This past week, several consumer protection actions made headlines that affect the retail industry.
Tyson’s Hot Dog TM Suit is Going, Going Gone
Tyson Foods and Hillshire Brands received a thumbs-up from the Third Circuit to continue using “Park’s Finest” for its Ball Park brand hot dogs. Hot dog competitor, Parks LLC, alleged in early 2015 that Tyson’s brand infringed on Parks’ trademark and caused consumer confusion. The Pennsylvania district judge first denied Parks’ request for a preliminary injunction, and later tossed out the claims altogether for lack of substantial evidence of any brand confusion. The Third Circuit affirmed the dismissal, filing its decision under seal.
Paint Companies Agree to Stop Making Unsubstantiated Health and Environmental Claims
Four paint companies that made health and environmental claims about their paint have agreed to settle deceptive advertising charges with the FTC. The FTC alleged that the companies’ claims that the paints were emission- and VOC-free, and safety representations regarding sensitive populations like babies and pregnant women, were unsubstantiated. The FTC orders prohibit the companies – Benjamin Moore & Co., Inc.; ICP Construction Inc.,; YOLO Colorhouse, LLC and Imperial Paints, LLC – from making unsubstantiated health and environmental claims, and require the respondents to instruct retailers to stop using prior marketing materials. In addition, two of the companies are prohibited from misrepresenting the nature of third-party certifications.
Restaurants Seek to Slow NYC’s Enforcement of Menu-Labeling Regulations
In mid-July, several food retailer industry associations filed for a preliminary injunction against New York City to prevent enforcement of regulations requiring calorie and nutrient information on menus. The city announced that it will begin fining non-compliant food providers on August 21, 2017. The plaintiffs oppose what they deem a premature enforcement, arguing that the city is preempted from acting because the FDA’s similar menu-labeling requirements will not go into effect until next May. State and local governments, according to the plaintiffs, cannot enforce a food regulation that is not identical to the FDA’s corresponding regulations, and because New York’s rule has a different enforcement date, it is not identical.
Lab Door Declines to Participate in the Self-Regulatory Process; NAD forwards claims to FTC
The NAD referred to the FTC Lab Door’s claims about its dietary supplement ratings and rankings, including that those ratings are “based on real science” and help consumers find “the best supplements.” Jarrow Formulas, Inc., a dietary supplement maker, challenged Lab Door’s ranking campaign, asking the NAD to review, among others, Lab Door’s representation that it could accurately rank the safety and effectiveness of supplements. The advertiser declined to participate in the self-regulatory process, and the NAD referred the advertising claims to the FTC for review.
Genesis Toys Will Undergo FTC Review for Privacy Concerns
The Children’s Advertising Review Unit ("CARU") referred Genesis Toys to the FTC for review after the toymaker failed to respond to an inquiry regarding its “My Friend Cayla Party Time” doll and accompanying app and website. The CARU asked Genesis to explain whether the app collects personally identifiable information from children users, and whether the doll’s privacy policy complies with privacy protection guidelines and the Children’s Online Privacy Protection Act. Genesis gave no substantive response in the time allotted, and CARU referred Genesis’ advertising to the FTC for review.
PLZ’s Claims to Have the “World’s Best” is Mere Puffery
According to the NAD, PLZ Aeroscience Corporation merely engages in puffery when labeling its “Sprayway” as the “World’s Best Glass Cleaner.” Home-cleaning product competitor S.C. Johnson argued that PLZ’s claim was unsubstantiated. NAD declined to use either PLZ or S.C. Johnson’s consumer perception surveys to evaluate the claim, and instead slipped on its own consumer shoes to determine that “World’s Best” was vague and fanciful, rather than a claim that PLZ was measurably better that its competitors. NAD noted that PLZ’s nostalgic-looking bottle depicting a 1950’s woman, combined with the small font of the disputed phrase, reflected only an “exaggerated display of the advertiser’s pride in its product.”
NAD Recommends Fabletics Show its VIP Member Terms More Clearly
The NAD recommended that JustFab, an online shopping boutique, better disclose the terms of its VIP program in advertising. JustFab’s active-wear branch, Fabletics, advertises steep sales, but, according to the NAD, could improve in adequately alerting potential members that their account will be automatically charged $49.95 per month unless the member logs on to “skip the month.” The NAD recommended placing these deal terms in close proximity to the introductory advertisement offers. Fabletics agreed to comply with the recommendations.
