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Doctor who?

Lesley Fair
Short of jumping into the Tardis to consult with intergalactic medical experts, how can consumers separate the hope from the hype when evaluating claims for health products? That’s where SmartClick Media’s “Doctor Trusted†website certification program claimed to help. But an FTC lawsuit alleges that the “Doctor Trusted†seal and the “Doctor Trusted.org Consumer Protection Certificate†weren’t to be trusted. The settlement also sounds a warning...

Practice Fusion case suggests 6 health privacy pointers

Lesley Fair
Combine two of the most talked-about consumer protection topics – health privacy and consumer-generated online content – and what do you get? A proposed FTC settlement with Practice Fusion, the largest cloud-based electronic health records company in the country, and six compliance tips for others in the industry. One of San Francisco-based Practice Fusion’s primary products is an electronic records system for outpatient providers. In 2009, the...

Wiring your HSR filing fee just got easier

Premerger Notification Office Staff, Bureau of Competition
The PNO handles Hart-Scott-Rodino Premerger Notification Filings for well over a thousand transactions each year. Each transaction requires the acquiring person to pay an HSR filing fee, which must be paid within two days of filing an HSR Form in order for the HSR waiting period to begin. If payment isn’t received on time, the PNO will "bounce" the filing as incomplete and delay the start of the waiting period. The FTC has recently made some...

Corporate or Non-Corporate? A New Approach To Classifying Foreign Entities Under HSR Rules

Premerger Notification Staff, Bureau of Competition
Under the Hart-Scott-Rodino (HSR) Act and Rules, determining whether a U.S. entity is a corporation or a non-corporate entity (like an LLC or LP) is relatively clear. For foreign entities, the answer is often not so clear. Yet this determination can have important implications for HSR reportability and the applicability of certain exemptions ( e.g., 16 CFR §§ 802.9, 802.51). The Premerger Notification Office (PNO) often receives calls asking...

What’s the interest in partial interests?

Mike Moiseyev, Bureau of Competition
Most mergers reviewed by the Commission involve the acquisition of an entire company, or an identifiable set of assets – that is, the buyer seeks to control the assets of the seller through an acquisition. But sometimes companies acquire only a partial interest in a competitor – and such an interest, even a minority interest, can raise antitrust concerns, too. Last week’s final order in Hikma Pharmaceuticals/Roxane Laboratories is an example...

7 quotes of note from the Amazon decision

Lesley Fair
In Amazon’s Appstore, many apps geared toward kids prompted them to use fictitious currency, like a “boatload of doughnuts†or a “can of stars,†as part of game play. But a federal district court recently agreed with the FTC that Amazon’s practice of charging cold, hard cash for those imaginary items and billing parents and account holders without their express informed consent violates Section 5 of the FTC Act. The Court granted summary judgment...

Judge orders $13.4 million in contempt action challenging BlueHippo hype

Lesley Fair
Animation fans remember the ballet-dancing pink hippos in Fantasia. In Egyptian mythology, the god of disorder was depicted as a red hippo. And many consumers – especially those already in financial distress – were drawn in by national TV and radio ads for BlueHippo, a company that claimed to finance the purchase of computers and other electronics for people with “less than perfect credit, bad credit, no credit.†A $13.4 million ruling by a...

Deceptive “safe†indoor tanning claims burn consumers

Lesley Fair
“Slash your risk of cancer†– by using a tanning bed? That claim caught our attention, too. A settlement with Dr. Joseph Mercola and two Illinois-based companies includes $5.3 million in refunds for people who bought Mercola’s indoor tanning systems. The case also offers a reminder to advertisers to consider established science in crafting your ad claims and a compliance message if your marketing materials feature endorsements. Public health...

Are your “all natural†claims all accurate?

Lesley Fair
If companies market their products as “all natural†or “100% natural,†consumers have a right to take them at their word. That’s the message of four proposed FTC settlements and one just-issued administrative complaint challenging the allegedly deceptive use of those phrases in ads for skincare products, shampoos and styling products, and sunscreens. According to the FTC, the companies pitched their products as “all natural†or “100% natural,â€...

Quo Vadis Post-Actavis?

Jamie Towey, Bureau of Competition
For more than 15 years, one of the FTC’s top priorities has been to put an end to anticompetitive reverse-payment settlements between brand-name drug makers and their potential generic rivals. In our view, these settlements are anticompetitive agreements not to compete in which the brand pays the generic to refrain from marketing a lower cost, generic product for a period of time. FTC economists estimate that these agreements cost consumers...