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Note:This website is where you can find advertising law information based on archived news briefs from past issues of Advertising Compliance Service. These archived advertising law-related news briefs were published in Advertising Compliance Service in October 2004.

 

 

 

 


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THIRD CIRCUIT AFFIRMS DISTRICT COURT's DECISION IN CASE INVOLVING CIGARETTE ADVERTISING

The Third Circuit affirmed the district court's decision in a case involving cigarette advertising. The district court had ruled that the Federal Cigarette Labeling and Advertising Act, 15 U.S.C.S. Sections 1331-1340 preempted a smoker's claims for negligence and strict liability based on failure to warn after 1969. The smoker died of lung cancer in February 2003. In a December 1, 2003 order, the District Court granted summary judgment in favor of Brown & Williamson Tobacco Corporation, dismissing the complaint in its entirety. The Third Circuit affirmed the district court decision granting summary judgment in favor of Brown and Williamson.

The smoker, Ronald F. Smith, began smoking cigarettes around 1961, when he was 11 or 12 years old. In deposition testimony taken before his death, Smith testified, among other things, that he smoked Kools because that was the brand that his parents smoked, and he had seen ads for them. When asked specifically about the ads he had seen, he responded "some of them was cowboys, some of them entertainment, and that was many years ago. I don't know whether I can clearly recall that. It was back awhile." When questioned further, he acknowledged that he remembered ads involving sports figures.

According to the Third Circuit, the administrator of plaintiff's estate--

"presented no evidence that Smith actually saw or relied on any of Brown & Williamson's advertisements or other representations in deciding to smoke cigarettes in general and Kools in particular. Because such reliance is an essential element of Jeter's claims for false representation, breach of express warranty, negligent misrepresentation, and intentional misrepresentation, the District Court did not err in dismissing counts III, VI, VII, and VIII of Jeter's complaint."

(Ivan Jeter, Administrator of the Estate of Ronald F. Smith, Deceased v. Brown and Williamson Tobacco Corporation; Lorillard, Incorporated, No. 03-4839, United States Court of Appeals for the Third Circuit, 2004 U.S. App. LEXIS 22319, October 26, 2004.)

FTC OK's FINAL CONSENT ORDER IN CASE INVOLVING SOFTWARE COMPANY's PROTECTION PROMISES

FTC has finalized a final consent order in a case where Bonzi Software, Inc. and its owners agreed to settle FTC charges that they falsely claimed that their InternetALERT software significantly reduces the risk of Internet attacks. FTC charged that InternetALERT software provides only limited protections for computers and the information stored in them. The settlement bars respondents from making false claims about the security or privacy attributes of InternetALERT and other software products.

NOTE: A consent agreement is for settlement purposes only and does not constitute an admission of a law violation. When the Commission issues a consent order on a final basis, it carries the force of law with respect to future actions. Each violation of such an order may result in a civil penalty of $11,000.

(Bonzi Software, Inc., et al., FTC File No. 042 3016, October 13, 2004; see also: Advertising Compliance Service, Tab #15, New Media, Article #169.)

TIMOTHY J. MURIS ELECTED TO CBBB BOARD OF DIRECTORS

Professor Timothy J. Muris, former FTC Chairman, was recently elected to the Board of Directors of the Council of Better Business Bureaus (CBBB) at the 2004 International Assembly of Better Business Bureaus. Muris is George Mason University Foundation Professor of Law at the GMU School of Law in Arlington, Va. He has been elected to serve a three-year term as a public member of the CBBB's Board.

CBBB President and CEO Ken Hunter said,

"During Tim Muris's tenure as Chair of the FTC, he created the highly effective National Do Not Call Registry that has allowed millions of consumers to block unwanted telemarketing calls, spearheaded numerous FTC actions to combat fraudulent, deceptive and unfair business practices and supported new initiatives to help consumers learn how to avoid Internet, identity theft and other frauds. Our Board will value his consumer protection expertise, his enthusiasm for promoting better business practices through effective self-regulation and his knowledge of how government and the private sector can work together effectively to combat fraud in the marketplace."

Muris's distinguished career in public service has spanned four decades and includes positions as assistant director of the planning office of FTC (1974-76), director of FTC's Bureau of Consumer Protection (1981-1983), director of FTC's Bureau of Competition (1983-85), Chair of FTC (2001-2004) and three years at the Office of Management and Budget.

A respected legal scholar, Timothy Muris has written widely on antitrust, consumer protection and regulatory issues. In addition to serving as George Mason University Foundation Professor of Law, Muris is Of Counsel at O'Melveny & Myers LLP in Washington, DC.

(Council of Better Business Bureaus, Inc. Release, October 18, 2004.)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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