A coalition of advocacy groups has filed a complaint with the Federal Trade Commission (FTC) asserting that Smithfield Foods misleadingly markets its pork products as "produced in an environmentally responsible and sustainable way" despite the company's production methods allegedly falling "far below the level of environmental sustainability that a reasonable consumer would expect based on the company’s representations." The complaint further argues that "Smithfield touts its use of anaerobic digesters to produce methane from its pollution-laden waste as a sustainable innovation and solution to Smithfield’s climate damaging production practices—a falsehood that capitalizes on an issue of growing importance to consumers." The petitioners include Food & Water Watch, Socially Responsible Agriculture Project and organizations from Iowa, Missouri and Pennsylvania.
Category Archives Federal Trade Commission
The U.S. Food and Drug Administration (FDA) and Federal Trade Commission (FTC) have announced a joint warning letter sent to Rooted Apothecary LLC focused on the potential benefits that the company claimed its cannabidiol (CBD) products could provide. "The Agency continues to be concerned about the proliferation of products asserting to contain CBD that are marketed for therapeutic or medical uses without having been reviewed for safety and effectiveness by the FDA as is required by law and to protect the public health," the letter states. "There are many unanswered questions about the science, safety, effectiveness and quality of unapproved products containing CBD. Without this information, we are unable to ensure that these products will not cause harm to people who use them." The agencies warn that Rooted Apothecary is marketing unapproved drugs because it advertises its CBD-infused products as helping to diagnose, cure, mitigate, treat or prevent a number…
The U.S. Federal Trade Commission has announced that it sent warning letters to three companies selling "oils, tinctures, capsules, 'gummies,' and creams containing cannabidiol (CBD), a chemical compound derived from the cannabis plant." The announcement notes that the letters warn the companies—which have not been identified—that "it is illegal to advertise that a product can prevent, treat, or cure human disease without competent and reliable scientific evidence to support such claims." The agency states that each company marketed its CBD products as able to "treat or cure serious diseases and health conditions," such as relieving "even the most agonizing pain" or treating autism, anorexia, schizophrenia, Alzheimer's disease, traumatic brain injuries and other conditions. "In the letters, the FTC urges the companies to review all claims made for their products, including consumer testimonials, to ensure they are supported by competent and reliable scientific evidence. The letters also warn that selling CBD…
The U.S. Federal Trade Commission (FTC) will hold a public workshop to consider "Made in USA" product claims on September 26, 2019. In advance, FTC is requesting comments on several questions, including: (i) "What rationales underlie consumer preferences for products made in USA?"; (ii) "When consumers see product advertisements or labels stating or implying that products are 'Made in USA' or the equivalent, what amount of U.S. parts and labor do they assume are in the products?"; and (iii) "Do firms that advertise their products as 'Made in USA' charge higher prices than their competitors whose products are not advertised in this way?"
Leaf Brands, which manufactures and sells Hydrox cookies, has reportedly filed a complaint with the Federal Trade Commission (FTC) alleging anti-competitive practices by Mondelez, which produces Oreos. In a social media post, Leaf Brands alleges that Mondelez has been "undertaking a national program to damage our brand and stop us from competing," including "trying to make it hard to find our cookies in stores nationally, in hopes of lowering sales volume and having us discontinued." Leaf Brands alleges that when Mondelez employees stock grocery stores shelves, they move Hydrox cookies to less noticeable areas on the shelf. "We hope the Federal Trade Commission will start the investigation very soon," the post states. "We understand there is already case law on this issue and we hope to utilize it in our case against Mondelez."
U.S. Rep. Rosa DeLauro (D-Conn.) has sent a letter asking the U.S. Government Accountability Office (GAO) to examine the regulatory framework for cell-cultured food products. According to the letter, such food products include lab-grown meat and “animal-free” milk that can be produced from fermented yeast and proteins in cow’s milk. DeLauro requested a “comprehensive review” of the unique challenges in safety oversight, the regulations and labeling requirements that may already exist, and a determination on whether federal agencies have begun preparing for the product’s commercialization. “While not yet commercially available, the potential introduction of this new type of product into the nation’s food supply and economy raises many important questions,” DeLauro said in the letter. “To date, it remains unclear exactly how cell-cultured food products should be regulated . . . More information is needed for Congress to address this emerging sector in the United States and to ensure it…
The Federal Trade Commission’s (FTC’s) second public forum targeting the privacy and security implications of emerging technologies will cover topics that include (i) the Internet of Things and big data, (ii) mobile privacy, (iii) consumer privacy expectations, (iv) online behavioral advertising, and (v) information security. Slated for January 12, 2017, at the FTC’s Constitution Center in Washington, D.C., the event will also be available via live webcast. Details about the agenda and a pre-conference networking event are available at FTC's website. See FTC News Release, December 16, 2016. Issue 626
The Federal Trade Commission (FTC) has approved a modified final order settling charges that the $28-billion merger of Delhaize Group NV/SA and Koninklijke Ahold N.V. would be anticompetitive. In re Koninklije Ahold N.V., No. C-4588 (F.T.C., order entered October 14, 2016). According to the modified order, the companies must divest 81 stores—including locations of Giant, Hannaford, Martin’s, Food Lion and Stop & Shop—to seven companies before merging. Issue 621
The Humane Society of the United States (HSUS) has reportedly filed a complaint with the U.S. Federal Trade Commission (FTC) urging the agency to investigate Natural Pasteurized Eggs, producer of Davidson’s eggs, because the company allegedly keeps its “birds permanently locked in cages so tightly they can’t even spread their wings.” HSUS argues the packaging of Davidson’s eggs misleads consumers by featuring “lush open pastures, a red barn and free-roaming hens” even though those hens “never feel sunlight nor touch a blade of grass.” Further, HSUS asserts that the company “claims its process ‘eliminates the risk of Salmonella' from eggs even though caged hens are more likely to spread infection and disease.” According to the Chicago Tribune, FTC has not taken action on a complaint related to egg marketing since 1996. See HSUS Press Release and Chicago Tribune, October 14, 2016. Issue 620
The Federal Trade Commission (FTC) and U.S. Department of Agriculture (USDA) have released an August 10, 2016, joint report examining consumers’ perceptions of “recycled content” and “organic” claims, especially for non-agricultural products and services. Using data from Internet-based questionnaires completed by 8,016 respondents, the study sought to determine whether consumers view products marketed with such claims as having “particular environmental benefits or attributes.” Among other things, FTC and USDA asked consumers to assess the accuracy of recycled content and organic claims when applied to products made with varying types of recycled materials and varying proportions of “man-made” substances. While the agencies reported no significant difference among consumer perceptions of products that used either pre- or post-consumer recycled materials, “a significant minority of respondents disagreed that the organic claims accurately describe the product” when a small percentage of materials (i.e., “less than 1%; 1% to 5%; and 5% to 10%”) was…
