FTC Targets MLMs with New Proposed Rules
New rules take aim at deceptive earnings claims.
December 2017: A federal judge dismissed the complaint When a complaint is dismissed with prejudice, it cannot be refiled. concluding that plaintiffs did not adequately allege that they suffered an injury.
2016: A false advertising class-action lawsuit was filed against Burberry Limited for allegedly deceptively marketing merchandise sold at outlet stores. The complaint, which was originally filed in 2016 and amended in March 2017, alleges that the store misleadingly compares a regular price to a discounted price in order to make consumers believe they are getting a significant discount. According to the complaint, the merchandise sold at the outlet stores is manufactured for exclusive sale at Burberry outlet stores and the items are never sold at the represented regular price. (Belcastro et al v. Burberry Limited, Case No. 16-cv-1080, S. D. NY.)
For more information about the marketing of price discounts and TINA.org’s coverage of the issue, click here.
For more information about outlet stores, click here.
New rules take aim at deceptive earnings claims.
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