NAD Finds Study Insufficient to Claim That “America Preferred” Sharkninja’s Vacuum
The NAD recommended that Sharkninja refrain from claiming that “America” and “2 out of 3 households” prefer their vacuum cleaner. Sharkninja’s advertisements derived from a four-week household study in which households were given a Shark vacuum and a Dyson Cinetic vacuum for two weeks each. Dyson challenged the sufficiency of the study to support the claim, and the NAD agreed that the study’s methodology and results were insufficient to support the contested claims. Sharkninja agreed to discontinue the advertisement.
Kelly R. Oeltjenbruns is a law student at Washington University School of Law who joined Hunton & Williams as a summer associate in 2017.
- Partner
A leader in the advertising bar with decades of experience both working at and practicing before the Federal Trade Commission (FTC), Phyllis brings a unique advertising and children’s privacy vantage point to our clients ...
Search
Recent Posts
- Ninth Circuit Continues to Clarify When Reference to Back Label is Appropriate in False Advertising Cases
- FTC adopts final “Click-to-Cancel” Rule aimed at recurring subscription services
- From Produce to Insurance Coverage: What Businesses Concerned About Illinois Biometric Information Privacy Act (BIPA) Risks Can Learn From Tony’s Finer Foods
Categories
- Advertising & Marketing
- Bankruptcy
- Class Action
- Competition/Antitrust
- Consumer Protection
- Corporate Governance
- Environmental
- General
- Health Care
- Insurance
- IP
- Labor and Employment
- Mergers & Acquisitions
- Patent Infringement
- Patents
- Privacy & Cybersecurity
- Product Liability
- Real Estate
- Regulatory
- Regulatory
- Technology & E-Commerce
Tags
- 29 C.F.R. § 785.48
- 396-r
- 3D Printer
- 3D Printing
- A. Todd Brown
- A.S. Research (ASR)
- Aaron P. Simpson
- Advertisers
- Advertising
- Advertising Claims
- Advertising Idea
- Agency Guidance
- AI
- AI Interviewing Platforms
- Algorithmic Accountability Act
- Align
- Americans with Disabilities Act
- Americans with Disabilities Act (ADA)
- Andrea DeField
- Ann Marie Buerkle
- Annual Reports
- anti-aging
- Anti-Discrimination
- APEX Agreement
- Arbitration
- Arbitration Agreements
- Arizona
- Arkansas
- Arthritis
- Artificial Intelligence
- Artificial Intelligence (AI)
- Asbestos
- Assembly Bill 51 (AB 51)
- ATDS
- Australia
- Auto-renewals
- automatic telephone dialing system (ATDS)
- Automobile
- Automotive Body Parts Association (ABPA)
- Back to Work Emergency Ordinance
- biased endorsements
- Biden Administration
- Biometric Data
- Biometric Information
- Biometric Information Privacy Act (BIPA)
- BIPA
- Bitcoin
- Blockchain
- Board Diversity Disclosure
- Boards of Directors
- Bonuses
- Braille
- Branding
- Breach
- Breach of Contract
- Business Interruption Loss
- Businessowner’s Insurance
- California
- California Assembly Bill 2011
- California Employment Laws
- California Fair Employment and Housing Act
- California False Claims Act
- California Labor Code
- California Senate Bill 6
- California’s Unfair Competition Law
- CAMS
- Canada
- Cannabis
- CBD
- CBP
- CCPA
- Celebrity Endorsers
- Center for Disease Control (CDC)
- CFIUS
- CGL
- Chatbot
- Children’s Advertising
- Children’s Advertising Review Unit
- Children’s Online Privacy Protection Act (COPPA)
- China
- Christopher J. Dufek
- Christopher W. Hasbrouck
- Christy Kiely
- Class Action
- Class Actions
- Clawback
- Click-to-Cancel
- Climate Change
- clinical trials
- Collective Action
- Colorado
- Commercial General Liability
- Commercial Leasing
- Commodity Futures Trading Commission
- Compliance
- Congress
- Connecticut
- Consent
- Consent Order
- Consumer Data
- Consumer Financial Protection Bureau
- consumer loyalty program
- Consumer Product Safety Act
- Consumer Products
- Consumer Products Safety Commission (CPSC)
- Consumer Protection
- Consumer Review Fairness Act of 2016 (CRFA)
- Consumer Reviews
- Contamination
- Contract Law
- Controlled Substance Act
- Cookware
