FTC Stops False Advertising, Phony Reviews by Online Trampoline Sellers
FTC Stops False Advertising, Phony Reviews by Online Trampoline Sellers
Two brothers have agreed to settle Federal Trade Commission charges that in marketing and selling their trampolines, they deceived consumers by directing them to review websites that claimed to be independent but were not, and by failing to disclose that one of the brothers posted online product endorsements without disclosing his financial interest in the sale of the products.
Under an administrative consent order announced today, Son “Sonny” Le and Bao “Bobby” Le are barred from engaging in such deceptive behavior in the future and must clearly and conspicuously disclose any material connections between a reviewer or endorser and the product being reviewed.
According to the FTC’s complaint, working together and using several fictitious business names, the Les marketed and sold Infinity and Olympus Pro brand trampolines on several websites. These sales websites prominently featured logos from supposedly independent review entities, including “Trampoline Safety of America,” the “Bureau of Trampoline Review,” and “Top Trampoline Review.”
Consumers who clicked on the logos were directed to the websites of those reviewing organizations, which claimed to provide objective information, including unbiased “expert reviews” of specific brands and models, as well as ratings based on safety, performance, and other qualities. Each review site recommended the Les’ Infinity and Olympus Pro trampolines.
In reality, the review sites were not what they appeared nor were they unbiased, as all were owned and run by the Les. The FTC alleges that the logos were fake, as were claims on the sites stating, for example, that Trampoline Safety of America (one of the purported reviewing entities) “is a third-party organization involved in studying the technical aspects of all the major trampoline sites in America” comprised of structural engineers, trampoline gymnastic coaches, and professionals whose goal was to educate the public about “the safeties of trampolines.”
The FTC also charged in its complaint that Bobby Le posted online reviews that appeared to be from ordinary trampoline owners – praising the “strong frames” and other attributes of the Les’ products, while disparaging other brands – without disclosing his connection to the products he was promoting.
The proposed order settling the FTC’s charges prohibits the Les from making any of the misrepresentations alleged in the complaint and requires them to disclose clearly, conspicuously, and in close proximity to an endorsement any unexpected connection between an endorser and the company or anyone associated with it. Finally, the order requires that if the Les review a product that they sell or that competes with one they sell, that they clearly and conspicuously disclose this fact, as well.
Read full article and learn more about Deceptive Advertising here.
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Disclaimer: This article is provided for informational purposes only. It’s not legal advice, and no attorney-client relationship is created. Neither the author nor FTC Guardian, Inc. is endorsed by the Federal Trade Commission.