United States of America: Issued FTC order to Trade Associations requiring rectification of misleading online endorsements

On 15 November 2023, the Federal Trade Commission (FTC) issued letters of warning to the American Beverage Association (AmeriBev), the Canadian Sugar Institute and 12 online content creators who were promoting on their behalf. The FTC stated that the online content creators failed to disclose their affiliation with the two trade associations while promoting the consumption of products containing sugar and aspartame. Furthermore, the FTC stated that the associations may have breached the Federal Trade Commission Act by not ensuring that the affiliation was disclosed. In case of non-compliance, the Trade Associations and the content creators face penalties of up to USD 50’120 for each violation of Guides Concerning the Use of Endorsements and Testimonials in Advertising.