- COPPA
- Copyright
- Coronavirus/COVID-19
- Corp Fin
- Corporate Governance
- Corporate Sustainability
- Counterfeit Goods
- Counterfeit Goods Seizure Act of 2019
- CPRA
- CPSA
- CPSC
- Crack House Statute
- CRFA
- Cryptocurrency
- CSPA
- Cuba
- Currency
- Customs and Border Protection
- Cyber Coverage
- D&O
- D&O policies
- D. Andrew Quigley
- Damages
- Data Breach
- Davidson
- DEI
- Delaware
- DEP
- Department of Justice
- Department of Labor
- Development Impact Fee
- Digital Assets
- digital currency
- Disclosures
- Distribution
- Division of Corporation Finance
- Dodd-Frank
- DOJ
- DOL
- Duty to Defend
- Duty to Indemnify
- e-liquid products
- Eddie Bauer
- EEOC
- Electric Vehicles
- Eleventh Circuit
- Emily Burkhardt Vicente
- Employee Rights
- Endorsement
- Endorsement Guides
- Endorsement Notice
- Endorsements
- endorser monitoring requirements
- Enforcement
- Environmental Protection Agency
- Environmental Protection Agency (EPA)
- EPA
- Epidemic
- ESG
- ESG Disclosure
- EU Regulation
- European Union
- European Unitary Patent
- EV Charging
- Exceptions
- Exclusions
- Exercise Machines
- Extended Producer Responsibility (EPR)
- FAA
- Fair Labor Standards Act
- Fair Labor Standards Act (FLSA)
- fair use
- False Advertising
- False Advertising Claims
- False Advertising Law
- False Claims Act
- Family Leave Policies
- FCC
- FCRA
- FDA
- Federal Arbitration Act (FAA)
- Federal Communications Commission
- Federal District Court
- Federal Trade Commission
- Federal Trade Commission (FTC)
- FFDCA
- FIFRA
- Fifth Circuit
- Fireworks
- First Amendment
- Fixing America’s Surface Transportation (FAST) Act
- Florida
- Florida House of Representatives (HB 963) and Florida Senate (SB 1670)
- Florida Legislature
- FLSA
- FLSA/Wage & Hour
- food delivery
- Food Safety
- Form 10-K
- Formaldehyde Standards for Composite Wood Products Act of 2010
- fractional interests
- Franchise
- Frederic Chang
- Free Trials
- FTC
- FTC Act
- Gavin Newsom
- GDPR
- General Liability
- Geoffrey B. Fehling
- Georgia
- Gift Cards
- GoodRx
- Gramm-Leach-Bliley (GLB) Act
- Green
- Green Guides
- Greenhouse Gas
- Gun Safety
- Hart-Scott-Rodino
- Hart-Scott-Rodino (HSR)
- hashtag
- Hawaii
- Health Care
- Health Claims
- Hedge Fund
- HIPAA
- hoverboards
- human capital
- Human Rights
- Illinois
- Illinois Artificial Intelligence Video Interview Act (the Illinois Act)
- Illinois Biometric Information Privacy Act (BIPA)
- Indiana
- Influencer Marketing
- Infringement
- initial public offerings (IPOs)
- Injury
- Insurance
- Insurance Loss
- Insurance Provider
- Intellectual Property
- Intellectual Property Licenses in Bankruptcy Act
- Interest Rate
- International
- International Trade Commission
- International Trade Commission (ITC)
- INVISALIGN
- Iowa
- IP
- Ireland
- IT
- ITC
- iTERO
- Katherine Miller
- Kurt A. Powell
- Kurt G. Larkin
- Labeling Rules
- Labor
- Labor Code Private Attorneys General Act of 2004 (PAGA)
- Labor Organizing
- Labor Unions
- Land Use
- Landlord
- Latin America
- Lautenberg Act
- Lawsuit Reform Alliance of New York (LRANY)
- Lead
- Lease
- Legislation
- Leveraged Loans
- Liability Insurance Policy
- Liberty Insurance Corporation
- Liberty Mutual Fire Insurance Company
- LIBOR Discontinuation
- liquidity
- Litigation
- Live Chat
- Louisiana
- M&A
- Made in the USA
- Made in USA
- MagicSleeve
- Magnuson-Moss Warranty Act
- Magnuson-Moss Warranty Act (MMWA)
- Maine
- Malcolm C. Weiss
- Manufacturing
- Marketing Claims
- Maryland
- Massachusetts
- Matthew T. McLellan
- Maya M. Eckstein
- MD&A
- Medtail
- Membership cancellation
- Metaverse
- MeToo Movement
- Mexico
- Michael J. Mueller
- Michael S. Levine
- Minimum Wage
- Minnesota
- Minnesota Pollution Control Agency (MPCA)
- Misclassification
- Mislabeling
- Mission Product Holdings
- Missouri
- Mobile
- Mobile App
- Multi-Level Marketing Program (MLM)
- NAA
- NAD
- NASA
- National Advertising Division
- National Advertising Division (NAD)
- National Advertising Review Board
- National Products Inc.
