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… Last week the U.S. Court of Appeals for the Second Circuit upheld a lower court ruling against an affiliate network for deceptively promoting the LeanSpa weight-loss supplement (FTC v. LeadClick Media, LLC). PMA member Richard Newman first alerted our members to this case last May when the U.S. District Court for the District of Connecticut…
… was liable under Section 5 of the FTC Act, and 2) whether the network was immune under Section 230 of the Communications Decency Act (CDA). Liability Under The FTC Act The FTC had to prove that 1) a representation, omission, or practice, 2) was likely to mislead consumers acting reasonably under the circumstances, and 3) the representation, omission…
PACEDm.com On September 23, 2016, a federal appeals court affirmed a lower court ruling that an online advertiser can be held liable for deceptive marketing content that it did not develop. By way of background, the LeadClick affiliate network connected third-party merchants with its affiliates to promote the former’s products.