Fifth Circuit: FDCA doesn’t preempt mislabeled cupcake claim

In 2018, C.S., a seven-year old with various food allergies, attended a family friend’s birthday party. The friend’s parent had purchased a cupcake at Whole Foods that had been labeled “vegan.” But that cupcake was not actually vegan, C.S.’s parents now allege, and C.S. suffered an allergic reaction, which has now led to “a number […]

David Horton article: Forced Robot Arbitration

David Horton of California, Davis has written Forced Robot Arbitration, forthcoming in 109 Cornell Law Review (2023). Here’s the abstract: Recently, advances in artificial intelligence (AI) have sparked interest in a topic that sounds like science fiction: robot judges. Researchers have harnessed AI to build programs that can predict the outcome of legal disputes. Some […]

FTC approves order against company for hijacking online product reviews

The Federal Trade Commission has approved a final consent order against The Bountiful Company for abusing a feature of Amazon.com to deceive consumers into thinking that its newly introduced supplements had more product ratings and reviews, higher average ratings, and “#1 Best Seller” and “Amazon’s Choice” badges. Details, including a link to the complaint, are […]

Whither Arbitration? Conservative Competitive Enterprise Institute Attorney Calls for Jury Trials in Consumer Protection Cases

I’m finally getting around to listening to the House Financial Services Committee’s hearing March 9, 2023 on the CFPB. One of the witnesses at the hearing was Devin Watkins, an attorney at the conservative Competitive Enterprise Institute. Mr. Watkins’ testimony includes the following:  The Seventh Amendment of the U.S. Constitution mandates that “In Suits at […]

Industry Lawyers Warn Against Eliminating the CFPB

Joann Needleman and Manny Newburger have an essay in the American Banker, In the fight over the CFPB, everyone could end up a loser. It’s behind a paywall but accessible on Lexis. You can read more about Needleman and Newburger at their linked bios. They write: Opponents of the CFPB risk throwing out the good with […]

Consumers Outside Zone of Interests of Lanham Act, Says Sixth Circuit

Can consumers bring a Lanham Act claim for false advertising against a company that deceived them? In an opinion issued yesterday, the Sixth Circuit said no. Applying the Supreme Court’s 2014 Lexmark decision, the court held that only those who suffer an injury to a commercial interest are within the zone of interest of the […]

CFPB takes second stab at defining “abusive” conduct

The public comment period closed yesterday on the Consumer Financial Protection Bureau’s proposed rule to create a public registry for terms and conditions in non-negotiable nonbank contracts that limit consumer rights and protections. The proposal recognized a certain powerlessness of consumers who are forced to surrender critical rights when seeking out essential financial products. Part […]

Dickinson Article: Privately Policing Dark Patterns

Gregory M. Dickinson of St. Thomas has written Privately Policing Dark Patterns, 57 Ga. L. Rev. (2023 Forthcoming). Here is the abstract: Lawmakers around the country are crafting new laws to target “dark patterns”—user interface designs that trick or coerce users into enabling cell phone location tracking, sharing browsing data, initiating automatic billing, or making […]