- National Retail Federation
- Natural Disaster
- Nebraska
- Neil K. Gilman
- Network Outage
- Nevada
- New Jersey
- New York
- NHTSA
- NIL rights
- Ninth Circuit
- NLRA
- NLRB
- no-action request
- non-fungible token (NFT)
- North Carolina
- Obama Administration
- Occupational Safety and Health Administration (OSHA)
- Occurrence
- Office of Labor Standards Enforcement
- Ohio
- Oklahoma
- Online Retailer
- online reviews
- Opioids
- Oregon
- Overboarding
- Overtime
- Overtime Exemptions
- Ownership
- Packaging
- PAGA
- Pandemic
- Patent
- Patent Infringement
- Patents
- Paul T. Moura
- Pay Ratio
- pay-to-play rankings
- Penalty
- Pennsylvania
- Personal and Advertising Injury
- Personal Data
- Personal Information
- Personally Identifiable Information
- Pesticides
- PFAS
- Physical Loss or Damage
- Policy
- price gouging
- Privacy
- Privacy Guidelines
- Privacy Policy
- Privacy Protections
- Prohibition on Sale
- Property Insurance
- Property Rights
- Proposition 65
- Proxy Access
- proxy materials
- Proxy Statements
- Public Companies
- Purdue Pharma
- Randall S. Parks
- Ransomware
- real estate
- Recall
- Recalls
- Regulation
- Regulation S-K
- Restaurants
- Restrictive Covenants
- Retail
- Retail Development
- Retail Industry Leaders Association
- Retail Litigation Center
- Rounding
- Rulemaking
- Ryan A. Glasgow
- Sales Tax
- Scott H. Kimpel
- SD8 coins
- SEC
- SEC Disclosure
- Second Circuit
- Section 337
- Section 365
- Secure and Fair Enforcement Banking Act of 2019 (“SAFE Banking Act”)
- Securities
- Securities and Exchange Commission
- Securities and Exchange Commission (SEC)
- security checks
- Senate
- Senate Data Handling Report
- Sergio F. Oehninger
- Service Contract Act (SCA)
- Service Provider
- SHARE
- Shareholder
- Shareholder Proposals
- Slogan
- Smart Contracts
- Social Media
- Social Media Influencers
- Software
- South Carolina
- South Dakota
- Special purpose acquisition companies (SPACs)
- State Attorneys General
- Store Closures
- Subscription Services
- Substantiation
- Substantiation Notice
- Supplier
- Supply Chain
- Supply contracts
- Supreme Court
- Sustainability
- Syed S. Ahmad
- Synovia
- Targeted Advertising
- Tax
- TCCWNA
- TCPA
- Technology
- Telemarketing
- Telephone Consumer Protection Act
- Telephone Consumer Protection Act (TCPA)
- Tempnology LLC
- Tenant
- Tennessee
- Terms and Conditions
- Texas
- the Fair Credit Reporting Act (FCRA)
- Thomas R. Waskom
- Title VII
- tokenization
- tokens
- Toxic Chemicals
- Toxic Substances Control Act
- Toxic Substances Control Act (TSCA)
- Trade Dress
- Trademark
- Trademark Infringement
- Trademark Trial and Appeal Board (TTAB)
- TransUnion
- Travel
- Trump Administration
- TSCA
- TSCA Title VI
- U.S. Department of Justice
- U.S. Department of Labor
- U.S. Food and Drug Administration
- U.S. House of Representatives
- U.S. Patent and Trademark Office
- Umbrella Liability
- Union
- Union Organizing
- United Specialty Insurance Company
- Unmanned Aircraft
- Unruh Civil Rights Act
- UPSTO
- US Chamber of Commerce
- US Customs and Border Protection (CBP)
- US Environmental Protection Agency (EPA)
- US International Trade Commission (ITC)
- US Origin Claims
- US Patent and Trademark Office
- US Patent and Trademark Office (USPTO)
- US Supreme Court
- USDA
- USPTO
- Utah
- Varidesk
- Vermont
- Virginia
- volatile organic compound (VOC) emissions
- W. Jeffery Edwards
- Wage and Hour
- Walter J. Andrews
- Warranties
- Warranty
- Washington
- Washington DC
- Web Accessibility
- Weight Loss
- Wiretapping
- World Health Organization (WHO)
- Wyoming
- Year In Review
- Zoning Regulations
Authors
- Gary A. Abelev
- Alexander Abramenko
- Yaniel Abreu
- Syed S. Ahmad
- Nancy B. Beck, PhD, DABT
- Brandon Bell
- Fawaz A. Bham
- Michael J. “Jack” Bisceglia
- Jeremy S. Boczko
- Brian J. Bosworth
- Shannon S. Broome
- A. Todd Brown, Sr.
