FTC Doesn’t Sugarcoat Warning Letters to Social Media Influencers, Trade Associations

  • The FTC sent warning letters to two trade associations and twelve online health influencers warning them that they may have violated the FTC Act by failing to adequately disclose payments for social media posts promoting the safety of aspartame and the consumption of sugar-containing products.
  • The letters express concerns that the trade associations may have utilized deceptive or unfair marketing practices by paying registered dieticians and other providers of dietary advice to promote the safety of aspartame or sugar on TikTok and Instagram without using sufficiently clear and conspicuous disclosures. The individual dieticians and influencers at issue also received warning letters.
  • The letters urge the trade associations to review their social media policies and the posts of paid endorsers to ensure they contain sufficiently clear and conspicuous disclosures. They note that future violations could result in civil penalties of up to $50,120 per violation.
  • To hear our deep dive into how this story showcases the power and influence of AGs and how it could reverberate through the debt servicing industry, listen to our podcast here.