Do You Comply with the New FTC Earnings Claim Framework?


-->1. Proposed Earnings Claim Rule for Money-Making Opportunity Sellers. If passed, the Earnings Claim Rule will authorize FTC fines for violations, without the FTC having the burden of proof that the violation is deceptive under Section 5 of the FTC Act (deception is presumed if the rule is violated). Even if the final Rule is is "tabled" by the Trump FTC, the FTC has aleready established legal precedent via enforcement actions that: (i) earnings claims are “typicality” claims, (ii) sellers have a legal duty to track customer results, and (iii) that disclaimers are ineffective if they directly contradict marketing messages, typical results or the duty to track.

-->2. FTC v. Lurn (Joint & Several Liability for the Entity & Two Individuals) The FTC alleged the following disclaimers are ineffective because they “directly contradict the messages conveyed repeatedly in their marketing… .” These representations are not intended to describe a certain outcome or even a typical outcome, but rather actual results from those who have had exceptional success. Lurn offers no guarantee or warranty that you will realize the amount of income or revenue referenced in the promotions or the courses themselves.

-->3. FTC v. DK Automation (Joint & Several Liability for the Entity & Two Individuals) The FTC alleged the following disclaimer is ineffective due to the defendants' duty to track customer results: “David and Kevin do not track the typical results of our customers or verify the accuracy of publicly available student testimonials… . We have performed no independent verification of the statements made by those individuals. Please do not assume that you will make those same income figures.”

-->4. The Result: Increased risk for earnings claims for money-making opportunities by eliminating disclaimers as cover for deceptive earnings claims. Bottom line: the FTC is now eliminating all of the prior strategies of: (i) claiming that consumers they will make money, and (ii) then using a disclaimer to contradict the claim.
I am the eCommerce Attorney/eCommerce Lawyer to help you Navigate the New Earnings Claim Framework... with Confidence
Working Directly With You.
For You.
For Your Business.
No attorneys-by-committee. You'll be working only with me, not another attorney.
I understand just how important navigating the new FTC rules for earnings claims for money-making opportunities.
I will help you be compliant and confident you're on the right track... every step of the way.
I refuse to believe in the myth that marketing compliance is like a "zero-sum game" (the myth that digital marketing compliance always costs a corresponding amount of sales).
You deserve peace of mind knowing you can be compliant and profitable.

Chip Cooper, eCommerce Attorney/eCommerce Lawyer
I'll work tirelessly for you and your eCommerce business.
An eCommerce Attorney/eCommerce Lawyer You Can Rely On
Creative Tactics
You may have questions about
how the new Earnings Claim
Framework applies to your business.
I'll work closely with you to develop
creative strategies & tactics to engage
successfully with the new Framework.
I'll work tirelessly to help you become compliant and competitive for a fixed, flat fee.
Reliable Service
I work to always be accessible to clients and proactive with legal services.
BOOK A COMPLIMENTARY CALL TODAY, and let's discuss how we can help you improve your present risk profile.
"In our hyper-regulated digital marketplace, there's no eCommerce attorney I recommend more than Chip Cooper."

Teddy Garcia
Digital Marketing Entrepreneur & Corporate CTO
With my breadth of experience, I can help.

Adjunct Professor of Law 20 years
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CEO & Co-Founder
"The great thing about working with Chip is his deep expertise as an eCommerce attorney, coupled with his ability to talk in simplified, plain language while still covering the legal pitfalls for digital marketing compliance."

