When President Obama nominated Judge Sonia Sotomayor to the Supreme Court, he emphasized her diverse life experiences and her compassion for ordinary Americans. Judge Sotomayor added: “I strive never to forget the real-world consequences of my decisions on individuals, businesses, and government.” The tough cases are the ones in which individuals and businesses face off against… Continue Reading
Monthly Archives: May 2009
Spanish-Speaking Consumers Fraudulently Targeted By Bogus Mortgage Foreclosure “Rescue Services”
In the wake of rising unemployment claims and mortgage foreclosures, Spanish-speaking consumers are being unfairly preyed upon by unscrupulous businesses who promise to stop foreclosure proceedings only to have consumers ultimately lose their homes despite paying significant sums of money to such “rescue operation” services. Recently, in a lawsuit filed in Los Angeles, California the… Continue Reading
New Law Targets Abusive Practices In The Pre-Paid Gift Card Business
A little-noticed provision of the credit card reform bill passed by Congress and signed by President Obama on May 22, 2009, targets abusive practices in the pre-paid gift card business. Congress, the White House, consumer groups, and industry lobbyists have mainly focused on the new protections that the law provides consumers who hold revolving-debt credit… Continue Reading
Internet Scammers Prey On Struggling Homeowners
In response to the mortgage crisis, the Obama administration introduced the Making Home Affordable program, which provides free mortgage counseling to consumers who are worried about losing their homes. In late March, the administration launched the program’s web site, makinghomeaffordable.gov. It didn’t take long before alleged internet scammers attempted to prey on struggling homeowners seeking the… Continue Reading
FDA Issues Recall Regarding Children’s Face Paint
On May 12, 2009, the Food and Drug Administration ("FDA") issued a consumer alert advising consumers to stop using certain cosmetic “Face Paint” items labeled as distributed by Oriental Trading Co., due to adverse event reports of skin reactions in children. Adverse reactions included rashes, itchiness, burning sensation, and swelling where the face paints were… Continue Reading
FTC Files Suit Against Companies Making Millions Of Deceptive Calls To Consumers
On May 14, 2009, the Federal Trade Commission (“FTC”) filed suit in the Northern District of Illinois against two companies involved in making millions of allegedly deceptive “robocalls” to consumers in an effort to sell them vehicle service contracts under the guise of extensions of the original vehicle warranties. The FTC complaint against the robocaller names… Continue Reading
FDA To Require New Boxed Warning For Topical Testosterone Gel Products
On May 7, 2009, the Food and Drug Administration ("FDA") issued an advisory notifying healthcare professionals that it will require two prescription topical testosterone gel products, AndroGel 1% and Testim 1%, to include a boxed warning on the products’ labels after receiving reports of adverse effects in children who were inadvertently exposed to testosterone through… Continue Reading
FTC Issues Stimulus Scam Alert
It should come as no surprise that with all the stories in the news about stimulus funding, con artists have invented stimulus scams. The scam begins with an email, online ad or website that says you’re eligible to obtain an economic stimulus payment. All you have to do is send back a completed form or submit… Continue Reading
Mortgage Foreclosure “Rescue” Plans Deceiving Homeowners
The Federal Trade Commission (“FTC”) has reported a growing problem with scams involving purported rescue plans for home owners facing foreclosure. The FTC brought 11 cases targeting mortgage foreclosure rescue and loan modification scams within the last year and is actively involved in ongoing investigations. Additionally, the FTC has sent warning letters to 71 companies… Continue Reading
FDA Warns Consumers To Stop Using Hydroxycut Products
In a post published back in January 14, 2009, this blog discussed the fact that the Food and Drug Administration (“FDA”) had identified a number of weight loss products as containing potentially dangerous ingredients. Recent events have shown the warnings to be justified. The FDA has warned consumers to immediately stop using the Hydroxycut line of… Continue Reading
Popular Baby Bath Products Alleged To Contain Carcinogens
The Campaign for Safe Cosmetics (“CSC) has issued a warning to consumers to avoid certain Johnson & Johnson (“J&J”) baby bath products because they allegedly contain undeclared ingredients that could pose serious health risks. For example, CSC claims that dozens of popular bath products for babies and kids manufactured by J&J contain at least two hazardous… Continue Reading
FDA And FTC Warn Consumers Of Fraudulent Swine Flu Remedies
The Food and Drug Administration (“FDA”) in conjunction with the Federal Trade Commission ("FTC") has issued a warning to consumers to avoid Internet sites and other promotions for products that claim to diagnose, prevent, mitigate, treat or cure the 2009 H1N1 influenza virus, more commonly known as the Swine Flu. Many of these deceptive products are being… Continue Reading