A federal court in the District of Arizona has sided with the Federal Trade Commission (FTC) in its request to shut down a direct selling company called Success By Health (SBH) for violating the FTC Act by operating as an unlawful pyramid scheme. Through this decision, the Commission has now successfully
Kelley Drye and Warren LLP
Is the Commission saber-rattling or moving the goalposts?
By: David Bland
The (FTC) is saying ‘we’ve got other tools,’ but what they are hoping for is that Congress will act.
—John Villafranco, Partner, Kelley Drye & Warren LLP
At a time when the FTC should be contrite for having been caught for abusing its power, they’re doubling down.
—Kevin Thompson, Partner, Thompson Burton PLLC
The Federal Trade Commission’s (FTC) focus on its power to punish continued in recent weeks as it threatened the use of punitive action against its favorite targets. The Commmission’s latest announcement has important implications for industries under its scrutiny, including the direct selling channel.