Robert McMillan
Director of Data Integrity Georgia State University
4 Ways We May Work Together:
1. Your Customized Solution for Your Earnings Claim Compliance Problem
Before 2022-23, a max-disclaimer strategy generally worked.
The max-disclaimer no longer works, and it'll get you into hot water today because they it doesn't comply with the new FTC Earnings Claim Framework.
Example: make over-the-top earnings claims on your sales page, and add earnings disclaimers that completely contradict the earnings claims.
Example: publish "success story" testimonials without a generally expected results disclosure.
To begin, I'll explain fully how the new FTC Earnings Claim Framework applies to your approach to earnings claims.
Next, I'll review your promotional massaging on a granular basis for marketing compliance pitfalls, traps, and gotchas: sales pages, sales webinars, testimonials, customer reviews, social media posts, subscription offers for recurring revenue (Auto-Renew offers), and disclosures for "Biz Ops", just to name a few.
I can help by recommending compliance strategy and tactics. We'll work together to arrive at a final solution you're comfortable with.
More Information: FTC Earnings Claims
More Information: FTC Business Opportunity Rule
2. Your Website Policies + Online Marketing Agreements + Digital Advertising
Depending on your marketing strategy and your collection and use of personal data, specific policies are required for your website/portal/marketplace.
Leveraging your eCommerce business growth with creartive marketing requires essential marketing agreements.
Digital advertising requires compliance with specific regulations to avoid enforcement actions for deceptive advertising.
I can help by recommending and creating essential policies, marketing agreements, and digitial advertising strategies and tactics.
More Information: Website Documents
More Information: Merchandising Agreements
More Information: Affiliate Marketing Agreements
More Information: Marketing Compliance
More Information: Advertising Claim Substantiation
More Information: Advertising with Puffery
3. Your eCommerce Merger/Acquistions
Our Experience with M&A.
* Represented hundreds of public and private companies.
* Represented buyers and sellers, including eCommerce businesses.
* Transaction values ranged from a few thousand to several hundered million dollars.
* Basic stock and asset deals to complex reverse triangular mergers.
* Experience working with business brokers.
I can help by guiding you every step of the way to a successful closing for your transaction.
More Information: M&A Due Diligence Reps & Warranties
4. A SaaS Agreement That Helps You Streamline Negotiations & Close Deals Efficiently
Your SaaS agreement should cover the essential points.
* Use Rights and Restrictions;
* Pricing /payment terms,
* Intellectual property rights/Murtual Exchange of Confidential Information;
* Support/Service Level Agreement (SLA),
* Data Security,
* Warranties/Exclusions,
* Liability and indemnification,
* Governing Law/Dispute Resolution,
But what if it doesn't convert well?
What if you get bogged down in protracted negotiations with a SaaS agreement that should be relatively straightforward?
If these challenges are familiar, you need a SaaS agreement plus a negotiating strategy that fits your business and your target market.
I can help with a document that streamlines your negotiation process and eliminate issues that cost you time and money.
More Information: SaaS Agreements
"I keep Chip on 'Speed Dial' for Digital Marketing Compliance. Personally, I would not use any other eCommerce attorney."

Stefanie Hartman
International TV Host / Marketing and Revenue "Fixer" to the Stars
2 Steps To See If We're a Good Fit:
- Book a "30-Minute Connect" call --> Book a Call
- Q&A on the call. You will learn if we're a good fit.
2-Minute Digital Marketing Compliance Email

This is not a typical newsletter (they take too long to read on a busy day).
You can read my weekly 2-Minute Email in 2 minutes or less.
It gets right to the point; no fluff.
If each week, you'd like alerts, tips, insights, strategies, and tactics
you can digest quickly and use,
written in a straightforward, conversational way
to help you navigate the New Marketing Risks,
this is for you.

"I read every single email that Chip sends out. I don't save them for later. I read them as
soon as I see them. Why? Simple. Because they help me stay compliant with FTC
regulations. A simple two-minute read has the potential to prevent me (or anyone) from
unknowingly violating one of the constantly changing regulations ...which therefore means
that the same two-minute read has the potential to keep me from losing my business
and everything I've worked so hard to build. The bottom line is when it to what Chip says.
It could make all the difference in the world."
Frank Kern, Trendsetting Internet Marketer Since 1999
"Chip, your 2-Minute email is fantastic. It helps me keep up with the latest developments."
Phil Schnyder, COO and Co-Founder, Apellix
"Thanks for the great emails. I look forward to them each week.”
Roger Peck, Owner, Superior Lighthouse
"Really enjoy your 2-Minute email, Chip."
Mo Balaa, Founder, Fractal Networks
Chip Cooper's Earnings Claim Strategies Guide

