On May 5, the Federal Trade Commission obtained court approval of a settlement against CardFlex, Inc. and its CEO and President, Andrew Phillips, and Executive Vice President of Operations, John Blaugrund. The lawsuit, captioned FTC v. CardFlex Inc. et al., No. 3:14-cv-00397 (D. Nev.), involved allegations that the defendants operated a $26 million credit
FTC and New York Attorney General Erich Schneiderman Announce June Meeting with Debt Collection Industry
On April 23, the Federal Trade Commission and the Office of the New York Attorney General announced they will host a “dialogue” to discuss consumer protection issues with the debt collection industry, including recent enforcement actions, consumer complaints about debt collection practices, and compliance issues.
The first “Debt Collection Dialogue” in Buffalo, New York will
Busted: FTC Speaks About Auto Dealer Fraud and “Operation Ruse Control”
On March 26, the Federal Trade Commission conducted a media call regarding the completion of “Operation Ruse Control,” a joint effort targeting deceptive auto dealer practices involving approximately 252 enforcement actions executed by the FTC and approximately 30 other government agencies. During the media call, two individuals – Jessica Rich, Director of the
FTC Settles With Two Debt Sellers Requiring Them to Strengthen Security Protocols
After alleging in two separate cases that two debt portfolio brokers – Cornerstone and Co. LLC and Bayview Solutions LLC – were exposing too much personal information about consumer-debtors, the Federal Trade Commission announced that the parties have reached final settlements.
Specifically, in the cases of Federal Trade Commission v. Cornerstone and Company, LLC, et
Ten State Attorneys General Join FTC Action Against Robocallers Who Combined Survey with Marketing Pitch in Violation of Telemarketing Rules
Ten state attorneys general and the Federal Trade Commission this month announced that they had secured consent judgments against a number of companies that had engaged in a telemarketing campaign involving billions of robocalls.
The regulators alleged that the robocalls incorporated sales pitches for cruise vacations with political surveys.
Although political surveys are not barred
White House Proposes Data Security Legislation
On February 27, the White House proposed a bill that would provide consumers with a “Privacy Bill of Rights” as well as provide an enforcement mechanism for data breach enforcement actions by the FTC and state attorneys general. The language used is similar to a proposal by the administration in 2012 which failed to gain
FTC Lawsuit Against Debt Relief Servicers Carries Lessons for Structuring Fees Under Telemarketing Sales Rule
On February 18, the Federal Trade Commission filed a complaint against PSC Administrative, LLC and Coastal Acquisitions, LLC seeking injunctive and equitable relief stemming from the defendants’ acts or practices in violation of, among other things, the FTC’s Telemarketing Sales Rule (TSR).
The defendants primarily market debt relief services via radio and Internet advertisements to
FTC’s Annual Summary Highlights Focus on Data Security
In order to assist the Consumer Financial Protection Bureau with its statutory obligation to report annually to Congress concerning the federal government’s efforts to implement the Fair Debt Collection Practices Act, the Federal Trade Commission submitted a summary of its own enforcement activities during 2014.
The FTC’s summary highlights not only the “aggressive law enforcement
FTC Announces Settlements in First Cases Against Auto Title Lenders
The Federal Trade Commission announced on January 30 that it has reached settlements with two auto title lenders operating in Georgia and Alabama. The FTC had alleged that the lenders advertised certain offers without disclosing specific conditions required to receive the advertised rate, and failed to disclose that finance charges may rise after an introductory
FTC Staff Report Addresses “Internet of Things”
The Federal Trade Commission has released a Staff Report addressing the “Internet of Things” – a phrase referring to everyday items that are able to connect to the internet and transmit data. The Internet of Things includes over 25 billion connected devices worldwide, including fitness trackers, connected appliances, and more. Estimates are that by 2020,