08 Oct Insights into the FTC and the Utah Department of Commerce: Customer Scams and Service Seminar
On September 20, 2018, the FTC and Utah Department of Commerce held a seminar in Salt Lake City, Utah, talking about, to name a few things, how the 2 collaborate to fight customer scams in numerous locations. The panels offered a special insight into how police coordinate and their particular top priorities. Below are 2 essential takeaways from the numerous panels.
- State and Federal Agencies Are Collaborating
Although it might look like nobody is getting along nowadays, there continues to be a substantial degree of coordination and cooperation in between the federal government and state equivalents to accomplish the typical objective of fighting customer scams. Agencies are forming collaborations to much better comprehend susceptible locations for customers and much better position themselves to acquire the most customer redress. Some groups, such as the Financial Investment Scams Working Group, which makes up both federal and state companies, fulfill officially every quarter to go over tactical strategies. For instance, as a panelist kept in mind, depending upon the size of an offered case and whether it includes activities crossing state lines, the Utah Department of Commerce might refer a case to the FTC since it can cross state borders and can acquire property freezes and short-term limiting orders.
- Customer Grievances Drive Enforcement Actions
Enforcement actions look for to deal with the issues customers are dealing with in 2 methods: (1) by acquiring redress for customers currently hurt, and (2) by avoiding brand-new damage by stopping business that break the law and hindering others. Attaining these objectives usually needs the imposition of severe financial and injunctive relief versus the target of an enforcement action– as shown by the FTC’s current actions.
Business that are triggering big customer financial damage are a leading concern. The panelists specified that most of the customer problems Utah Department of Commerce is seeing originate from: web sales, such as nutraceuticals; house enhancement and repair work business; training and mentoring; and telemarketing “imposter” plans (in addition to others).
It is uncertain what this increased level of interaction in between companies is going to make with regard to the variety of enforcement actions and the targeting of particular market locations. It does appear clear that tracking and attending to customer problems are necessary to minimize the level of customer damage. Looking for legal counsel to offer great compliance treatments is vital for business to assist fend off possible enforcement actions.