Navigating the Legal Pitfalls in eCommerce:
A Checklist for How an eCommerce Attorney, eCommerce Legal Expert,or an Online Business Attorney Can Help
Chip Cooper, Esq., eCommerce Attorney
Are you an eCommerce business owner who wants to avoid legal pitfalls and protect your business? Look no further. Navigating the complex world of eCommerce law can be challenging, but with the help of an eCommerce attorney, eCommerce legal expert, or an online business attorney, you can ensure that your business is compliant and protected.
An eCommerce attorney, eCommerce legal expert, or an online business attorney specializes in the legal issues that arise in the world of online businesses. From intellectual property and copyright infringement to privacy and data protection, these experts have the knowledge and experience to guide you through the legal maze and safeguard your business.
Why is this important? Well, the consequences of non-compliance can be severe. Fines, legal disputes, and damage to your reputation are just a few of the potential outcomes. By working with an experienced eCommerce attorney, you can proactively identify and address any legal issues before they become major problems.
Don't let legal complications hinder the growth of your eCommerce business. Consult with an eCommerce attorney, eCommerce legal expert, or an online business attorney to navigate the legal landscape and protect your business from potential risks and liabilities.
Common legal pitfalls in eCommerce

Running an eCommerce business comes with its fair share of legal challenges.
From intellectual property infringement to privacy concerns, it's crucial to be aware of the common legal pitfalls in the eCommerce industry. By understanding these pitfalls, you can proactively protect your business.

One common legal pitfall in eCommerce is intellectual property infringement.
With the rise of online businesses, the risk of trademark and copyright infringement has also increased. Without proper knowledge and guidance, you may unintentionally violate someone else's intellectual property rights, leading to legal disputes and potential financial losses.

Another legal challenge eCommerce businesses face is privacy and data protection.
As an online business, you collect and store sensitive customer information, such as names, addresses, and payment details. If you fail to comply with privacy laws and regulations, you risk exposing your customers' data to breaches and facing legal consequences.

There are also legal issues involving general advertising claims and FTC earnings claims.
All advertising claims need to be substantiated prior to publication. If you offer a money-making opportunity, you could be held liable based on earnings claims made in advertising.

What if you decide to acquire an existing an existing eCommerce business.
Depending on the type of transaction, you could be subject to substantial liability and financial loss.
Importance of hiring an eCommerce attorney, eCommerce legal expert, or online business attorney

Now that you're aware of the legal pitfalls in eCommerce, you may wonder why hiring an eCommerce attorney is essential.
Well, the consequences of non-compliance can be severe. Fines, legal disputes, and damage to your reputation are just a few of the potential outcomes. By working with an eCommerce attorney, eCommerce legal expert, or an online business attorney, you can proactively identify and address any legal issues before they become major problems.

An eCommerce attorney, eCommerce legal expert, or an online business attorneyspecializes in the legal intricacies of online businesses.
They have in-depth knowledge and experience in dealing with the unique legal challenges that eCommerce entrepreneurs face. By consulting with an eCommerce attorney, you gain access to expert guidance and advice specific to your industry, ensuring that your business operates within the bounds of the law.

Moreover, an eCommerce attorney, eCommerce legal expert, or an online business attorney can help you navigate the ever-changing landscape of eCommerce laws and regulations.
They stay up-to-date with the latest legal developments and can provide you with valuable insights to keep your business compliant. With their assistance, you can focus on growing your eCommerce business, knowing that you have a legal expert by your side.
Services offered by eCommerce attorneys, eCommerce legal experts, and online business attorneys and lawyers
eCommerce attorneys offer a range of services tailored to the needs of online businesses. Whether you're just starting out or have an established eCommerce venture, an attorney can provide invaluable assistance in various areas of eCommerce law.
Here are some of the key services offered by eCommerce attorney, eCommerce legal expert, or an online business attorney:

Legal compliance: eCommerce attorneys can review your business practices and ensure that you comply with all relevant laws and regulations. They can help you draft privacy policies, terms of service, and other legal documents necessary for your online business.

