The Federal Trade Commission and six states have filed suit against Roomster Corp. and two corporate executives, accusing the residential rental listing platform of using fake reviews and unverified listings to generate tens of millions of dollars in business. According to the complaint, these practices often occur at the expense of vulnerable customers who rely on Roomster to find safe low-cost housing within expensive housing markets.
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Florida
Scary Halloween Stories: Fight Against Robocalls Is Coming for Telemarketing Text Messages
Retailers, beware! The new wave in the fight against “robocalls” is coming, and it’s targeting telemarketing text messages. In the past six months, we have seen an uptick in activity at both the state and federal level to rein in telemarketing text messages, and companies using any kind of text messaging telemarketing will want to proceed with caution. …
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FTC: Consumer Gag Clauses a No-Go
In continued enforcement of the Consumer Review Fairness Act (CRFA), the Federal Trade Commission entered consent decrees against two rental management companies who mandated non-disparaging reviews in their consumer contracts.
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Website Accessibility Update: Eleventh Circuit Holds a Private Settlement with One Plaintiff Will Not Moot a Nearly Identical Lawsuit By Another
Recently, the Eleventh Circuit held that a private settlement entered into by Hooters and a first-filed plaintiff did not moot a nearly identical, later-filed website accessibility lawsuit by a different plaintiff. This case underscores the importance of quickly remediating website accessibility issues, as well as taking care to draft settlement agreements to maximize arguments that future lawsuits are barred.
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Recall Roundup: October
This past month, several key recalls were made that affect the retail industry. Check back here each month for our Recall Roundup.
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Retail Insureds Should Act Now to Ensure Insurance Coverage for Lost Income Due to Hurricanes Harvey and Irma
Hurricanes Harvey and Irma have devastated portions of Texas, Louisiana and Florida. For retail insureds in particular, the losses due to property damage and business interruption will be staggering. In an article published September 12, 2017, in South Florida’s Daily Business Review, Hunton Insurance lawyers Walter Andrews and Andrea DeField explain why it is critical that policyholders act fast to maximize insurance recovery for their hurricane-related losses. They also provide a checklist to guide policyholders through the claim process and to ensure maximum recovery for any property damage and business interruption losses. As Andrews and DeField explain, business interruption and related coverage endorsements may cover loss resulting from (1) an inability to open for business; (2) reduction in business income when the business remains open but cannot operate at full capacity; (3) civil authority orders barring access to an insured business; and (4) service and utility outages effecting business interruptions — an important coverage in light of Florida’s ongoing power outages.
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Federal Court Rules Inaccessible Website Violates Title III of the ADA
More and more website accessibility cases are being threatened and filed every day. Most, not unexpectedly, settle. Winn-Dixie v. Juan Carlos Gil did not, and what happened next is worth a closer look.
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Eleventh Circuit Finds Restraint on Product Labeling Violation of First Amendment
Recently, in a case that should remind retailers and their suppliers to consider their First Amendment rights as they relate to the regulation of product labeling, the Eleventh Circuit Court of Appeals held that the actions of the Florida Commissioner of Agriculture and the Chief of the Florida Bureau of Dairy Industry violated a dairy company’s First Amendment rights relating to use of the term “skim milk.”…
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ATRA Releases Annual “Judicial Hellholes” Report
The American Tort Reform Association recently released the 2016–2017 edition of its “Judicial Hellholes” report. This annual report identifies venues it deems least favorable for civil defendants based on recent decisions and verdicts, as well as state laws and policies.
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Consumer Protection in Retail: Weekly Roundup
This past week, several consumer actions made headlines that affect the retail industry. Continue reading for our weekly roundup. …
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