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In the past year, the FTC has promoted consumers’ so-called “right to repair.” In particular, the FTC has focused on the “Anti-Tying Rule” of the Magnuson-Moss Warranty Act (the “MMWA”), which limits manufacturers’ ability to steer consumers to manufacturer-affiliated repair shops. Plaintiffs’ firms have taken notice, filing a spate of class actions based on purported violations of the Anti-Tying Rule. These same firms have also filed a spate of consumer class actions against retailers alleging violations of the MMWA’s “Pre-Sale Availability Rule.” Manufacturers and retailers should confirm they are complying with the MMWA and state law.
Continue Reading FTC Complaints and Class Actions Send Warning to Consumer Product Manufacturers and Retailers: Double-Check Your Product Warranties

On August 23, 2022, the Federal Trade Commission announced it is seeking additional public comment on “how children are affected by digital advertising and marketing messages that may blur the line between ads and entertainment” in conjunction with its “Protecting Kids from Stealth Advertising in Digital Media” event on October 19, 2022. The event will…

On August 24, 2022, California Attorney General Rob Bonta announced the Office of the Attorney General’s (“OAG’s”) first settlement of a California Consumer Privacy Act (“CCPA”) enforcement action, against Sephora, Inc.
Continue Reading First CCPA Enforcement Action Settlement Announced by California AG

On March 31, 2022, the staff of the Division of Corporation Finance and the Office of the Chief Accountant of the SEC issued Staff Accounting Bulletin (SAB) No. 121 (SAB 121), which “adds interpretive guidance for entities to consider when they have obligations to safeguard crypto-assets held for their platform users.” SAB 121 highlights the enhanced technological, legal and regulatory risks associated with safeguarding digital assets, as compared with more traditional asset classes.
Continue Reading SEC Issues SAB 121 Providing Accounting Guidance for Companies that Safeguard Digital Assets

Last week, the Securities and Exchange Commission revealed its much-anticipated proposal to require that public companies disclose climate-related information. The proposed rule is significant because, for the first time, the SEC would mandate that companies (including foreign companies) publicly traded in the US disclose climate-related risk and greenhouse gas emissions information beyond the information currently required by existing SEC rules applicable to registration statements and annual reports.
Continue Reading The SEC Proposes a Mandatory Climate Disclosure Regime for Public Companies

On February 14, 2022, Noom Inc., a popular weight loss and fitness app, agreed to pay $56 million, and provide an additional $6 million in subscription credits to settle a putative class action in New York federal court. The class is seeking conditional certification and has urged the court to preliminarily approve the settlement.
Continue Reading Fitness App Agrees to Pay $56 Million to Settle Class Action Alleging Dark Pattern Practices

Across the country, it seems there is a renewed interest in organized labor and workers’ wages, both from the public generally and the federal government.  As it always has been, the retail space remains a likely proving ground for union activity and agency enforcement. …
Continue Reading DOL, NLRB Will Collaborate on Investigations, Share Information

In the retail industry, staff shortages caused by COVID-19 exposure and positive cases can significantly disrupt business operations, particularly during this time of unprecedented turnover and resignations in the retail labor market.  During this latest surge in COVID-19 cases, retail employers should be aware of recent changes in federal, state, and local guidance related to COVID-19 isolation and quarantine requirements.
Continue Reading California Adopts New CDC Guidance Regarding Quarantine and Isolation Periods With Its Own Twists

In a major win for retailers operating in the commonwealth of Massachusetts, the Massachusetts highest court determined, among other things, that the so-called ABC independent contractor test is not the correct metric to determine join employer status.
Continue Reading Massachusetts High Court Rules “ABC” Test Is Inapplicable To Joint Employer Status

With the busy holiday shopping season underway, retailers should remain vigilant in their efforts to protect consumers and themselves from the risks of selling potentially unsafe, ineffective or misbranded products in violation of the U.S. Environmental Protection Agency’s federal pesticide law, the Federal Insecticide, Fungicide and Rodenticide Act.
Continue Reading Five Questions Retailers Should Ask Themselves When Selling Pesticide Products and Devices