I am certainly not the only person who has been lured into purchasing a too-good-to-be-true, deeply discounted product online, only to learn that what I actually purchased was a subscription to buy more stuff. Kate Hudson’s athletic wear company Fabletics hooked me about a year ago when I saw a cute workout outfit advertised on social media for only $25.00. I purchased the outfit on Fabletics’ website,… More
Tag Archives: NAD
Advertising can take many forms, including statements about a company’s products on websites and social media platforms. A wrong step can result in serious consequences, including legal challenges from competitors, consumers, the Federal Trade Commission, and other regulatory agencies.
Watch this webinar to learn how you can protect your company against legal challenges based on its advertising practices. You will also learn what options are available if your competitors are making false or misleading statements in their advertisements.… More
Earth Day is coming up on April 22, which means that a lot of consumers are going to be reminded to think green, and to buy green. What if your company is looking to access this vast market of environmentally-minded shoppers, but your product or service isn’t really that environmentally conscious? Can you just go ahead and label yourself “Green” anyway? Who’s gonna notice?
If you’re interested in garbage, the crass objectification of male celebrities, or both – or if you consider the two roughly equivalent – have I got a false advertising case for you! Despite their “Don’t Get Mad; Get Glad” tagline, the makers of Glad trash bags got pretty mad at a recent advertising campaign launched by their competitor, Hefty. So mad, in fact, that they filed a complaint with the National Advertising Division (NAD) of the Better Business Bureau.… More
A recent decision resolving an advertising dispute between Campbell Soup Company and Tropicana Products, Inc. reinforced what we know to be empirically true: simply claiming to be the “best” really doesn’t mean much at all. See Tropicana Products, Inc., NAD Case Report No. 5610 (July 3, 2013). It’s usually just hyperbole, a tool in the advertiser’s toolbox too vague to put a competitor at a disadvantage,… More
“Raw” Row: NAD Declines Recommending Discontinuance of IN THE RAW Product Claim for Stevia Sweetener
Cargill Health & Nutrition, the maker of TRUVIA sweeteners, recently brought a false advertising challenge against its competitor Cumberland Packing Corp. over Cumberland’s use of the product name STEVIA IN THE RAW. See Cumberland Packing Corp., NAD Case Report No. 5525 (November 29, 2012). Cargill brought the challenge before the National Advertising Division, a self-regulatory program administered by the Better Business Bureau. … More
A federal district court in Massachusetts was recently sucked into a false advertising dispute between manufacturers of competing vacuums and steam cleaners over alleged violations of Section 43(a) of the Lanham Act. The plaintiff, Euro-Pro Operating LLC (“Euro-Pro”), which manufactures the popular “Shark” steam mop and “Shark Navigator” vacuum, filed suit against the defendant, TTI Floor Care North America (“TTI”), alleging false advertising and unfair competition in connection with certain superiority claims made in infomercials for TTI’s “TwinTank” steam mop and “WindTunnel” vacuum cleaner.… More
False advertising is an expensive business model. In a recent case involving infomercials for coral calcium supplements which allegedly cure cancer (among other things), the First Circuit affirmed an order requiring the defendants to disgorge nearly $50 million in gross revenues — not just profits — on the ground that the “consumer loss” was an appropriate measure of damages.
But false advertising can be expensive for plaintiffs,… More