The Two Deadly Internet Marketing Sins

Few things you can do raise red flags with the FTC like (a) unfair, deceptive, or fraudulent advertising and (b) predatory payment practices.

Unfair, Deceptive or Fraudulent Advertising

This type of advertising includes making unsupported claims about your product or service, and misleading endorsements and testimonials.

Unsubstantiated Claims.

Health and diet products are particular targets of both the FTC and the U.S. Food and Drug Administration (FDA). In fact, the FTC announced on January 4, 2007, that it had nailed four weight loss companies (Xenadrine EFX, CortiSlim, TrimSpa, and One-A-Day WeightSmart) for making unsubstantiated claims about their products.

“You won’t find weight loss in a bottle of pills that claims it has the latest scientific breakthrough or miracle ingredient,” said FTC Chairman Deborah Platt Majoras. “Paying for fad science is a good way to lose cash, not pounds.”

It is easy to understand that you don’t make claims that your product causes weight loss unless you have scientific proof to back it up.

Even if you would never lie, your affiliate marketers can paint a bulls-eye on your forehead by making false claims on your behalf.

The FTC doesn’t want false “miracle” cures being sold. It doesn’t care whether or not you are personally making the misrepresentations. The goal is to protect the consumer. If it takes shutting you down to prevent your affiliates from lying to the public, then so be it.

Author Mike Young, Esq.

Mike Young has been practicing business and technology law since 1994 and is an angel investor in startups. He's been an entrepreneur since 1988. To get legal help from Attorney Young, click here now or call 214-546-4247 to schedule a phone consultation.

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