United States of America: Federal Court issued temporary restraining order against Click Profit for alleged misrepresentation of online sales opportunities

Description

Federal Court issued temporary restraining order against Click Profit for alleged misrepresentation of online sales opportunities

On 5 March 2025, a Federal Court issued a temporary restraining order to halt Click Profit's operations, which allegedly misrepresented potential earnings from an AI-driven online retail business model on platforms such as Amazon. The FTC’s complaint, filed on 3 March 2025, outlined how Click Profit claimed affiliations with major brands and promised consumers substantial passive income, resulting in significant financial losses for many. The ruling bars Click Profit from making misleading earnings claims and prohibits the sale of consumers’ personal data.

Original source

Scope

Policy Area
Consumer protection
Policy Instrument
Fair marketing and advertising practice requirement
Regulated Economic Activity
platform intermediary: e-commerce
Implementation Level
national
Government Branch
judiciary
Government Body
court

Complete timeline of this policy change

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2025-03-03
under deliberation

On 3 March 2025, the Federal Trade Commission (FTC) announced it had filed a public lawsuit against…

2025-03-05
under investigation

On 5 March 2025, a Federal Court issued a temporary restraining order to halt Click Profit's operat…

2025-08-25
under deliberation

On 25 August 2025, the Federal Trade Commission issued proposed orders against Click Profit, allegi…