June 15, 2023

Advertising Law News and Analysis

2 min

FCC Proposes Codifying New TCPA Consent Rules in Notice of Proposed Rulemaking

The Federal Communications Commission (FCC) has issued a Notice of Proposed Rulemaking intending to strengthen consumers' ability to revoke consent to receive both robocalls and robotexts, in addition to strengthening callers'/texters' obligations to honor such requests in a timely manner.

Increasing Regulatory Scrutiny for the Merchant of Record Model

The Federal Trade Commission (FTC) recently announced a settlement with a group of related companies and two of their officers that used a merchant of record (MoR) model to facilitate sales for merchants. According to the FTC, the MoR businesses violated the law by assisting and facilitating fraudulent telemarketing sales of tech support services and laundering credit card charges through the defendants’ own merchant processing accounts.

Court Provides Guidance on Social Influencer Advertising in Ethereum Max Crypto Lawsuit

This week, a federal court in California issued an 80-page opinion that painstakingly walks through claims made against several celebrities who had promoted the Ethereum Max (EMAX) cryptocurrency, also called tokens.

Florida Limits Its Telemarketing Law, but Other State Laws Continue to Gain Traction

Last month, Florida Gov. Ron DeSantis signed the much-anticipated amendment to the Florida Telemarketing Solicitation Act (FTSA) into law, significantly limiting the ability of private plaintiffs to file telemarketing lawsuits under the FTSA. While this will undoubtedly stem the tide of lawsuits under Florida’s law, class action plaintiffs’ attorneys have wasted no time in finding new states to file suit.

FCC Levies $5 Million Fine for Political Calling Campaign That Violated the TCPA

As part of a broader campaign to go after “robocall” violations, the FCC has announced a $5,134,500 fine against a company and its owners for making 1,141 robocalls in 2020 that violated the Telephone Consumer Protection Act (TCPA). The company told recipients of the robocalls that if they voted by mail, their personal information would “be part of a public database that will be used by police departments to track down old warrants and be used by credit card companies to collect outstanding debts.” The case is a strong reminder that political calling campaigns are also subject to the TCPA.

Florida Adopts Changes to the Florida Telephone Solicitation Act

Last month, Florida governor Ron DeSantis signed into law amendments to the FTSA that scale back the scope and reach of the statute, bringing it in line with federal TCPA standards and providing needed comfort to good faith marketing companies operating in Florida.