Intellectual property protection: ECommerce attorneys can assist you in protecting your intellectual property rights. Intellectual property rights include trademarks, copyrights, and patents.

Filing Trademark Applications: They can conduct thorough trademark searches, file trademark applications, and help enforce your intellectual property rights if infringement occurs.

Contract drafting and negotiation: eCommerce attorneys can help you draft and negotiate contracts with suppliers, and manufacturers. They can ensure that your contracts are legally sound and protect your interests in any business dealings.

Dispute resolution: In the unfortunate event of a legal dispute, an eCommerce attorney can represent your interests. You'll need expert help in navigating the dispute resolution process. Whether it's negotiating a settlement or litigating in court, you'll need expert guidance.

Data protection and privacy: eCommerce attorneys can assist you in understanding and complying with data protection and privacy laws. They can help you implement robust data protection measures, draft privacy policies, and help ensure that your business is GDPR if required.

Advertising compliance: the FTC has strict rules regarding substantiation of advertising claim before publication. An eCommerce attorney experienced in advertising law can train employees regarding legal requirements for how to make and substantiate a legally-compliant advertising claim.

Earnings and income claims compliance: the FTC has very strict rules regarding as earnings and income claims which are subsets of advertising claims. An eCommerce attrorney experienced in earnings and income claims can ensure compliance under the new FTC Earnings Claim Framework.

Merger & Acquisitions: it's now common for successful eCommerce entrepreneurs to acquire other eCommerces businesses. An experienced eCommerce attorney can help avoid significant liability and losses with eCommerce M&A.

SaaS Offerings: some eCommerce entrepreneurs are now offering software-as-a-service to supplement traditional eCommerce offerings. An experienced eCommerce attorney with SaaS experience can help protect intellectual property of the SaaS as well as legal regulations regarding subscription offers.
How to find the right attorney, legal expert, or online business attorney for your business
Finding the right eCommerce attorney for your business is crucial to ensure a successful and long-term partnership. Here are some key factors to consider when selecting an eCommerce attorney:

Experience: Look for an attorney with extensive experience in eCommerce law. They should have a track record of successfully handling cases and providing legal advice to online businesses.

Industry knowledge: ECommerce is a unique industry with its own set of legal challenges. It's important to find an attorney who understands the intricacies of online businesses and can provide tailored advice specific to your industry.

Reputation: Research the attorney's reputation and client testimonials. Look for online reviews and ask for recommendations from fellow eCommerce entrepreneurs or business associations.

Communication and availability: Effective communication is key when working with an attorney. Ensure that the attorney you choose is responsive and available to address your concerns in a timely manner.

Fees: Discuss the attorney's fee structure upfront to avoid any surprises. Some attorneys may bill on an hourly basis, while others may offer fixed-rate (flat fee) packages for specific services that are a big help with budgeting legal fees.
Remember, finding the right eCommerce attorney is an investment in the future of your business. Take the time to research and interview potential candidates to ensure a good fit. And give fixed-rate (flat fees) a chance.
Key considerations when working with an eCommerce attorney
Once you've found the right eCommerce attorney for your business, it's essential to establish a productive working relationship. Here are some key considerations to keep in mind:

Open communication: Maintain open and transparent communication with your attorney. Clearly communicate your business goals, concerns, and any legal issues you may encounter.

Regular consultations: Schedule regular consultations with your attorney to stay updated on any legal developments affecting your business. This proactive approach can help you address potential risks before they escalate.

Document everything: Keep a record of all communications with your attorney, including emails, contracts, and legal advice received. This documentation can be invaluable in case of any disputes or misunderstandings.

