy Pres Class Action Settlements

Mon, 12 Feb 2018 20:17:25 +0000

When class actions have a low settlement value relative to the size of the class, it is normal for defendants to pay out money to non-profit groups that advocate for issues relevant to the case rather than directly to class members. Last July, in “Give the Money to One Percenters, Not to Non-Profits,” I reported...… Continue Reading



Be Careful When Marketing Around the Olympics

Wed, 07 Feb 2018 18:45:08 +0000

As consumers get ready to watch the 2018 Winter Olympic Games, some companies are getting ready to capitalize on the public enthusiasm. Many marketers want to incorporate Olympics-related themes – ranging from overt mentions of the Olympics to more subtle sports references – in their ads in order to associate their brands with the attention...… Continue Reading



Think Your Prescription Drug Advertising is Beyond NAD’s Purview? NAD Disagrees.

Tue, 06 Feb 2018 16:55:59 +0000

Those of us who spend our days at the intersection of law and advertising of health products generally accept that the prescription drug world is a universe unto itself, overseen by the FDA pursuant to the Prescription Drug Marketing Act. As prescription drug companies have increased their direct-to-consumer outreach through social media, native advertising, and...… Continue Reading



Battling Bots on Social Media

Mon, 05 Feb 2018 15:28:24 +0000

In the world of social media, a person’s power is often measured in terms of followers. More followers means the ability to influence more people. Companies who work with influencers understand this and often base compensation on this metric. For example, according to data collected by Captiv8, an influencer with a thousand followers might earn...… Continue Reading



Full Panel of D.C. Circuit Upholds CFPB Structure, Reversing Earlier Decision

Wed, 31 Jan 2018 23:01:59 +0000

Earlier today, an en banc panel of the U.S. Court of Appeals for the D.C. Circuit ruled that the CFPB was constitutionally structured, reversing an earlier decision by a divided three-judge panel and holding that the Dodd-Frank Act permissibly shields the CFPB Director from removal without cause.  The Court’s 7-3 majority opinion only addressed the...… Continue Reading



The Ninth Circuit’s Hyundai Decision Is Regrettable But Forgettable

Thu, 25 Jan 2018 19:28:19 +0000

This week, by a 2-1 vote, a Ninth Circuit panel reversed a district court’s approval of a massive class action settlement involving Hyundai’s and Kia’s allegedly inflated statements of fuel efficiency.  The majority’s long decision, over a vigorous dissent, amounted only to a “greatest hits” collection of Ninth Circuit class action and settlement skepticism.  Nothing...… Continue Reading



FDA & FTC Issue Joint Warning Letters to Companies Marketing Products to Overcome Opioid Addiction and Withdrawal

Thu, 25 Jan 2018 04:17:41 +0000

The FDA & FTC today posted warning letters to 11 marketers and distributors of opioid cessation products, alleging that such products were unapproved new drugs that violated the Federal Food, Drug and Cosmetic Act (FDCA) and that made unsubstantiated, deceptive claims in violation of the FTC Act.  In addition to the 11 joint warning letters...… Continue Reading