The Consumer Protection and Recovery Act passed 221-205, split almost entirely down party lines. Those in opposition to the bill expressed concern for “broad overreach” by the FTC and a need for statutory guardrails that would safeguard due process and protect legitimate businesses from being unfairly targeted or punished.
This new change will allow informal hearing procedures and eliminate the current rules that are not articulated in the FTC Act—like the publication of a staff report that contains a rulemaking and recommendations record for public comment—but maintain that these updated procedures will offer extensive opportunities for public comment.
Truth In Advertising Organization Lobbies FTC to Target Direct Selling Industry with Penalty-Offense Program
The advertising watchdog group TruthInAdvertising.org (TINA) sent a letter yesterday to the Acting Director of the Bureau of Consumer Protection at the Federal Trade Commission (FTC), requesting that the FTC “implement a penalty offense program targeting the direct selling industry and its market-wide practice of utilizing deceptive earnings representations and false health claims.” The letter […]
DSA Emphasizes Importance of Strong Anti-Pyramid Laws & Enforcement Following FTC Action Against Blessing Loom
The Direct Selling Association (DSA) released an official statement following an announcement by the Federal Trade Commission (FTC) and the state of Arkansas that accuses Blessing Loom of being a pyramid scheme. In its statement, the DSA said the situation “highlights the value of and need for strong anti-pyramid laws and enforcement.”
The Federal Trade Commission (FTC) announced in a Statement of Commissioner Rohit Chopra that it will begin looking for other methods to seek restitution or disgorgement from companies in the wake of the U.S. Supreme Court ruling that the Commission could not do so using Section 13(b) of the FTC Act.
L’OCCITANE en Provence announced plans for the company to expand its omnichannel beauty and lifestyle brand through the direct selling model. This expansion is part of the company’s North American business transformation and is expected to help the company develop a more personal relationship with prospective customers.