Author Archives: Allison Zieve

FTC Charges Gerber with Falsely Claiming That Its Baby Formula Protects Infants from Developing Allergies

Last week, the Federal Trade Commission sued Gerber Products Co. in federal district court in New Jersey, alleging that the company deceptively advertised that feeding infants Good Start Gentle formula would prevent or reduce the risk that the babies would develop allergies. The complaint also alleges that Gerber falsely advertised Good Start Gentle’s health claims […]

M&T Bank Agrees to Refund $2.9 Million After Deceptive Advertising

The Consumer Financial Protection Bureau (CFPB) announced yesterday action against M&T Bank for deceptively advertising free checking accounts. As explained in the CFPB press release: The CFPB found that M&T lured in consumers with promises of “no strings attached” free checking, without disclosing key eligibility requirements. When consumers failed to meet the requirements, M&T automatically […]

Congressmen Question Huge Jumps in Generic Drug Prices

Blogging for The Wall Street Journal, Ed Silverman reported yesterday: In response to recent reports that the cost of some generic drugs has been unexpectedly rising at a rapid clip, two members of Congress have launched an investigation and asked 14 generic drug makers to providing data about what the lawmakers called the “escalating prices they […]

FTC Settles With Two Online Companies That Improperly Collected Kids’ Information

In more FTC news, the agency announced yesterday that online review site Yelp, Inc., and mobile app developer TinyCo, Inc., agreed to settle separate FTC charges "that they improperly collected children’s information in violation of the Children’s Online Privacy Protection Act, or COPPA, Rule." Under the settlements, Yelp will pay a $450,000 civil penalty, and […]

CFPB Proposes Regulation of Non-bank Auto Finance Companies

The CFPB announced yesterday that it is proposing to oversee larger non-bank auto finance companies, which would be a first at the federal level. At the same time, the CFPB released a report detailing auto-lending discrimination at banks. "The report highlights that the Bureau’s supervisory actions against banks will result in about $56 million in […]

Bank of America to Pay $16.65 Billion to Settle Fraud Charges

The Department of Justice has announced a $16.65 billion settlement with Bank of America in connection with charges of financial fraud leading up to and during the financial crisis. According to the DOJ press statement, the settlement is "the largest civil settlement with a single entity in American history." The settlement will "resolve federal and […]