- Samuel L. Brown
- Tyler P. Brown
- Melinda Brunger
- Jimmy Bui
- M. Brett Burns
- Olivia G. Bushman
- Matthew J. Calvert
- Grant H. Cokeley
- Abigail Contreras
- Alexandra B. Cunningham
- Merideth Snow Daly
- Javier De Luna
- Timothy G. Decker
- Andrea DeField
- John J. Delionado
- Stephen P. Demm
- Mayme Donohue
- Nicholas Drews
- Christopher J. Dufek
- Robert T. Dumbacher
- M. Kaylan Dunn
- Frederick R. Eames
- Maya M. Eckstein
- Tara L. Elgie
- Clare Ellis
- Latosha M. Ellis
- Juan C. Enjamio
- Kelly L. Faglioni
- Ozzie A. Farres
- Geoffrey B. Fehling
- Hannah Flint
- Erin F. Fonté
- Kevin E. Gaunt
- Andrew G. Geyer
- Armin Ghiam
- Neil K. Gilman
- Ryan A. Glasgow
- Tonya M. Gray
- Aidan Gross
- Elisabeth R. Gunther
- Steven M. Haas
- Kevin Hahm
- Jason W. Harbour
- Jeffrey L. Harvey
- Christopher W. Hasbrouck
- Eileen Henderson
- Gregory G. Hesse
- Kirk A. Hornbeck
- Rachel E. Hudgins
- Sarah Ingles
- Jamie Zysk Isani
- Nicole R. Johnson
- Roland M. Juarez
- Suzan Kern
- Jason J. Kim
- Scott H. Kimpel
- Andrew S. Koelz
- Leslie W. Kostyshak
- Perie Reiko Koyama
- Torsten M. Kracht
- Brad Kuntz
- Kurt G. Larkin
- Tyler S. Laughinghouse
- Matthew Z. Leopold
- Michael S. Levine
- Ashley Lewis
- Abigail M. Lyle
- Maeve Malik
- Phyllis H. Marcus
- Eric R. Markus
- Brandon Marvisi
- John Gary Maynard, III
- Gray Moeller
- Reilly C. Moore
- Michael D. Morfey
- Ann Marie Mortimer
- Michael J. Mueller
- J. Drei Munar
- Marcus E. Nelson
- Matthew Nigriny
- Justin F. Paget
- Christopher M. Pardo
- Randall S. Parks
- Katherine C. Pickens
- Gregory L. Porter
- Kurt A. Powell
- Robert T. Quackenboss
- D. Andrew Quigley
- Michael Reed
- Shawn Patrick Regan
- Jonathan D. Reichman
- Kelli Regan Rice
- Patrick L. Robson
- Amber M. Rogers
- Natalia San Juan
- Katherine P. Sandberg
- Arthur E. Schmalz
- Daniel G. Shanley
- Madison W. Sherrill
- Kevin V. Small
- J.R. Smith
- Bennett Sooy
- Daniel Stefany
- Katherine Tanzola
- Javaneh S. Tarter
- Jessica N. Vara
- Emily Burkhardt Vicente
- Mark R. Vowell
- Gregory R. Wall
- Thomas R. Waskom
- Malcolm C. Weiss
- Holly H. Williamson
- Samuel Wolff
- Steven L. Wood
- Jingyi “Alice” Yao
- Jessica G. Yeshman