4 ms·

In the US lying to users is merely frowned upon while lying to investors is illegal.

• gpm 7y ago
  False advertising of services (amongst other things) is illegal in the US. https://www.law.cornell.edu/uscode/text/15/52#b https://www.law.cornell.edu/uscode/text/15/52#b
  • elliekelly 7y ago
    Yes, just this week the FTC brought a tech company to justice for false and misleading promises to users about information security: > “We allege that Tapplock promised that its Internet-connected locks were secure, but in fact the company failed to even test if that claim was true,” said Andrew Smith, Director of the FTC’s Bureau of Consumer Protection. “Tech companies should remember the basics—when you promise security, you need to deliver security.”[1] Armed with clear and indisputable evidence of Tapplock's blatant lies, the bulldog enforcement lawyers at the FTC took the opportunity to make an example out of the company. After 18 months of hard-fought negotiations the FTC announced a settlement agreement[2] whereby the Commission agreed to resolve the matter in exchange for Tapplock's pinky promise to not get caught doing that again. Per the arduous terms of the settlement, Tapplock neither admits nor denies any of the FTC's allegations. So when a company promises their users security that company better deliver security. Or else... absolutely fuckall will happen. [1]https://www.ftc.gov/news-events/press-releases/2020/04/canadian-maker-smart-locks-settles-ftc-allegations-it-deceived https://www.ftc.gov/news-events/press-releases/2020/04/canad... [2]https://www.ftc.gov/system/files/documents/cases/192_3011_tapplock_agreement_containing_consent_order.pdf https://www.ftc.gov/system/files/documents/cases/192_3011_ta...