Ad Law Access
FTC Blankets Companies With Warning Letters Over Endorsements and Reviews
As we have noted in earlier posts, in the wake of the Supreme Court’s holding that Section 13(b) of the FTC Act does not allow for monetary restitution, the Federal Trade Commission has been attempting to creatively…
NAD Addresses Math Problems in Counting Reviews (Again)
Earlier this year, Prose – a company that makes customized haircare products – brought an NAD challenge against Function – a competitor in the same business – over Function’s claims that it had over 110,000 5-star…
NAD Addresses Math Problems in Counting Reviews
Function claimed that it had “over 110,000 5-star product reviews” for its hair care products, the majority of which come from its “shampoo and conditioner” category. A competitor filed an NAD challenge pointing out…
FTC Closing Letter Addresses Management of Consumer Reviews
When the FTC decides not to pursue an investigation, it often issues a short closing letter to the company explaining why FTC staff decided not to recommend enforcement. The letters are just a few paragraphs long and…
New Court Decision Address Manipulation of Reviews
Because consumer reviews are so important in today’s marketplace, many companies go to great lengths to increase their number of favorable reviews. Sometimes, they go too far. We’ve written about FTC and NAD cases in…