The FTC has sent new penalty offense notices to 670 companies regarding product claims substantiation as of April 13. These notices warned companies, including some direct sellers, that a failure to substantiate product claims could result in civil penalties in excess of $50,000. Check out this article from Kelley Drye to learn more.

Two notable news stories came out of the FTC this week. The first was the resignation of FTC Commissioner Christine Wilson, and the second was the commission's filing of its first-ever charges against a company for review hijacking. Read these two articles to learn more about these developments.

In case you missed it with the start of the new year, the FTC has published inflation-adjusted civil penalty amounts for violations in 2023. As a result, many companies can now expect to pay up to $50,120 per violation.

The FTC has announced that it will hold a public forum on Thursday, February 16 to examine the commission's proposed rule to ban noncompete clauses. For full details, continue reading the full announcement here.

An FTC lawsuit against an investment advising company for deceptive money-making opportunities and earnings claims has resulted in the company having to refund millions of dollars to consumers and also pay a significant civil penalty. This enforcement result is significant as it's the first time that the FTC has collected civil penalties related to the Notice of Penalty Offenses regarding money making opportunities that was sent to hundreds of companies, including direct sellers, last October. Check out this article from JD Supra to learn more.

In an effort to protect workers and competition, the FTC has proposed a new rule that would ban employers from imposing noncompete clauses.

The FTC has announced new compliance guidance for marketers and sellers of health products in order help further combat false or misleading advertising claims for dietary supplements, foods, over-the-counter drugs, and other health-related products.

The FTC issued a press release announcing that it is seeking public comment for potential updates to its Green Guides in order to prevent unfair or deceptive environmental marketing claims.

With the proliferation and popularity of video apps like TikTok and the rise of influencer marketing, social selling is everywhere. Even so, despite the convenience and ingenuity of this brand of marketing, it’s still unclear whether your product will stand out in the endless sea of advertisements that is the current social media scape. Even so, there are new platforms on the horizon that look a little different and seem to beckon the next frontier of social selling.

The FTC has voted to issue an Advanced Notice of Proposed Rulemaking regarding its Business Opportunity Rule. This ANPRM will explore changes and possible expansion of the rule, which could have implications for the direct selling industry.