Category: Compliance

Continuing its recent enforcement trend, the FTC took action against national retailers Kohls and Walmart for deceptive environmental claims by utilizing its Penalty Offense Authority. The commission has not only asked the court to order both retailers to stop making deceptive green claims but also pay the largest-ever civil penalty in this area.

The FDA and FTC continue their crack down on COVID-19 related product claims. According to an article from The National Law Review, these two regulatory bodies have now jointly issued warning letters regarding such claims to multiple CBD companies.

Mark your calendars for Thursday, May 5 at 12 pm Central and register now for the next Factor Forum Webinar - What To Say When You Can't Say Anything: Discussing New Approaches to Messaging for the Field.

As we move toward the end of the first quarter of 2022, the FTC is not waning in its enforcement when it comes to misleading COVID-19 claims. In this recent article from Winston & Strawn, the commission's focus in this area is noted and the need for direct sales companies to implement systems for identifying misleading claims is emphasized.

The Direct Selling Association will be holding its next Direct Selling Compliance Professional Certification Program beginning on April 19 and the Momentum Factor team will again be leading the compliance function and claims module.

Continuing to up its enforcement game, the Federal Trade Commission (FTC) issued a proposed order to stop two companies from continuing to promote and sell supplements after using baseless health claims. While this order is not finalized and does not include any direct sellers, it is yet another regulatory action to watch.

The first 2022 edition of Momentum Factor's Social Selling Update Quarterly Newsletter is hitting inboxes today! Don't miss out on all of the professional news and insights for the direct selling executive.

With no significant movement on 13(b) legislation, the FTC is now looking for new ways to hold businesses accountable for deceptive claims according to this article from Kelley Drye.

The FTC has announced a tentative agenda for its Open Commission Meeting on February 17 and one of the main topics is of particular interest to the direct selling industry. Amond other items, the commission is planning to discuss and vote on the Advanced Notice of Proposed Rulemaking Concerning Earnings Claims.

By popular demand, the Direct Selling Legal & Compliance Summit is returning to the W Austin Hotel this month (February 16-18)! We are so excited to host everyone for this important event and can't wait to meet up in Austin.