Proposition 65: Compliance Issues

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As of August 30, 2018, big changes went into effect for Proposition 65.  These changes include new warning obligations for Internet and catalog sellers, a limited “safe harbor” for certain retailers, and a great deal of ambiguity and uncertainty.  There are two issues we are seeing again and again, and which are worth special attention.

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Alabama Court of Appeals Rules In Favor of Scholastic Book Clubs

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Brann & Isaacson partner David W. Bertoni, representing Scholastic Book Clubs, Inc., successfully argued to the Alabama Court of Civil Appeals that the company had no obligation to collect and remit use taxes in connection with its sales of children’s books and related items to teachers, homeschooling parents, and schoolchildren.  The decision, which affirmed a judgment...

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Toxics In Packaging: Are You Protected?

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As many direct marketers wrestle with the new Proposition 65 regulations (set to go into effect on August 30, 2018), there are other state laws relating to product safety as to which they should be aware.  We address here the nineteen (19) states that have enacted so-called “toxics in packaging” laws that regulate the presence...

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Proposition 65: Big Changes for Direct Marketers

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Starting next summer, you’ll be required put Proposition 65 product safety warnings in your catalogs and on your websites near every affected product.

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Class Actions: What Might Be On Your Horizon as a Direct Marketer?

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Companies who have faced class action lawsuits, even (and maybe especially) frivolous ones, won’t soon forget the experience.  Just getting a case dismissed, or fending off class certification in the first place, can be extraordinarily costly and stressful.   The amounts at stake are often huge–with potential downsides of “per violation” penalties in the four...

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CAN-SPAM: Is the FTC Poised For Major Changes?

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The FTC has asked interested parties to address a wide variety of questions concerning its CAN-SPAM rules, including whether the rules provide any benefits at all to consumers. Where might this lead?

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Spokeo Speaks — Again

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In Robins v. Spokeo, Inc., the U.S. Court of Appeals for Ninth Circuit has again allowed a case to go forward on a gossamer thread of alleged “harm,” despite the U.S. Supreme Court’s admonition that concrete harm must alleged.

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Reference Prices: Are You at Risk?

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Reference prices advise consumers that they are getting a bargain. The California Court of Appeal, however, just upheld a $6.8 million penalty on the grounds that a company’s use of list prices and comparison prices constituted a deceptive trade practice.  Amazon is also apparently under investigation for its use of list prices.  If past is prologue, we...

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Former Prices: A Class Action Trap

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Do you promote “former prices” to underscore the bargains you’re offering?  If so, you should be on high alert.  Increasingly, lawyers are targeting these kinds of promotions for sweeping class action lawsuits.

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Substantial Nexus Under Siege: Industry Fights Back!

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Martin Eisenstein and David Bertoni have published their latest blog for members of the American Catalog Mailers Association:  The Industry Is Fighting Back.   The blog goes over each of the major battlefronts in the states’ multi-pronged effort to overturn the long-settled Commerce Clause rule of “substantial nexus,” which requires that companies have a physical presence...

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