Penalty Amount
$867,743
The FTC announced three separate settlements with companies making false 'Made in USA' claims: TouchTunes (electronic dartboards, $625k consumer redress), Americana Liberty and related parties (flags and flagpoles, $167,743 redress), and Oak Street Bootmakers (footwear, $75k redress). The companies violated the FTC Act, Made in USA Labeling Rule, and for Americana Liberty, the Textile Act and Rules, by making unqualified origin claims for products with significant imported components or wholly imported from China. Each settlement prohibits future misrepresentations of U.S. origin and requires consumer notices.
Total of $867,743 in consumer redress across the three actions; prohibitions on misrepresenting U.S.-origin or making unsubstantiated country-of-origin claims; requirements to provide consumer notices of the settlements; Americana Liberty’s order additionally mandates textile fiber product disclosures. Orders are stipulated consent decrees pending District Court approval.
In-house legal teams should review all vendor, supplier, and customer-facing agreements for companies marketing products as Made in USA to ensure compliance with FTC origin claim standards. Key clauses to review include advertising and marketing representations, requiring vendors to certify that products meet the 'all or virtually all' domestic standard and disclose all imported components. For textile products, agreements must include clauses mandating compliance with Textile Act labeling requirements, including mandatory country-of-origin disclosures on products and marketing materials. Include indemnification clauses covering losses from false advertising claims, audit rights to verify supply chain origin claims, and requirements for vendors to provide documentation supporting origin representations. Customer terms should prohibit unqualified Made in USA claims without proper substantiation.
Entity
TouchTunes Music Company, LLC; Americana Liberty LLC; Three Nations LLC; Oak Street Manufacturing Company, LLC
Industry
OtherOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2026/04/ftc-announces-made-usa-sweep-including-three-law-enforcement-actions-protect-american-consumers
2523159touchtunescomplaintw
https://www.ftc.gov/system/files/ftc_gov/pdf/2523159touchtunescomplaintw.pdf
2523159touchtunesorder
https://www.ftc.gov/system/files/ftc_gov/pdf/2523159touchtunesorder.pdf
2523127americanalibertycomplaint
https://www.ftc.gov/system/files/ftc_gov/pdf/2523127americanalibertycomplaint.pdf
2523127americanalibertyproposedorderfin
https://www.ftc.gov/system/files/ftc_gov/pdf/2523127americanalibertyproposedorderfin.pdf
2523149oakstcomplaintfin
https://www.ftc.gov/system/files/ftc_gov/pdf/2523149oakstcomplaintfin.pdf
2523149oakstreetproposedorderfin
https://www.ftc.gov/system/files/ftc_gov/pdf/2523149oakstreetproposedorderfin.pdf
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
"TouchTunes Music Company, LLC (TouchTunes)"
"Americana Liberty LLC and Three Nations LLC, as well as the companies’ principals—Maximiliano Ojeda, Virginia Hilfiger, and Julian Groves"
"Oak Street Manufacturing Company, LLC, which also does business as Oak Street Bootmakers"
"Provides $625,000 towards consumer redress under Section 19 of the FTC Act, the largest for a Made in USA Labeling Rule case to date"
"Provides $167,743 towards consumer redress"
"Provides $75,000 towards consumer redress"
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.