Category: Federal Trade Commission
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Dannon Agrees to Pay States $21 Million to Resolve Advertising Issues
The Federal Trade Commission has announced the settlement of allegations that The Dannon Co. exaggerated the health benefits of its Activia® yogurt and DanActive® dairy beverage. Under the terms of the settlement, Dannon does not admit any law violations, but agrees to stop promoting its yogurt as a product that relieves temporary irregularity or its…
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FTC Proposes Privacy Browser Setting for Consumers’ Online Use
The Federal Trade Commission (FTC) has issued a preliminary staff report that proposes a framework for businesses and policymakers to protect the privacy of consumers using the Internet. FTC staff seeks stakeholder comments on the proposed framework until January 31, 2011, and a final report will follow. The report coincides with a recent congressional hearing…
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FTC Seeks Dismissal of POM Wonderful Challenge to Health-Claim Standards
The Federal Trade Commission (FTC) has filed a motion to dismiss a complaint charging the agency with exceeding its authority in requiring Food and Drug Administration (FDA) pre-approval for health-related claims on food products, violating advertisers’ constitutional rights by requiring compliance with these standards and failing to comply with notice-and-comment rulemaking procedures in establishing the…
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FTC Finalizes Agreement with Former POM Wonderful Executive
The Federal Trade Commission (FTC) has announced the unanimous approval of a final order settling charges that a former POM Wonderful LLC executive made false and unsubstantiated claims that the company’s pomegranate products prevent or treat heart disease and prostate cancer. Under the agreement, Mark Dreher, a former POM Wonderful vice president, does not admit to…
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FDA, FTC Act on Alcoholic Energy Drinks
The Food and Drug Administration (FDA) has issued warning letters to four manufacturers of alcoholic energy drinks (AEDs), calling the caffeine added to these malt beverages an “unsafe food additive” and threatening further action against Charge Beverages Corp.; New Century Brewing Co., LLC; Phusion Projects, LLC; and United Brands Company Inc. FDA apparently released its…
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FTC Proposes Revisions to Environmental Marketing Guides
The Federal Trade Commission (FTC) has determined that its “Green Guides,” which “help marketers avoid making deceptive claims by outlining general principles that apply to all environmental marketing claims,” should be retained and updated. Initially developed in 1992 and last revised in 1998, the guides also provide information about how “reasonable consumers are likely to…
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FTC Subpoenas 48 Food Companies in Follow-Up to Youth Marketing Study
The Federal Trade Commission (FTC) has ordered 48 food companies “to file a special report” on their youth marketing practices in an effort “to measure the effect that self-regulation has had over the last three years,” according to FTC spokesperson Carol Jennings. The companies have 90 days to respond to the subpoenas, which will assist…
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FTC Obtains Preliminary Injunction Against Internet Marketers Making Acai Berry Health Claims
The Federal Trade Commission (FTC) has taken action against companies that sell açai berry supplements, “colon cleansers” and other products online by featuring false Oprah Winfrey and Rachael Ray endorsements and illegally billing customer credit cards. According to an agency press release, a U.S. district court has temporarily ordered a halt to “an internet sales…