FTC Ups Consumer Review Fairness Act Enforcement
Seller beware | Consumer Protection Insights for Industry
by Neil Rosenbaum
5y ago
The FTC recently announced three administrative enforcement actions under the Consumer Review Fairness Act (“CRFA”), the agency’s first actions alleging solely CRFA violations.  Passed by Congress in 2016, the CRFA prohibits form contracts that limit a consumer’s ability to communicate his or her assessment of a company’s products or services.  The CRFA also prohibits penalizing customers for such activity.  In the proposed consent orders settling the cases, each company is prohibited from using review-limiting contract terms in the future and is required to notify consumers that these terms i ..read more
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For the First Time, Executives Criminally Charged for Knowing and Willful Reporting Violations of the CPSA
Seller beware | Consumer Protection Insights for Industry
by Neil Rosenbaum
5y ago
On March 29, 2019, the Department of Justice announced a groundbreaking federal grand jury indictment of two California executives for conspiring to knowingly and willfully violate the reporting requirements under Section 15 of the Consumer Product Safety Act (CPSA).  The executives, Simon Chu and Charley Loh, are part owners and the Chief Administrative Officer and Chief Executive Officer, respectively, of two undisclosed companies that imported and sold Chinese dehumidifiers in the U.S.  According to the indictment, Chu and Loh conspired to knowingly and willfully fail to immediately report ..read more
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