The FTC alleged that Forever Living and its operators deceived consumers with false earnings claims about their MLM opportunity, where most participants made no money or lost money after expenses. The stipulated settlement order prohibits the defendants from making deceptive earnings claims, requires substantiation for all earnings representations, and bars misrepresentations about participant income or recruitment success. No monetary penalty was imposed.
Defendants are permanently prohibited from making deceptive earnings claims, must substantiate any earnings representations and provide substantiation to consumers upon request, and may not misrepresent participant earnings, reasons for participant losses, recruitment success, or other material facts about the MLM opportunity. No monetary penalty is imposed.
In-house legal teams should review all marketing vendor agreements, MLM partner contracts, and affiliate program terms to ensure earnings claims are substantiated and marketing materials do not contain deceptive income representations. Clauses governing marketing content, earnings disclosures, and income substantiation should be updated to require compliance with FTC deceptive practices guidelines. Participant agreements for MLM programs should include clear, prominent income disclosure statements, full disclosure of start-up costs, and prohibitions on misleading recruitment or downline earnings claims.
Entity
Forever Living Products International LLC, Forever Living.com LLC, Gregg Maughan, Aidan O’Hare
Industry
RetailOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2026/04/ftc-order-prohibit-forever-living-its-operators-deceiving-consumers-about-potential-earnings
ForeverLiving Complaint
https://www.ftc.gov/system/files/ftc_gov/pdf/ForeverLiving-Complaint.pdf
ForeverLiving StipulatedOrder
https://www.ftc.gov/system/files/ftc_gov/pdf/ForeverLiving-StipulatedOrder.pdf
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
"Forever Living Products International LLC, its CEO Gregg Maughan, and its President Aidan O’Hare, as well as Forever Living.com LLC"
"April 14, 2026"
"FTC alleged most participants made no money or even lost money despite the company’s claims"
"Forever Living deceived prospective workers with false and unsubstantiated earnings claims"
"Must have substantiation for any earnings claims and must provide substantiation for any earnings claim they make if a U.S. consumer requests it"
"Must not misrepresent that participants have made, will or are likely to make or receive earnings (or any particular amount of earnings)"
The FTC sent warning letters to 12 companies offering 'nudify' tools that generate nonconsensual intimate images, for failing to comply with the TAKE IT DOWN Act (TIDA) by not providing a mechanism for victims to request removal of such content. The letters urge immediate compliance with TIDA, which requires platforms to remove nonconsensual intimate images within 48 hours of a valid request. Noncompliant companies may face future legal action and civil penalties of up to $53,088 per violation.
The FTC began enforcing the TAKE IT DOWN Act on May 19, 2026, a law requiring covered platforms to establish a process for victims to request removal of nonconsensual intimate images and delete such content within 48 hours of a valid request. The agency launched a consumer complaint portal, issued compliance guidance for businesses and consumers, and sent reminder letters to major platforms including Meta, TikTok, and X about their obligations under the law. No specific penalties or enforcement actions against individual companies were announced in this release.
$6.5M
A federal court held Cliq Inc. and its executives Andrew Phillips and John Blaugrund in civil contempt for multiple violations of a 2015 FTC order requiring the payment processor to prevent enabling consumer fraud. The court found the defendants facilitated fraud by processing transactions for high-risk merchants, avoiding fraud monitoring, failing to conduct required underwriting, and ignoring chargeback thresholds. The court imposed $6.5 million in civil contempt sanctions against the defendants.
$795.8M
The FTC and State of Nevada settled charges with lead defendants of the IM Mastery Academy MLM scheme, including Chris and Isis Terry and their affiliated companies, over false earnings claims used to promote financial training programs and a multi-level marketing venture. The stipulated order imposes a $795.8 million judgment, with defendants surrendering nearly $90 million in assets including luxury real estate, vehicles, jewelry, and a yacht, totaling over $100 million with prior judgments from other involved defendants. The order also bans defendants from selling trading-training services, prohibits false earnings claims, and restricts deceptive practices including negative-option misrepresentations and telemarketing violations.
The FTC and State of Illinois, via the Department of Justice, filed a complaint against B.E.S.T. GDR LLC (d/b/a Premium Home Service) and its owner Yosef Bernath for creating thousands of fake home repair business listings with fabricated five-star reviews to deceive consumers. The defendants allegedly routed consumer calls to unqualified representatives, arranged for unlicensed technicians, and violated the FTC Act, Reviews and Testimonials Rule, Gramm-Leach-Bliley Act, and Illinois consumer protection laws. No monetary penalty has been imposed yet as the case is in initial filing stages.
Federal Trade Commission Chairman Andrew N. Ferguson sent letters to over a dozen major technology companies reminding them of their obligation to comply with the Take It Down Act (TIDA) by May 19, 2026. TIDA requires covered platforms to establish a process for victims, including children, to request removal of nonconsensual intimate images, with takedown of content and all identical copies required within 48 hours of a valid request. The FTC also issued supplemental guidance to help companies prepare for compliance and warned that it will monitor and enforce violations of the law.