Collaboration: Work collaboratively with your attorney to address legal issues and implement recommended strategies. Your attorney is there to guide you, but ultimately, you are responsible for the legal compliance of your eCommerce business.
Remember, your attorney is a valuable partner who can help you navigate the legal complexities of eCommerce. By working together, you can protect your business and mitigate potential risks.
Case studies: Examples of legal challenges in eCommerce and how an attorney or online business attorney helped helped
To illustrate the importance of an eCommerce attorney, let's explore a few case studies of legal challenges faced by online businesses and how an attorney helped resolve them.

Trademark infringement: An eCommerce business received a cease and desist letter from a larger company claiming trademark infringement. With the help of an eCommerce attorney, the business owner successfully proved that their use of the trademark fell under fair use.

Data breach: An online retailer experienced a data breach, compromising sensitive customer information. The eCommerce attorney navigated the legal requirements for notifying affected customers, mitigated potential liabilities, and implemented stronger data protection measures.

Counterfeit products: An eCommerce business discovered counterfeit versions of their products being sold on an online marketplace. The attorney helped the business enforce their intellectual property rights, file takedown notices, and pursue legal action against the counterfeit sellers.
These case studies highlight the value an eCommerce attorney brings to the table. They have the expertise to handle complex legal challenges and protect your business from potential harm.
Frequently asked questions about eCommerce law

What are the consequences of non-compliance with eCommerce laws?
Non-compliance with eCommerce laws can result in fines, legal disputes, damage to your reputation, and even the closure of your business.

Do I need an eCommerce attorney if I'm just starting out?
It's highly recommended to consult with an eCommerce attorney, especially when starting out. They can help you navigate the legal landscape, ensure compliance, and set your business up for success.

How much does it cost to hire an eCommerce attorney?
The cost of hiring an eCommerce attorney varies depending on factors such as their experience, the complexity of your business, and the services required. It's best to discuss fees upfront to avoid any surprises.

Consider a new trend regarding managing legal fees: a fixed, flat fee.
Many eCommerce attorneys are now offering negotiated fixed, flat fees for well-defined projects with a specified scope of work. These plans can help with budgeting for legal fees

What is the role of an eCommerce attorney in dispute resolution?In dispute resolution, an eCommerce attorney represents your interests and helps you navigate the legal process, whether it involves negotiation, mediation, or litigation.
Recommended Best Practices for Proactive Legal Compliance in eCommerce
These aren't required, but instead are recommended best practices to stay compliant:

Regular Legal Audits: Regular audits can help spot potential legal problems and vulnerabilities before they become critical. One key goal is to ensure that all policies are legal and up-to-date, particular Privacy Policies

Employee Training. Two areas for focus are (i) advertising compliance, and (ii) how to avoid unintended issues with company intellectual property.

Judicious Use of AI-Enabled Tools. AI-enabled tools can be a help with contract management and compliance monitoring.
These best practices can help eCommerce business owners stay ahead of legal changes and ensure that your business remains compliant.
Conclusion: The importance of proactive legal counsel in eCommerce businesses
In the rapidly evolving world of eCommerce, legal compliance is essential for the success and longevity of your business.
Navigating the legal landscape can be overwhelming, but with the help of an eCommerce attorney, eCommerce legal expert, or an online business attorney you can proactively address potential legal pitfalls and protect your business from risks and liabilities.
From trademark infringement to data protection, an eCommerce attorney specializes in the legal issues specific to online businesses. They offer a range of services, including legal compliance, intellectual property protection, contract negotiation, and dispute resolution. By working closely with an eCommerce attorney, you can ensure that your business operates within the bounds of the law and stays ahead of legal developments.
So, don't let legal complications hinder the growth of your eCommerce business.
Consult with an eCommerce attorney to navigate the legal landscape and protect your business from potential risks and liabilities. With their guidance and expertise, you can focus on what you do best – growing your online business and serving your customers.